Chief
01-15-2008, 06:31 AM
http://biz.yahoo.com/ap/080115/citigroup.html
Tuesday January 15, 9:11 am ET
By Madlen Read, AP Business Writer
Citi Loses Almost $10B in 4Q, Slashes Dividend, Gets $12.5B Investment After Hefty Write-Downs
NEW YORK (AP) -- Citigroup Inc. lost almost $10 billion in last year's final three months, the largest quarterly deficit in the bank's 196-year history, and slashed its dividend as it recorded a mammoth write-down for bad bets on the mortgage industry.
The nation's largest bank wrote down the value of its portfolio by $18.1 billion. It also boosted loan-loss reserves by $4.1 billion, signaling further problems in its consumer businesses as deflated home prices, high energy and food costs, and rising unemployment weigh on people's ability to make their loan payments.
Not as bad as had been predicted, but still a very serious hit. I still submit that it is this kind of story that is driving the incessant rumors of an impending recession.
Tuesday January 15, 9:11 am ET
By Madlen Read, AP Business Writer
Citi Loses Almost $10B in 4Q, Slashes Dividend, Gets $12.5B Investment After Hefty Write-Downs
NEW YORK (AP) -- Citigroup Inc. lost almost $10 billion in last year's final three months, the largest quarterly deficit in the bank's 196-year history, and slashed its dividend as it recorded a mammoth write-down for bad bets on the mortgage industry.
The nation's largest bank wrote down the value of its portfolio by $18.1 billion. It also boosted loan-loss reserves by $4.1 billion, signaling further problems in its consumer businesses as deflated home prices, high energy and food costs, and rising unemployment weigh on people's ability to make their loan payments.
Not as bad as had been predicted, but still a very serious hit. I still submit that it is this kind of story that is driving the incessant rumors of an impending recession.