According to a person with knowledge of the matter, who asked not to be identified because the lay-offs are confidential, Citigroup Inc., the third-largest bank in the U.S., cut from 200 to 300 jobs in its stock and bond trades unit in an attempt to reduce its costs amid a slump.
One of the representatives of the bank – the spokeswoman Danielle Romero-Apsilos said in an interview for Bloomberg: “We continue to tightly manage expenses, making targeted headcount reductions in light of current market conditions. At the same time, we are adding some talent strategically.”
The jobs cuts, including the one of Mr. Steve Prince, who is a brother of the ex-Chief Executive Officer of Citigroup Mr. Charles Prince, represent about 2% of the workforce of the company’s global markets business. About 251 000 people were reported to work in the bank at the end of 2013. According to a person familiar with the process, part of the employees left the company voluntarily.
Mr. Prince, who has been said by a person close to the personnel to have been working in Citigroup Inc. for more than 20 years and who is listed as a senior vice president on his profile in LinkedIn, refused to make any comments on the situation. His brother, Mr. Charles Prince was dismissed from his responsibilities in 2007 after occupying the position of the Chief Executive Officer of the bank for about four years.
Citigroup Inc. is expected to post its earnings for the first quarter of the current financial year on April the 14th. A sharp decrease in bond trading is believed to have had a great negative impact on the banks’ earnings. In March this year, Mr. John Gerspach, who takes the position of the Chief Financial Offer, informed the bank’s investors that the trading revenue is projected to decrease by a “high mid-teens” percentage.
Citigroup Inc. fell by 1.19% on Friday and closed the session at $45.68, marking a one-year change of +1.81%. According to the information published on CNN Money, the 29 analysts offering 12-month price forecasts for Citigroup Inc. have a median target of 58.00, with a high estimate of 68.00 and a low estimate of 51.00. The median estimate represents a +26.97% increase from the last price of 45.68.
TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover 
