Or, to go even further, are the stalwarts of Citi a symbol of board resurgence? That’s the question asked by Benjamin W. Heineman, Jr on Harvard Law’s blog on Monday. Is this simply a long campaign by Michael O’Neill to push Vikram Pandit out, or does this incident underscore a more basic truth:
Independent boards of directors are still the best mechanism— or the least worst one — for holding business leaders accountable, even if many boards have failed in their attempts to do this, often in spectacular fashion.
Ok, this is pretty excruciating, but it’s an important (albeit emotional) debate…
Is the Eurosystem’s Target2 payment system toxic for the people of Germany? Should they be worrying like hell about this (click to expand):
COO John P. Havens gone too. Mike Corbat, CEO of Europe, Middle East and Africa since the start of the year, is to step up to the big chair.
And we thought the figures were pretty good. Odd.
He had been tipped for a more extended stay. Read more
Citi are pushing that fateful day back:
We have held the view, since May 2012, that a Greek exit from the euro area (“Grexit”) in the next 12 to 18 months is a high-probability event (90%) which we assume, for the sake of argument, would happen on January 1 2013. We are now cutting the probability of Grexit over the next 12-18 months to 60% and judge that this event will probably happen later than we previously thought, most likely in 1H 2014.
A cynic might suggest they were getting the jitters as deadline approached but lets hear them out (our emphasis). Read more
The US government risks missing its deadline of divesting all its Citigroup shares by year-end after a fall in stock market volumes prompted authorities to slow down sales in July and August, reports the FT. The lull could prompt the US Treasury, which has a stake of about 17% in Citi, to consider a share offering instead of selling the stock in small quantities in the market, said bankers and analysts. Separately, the FT reports that Vikram Pandit, Citi’s CEO, will start drawing a pay cheque again next year, after two years of working for $1 while the bank recovered from massive losses in the financial crisis. Read more