All data is delayed
See More

Citigroup boss quits in shock move

Oct 16 2012 15:39
New York - Citigroup Chief Executive Vikram Pandit has resigned, effectively immediately, a shock change at the top of the bank just one day after surprisingly strong quarterly results.

He is also stepping down as a board member immediately.

A statement on Tuesday from Chairperson Michael O’Neill said Michael Corbat, previously chief executive for Europe, Middle East and Africa, would succeed Pandit as CEO and become a board member.

Chief Operating Officer John Havens, a long-time associate of Pandit, also resigned.

Pandit’s departure follows a series of high-profile defeats this year.

In March the Federal Reserve rejected Citigroup’s capital plans after a stress test. Pandit had led analysts and investors to believe the dividend-raising plans would be approved.

Just last month, Pandit agreed to a low sale price for his bank’s stake in the brokerage operated by Morgan Stanley.

Citigroup took a $4.7bn charge in the third quarter to write down the value of that stake.

Citigroup shares fell 2.4% to $35.77 in premarket trading Tuesday. The shares rose sharply on Monday after the bank reported quarterly results that were much better than analysts expected.



Read Fin24’s Comments Policy publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Company Snapshot

We're talking about:


With infrastructure spending having been identified as one of the key focus areas of the National Development Plan, tradesmen will continue to play a critical role in growing the South African economy through their skills.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

A 30% a month return on investment is:

Previous results · Suggest a vote