Citigroup Unravels as Reed Regrets Universal Model

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from Bloomberg:



Citigroup Unravels as Reed Regrets Universal Model (Update2)

By Lisa Kassenaar

July 21 (Bloomberg) -- Vikram Pandit walks through the white stone Mexico City headquarters of Grupo Financiero Banamex SA, past Diego Rivera's 1942 Calla Lily Vendor, and into a steep, narrow auditorium for a town hall meeting with Citigroup Inc. bankers.

It's Jan. 30, and Pandit is six weeks into running the biggest U.S. financial services company. He's just spent the day talking with Manuel Medina-Mora, chief executive officer of Banamex, which New York-based Citigroup bought in 2001. Pandit, 51, born in Nagpur, India, is on a world tour of Citi offices that's also taking him to South Korea and Poland.

Now, the Citi CEO is facing dozens of executives in rows of bright-red upholstered chairs. One stands up and asks the new boss if he'll change the bank's Latin American strategy, according to people who were there. ``It's up to him,'' says Pandit, pointing to Medina-Mora.

The Mexican executive offers Pandit, the novice CEO, something that's in short supply for Citi these days: a sliver of good news. Banamex profits doubled from 2002, the first full year the bank was part of Citi, through last year. Pandit says the Mexican bank is a model of what he wants Citi to become. ......(more)

The complete piece is at: http://www.bloomberg.com/apps/news?pid=20601109&sid=aVwxSMeM0MnA&refer=home