Citigroup
History:
Citigroup ' was founded as City Bank of New York in 1812 and remained a large regional bank until October 1998. Sandy Weill, then CEO of The Travelers Group an insurance company announced a $76 billion agreement to merge with Citigroup to form a new financial services conglomerate. It took only two years for the merger to pass federal law since the 1933 Glass-Steagall Act prevented banking and insurance companies from ever becoming one entity. As the new CEO of Citigroup, Sandy Weill was now at the helm of one of largest banking institutions in the world with over 300,000 employees and operations in over 120 countries. Popular brand names included CitiCards, CitiFinancial, CitiMortgage, Primerica, Salomon Brothers, Smith Barney, Diners Club and CitiCapital. Citigroup became the world’s first global financial supermarket where banking, brokerage and insurance were all held under the control of one organization. Citigroup is organized into four major segments; Consumer Banking, Global Cards, Institutional Client Group, and Global Wealth Management. Citigroup offers a wide range of products from retail banking, credit card services, and mortgage loans to global transaction services, M&A financing, and corporate lending. Citigroup is currently the largest bank in the United States with over US$600 billion in deposits and assets under management of over US$1.2 trillion.
Citigroup’s fortunes continued to blossom during Sandy Weill’s tenure and even during the market downturn in 2002. On October 1st, 2003 Chuck Prince replaced Sandy Weill as CEO of Citigroup and for the next several years successfully continued to grow the business and achieve record profits and earnings. Citigroup’s stock continued ...
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...sj.com/article/SB122747680752551447.html. Wall Street Journal. November 24th, 2008.
Joint Statement by Treasury, Fed, FDIC on Citi
http://blogs.wsj.com/economics/2008/11/24/joint-statement-by-treasury-fed-fdic-on-citi/. Wall Street Journal. February 3rd, 2009.
Largest US Banks by Deposits 2007. http://forbestadvice.com/Lists/Things/LargestUSBanksByDeposits2007.html. Forbes Magazine. Feb 29, 2008.
Financial Crisis Timeline. Jason Cox. University of Iowa. January 27, 2009. http://www.uiowa.edu/ifdebook/timeline/Credit_Crisis_Timeline.pdf.
HSBC in new sub-prime writedown. http://news.bbc.co.uk/2/hi/business/7395425.stm. BBC News. May 12th, 2008.
United States Congressional Budget Office. The Troubled Asset Relief Program:
Report on Transactions Through December 31, 2008. http://www.cbo.gov/ftpdocs/99xx/doc9961/01-16-TARP.pdf. February 2009.
The Savings and Loans Crisis of the 1980’s and early 90’s created the greatest banking collapse since the Great Depression in 1929. Over half the S & L’s failed, along with the FSLIC fund that was created to insure their deposits.
"COMPANY NEWS; CHAMPION ENTERPRISES HIRES A NEW CHIEF AS DEBT RISES." The New York Times, July 1, 2003.
Prior to Fuller’s transfer, management at the Carson’s location was poorly run using the classical approach. While this approach can be successful, management has to find a good middle ground between caring for the company and caring about their employees. A traditional classical approach recognizes that there are five important factors to running a successful business (Miller, 19). According to text, these factors are planning, organizing, command, coordination and control (Miller, 19-20). These factors can be seen when you look at Third Bank as a whole. In the study, the CEO saw the issues in his company and put a plan together to improve. He had meetings with management, like fuller, to organize a solution. He then commanded all locations
As of December 31, 2007 Rex W. Tillerson has been serving as CEO of corporation since two years along with Senior Vice Presidents M. W. Albers, M. J. Dolan and D. D. Humphreys. They manage 51% institutional ownership of the company.
Mr. Blake took over the position, which was held by Bob Nardelli who was forced to resign his post over the controversy surrounding his lucrative pay package. However, the underlying reason had just as much to do with his handling of the transformation of the company after he took the reins in December 2000 (Azzato, M.). With no previous retail experience, Nardelli's gruff management style is said to have alienated several key top-level managers.
The problem entailed Vanguards ability to increase future customers without increasing costs. Markets are ever-changing, and the ability of companies to adapt to these changes is the key to survival. One company mentioned specifically in the case was Citigroup. Their ability to adapt to market changes and become a giant in the investments segment as a “one-stop financial supermarket” is a prime example. Should Vanguard take on this type of adaptation or stick to their current business objectives?
all companies that were traded on the stock exchanges as well as banking firms and
...dditionally, the merger can take place in smaller phases. For instance the first phase may include change of the physical look of the branches and the signage - – so as to convey a consistent view and experience for its customers. This phase may also include effective communication to the employees to educate them about the merger, ensure them of their positions and encourage them to participate in the merger. Second, the firm can totally combine the bank’s technology and the information systems which will allow the merged firm to operate as a single entity and to become fully operational. The management should implement the merger with care and prudence, aiming for minimal disruption for the customers and should communicate extensively to ensure all its stakeholders are kept fully informed as they make changes.
Mostly due to the large scandals in the late 1990s and early 2000s, like the Enron epidemic, most larger companies want to avoid any disasters that might even duarf in comparison to what we have seen in the past. Another powerful driving force behind CEOs’ popularity was the inception of the 2002 Sarbanes-Oxley Act, this act established new standards for corporate accountability in America. Requiring companies to not only make stronger commitments to ethical st...
The Bank of America, the second largest bank holding company in the United States by assets after JP Morgan Chase (Forbes, 2013) was originally founded in 1904 as the Bank of Italy. The Bank of America is now a multinational and financial services corporations with its headquarters located in Charlotte, North Carolina. In 1998 North Carolina National Bank started a series of acquisitions of several banks (including the Bank of America in 1998). The newly-merged bank took the name Bank of America and maintained its headquarters in Charlotte, North Carolina (Bank of America: Our Heritage, 2014). In the 2000s. Bank of America continued to expand with the acquisition of FleetBoston (2004), MBNA (2006), investment management company U.S. Trust (2007), mortgage company Countrywide (2008), and Merryl Lynch in 2009 (Gupta & Herman, 2012).
1. Ken Lay served as CEO and chairman and Jeffrey Skilling also served as CEO. They both were responsible for planning, organizing, controlling and leading the company. They set goals for the company and organized how they would be achieved. Kay’s role was as the figurehead and the leader. He also served as the spokesperson for the company and made many of the decision on the future of the company. As CEO’s they both possessed effective communication skills, where decisive, which was evidenced by their vision for the company and refusal to admit wrong even at the end, and visionary. Throughout Lay’s tenor the company continued to grow and prosper at a fast pace.
In 1926, they purchased a controlling interest in Safeway, which was their most paramount financial investment for the firm because it transformed a minuscule grocery store chain into the third most astronomically immense grocery store chain by the early 1930s (Edwin Perkins, 1999, p. 238). Furthermore Merrill, Lynch & Co. made prosperous investments in the companies’ early history. The company, founded themselves on five ethical concepts such as client focus, respect for the individual, teamwork, responsible citizenship, and integrity (Anne Szustek, 2014). Throughout the 1930s, Fenner & Beane was consistently the second most exceedingly immense securities firm in the U.S. the fused firm, which became the clear bellwether in securities brokerage in the U.S., was renamed Merrill Lynch, Perforate, Fenner & Beane (Wigmore, 1985, p.238). By March of 1958, the firm had become a Big Board member of the New York Stock
Morgan Stanley was established in 1935, and in 1997 merged with retail brokerage firm Dean Witter Discover and Co to become a global financial services organisation that employed more than 53,000 people in over 600 countries including Australia. Institutional Securities, Asset Management, Retail Brokerage and Discover were the four segments of Morgan Stanley. The merger altered the working environment of Morgan Stanley and created a divide in employee acceptance of the Retail Brokerage segment. It did not integrate well with the firm partly due to the information systems being different to the rest of the company.
One example would be Bank of America (BofA), the bank that I currently bank with. BofA has begun operations of combining ...
Weekly Corporate Growth Report, “Price Waterhouse and Coopers & Lybrand to Merge.” http://findarticles.com/p/articles/mi_qa3755/_is199709/ai=n8768518 (5 Apr. 2008).