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Citi forced to provide fresh support for its stricken SIVs

Citi has been forced to provide a $3.5bn credit line for six of the seven structured investment vehicles it took onto its balance sheet in December to stop rating agencies downgrading, Reuters reports. Additional capital will be provided if the market value of junior notes in the SIVs approach zero. Citi had to support some $49bn of SIV assets after the planned “super-SIV” failed to gather sufficient investor support.