THE Citigroup Thread (merged)

mmasters · **Posted:** Mon Oct 01, 2007 12:06 pm

Took out Drexel and the private financing boom that was interfering with the banking business.

strider3700 · **Posted:** Mon Oct 01, 2007 12:33 pm

mmasters wrote:

Took out Drexel and the private financing boom that was interfering with the banking business.

Can you provide any more info? I'm not at all familiar with the 87 crash other then it kicked the snot out of traders and was mostly blamed on computerized trading.

Ferretlover · **Posted:** Mon Oct 01, 2007 6:36 pm

Is the Mr. ____ Prince of Citibank any relation to Erik Prince who owns the Blackwater mercenarys?

truecougarblue · **Joined:** Wed Dec 21, 2005 1:00 am **Posts:** 578

What I find funny in this is how this news is used to "call a bottom". These jamolks will be calling bottom every quarter for the next decade.

gampy · **Posted:** Wed Oct 03, 2007 12:14 am

I dunno, I am no economist, but even 40% of their projected net profits is nothing I would sniff at. So they only made 400 million dollars as opposed to a billion. Oh well...there goes the chairman's christmas bonus. Boo hoo.

That kind of money is still a lot of fucking money.

Doesn't seem newsworthy to me, but I am not a banker, or invested in that bank's stock, so...what do I know.

strider3700 · **Posted:** Wed Oct 03, 2007 12:20 am

Ferretlover wrote:

Is the Mr. ____ Prince of Citibank any relation to Erik Prince who owns the Blackwater mercenarys?

Charles O. "Chuck" Prince, III is the president/CEO of city group and was born in 1950.

Erik Prince had a father named Edgar Prince who owned an automobile parts company called Prince Corporation. After the death of the dad Erik's mother sold the company for 1.3 billion. Edgar Prince's claim to fame besides being a billionaire was he developed the lighted vanity mirror. Now who else feels stupid for not becoming rich beyond belief with a simple idea.

Anyways Edgar seems to have been a self made man and was born in 1931

Erik was born in 1970. He's a major republican supporter and has been for awhile now. His sister is Betsy DeVos, a former chairman of the Republican Party of Michigan. So they are well connected these days. Of course hundreds of millions of dollars automatically makes you connected to anything you want to be.

If you check where they where born and the dates they are quite distant apart. If the two are related It's a few generations back.

Ferretlover · **Posted:** Thu Nov 01, 2007 8:20 am

Citigroup Shares Fall to Four-Year Low After Analyst Downgrades
Nov. 1 (Bloomberg) -- Citigroup Inc., the largest U.S. bank, fell to the lowest in four years in New York trading after a CIBC World Markets analyst downgraded the stock and said the bank may cut its dividend or sell assets to shore up capital.
Citigroup was lowered to ``sector underperform'' from ``sector perform'' by analyst Meredith Whitney, in a note to clients dated Oct. 31. CIBC also reduced its rating on Bank of America Corp., the second-biggest U.S. bank by assets, to ``sector perform'' from ``sector outperform.''
``The stock will be under significant pressure and could trade into the low $30s,'' Whitney wrote. ...
Citigroup

U.S. Stocks Decline; Citigroup Retreats on Dividend Concern
Nov. 1 (Bloomberg) -- U.S. stocks indexes fell the most in two weeks after investors speculated Citigroup Inc. will cut its dividend and Exxon Mobil Corp., the world's biggest oil company, reported earnings that missed analysts' estimates.
Citigroup, the second-biggest U.S. bank, posted its steepest drop in five years after CIBC World Markets said it must preserve capital after earnings fell to the lowest level since 2004. Exxon slipped after posting a second straight retreat in quarterly profit for the first time in five years. ...
Retreat

peaker_2005 · **Joined:** Fri Sep 02, 2005 12:00 am **Posts:** 727

"sector underperform"?!?

More like "sector... Oh ****..."

"sector underperform" - my vote for understatement of the century.

basil_hayden · **Posted:** Fri Nov 02, 2007 5:28 am

"lowest levels since 2004"

This translates to "lowest levels since the last time it was business as usual", correct?

I mean, the oil companies (and banks) made an absolute killing in 2005 and continued the slaughter in 2006, so in 2007 their profits drop to more normal levels, and Wall Street sees this as a reason to downgrade based on performance?

Sounds screwed up to me, am I missing something?

roccman · **Posted:** Sat Nov 03, 2007 8:28 am

The only corporation in the world that commands ONE LETTER as their logo is defaulting. So why do you continue to pay your debts back? Mish

Quote:

Prince's retirement solves nothing actually. And of all the issues at Citigroup, capital levels is the most critical one. With capital concerns come side issues such as a Question of Solvency at Citigroup.

Let's play American Pie in honor of Chuck Prince.

We all got up to dance,
Oh, but we never got the chance!
`cause the players tried to take the field;
The marching band refused to yield.
Do you recall what was revealed
The day the music died?

Quote:

Notice today's selloff in Bank of America (BAC) Citigroup (C), Countrywide (CFC), JP Morgan Chase (JPM), Washington Mutual (WM), Corus Bank (CORS), Bank United (BKUNA), etc. This selloff is not over a possible dividend cut at Citigroup, profit taking, diminished odds of further rate cuts or any other thing the talking heads might be saying.

Solvency is the issue here, and I am not just talking about Citigroup. I am talking about solvency of the system itself. Rate cuts fueled this mess. Rates cuts cannot be the answer.

dukey · **Joined:** Sun Feb 20, 2005 1:00 am **Posts:** 2244

i love good news

roccman · **Posted:** Sat Nov 03, 2007 11:47 am

dukey wrote:

i love good news

Yes - good news is good.

Time for a reboot.

Armageddon · **Posted:** Sat Nov 03, 2007 12:18 pm

Rate cuts only delay the inevitable.

roccman · **Posted:** Sat Nov 03, 2007 7:21 pm

http://www.cnbc.com/id/21601044

Quote:

Citigroup faces a write-down in the range of $6 billion to $10 billion, mainly because of exposure to subprime mortgages and collateralized debt obligations, CNBC has learned.

Citi Chief Executive Officer Charles Prince has already offered to resign from his post, according to a person familiar with the situation, and the financial services company's board is expected to accept his resignation at an emergency meeting scheduled for Sunday.

Let the games begin.

roccman · **Posted:** Tue Jan 15, 2008 7:00 am

Jan. 15 (Bloomberg) -- Citigroup Inc. posted the biggest loss in the U.S. bank's 196-year history as surging defaults on home loans forced it to write down the value of subprime-mortgage investments by $18 billion.

And this is more than likely only the very tip of what is to come.

THE Citigroup Thread (merged)

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