Financial Writedowns Increase, Citigroup $18.7 Billion
This is important for those tracking the subprime crisis. Most big banks originally announced write downs of anywhere from $3 billion to $7 billion. Well, Citigroup (C) today announced that its “estimate” of 8 to 11 Billion is more realistically probably close to $19 Billion.
To handle this extra write-down Citigroup may be forced to cut dividend by some 40%. You can read more at Yahoo Finance.
If Citigroup is announcing this then you better believe the other big boys are on a similar path. C is down just over 3% as of this post trading at around $29.50.
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