How much did citibank get from bailout

The price of insuring Citigroup bonds against default fell by half. The bailout could also boost investor confidence in the largest U. Bank of America Corp rose Analysts expect billion of dollars of further losses. Pandit became CEO in December. Related Coverage. See more stories. No doubt about that. Still, not every investor was as gung-ho on the decision to let Pandit keep his job.

But between the billions in convenient funding and millions in SEC settlements for failing to disclose risks and losses , the banks have definitely learned their lesson, right? Not according to the panel:. Already a subscriber? Log in or link your magazine subscription. Account Profile. Sign Out. Due to our new system upgrade, we are requesting all existing users to update their password.

Create a new password. Forgot your password? Citigroup Inc. The government will also sell its stake in the company. The New York-based bank was among the hardest hit by the credit crisis and rising loan defaults and got one of the largest bailouts of any banks during the financial crisis.

The government plans to sell that entire stake -- which has risen in value by more than 20 percent -- during the next year. After repaying the funds, Citi will no longer face heavy scrutiny and restrictions from the government, including caps on executive pay and dividends. However, the repayment comes at a heavy cost. Raising the new capital will significantly dilute current shareholders' stake in the company.

Citi's announcement comes just days after Bank of America Corp. San Francisco-based Wells Fargo, which operates the Wachovia Bank system in Connecticut and other states, is now the last large national bank that hasn't paid back the government. Stay on top of the emerging Connecticut Cannabis market with news and perspective from our reporting team in this weekly newsletter. Delivered every Thursday at 10 am. Get the news and information you need from the award-winning writers at HBJ.

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