October 16, 2007 |
Three major U.S. banks unveiled plans Monday for an $80-billion fund to buy bonds whose values have plummeted in the wake of the credit crunch induced by the sub-prime mortgage meltdown. The fund is being launched by Citigroup Inc., Bank of America Corp. and JPMorgan Chase & Co. in hopes of bolstering the market for short-term corporate borrowing, which has yet to recover from the credit crisis that struck over the summer.
September 6, 2007 |
The Securities and Exchange Commission is monitoring the biggest Wall Street securities firms to gauge whether they face losses from investment vehicles that sold short-term debt, an agency official said Wednesday. The SEC, concerned about the collapse of the sub-prime mortgage market, is reviewing "contingencies that might place additional strains on the balance sheets" of investment banks, Erik Sirri, head of the agency's market regulation division, said in congressional testimony.
September 1, 2007 |
Ameriquest Mortgage Co., once the "Proud Sponsor of the American Dream," is closing. Citigroup Inc. said Friday that it would buy the remnants of the Ameriquest empire from ACC Capital Holdings in Orange, and ACC said it was "preparing for an orderly wind-down of its retail mortgage business." Ameriquest shuttered its 229 retail offices months ago. As recently as 2005, Ameriquest and its sister company, Argent Mortgage, were together the No. 1 sub-prime mortgage lender in the world.
August 15, 2007 |
Citigroup Inc. and three of the largest U.S. brokerage firms plan to create a trading system for unregistered securities as more companies seek to avoid regulation by raising money privately. Lehman Bros. Holdings Inc., Merrill Lynch & Co., Morgan Stanley and Citigroup expect to begin operating the Open Platform for Unregistered Securities, or OPUS-5, in September, the companies said in a statement Tuesday.
July 21, 2007 |
Citigroup Inc. said Friday that its second-quarter profit rose 18% on strong overseas operations that led to record revenue for the biggest U.S. bank. Rival Wachovia Corp. also posted a double-digit profit jump for the quarter, but both banks saw their shares decline as they padded their provisions for loans that go sour -- a move many other banks have made as they gird themselves for a shakier credit environment. New York-based Citigroup's net income rose to $6.23 billion, or $1.
May 9, 2007 |
Citigroup Inc. said it would commit $50 billion to environmental projects over the next decade, the biggest commitment from Wall Street to address climate change. The amount includes nearly $10 billion in activities that the bank already has undertaken. New York-based Citigroup plans to increase to $10 billion from about $1 billion its commitment to reduce greenhouse gas emissions at its 14,500 locations worldwide.
May 3, 2007 |
Citigroup Inc. said Wednesday that it had agreed to pay $1.47 billion for Bisys Group Inc., which provides accounting and administrative services to hedge funds and private equity firms. The acquisition of Roseland, N.J.-based Bisys could help Citigroup, the biggest U.S. bank, compete against rivals such as JPMorgan Chase & Co. in serving alternative-asset managers, including hedge funds, the fastest-growing part of the investment industry.
April 12, 2007 |
Citigroup Inc. on Wednesday said it would eliminate 17,000 jobs, or about 5% of its workforce, in a broad restructuring designed to cut costs, boost profit and bolster a lagging stock price. An additional 9,500 jobs will move to lower-cost locations worldwide. That means the restructuring will affect 8% of the bank's 327,000-person workforce. Consumer banking, Citigroup's largest unit, will be hardest hit, followed by corporate and investment banking.
April 6, 2007 |
Citigroup Inc., one of the largest mortgage lenders, is telling brokers that starting Monday it will stop making some riskier home loans, documents obtained by Reuters show. The move follows decisions by Countrywide Financial Corp., Wells Fargo & Co. and other major mortgage lenders to tighten their underwriting standards as homeowner delinquencies and defaults increase. The changes at Citigroup Inc.'