Citigroup to post $2.7 billion in added legal costs in fourth quarter: CEO

[think]

Congress just gave Citigroup the ability to sell high risk derivatives backed by US tax payer money AGAIN.

Why should we trust them?

Citigroup to post $2.7 billion in added legal costs in fourth quarter: CEO

Tue Dec 9, 2014 6:12pm EST

(Reuters) - Citigroup Inc will record $2.7 billion in litigation expenses and another $800 million in repositioning charges, leaving the third-largest U.S. bank "marginally profitable" in the fourth quarter, its chief executive officer said on Tuesday.

Mike Corbat's announcement at a New York investor conference was the second time in six weeks the bank has had to tack on a massive legal charge.

The costs stemmed from government investigations into possible manipulation of foreign exchange markets, setting of LIBOR interest rates and lax compliance of money laundering rules. Past legal charges have foreshadowed settlements of cases....

http://www.reuters.com/article/2014/12/09/us-citigroup-charges-idUSKBN0JN1QV20141209

[okaawhatever]

1. Good news, sounds like the Feds are on Citibank like white on rice

The costs stemmed from government investigations into possible manipulation of foreign exchange markets, setting of LIBOR interest rates and lax compliance of money laundering rules. Past legal charges have foreshadowed settlements of cases....

With that kind of hit in legal fees the shareholders will soon be telling Citi to stop f$%king around and stay out of legal trouble.

[bluesbassman]

2. Only trouble is, those are "expenses". Just means Citi will pay less tax.

Makes me feel all warm and fuzzy.

As for them staying out of trouble, don't hold your breath, they just got a Platinum card from Congress tonight.