Posted on 01/12/2024 2:10:21 PM PST by george76
acknowledging a "clearly disappointing" quarter marred by one-off charges that resulted in a $1.8 billion loss.
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in the middle of a multi-year effort to cut bureaucracy, increase profits and boost a stock that has lagged peers
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"The fourth quarter was very clearly disappointing," CEO Jane Fraser .. We know that 2024 is critical."
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layoffs from the sweeping reorganization, Chief Financial Officer Mark Mason ...
Citi will also no longer count 40,000 jobs when it spins off and lists its Mexican consumer unit Banamex in an eventual initial public offering, eventually aiming to reach a staffing level of 180,000 employees,
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The loss was driven by $3.8 billion in charges ... included reorganization expenses, a reserve related to currency devaluations and instability in Argentina and Russia and a $1.7 billion payment to replenish a government deposit insurance fund.
The bank expects to report between $700 million and $1 billion in charges this year related to severance costs and the reorganization.
Whenever an industry or company goes through these types of reductions, it’s tough on morale," Mason told reporters. The staffing cuts will not affect revenue growth...
During the week of Jan. 22, the bank will announce more organizational changes... Efforts to simplify its structure will be largely completed this quarter, saving $1 billion and eliminating about 5,000 mostly managerial roles, Fraser said.
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consumers have begun to show signs of stress, prompting Citi to set aside more money to cover losses on souring loans.
"The restructuring announced two months ago was a long time coming," said Chris Marinac, director of research at Janney Montgomery Scott. "The question comes down to: Can they execute on this restructuring in terms of really being able to grow the core business? The jury is still out."
(Excerpt) Read more at reuters.com ...
The Great AI Replacement
Obviously not enough DEI QUALIFICATIONS! /S
I’m betting bonuses were paid to the upper echelon.
Finally these people will be able to spend time with their families instead of slaving long hours a day to make some rich business owner wealthier...
Lots of belt tightening coming for the banks when the $5 Trillion in U.S. consumer debt goes south.
I’d be pretty disappointed too
And there it is buried, and it's just the beginning.
From “The Jerk” movie: “It’s a profit motive!”
Might have been a lot worse without some of that upper echelon.
They should change their name back to First National City Bank, like it was when America was great.
For several years, there were banks being built or other buildings repurposed to be banks. ATM islands being installed in parking lots like the old Fotomats. Now I see them closing these facilities all over the place.
My opinion - getting ready for the move away from cash.
With payroll direct deposit, online Bill paying, and ATM machines I can’t remember the last time I entered a bank building, yet most of my everyday transactions are in cash.
In the Citi statement on racial equity after George Floyd died.
“It’s not enough to see racism, we have to root it out. It’s not enough to declare support for equity, we have to lead.”
https://www.citigroup.com/global/our-impact/diversity-equity-inclusion/action-for-racial-equity
https://fortune.com/2020/06/02/citi-cfo-mark-mason-george-floyd/
The magnificent Bidenomics working magic before our lying eyes.
Hundreds of loans on office buildings are about to come due at a very bad time..
Loans were taken out in time of low interest rates and are now hard to refinance..
Too many of the loans defaulting could trigger banking crisis and ..
https://freerepublic.com/focus/f-news/4207256/posts
All that student loan money that is being magically wiped away by POTATUS came from somewhere too.
“...bonuses were paid to the upper echelon....”
What is the fraction of those echelon peeps who drove this are in the Dock for dismissal?
That’s what puzzled me about all the bank buildings cropping up. I almost never used them myself.
Only when I was running daily deposits for a local restaurant for a friend of mine. Now I hear they have to run them to a bank several miles away. What used to take 5 minutes now takes a half-hour or more.
disappointing... then what do they call a BAD quarter???
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