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Citi beats forecasts with profit

Oct 15 2009 14:33

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New York - Struggling banking giant Citigroup topped expectations Thursday, posting a third-quarter profit of $101m.

Because of special dividends required from a massive government bailout, the results amounted to a loss for shareholders of 27 cents per share. But that was better than the expected loss of 38 cents per share.

Citigroup has received some $45bn in capital from the US Treasury to shore up its finances, some of which has been converted to common stock.

That has given the government a stake of 34% in what was once the world's biggest financial group, which is now working to slim down and repay the government.

"We continue to execute steadily against our plan, and sustainable profitability remains our primary goal in the near term," said Vikram Pandit, chief executive.

"While consumer credit trends are improving in international markets, the US consumer credit environment remains challenging."

- AFP

 
 
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