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Citigroup has lost more than $700m in credit business in recent weeks, making it one of the biggest casualties of the crisis, according to a person briefed on the situation.
The scale of the losses is not a serious problem for a company that earned more than $20bn last year and bankers believe some Wall Street rivals have lost more.
But it will be acutely embarrassing for Chuck Prince, chairman and chief executive, who has been widely criticised for saying last month that Citi was “still dancing” in the credit markets.
The losses will undermine his efforts to restore investor confidence in the world's largest financial services company and revive its flagging share price. |
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