All a long period of hours.
Citigroup tried to "downsizing" in order to raise funds, the latest sale was included in the list is the Group's Smith Barney brokerage business sector (Smith Barney).
"I did not sell the wishes of Smith Barney, I love this business." Month and a half ago in November 21, 2008, Citigroup CEO Vikram Pandit (Vikram Pandit) in the Board of Directors stance. That night, Citigroup shares fell to the lowest point in 15 years to 3.77 U.S. dollars, forcing Vikram Pandit once again to the U.S. Treasury Department for help. As of 21 the week, Citigroup stock has shrunk more than half, 21 closing price of 4.71 U.S. dollars, compared with September 2000 the highest value of 57.50 U.S. dollars have lost 92%.
Just entered in 2009, Pandit had also reneged on its promise to sell "non-sale," Smith Barney.
Last Friday, as the crisis in the war accused the former U.S. Treasury Secretary, Citigroup senior adviser Robert Rubin (Robert Rubin), announced his resignation after the Wall Street then came news that Citigroup and Morgan Stanley are (hereinafter referred to as "big Mount ") consultations, which plans to sell 51 percent of Smith Barney shares the right to sell their holdings.
Because I have been opposed to splitting Rubin Citigroup business, his departure would finally reached the deal to remove the obstacles. "Wall Street Journal" on the 12th, said the two sides could come as early as this week announced an agreement.
The deal represents a crisis of the past two opponents strategic transformation: Citigroup had to abandon the "financial supermarket" tradition, to smaller, more focused business model development; and have turned to bank holding companies Moreton such a move will make an important retail investment market.
Smith Barney trading
Smith Barney is Citigroup Global Financial Services, one of the two major components, the group is also a rare "health" of assets.
Citigroup's third-quarter financial results in 2008, even in the most severe financial crisis last year, 9 months ago, Smith Barney's earnings still maintained a growth rate of 2 percent year-over-year for the creation of Citigroup 7.938 billion U.S. dollars of income, in which global financial management business accounted for more than八成share. Throughout the year in 2007, Smith Barney 10.529 billion U.S. dollars income for the Group profit contribution rate after the U.S. credit card business and international retail banking business.
Even leaving Citigroup, Smith Barney itself in Wall Street history, also has a pivotal position.
Smith Barney is a global, full-service investment banking and securities brokerage firm. Its main predecessor was in 1873 in Philadelphia, Charles D. Barney set up a securities brokerage firm, and in 1892 Edward B. Smith in Philadelphia set up a securities company; Another important predecessor was the bond market has叱咤Salomon Brothers (Salomon Brothers Inc.). In 1997, these three companies merged to form Salomon Smith Barney Holdings Inc., under the Travelers Group, one year after the merger of Travelers Group and Citibank to form Citigroup today. In 2003, Citigroup would "Solomon" prefix from the company's name erased, leaving only the name Smith Barney.
On the 12th, "The Wall Street Journal" quoted unnamed sources as saying that Citigroup will pay big Moreton about 2.5 billion U.S. dollars, the acquisition of Smith Barney brokerage subsidiary of the two companies control 51% of the transaction the two sides will set up a company named Morgan Stanley Smith Barney (Morgan Stanley Smith Barney) joint venture, by the operator responsible for the management of Moldova. Great Moreton might 3 years after the holdings of shares, and in 5-6 years to hold all the shares.
Once the transaction is completed, the newly formed joint venture company will exceed the Bank of America became the world's largest brokerage firm, is expected to be about 22,000 brokers. Bank of America completed the acquisition of Merrill Lynch, has about 20,000 brokers.
Oppenheimer & Co analyst Meredith Whitney (Meredith Whitney) in the latest report of customer forecasts in the deal, Citigroup will receive large motorized 2-3 billion US dollars, after tax in accordance with the accounting rules, Citigroup will continue to receive from 5,000,000,000 to 6,000,000,000 US dollars of after-tax profit of capital.
Fox-Pitt Kelton analyst David Tronchet (David Trone) 1 on 9 interview that Moldova is likely to use large 700 billion U.S. dollars from the issue of asset relief plan (Troubled Asset Relief Program, TARP) obtained funding to pay for the deal.
Sell future
Citigroup's move to sell high-quality assets, exacerbated by the market condition of the assets of the Group of real concern.
"Fund remains the major challenges facing the United States, although we believe that the deal shortly to be able to ease the financial pressure, but only those most likely is not enough." Meredith Whitney that. She said that Citigroup Smith Barney to sell its shares, suggesting that the previous government a series of assistance and can not meet the needs of the world's largest banks.
2008, in the stock crash in November, Citigroup again obtained from the U.S. government assistance. November 24, led by the U.S. Treasury Department issued a joint statement that the U.S. government 700 billion U.S. dollars from the TARP plan to 20 billion U.S. dollars to fund the purchase of Citigroup shares, so that Citigroup accumulated from the TARP plan was 45 billion U.S. dollars capital injection. In addition, the U.S. government also said that Citigroup will be 306 billion U.S. dollars of the risk of loans and guarantee bonds.
Citigroup holds a large number of high-risk exposure to the financial crisis has suffered serious losses. KBW Bank Index, Citigroup became the worst performance for two consecutive years in the U.S. banking stocks.
In October 2008 announced third-quarter financial results, Citigroup quarter loss of 2.8 billion U.S. dollars, mainly because up to 61 billion U.S. dollars of property-related losses. Up to now, Citigroup has reported four consecutive quarterly losses, accumulated losses have exceeded 20 billion U.S. dollars.
"Citigroup not hesitate to sell their future to resolve the current financial problems, it is regrettable that they now do not have much choice." For the United States and the deal between Moreton, David Tronchet evaluation that he expected Smith Barney, worth about in the 15-20 billion U.S. dollars between.
In order to address funding pressures, Citigroup has announced plans to divest the four major assets, including its Global Services, the German retail banking business, as well as welfare services business CitiStreet, and Citigroup's technical services department, and said that there will be more similar to the sale of plan. In addition, Citigroup has come through layoffs and other cost reduction. December 5 last year, Citigroup's German retail banking business to 5.2 billion euros (about 6.6 billion U.S. dollars) sold to French bank Credit Mutuel-CIC, from four billion U.S. dollars trading income.
January 22, that is, Obama formally became the President of the United States two days later, Citigroup will release fourth quarter results, the market is expected that the Group will be released nearly 10 billion U.S. dollars for the huge losses. Germany to sell its retail banking profits in 2008 the year the Group will continue to hit 20 billion U.S. dollars more than "the worst annual loss."
Original article reprint please specify: Reprinted from
http://chinasfinancial.blogspot.com
Citigroup tried to "downsizing" in order to raise funds, the latest sale was included in the list is the Group's Smith Barney brokerage business sector (Smith Barney).
"I did not sell the wishes of Smith Barney, I love this business." Month and a half ago in November 21, 2008, Citigroup CEO Vikram Pandit (Vikram Pandit) in the Board of Directors stance. That night, Citigroup shares fell to the lowest point in 15 years to 3.77 U.S. dollars, forcing Vikram Pandit once again to the U.S. Treasury Department for help. As of 21 the week, Citigroup stock has shrunk more than half, 21 closing price of 4.71 U.S. dollars, compared with September 2000 the highest value of 57.50 U.S. dollars have lost 92%.
Just entered in 2009, Pandit had also reneged on its promise to sell "non-sale," Smith Barney.
Last Friday, as the crisis in the war accused the former U.S. Treasury Secretary, Citigroup senior adviser Robert Rubin (Robert Rubin), announced his resignation after the Wall Street then came news that Citigroup and Morgan Stanley are (hereinafter referred to as "big Mount ") consultations, which plans to sell 51 percent of Smith Barney shares the right to sell their holdings.
Because I have been opposed to splitting Rubin Citigroup business, his departure would finally reached the deal to remove the obstacles. "Wall Street Journal" on the 12th, said the two sides could come as early as this week announced an agreement.
The deal represents a crisis of the past two opponents strategic transformation: Citigroup had to abandon the "financial supermarket" tradition, to smaller, more focused business model development; and have turned to bank holding companies Moreton such a move will make an important retail investment market.
Smith Barney trading
Smith Barney is Citigroup Global Financial Services, one of the two major components, the group is also a rare "health" of assets.
Citigroup's third-quarter financial results in 2008, even in the most severe financial crisis last year, 9 months ago, Smith Barney's earnings still maintained a growth rate of 2 percent year-over-year for the creation of Citigroup 7.938 billion U.S. dollars of income, in which global financial management business accounted for more than八成share. Throughout the year in 2007, Smith Barney 10.529 billion U.S. dollars income for the Group profit contribution rate after the U.S. credit card business and international retail banking business.
Even leaving Citigroup, Smith Barney itself in Wall Street history, also has a pivotal position.
Smith Barney is a global, full-service investment banking and securities brokerage firm. Its main predecessor was in 1873 in Philadelphia, Charles D. Barney set up a securities brokerage firm, and in 1892 Edward B. Smith in Philadelphia set up a securities company; Another important predecessor was the bond market has叱咤Salomon Brothers (Salomon Brothers Inc.). In 1997, these three companies merged to form Salomon Smith Barney Holdings Inc., under the Travelers Group, one year after the merger of Travelers Group and Citibank to form Citigroup today. In 2003, Citigroup would "Solomon" prefix from the company's name erased, leaving only the name Smith Barney.
On the 12th, "The Wall Street Journal" quoted unnamed sources as saying that Citigroup will pay big Moreton about 2.5 billion U.S. dollars, the acquisition of Smith Barney brokerage subsidiary of the two companies control 51% of the transaction the two sides will set up a company named Morgan Stanley Smith Barney (Morgan Stanley Smith Barney) joint venture, by the operator responsible for the management of Moldova. Great Moreton might 3 years after the holdings of shares, and in 5-6 years to hold all the shares.
Once the transaction is completed, the newly formed joint venture company will exceed the Bank of America became the world's largest brokerage firm, is expected to be about 22,000 brokers. Bank of America completed the acquisition of Merrill Lynch, has about 20,000 brokers.
Oppenheimer & Co analyst Meredith Whitney (Meredith Whitney) in the latest report of customer forecasts in the deal, Citigroup will receive large motorized 2-3 billion US dollars, after tax in accordance with the accounting rules, Citigroup will continue to receive from 5,000,000,000 to 6,000,000,000 US dollars of after-tax profit of capital.
Fox-Pitt Kelton analyst David Tronchet (David Trone) 1 on 9 interview that Moldova is likely to use large 700 billion U.S. dollars from the issue of asset relief plan (Troubled Asset Relief Program, TARP) obtained funding to pay for the deal.
Sell future
Citigroup's move to sell high-quality assets, exacerbated by the market condition of the assets of the Group of real concern.
"Fund remains the major challenges facing the United States, although we believe that the deal shortly to be able to ease the financial pressure, but only those most likely is not enough." Meredith Whitney that. She said that Citigroup Smith Barney to sell its shares, suggesting that the previous government a series of assistance and can not meet the needs of the world's largest banks.
2008, in the stock crash in November, Citigroup again obtained from the U.S. government assistance. November 24, led by the U.S. Treasury Department issued a joint statement that the U.S. government 700 billion U.S. dollars from the TARP plan to 20 billion U.S. dollars to fund the purchase of Citigroup shares, so that Citigroup accumulated from the TARP plan was 45 billion U.S. dollars capital injection. In addition, the U.S. government also said that Citigroup will be 306 billion U.S. dollars of the risk of loans and guarantee bonds.
Citigroup holds a large number of high-risk exposure to the financial crisis has suffered serious losses. KBW Bank Index, Citigroup became the worst performance for two consecutive years in the U.S. banking stocks.
In October 2008 announced third-quarter financial results, Citigroup quarter loss of 2.8 billion U.S. dollars, mainly because up to 61 billion U.S. dollars of property-related losses. Up to now, Citigroup has reported four consecutive quarterly losses, accumulated losses have exceeded 20 billion U.S. dollars.
"Citigroup not hesitate to sell their future to resolve the current financial problems, it is regrettable that they now do not have much choice." For the United States and the deal between Moreton, David Tronchet evaluation that he expected Smith Barney, worth about in the 15-20 billion U.S. dollars between.
In order to address funding pressures, Citigroup has announced plans to divest the four major assets, including its Global Services, the German retail banking business, as well as welfare services business CitiStreet, and Citigroup's technical services department, and said that there will be more similar to the sale of plan. In addition, Citigroup has come through layoffs and other cost reduction. December 5 last year, Citigroup's German retail banking business to 5.2 billion euros (about 6.6 billion U.S. dollars) sold to French bank Credit Mutuel-CIC, from four billion U.S. dollars trading income.
January 22, that is, Obama formally became the President of the United States two days later, Citigroup will release fourth quarter results, the market is expected that the Group will be released nearly 10 billion U.S. dollars for the huge losses. Germany to sell its retail banking profits in 2008 the year the Group will continue to hit 20 billion U.S. dollars more than "the worst annual loss."
Original article reprint please specify: Reprinted from
http://chinasfinancial.blogspot.com
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