Rubin Named Chairman of Citigroup

Prince out; company to report $8-11B more in writedowns
By Neal Colgrass,  Newser Staff
Posted Nov 4, 2007 6:00 PM CST
Former Treasury Secretary Robert Rubin pauses during an address to the American Society of Newspaper Editors April 23, 2004 in a Washington file photo. Citigroup Inc. Chairman and Chief Executive Charles...   (Associated Press)
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(Newser) – Citigroup CEO and Chairman Charles Prince resigned today, clearing the way for former US Treasury Secretary Robert Rubin to be named chairman, the Wall Street Journal reports. Sir Win Bischoff was named interim chief executive. Citigroup also plans to report $8-$11 billion in mortgage-related writedowns, on top of the $2.2 billion in third-quarter losses that helped sink Prince's leadership.

Prince stepped down at today's emergency meeting amid frustration over the bank's debt-market losses. Citigroup's stock has plunged 31% this year and 9% this week. The bank's books are also under SEC scrutiny. Bischoff, who has been chair of Citigroup's European businesses, will serve until a permanent successor is found.