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| Politics Forum Index » Economic Politics Forum » Ex-CEO of Citigroup Apologizes for Gutting... |
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| Lisa Lisa... |
 Posted: Fri Nov 06, 2009 8:03 pm |
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Guest
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When these people start apologizing for the harm they have done, you
know a terrific shitstorm is coming. Well, at least he felt
contrition. When will the others follow his lead?
Reed Says ‘I’m Sorry’ for Role in Creating Citigroup
By Bob Ivry
Nov. 6 (Bloomberg) -- John S. Reed, who helped engineer the merger
that created Citigroup Inc., apologized for his role in building a
company that has taken $45 billion in direct U.S. aid and said banks
that big should be divided into separate parts.
“I’m sorry,” Reed, 70, said in an interview yesterday. “These are
people I love and care about. You could imagine emotionally it’s not
easy to see what’s happened.”
Citigroup was formed in 1998 when Citicorp, a commercial bank,
combined with Sanford I. Weill’s Travelers Group Inc., which owned the
investment firm Salomon Smith Barney Holdings Inc. The New York-based
company lost $27.7 billion in 2008 and took $118 billion in
writedowns. Now 34 percent-owned by the Treasury Department, Citigroup
sought help in the wake of a credit freeze that claimed three of Wall
Street’s biggest firms and led to the deepest recession in 70 years.
Congress’ overhaul of U.S. financial regulations should include
ordering banks to hold more capital, ensuring executives’ compensation
is aligned with long-term profitability and banning firms that take
deposits from also engaging in equities and fixed-income trading, Reed
said.
“I would compartmentalize the industry for the same reason you
compartmentalize ships,” Reed said in the interview in his office on
Park Avenue in New York. “If you have a leak, the leak doesn’t spread
and sink the whole vessel. So generally speaking you’d have consumer
banking separate from trading bonds and equity.”
Glass-Steagall Repeal
Lawmakers were wrong to repeal the Depression-era Glass- Steagall Act
in 1999, Reed said. At the time, he supported overturn of the law,
which required the separation of institutions that engaged in
traditional customer banking services from those involved in capital
markets.
“We learn from our mistakes,” said Reed, who wrote an Oct. 21 letter
to the editor of the New York Times endorsing a division of banking
activities. “When you’re running a company, you do what you think is
right for the stockholders. Right now I’m looking at this as a
citizen.”
Reed headed Citicorp for 14 years until the merger with Travelers. The
deal created the world’s biggest financial company in a stock swap
valued at about $85 billion. Reed and Weill were co-chairmen and co-
chief executive officers until Reed’s retirement in 2000.
Citigroup spokesman Stephen Cohen declined to comment.
Reed’s Compensation
From 1997 to 1999, Reed received salary and bonuses totaling $23.4
million, according to Citigroup filings. In 2000, he received a
retirement bonus of $5 million, filings show. Citigroup provides him
with an assistant and a New York office, for which he pays taxes, he
said.
Citigroup, the third-largest U.S. bank, shed about $300 billion in
assets, or 13 percent of its total, in the year ended Sept. 30 and is
selling what it calls non-core properties, according to regulatory
filings. The company said yesterday that it will spin off its
Primerica Financial Services subsidiary.
CEO Vikram S. Pandit has eliminated about 100,000 jobs since late
2007, reducing the headcount by 26 percent as of Sept. 30.
Citigroup pioneered the production of collateralized debt obligations,
bundles of loans whose cash flows were sold to investors. When
subprime mortgage borrowers began defaulting on payments in 2007, the
CDOs lost value and became part of Citigroup’s $118 billion in
writedowns and credit losses.
In the last year, the bank received $45 billion from the U.S.
government to bolster its capital and another $300 billion in loss
guarantees. The Treasury Department retained its 34 percent stake
after converting a portion of the $45 billion in rescue funds to
equity.
To contact the reporter on this story: Bob Ivry in New York at
bivry at (no spam) bloomberg.net.
Last Updated: November 6, 2009 10:12 EST
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| Nickname unavailable... |
| Posted: Fri Nov 06, 2009 8:16 pm |
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Guest
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On Nov 7, 12:03 am, Lisa Lisa <harryharr... at (no spam) yahoo.com> wrote:
now if we can only dig up friedman and reagan, and hang them for
treason. clinton, rubin, grahm, and summers are still alive. they
should be swinging high. |
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| republicana demonios... |
| Posted: Sat Nov 07, 2009 2:50 am |
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Guest
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"Nickname unavailable" <Video61 at (no spam) tcq.net> wrote in message
news:20f4bba4-152e-4625-95b5-e985e38c0ee8 at (no spam) o9g2000vbj.googlegroups.com...
On Nov 7, 12:03 am, Lisa Lisa <harryharr... at (no spam) yahoo.com> wrote:
now if we can only dig up friedman and reagan, and hang them for
treason. clinton, rubin, grahm, and summers are still alive. they
should be swinging high.
---------------
bu... bu... Clinton, wheeeeeeeeeeee.............. not the Bush Cartel,
Clinton, hahahahahahaha............. |
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| Nickname unavailable... |
| Posted: Fri Nov 13, 2009 6:58 am |
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Guest
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On Nov 13, 10:32 am, Demon Buddha <Nob... at (no spam) no.where> wrote:
Quote: Nickname unavailable wrote:
On Nov 7, 12:03 am, Lisa Lisa <harryharr... at (no spam) yahoo.com> wrote:
now if we can only dig up friedman and reagan, and hang them for
treason. clinton, rubin, grahm, and summers are still alive. they
should be swinging high.
OF all the presidents in recent history, Reagan is the single example I
believe to be free of guilt. The man lacked the intellectual makeup and
horsepower to know that what his advisers were feeding him was poison.
He was a bloody Hollywood actor, for heaven's sake! It seems to me that
he actually believed the things he preached. He was... like... the
anti-obama. His proclamations were false, but he actually believed them
to be true, unlike our current prezzy who simply lies through his teeth
as naturally as breath.
As to the rest - I have no great problems with Milty. The rest - well,
if you can round them up, I'll do the hanging.
have you ever heard of the term being criminally insane? |
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| Demon Buddha... |
| Posted: Fri Nov 13, 2009 11:32 am |
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Guest
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Nickname unavailable wrote:
Quote: On Nov 7, 12:03 am, Lisa Lisa <harryharr... at (no spam) yahoo.com> wrote:
now if we can only dig up friedman and reagan, and hang them for
treason. clinton, rubin, grahm, and summers are still alive. they
should be swinging high.
OF all the presidents in recent history, Reagan is the single example I
believe to be free of guilt. The man lacked the intellectual makeup and
horsepower to know that what his advisers were feeding him was poison.
He was a bloody Hollywood actor, for heaven's sake! It seems to me that
he actually believed the things he preached. He was... like... the
anti-obama. His proclamations were false, but he actually believed them
to be true, unlike our current prezzy who simply lies through his teeth
as naturally as breath.
As to the rest - I have no great problems with Milty. The rest - well,
if you can round them up, I'll do the hanging. |
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| Sid9... |
| Posted: Fri Nov 13, 2009 11:41 am |
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Guest
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"Demon Buddha" <Nobody at (no spam) no.where> wrote in message
news:N7adneyDh6fLF2DXnZ2dnUVZ_u2dnZ2d at (no spam) giganews.com...
Quote: Nickname unavailable wrote:
On Nov 7, 12:03 am, Lisa Lisa <harryharr... at (no spam) yahoo.com> wrote:
now if we can only dig up friedman and reagan, and hang them for
treason. clinton, rubin, grahm, and summers are still alive. they
should be swinging high.
OF all the presidents in recent history, Reagan is the single
example I believe to be free of guilt. The man lacked the
intellectual makeup and horsepower to know that what his advisers
were feeding him was poison. He was a bloody Hollywood actor, for
heaven's sake! It seems to me that he actually believed the things
he preached. He was... like... the anti-obama. His proclamations
were false, but he actually believed them to be true, unlike our
current prezzy who simply lies through his teeth as naturally as
breath.
As to the rest - I have no great problems with Milty. The rest -
well, if you can round them up, I'll do the hanging.
..
..
Read Bob Scheiffer's "The Acting President"
A gentle treatment of the "Amiable Dunce" |
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| Demon Buddha... |
| Posted: Sat Nov 14, 2009 9:42 am |
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Guest
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Nickname unavailable wrote:
Quote: On Nov 13, 10:32 am, Demon Buddha <Nob... at (no spam) no.where> wrote:
Nickname unavailable wrote:
On Nov 7, 12:03 am, Lisa Lisa <harryharr... at (no spam) yahoo.com> wrote:
now if we can only dig up friedman and reagan, and hang them for
treason. clinton, rubin, grahm, and summers are still alive. they
should be swinging high.
OF all the presidents in recent history, Reagan is the single example I
believe to be free of guilt. The man lacked the intellectual makeup and
horsepower to know that what his advisers were feeding him was poison.
He was a bloody Hollywood actor, for heaven's sake! It seems to me that
he actually believed the things he preached. He was... like... the
anti-obama. His proclamations were false, but he actually believed them
to be true, unlike our current prezzy who simply lies through his teeth
as naturally as breath.
As to the rest - I have no great problems with Milty. The rest - well,
if you can round them up, I'll do the hanging.
have you ever heard of the term being criminally insane?
Who? Milty? The others? *Me*?  |
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