Citigroup plunges on uncertainty

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Shares in Citigroup, one of the biggest banks in the US, fell sharply on Friday amid continued uncertainty about the company's future.

The firm's stock rose in early trade but later declined 18% as board members began a meeting.

The Wall Street Journal reported that Citigroup was considering selling parts of the firm. There are also rumours it might merge with another firm.

Earlier in the week the firm announced 52,000 job losses worldwide.

These cuts came on top of previously announced reductions of 23,000 positions.

The total 75,000 job cuts represent a cut of about 20% of its staff, leaving it with 300,000 jobs worldwide "in the near term".

Bank's future

Chief executive Vikram Pundit told employees on Friday that the firm did not want to change its business model, Reuters reported, citing two employees.

Shares in the firm have fallen sharply since the start of the year and are trading more than 80% down since January.
  • added November 21, 2008
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22 responses // Citigroup plunges on uncertainty

  •  

    mark my words, when they fall the economy will begin "mysteriously doing better"

    IMMININT
    4 responses to this
  •  

    I thought all these bailouts were supposed to help our financial crisis. It just seems like things have only gotten worse.

    Jeff_Koo
  •  

    if they collapse do i still have to pay my credit card bill?

    revolutioninamerica
  •  

    "The firm did not want to change its business model?" I wouldn't either, what with how wildly successful Citigroup has been lately.

    Ever notice how you don't see as many investment and mutual fund commercials on tv anymore?

    IronJack
  •  

    The bigger they are the harder they fall...

    karmex
  •  

    Sorry, we spent all of the bailout money on junkets, bonuses and golden parachutes, so can we have some more now.

    justright
  •  

    ha. Fear and panic in the global economy. Sounds like a sequel to a classic novel about a savage journey to the heart of the American dream. It's a damn shame we can't resurrect the late Hunter S. Thompson to write a novel on the global financial crisis that is spiraling dangerously out of control. But then again, maybe it's better if we don't disturb his rest and expose him to this F'd up situation.

    julian_jude_lewis
  •  

    Fall-owing their fellow banks... does that pun work?

    joshuaheller
  •  

    Their stock was selling for 52.00 a share, now it's 3.00
    could be a good buy for a gamble.

    kennymotown
    1 response to this
  •  

    I have a mortgage with them...not by choice, they bought it from the original lender. I pay it, but they keep screwing up their accounting and sending me notices that I am months behind in payments. Last week I spent two hours on the phone with them straightening it out, again. Their customer service is abysmal, and their attitudes are condescending and arrogant.

    Good riddance to them.

    Bisbonian
  •  

    How can America's second largest bank die? Since the Saudis own a large part then maybe it will survive. This is a terrifying story to say the least. This country will be a third world country if it continues on the same agenda.

    nessie00
  •  

    great - please accidentally hit "delete" on all that money i owe you for student loans that i will probably never be able to repay. let's just start at ground zero, ok?!

    goingforawalk
  •  

    What's up with this, they all are taking turns at going belly-up? (Is it like spin the bottle?)

    arcticspirit
  •  

    Wow, they are one of the biggest ones. If they go down, there is no telling whats next. Scary!

    Jessy
    http://www.privacy.es.tc

    ClusterAble

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