Saturday, April 21, 2012

Citi's $8 Billion Rejection


The capital plan that Citigroup Inc. submitted to the Federal Reserve earlier this year included the possibility of $8 billion in stock buybacks, people familiar with the situation told the Wall St Journal..

The size of the request, which is far bigger than some analysts had expected, might have hurt Citigroup's chances of winning Fed approval. Citigroup officials were stunned by the Fed's rejection in March of their proposal.

Citigroup didn't explicitly ask for a specific amount. Rather, the size was based on a formula in which buybacks would be made over a two-year period if Citigroup hit certain targets, according to people familiar ...

Find out more at http://online.wsj.com/article/SB10001424052702304331204577356192509771340.html?mod=WSJ_hp_LEFTWhatsNewsCollection

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