Citigroup Inc. named former Morgan Stanley President Vikram Pandit as chief executive officer to help the largest US bank recover from serious financial problems.
THE MOST POWERFUL BANKER YOU'VE NEVER HEARD OF
Lewis B. Kaden doesn't stand out among the high-powered executives on Citigroup's organizational chart. He's one of three people who carry the title of vice-chairman, and he doesn't run a big revenue-generating business such as investment or retail banking. Kaden's official duties are largely administrative--human resources, government affairs, and philanthropy among them. Behind the scenes, however, the 67-year-old Kaden has emerged as the... Read Full Story
VIKRAM PANDIT OF CITI: MAN ON A TIGHTROPE
Two banks were conspicuously absent from the institutions being allowed to repay government bailout money on June 10--Bank of Americaand Citigroup. And it is no secret that those two banks' chief executives, Ken Lewis at BofA and Vikram Pandit at Citi, continue to be under a federal microscope. In fact, news stories on June 5 suggested that Federal Deposit Insurance Corp. chief Sheila Bair is pushing for a shakeup at Citi that would include... Read Full Story
VIKRAM PANDIT ON THE RECORD
Citigroup, which has been at the epicenter of the financial crisis, is one of the best-performing U.S. stocks since March. But CEO Vikram Pandit's fix-it job is far from complete. Citi's shares remain 90% off their high in 2006. Its books are still loaded with risky assets. And the economy faces headwinds. Pandit sat down to talk with BusinessWeek Editor-in-Chief Stephen J. Adler on Sept. 17 as part of the Captains of Industry series at the 92nd Street Y in... Read Full Story
Congresswoman Maxine Waters was one of several public officials yesterday who grilled eight bank executives who came across as so slick and slippery I found myself wondering if we couldn't drill into them for oil. At one point Ms. Waters asking if they had raised their interest rates on credit card customers after $350 billion in taxpayer money was pumped into their coffers to keep their quaffed butts afloat. Bank of America's Ken Lewis along with Citigroup's Vikram Pandit admitted they had... Read Full Story
Four new directors are up for election at Citigroup Inc. as the bank tries to evolve to weather the financial crisis. Citi is holding board elections and considering shareholder proposals at its annual meeting Tuesday in New York. The four director nominees are former U.S. Bancorp CEO Jerry Grundhofer; former Bank of Hawaii CEO Michael O'Neill, former Philadelphia Federal Reserve President Anthony Santomero; and William S. Thompson Jr., former CEO of bond investment manager Pimco. In opening... Read Full Story
John Thain, former Merril Lynch CEO, was the first executive who appeared to have no bailout ”filter” in his head that would trigger the following thought: ”Maybe that’s a dumb idea.” According to The Daily Beast , Thain spent $1.22 million to refurbish his office at Merrill Lynch, which inlcuded:
1. $2,700 for six wall sconces.
2. $5,000 for a mirror in his private dining room.
3. $11,000 for fabric for a “Roman Shade.”
4. $13,000 for a chandelier in the private dining room... Read Full Story
Prince Alwaleed bin Talal of Saudi Arabia,a Citigroup investor since 1991,described Citi as a core investment for him.The fact that CEO Vikram Pandit was left in office proves that the government doesn't want to run the company.I expect to see Citi's dividend raised in three years,the prince said.Until then,we are prepared to accept the dividend cut.We need to give Mr.Pandit some time.He's a man of a mission,of strong vision.Citi is still far from being a nationalized entity,Prince Alwaleed... Read Full Story
Can employee compensation of private companies deteriorate the real estate market even more?
Citigroup is scheduled to consolidate its brokerage operations with Morgan Stanley this month. Some say this is a wise move for the financial powerhouse that is still struggling to fix the toxic mortgage and other real estate-related securities that it has acquired. At the start of the year, Citi CEO Vikram Pandit began pursuing a determined capital funding to get his bailed out institution moving... Read Full Story
