http://money.cnn.com/2007...2007110419


NEW YORK (CNNMoney.com) -- The meltdown in the housing market hit Citigroup, the nation's No. 1 financial services company, Sunday as it announced the departure of chairman and chief executive Charles Prince and a possible $11 billion in additional subprime writedowns.

"It is my judgment that given the size of the recent losses in our mortgage- backed securities business, the only honorable course for me to take as Chief Executive Officer is to step down," Prince said in a statement issued by Citigroup. "This is what I advised the board."


Charles Prince, who is out as CEO of Citigroup, the nation's No. 1 bank, which he has led since 2003.
Photos

6 big banks, 6 big shake-ups
The mortgage mess has unleashed a restructuring wave as banks try to clean house.


Former Treasury Secretary Robert Rubin, a board member and chairman of the executive committee for the nation's leading financial services firm, was named chairman of the board. Sir Win Bischoff, who heads Citigroup (Charts, Fortune 500)'s European unit, will serve as interim CEO until a permanent successor is named.

Citigroup also said it expects a reduction of between $8 billion and $11 billion in the fair value of its exposure to the subprime mortgage market. It said it expects to take a fourth-quarter writedown on the reduction, although the size of the writedown will depend on future market conditions.


More on the article a the link above....

what? are you just stupid?

7e7e7 said:

possibly.

Anyways..


It's been 2 years in the making. They tried pulling the big 3 banks together 2 weeks ago to avoid this. But it wasn't enough.

He's finally being move aside for restructuring. Although, I'm not sure this news is enough to stabilize the current downward trend.

Finally.

I wonder if Jamie Diamond will be next

rushing07 said:

With the subprime fallout it was only a matter of time before PRINCE GOT OUTED.

wrong forum

It was locked in the other forum.

Looks like Prince was another casualty of the subprime collapse... He'll fare better than most others, of course...

R



(We're still playin', right....?)

You probably couldn't get to prince.org quickly enough when you heard that, right? It's such a perfect set up for one of your threads.


btw, the Guggenheim Museum here in New York has a retrospective of Richard Prince and I just got hired to give tours for them. In all our trainings this past week the instructor and other educators keep referring to him by his last name (not unusual), but it throws me for a loop. Everytime I hear them say "Prince..." I think, "Wait, what? How do they know I'm a huge Prince fan--I haven't told them anything!" Then I remember they're talking about the artist (not The Artist. lol.) I don't know if I'll be able to refer to him by his last name or I might lose my train of thought.

Illustrator said:

7e7e7 said:

Imago has always been a grade A fucktard.

Illustrator said:

DevotedPuppy said:

It was as if my birthday came early this year

I would expect more CEO heads to roll in the next two years. First, the Merrill Lynch CEO and now the Citigroup CEO. However, this goes a lot deeper than the subprime mortgage crisis, as that was only the tip of the iceberg. You have a lot of major banks and hedge funds dealing with derivatives, and the minute another one of these major banks and hedge funds goes bankrupt, heads are going to roll.

BTW, I was look at job postings on Craigslist, and there are a large number of job openings for hedge fund accountants and finance positions. It reminds me of where the real estate market was three years ago when people were looking for real estate agents and mortgage brokers left and right. We're definitely looking at some even more bad times ahead in corporate finance.

728huey said:

Right now, and for the next two years, there will be a huge transfer of wealth. I intend to be a part of it.

RodeoSchro said:

I think you're my boo-on-the-DL now




The ramifications of this collapse I think will affect all the foreign investors who invested in these loans too. I mean a bunch of lenders stateside were so free wheelin' about this whole thing, cause much of the risk was being assumed by foreign investment firms. I think the ripple affect is going to be ugly.

More things will happen, definitely. It does not stop just because PRINCE GOT OUTED.




does stop - to - does not stop edit
[Edited 11/5/07 7:33am]

Illustrator said:

Imago said:

The only ramification that matters is, how do we make money off this?

These big banks - and a host of smaller ones - made stupid home loans to people that can't afford them. The play here is to buy the loan portfolios at a discount. And trust me - it's a buyer's market for these right now.

Then, contact the homeowners and modify their notes so they can pay. It's far better to keep a paying homeowner in their home than it is to foreclose on it - both from a financial and a moral standpoint.

There are $millions to be made here.

um, i don't have time to actually read your thread but here are my 2c. this is so old news already. EVERYone knows that diana prince is wonderwoman.

for one thing, they look exactly alike and besides, if you watch closely you will see that whenever diana is gone wonderwoman is around and vice versa.

One4All4Ever said:

you beat me to it

PEJ said:

What IS the appropriate forum for berating executives and discussing how to make $millions?

Because I want to be the mod of that forum.

RodeoSchro said:

prince forum right?

RodeoSchro said:

I totally skipped to the second paragraph and thought "Oh shit, I didn't know Prince was the CEO of CitiGroup! "


Thanks Imago

XxAxX said:

This is so stupid it's funny