Citigroup could write down as much as $24 billion, could lay off 20,000 workers.

uscitizen

uscitizen

Villified User
Citigroup could write down as much as $24 billion due to subprime and credit-related losses, CNBC has learned. In addition, the company could lay off as many as 20,000 workers as part of a comprehensive plan to slash costs and raise capital.

The plans will be unveiled Tuesday, when the banking giant reports fourth-quarter earnings. At the same time, Citigroup could also announce that it is cutting its dividend payment.
Citigroup also intends to raise as much as $15 billion from various foreign and domestic entities including Saudi Arabian Prince Alwaleed bin Talal, Citigroup's largest individual shareholder, as America's biggest bank grapples with heavy mortgage market losses.

Alwaleed has owned his Citi stake since the early 1990s and helped engineer a previous rescue plan for the bank more than a dozen years ago.

http://www.cnbc.com/id/22639976

I guess they will be paying zero taxes this year.
 
the 90's golden age tech boom was Clinton's credit but not the republican congress because of the 1993 omnibus tax increase.. but the 1999/2000 correction was the fault of greenspan/bush (who wasnt in office yet) and the republican congress. The boom housing economy of first half of 00's was due to Clinton.. but the correction of 08 was bush's fault not the democrat congress.

Man i wish I had that sort of double standard appreciation.
 
Topspin said:
and IBM's earning are way up, some smart business people do good. SOme dumbasses struggle.
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yep and why should the dumbasses be a burden on all of us ?

Bail out the mega corps but let the little guy starve ? That is the republicans stance.
 
uscitizen said:
yep and why should the dumbasses be a burden on all of us ?

Bail out the mega corps but let the little guy starve ? That is the republicans stance.
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Bail out the little guy let the investor starve. Democratic Stance.

Bail and no one and let people and corporations live on their own merits. Libertarian Stance.
 
Cypress said:
more broadly, greenspan, bush, and the regulatory agencies.

They were warned for years what would happen, but sat on their hands.
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oH PLEASE... The deregulation began in 1993, they called it "fair" back then as "too many people were being refused for loans" and actually created legislation that forced many banks into loans they would not have given before. That some tried to take advantage of those regulations to make money isn't surprising, nor is the attempt at the blame republicans first....

However, it was not Rs in Congress or in the WH when the "deregulation" began.
 
Young Libertarian said:
Bail out the little guy let the investor starve. Democratic Stance.

Bail and no one and let people and corporations live on their own merits. Libertarian Stance.
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agreed. However the feds rate decreases and pumping hundreds of billions into the banking system is a bailout. And we pay a price with lower dollar and higher oil and other imports.


FYI the investors will not likely starve , even "broke" the top 5% would be rich compared to the masses.
 
I totally agree with you against the bail outs of the big banks.
It's virtually stealing from average JOE as in stealing his future. Inflation is going to get out of control in a short order.
 
make the banks divest and break up so if this happens again it will be a much smaller impact.
This is what happens when you have all your eggs in just a handful of baskets.

Or let the biggies fail and small ones come back to fill the void. either way would be better than what we have now.
 
Topspin said:
I think dems would do the same thing, in fact they are likely pushing this more.
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I cannot really disagree with that.
Both parties want to get elected and citigroup , etc folding would be painful to all but i think the best in the long run. But most have such short vision.
 
uscitizen said:
Citigroup could write down as much as $24 billion due to subprime and credit-related losses, CNBC has learned. In addition, the company could lay off as many as 20,000 workers as part of a comprehensive plan to slash costs and raise capital.

The plans will be unveiled Tuesday, when the banking giant reports fourth-quarter earnings. At the same time, Citigroup could also announce that it is cutting its dividend payment.
Citigroup also intends to raise as much as $15 billion from various foreign and domestic entities including Saudi Arabian Prince Alwaleed bin Talal, Citigroup's largest individual shareholder, as America's biggest bank grapples with heavy mortgage market losses.

Alwaleed has owned his Citi stake since the early 1990s and helped engineer a previous rescue plan for the bank more than a dozen years ago.

http://www.cnbc.com/id/22639976

I guess they will be paying zero taxes this year.
Click to expand...

Citigroup makes the biggest profits in America, out of any corporation. They absolutely blow the oil companies away, by margins. I don't feel sorry for them.
 
I feel no sorrow for them either. That is why i said we should not bail them out with rate cuts and money pumped into the banking system.
 
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