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1
Truth and the Culture of Change
Relevance
Keynote Speaker
American Marketing Association
Ravi ParmeswarMarch 2011
2
A simple introduction
2
3
Are we cursed
3
4
Irsquom pretty sure you know this
The economy has not been doing well
4
5
The perfect storm
5
6
What caused it the storm
World wealth increasing ($70 trillion)
Centralized debt obligations Credit default swaps
Highly leveraged economies amp companies
Consumption debt savings
Concentration of risk
Risk models in uncharted waters
Monetary policy of growth vs inflation
Housing bubble
Global interconnectivity
6
7
Resulting in a domino effect
bull Credit crisis
bull Deflation Inflation
bull Unemployment
bull Financial system breakdown
7
8
Unprecendented scale static distruption
bull Scale is global for the first time
bull No systems to address new reality
bull Stress beyond elastic limits that govern our understanding of
the economic system
bull Unsteady state models needed
8
9
A generation marking event
World War I
Russian Revolution
Great Depression
World War II
United Nations established
European Economic
Community effective
Oil Crisis began
Fall of Soviet Union
Early 2000
recession
Subprime and the
credit crisis
1914 1917 1929 1939 1945 1958 1973 1991 2001 2007
9
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
2
A simple introduction
2
3
Are we cursed
3
4
Irsquom pretty sure you know this
The economy has not been doing well
4
5
The perfect storm
5
6
What caused it the storm
World wealth increasing ($70 trillion)
Centralized debt obligations Credit default swaps
Highly leveraged economies amp companies
Consumption debt savings
Concentration of risk
Risk models in uncharted waters
Monetary policy of growth vs inflation
Housing bubble
Global interconnectivity
6
7
Resulting in a domino effect
bull Credit crisis
bull Deflation Inflation
bull Unemployment
bull Financial system breakdown
7
8
Unprecendented scale static distruption
bull Scale is global for the first time
bull No systems to address new reality
bull Stress beyond elastic limits that govern our understanding of
the economic system
bull Unsteady state models needed
8
9
A generation marking event
World War I
Russian Revolution
Great Depression
World War II
United Nations established
European Economic
Community effective
Oil Crisis began
Fall of Soviet Union
Early 2000
recession
Subprime and the
credit crisis
1914 1917 1929 1939 1945 1958 1973 1991 2001 2007
9
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
3
Are we cursed
3
4
Irsquom pretty sure you know this
The economy has not been doing well
4
5
The perfect storm
5
6
What caused it the storm
World wealth increasing ($70 trillion)
Centralized debt obligations Credit default swaps
Highly leveraged economies amp companies
Consumption debt savings
Concentration of risk
Risk models in uncharted waters
Monetary policy of growth vs inflation
Housing bubble
Global interconnectivity
6
7
Resulting in a domino effect
bull Credit crisis
bull Deflation Inflation
bull Unemployment
bull Financial system breakdown
7
8
Unprecendented scale static distruption
bull Scale is global for the first time
bull No systems to address new reality
bull Stress beyond elastic limits that govern our understanding of
the economic system
bull Unsteady state models needed
8
9
A generation marking event
World War I
Russian Revolution
Great Depression
World War II
United Nations established
European Economic
Community effective
Oil Crisis began
Fall of Soviet Union
Early 2000
recession
Subprime and the
credit crisis
1914 1917 1929 1939 1945 1958 1973 1991 2001 2007
9
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
4
Irsquom pretty sure you know this
The economy has not been doing well
4
5
The perfect storm
5
6
What caused it the storm
World wealth increasing ($70 trillion)
Centralized debt obligations Credit default swaps
Highly leveraged economies amp companies
Consumption debt savings
Concentration of risk
Risk models in uncharted waters
Monetary policy of growth vs inflation
Housing bubble
Global interconnectivity
6
7
Resulting in a domino effect
bull Credit crisis
bull Deflation Inflation
bull Unemployment
bull Financial system breakdown
7
8
Unprecendented scale static distruption
bull Scale is global for the first time
bull No systems to address new reality
bull Stress beyond elastic limits that govern our understanding of
the economic system
bull Unsteady state models needed
8
9
A generation marking event
World War I
Russian Revolution
Great Depression
World War II
United Nations established
European Economic
Community effective
Oil Crisis began
Fall of Soviet Union
Early 2000
recession
Subprime and the
credit crisis
1914 1917 1929 1939 1945 1958 1973 1991 2001 2007
9
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
5
The perfect storm
5
6
What caused it the storm
World wealth increasing ($70 trillion)
Centralized debt obligations Credit default swaps
Highly leveraged economies amp companies
Consumption debt savings
Concentration of risk
Risk models in uncharted waters
Monetary policy of growth vs inflation
Housing bubble
Global interconnectivity
6
7
Resulting in a domino effect
bull Credit crisis
bull Deflation Inflation
bull Unemployment
bull Financial system breakdown
7
8
Unprecendented scale static distruption
bull Scale is global for the first time
bull No systems to address new reality
bull Stress beyond elastic limits that govern our understanding of
the economic system
bull Unsteady state models needed
8
9
A generation marking event
World War I
Russian Revolution
Great Depression
World War II
United Nations established
European Economic
Community effective
Oil Crisis began
Fall of Soviet Union
Early 2000
recession
Subprime and the
credit crisis
1914 1917 1929 1939 1945 1958 1973 1991 2001 2007
9
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
6
What caused it the storm
World wealth increasing ($70 trillion)
Centralized debt obligations Credit default swaps
Highly leveraged economies amp companies
Consumption debt savings
Concentration of risk
Risk models in uncharted waters
Monetary policy of growth vs inflation
Housing bubble
Global interconnectivity
6
7
Resulting in a domino effect
bull Credit crisis
bull Deflation Inflation
bull Unemployment
bull Financial system breakdown
7
8
Unprecendented scale static distruption
bull Scale is global for the first time
bull No systems to address new reality
bull Stress beyond elastic limits that govern our understanding of
the economic system
bull Unsteady state models needed
8
9
A generation marking event
World War I
Russian Revolution
Great Depression
World War II
United Nations established
European Economic
Community effective
Oil Crisis began
Fall of Soviet Union
Early 2000
recession
Subprime and the
credit crisis
1914 1917 1929 1939 1945 1958 1973 1991 2001 2007
9
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
7
Resulting in a domino effect
bull Credit crisis
bull Deflation Inflation
bull Unemployment
bull Financial system breakdown
7
8
Unprecendented scale static distruption
bull Scale is global for the first time
bull No systems to address new reality
bull Stress beyond elastic limits that govern our understanding of
the economic system
bull Unsteady state models needed
8
9
A generation marking event
World War I
Russian Revolution
Great Depression
World War II
United Nations established
European Economic
Community effective
Oil Crisis began
Fall of Soviet Union
Early 2000
recession
Subprime and the
credit crisis
1914 1917 1929 1939 1945 1958 1973 1991 2001 2007
9
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
8
Unprecendented scale static distruption
bull Scale is global for the first time
bull No systems to address new reality
bull Stress beyond elastic limits that govern our understanding of
the economic system
bull Unsteady state models needed
8
9
A generation marking event
World War I
Russian Revolution
Great Depression
World War II
United Nations established
European Economic
Community effective
Oil Crisis began
Fall of Soviet Union
Early 2000
recession
Subprime and the
credit crisis
1914 1917 1929 1939 1945 1958 1973 1991 2001 2007
9
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
9
A generation marking event
World War I
Russian Revolution
Great Depression
World War II
United Nations established
European Economic
Community effective
Oil Crisis began
Fall of Soviet Union
Early 2000
recession
Subprime and the
credit crisis
1914 1917 1929 1939 1945 1958 1973 1991 2001 2007
9
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
10
Sub-prime lending and credit crisis led to a global equity market collapse
in 2008 Currently the market is in a positive momentum to achieve
previous levels hellip
Market value
$ billionsAnnual Change
Percent
SampP Global 1200 Index
Source Bloomberg
bull SampP Global 1200 index
captures 70 of the worldrsquos
capital market
bull The index witnessed an
increasing trend beyond
2009 after the effect of
recession seemed to fade
bull After having reversed almost
all of the gains since 2001 in
2008 the index is in a
positive momentum to
achieve previous levels
222864
243334
291840
315662
185342
245421
270775
286265
(500)
(400)
(300)
(200)
(100)
00
100
200
300
400
0
5000
10000
15000
20000
25000
30000
35000
2004 2005 2006 2007 2008 2009 2010 2011
Note Data for years 2003 through 2009 represent market
value as of December 31 of respective years 2011 data is
as of March 3 2011
10
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
11
The deteriorating macroeconomic conditions that caused
unprecedented correction in oil prices seems to be improving
Brent Crude Oil Price (Monthly Average) 2003-2011
bull Crude oil prices
declined from a high
of $145bbl in Julyrsquo08
especially during
Januaryrsquo09 However
has witnessed a trend
reversal entering 2011
in a strong note
bull Scale of decline has
by far been reversed
$
Source Bloomberg
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
12
The crisis intensified in September and October and historic losses
savaged the leading stock market indices
12 010909
Oct 15
Oct 9
Sep 29
Oct 7
Sep 15
Largest One Day Fall in the Dow Sep-Oct 2008Percent change
-79
-73
-70
-51
-44
-41
-33
Source Bloomberg
Dow Jones Industrial Average
Sep 17
Sep 22
Jan-2009
bull 9th largest one day
loss in percentage
terms in the history of
the Dow
bull In point terms the
Dow witnessed four of
the top ten largest one
day point losses
during the in
September and
October
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
13
The recent crisis ended in June 2009 and was the longest since the Great
Depression
bull According to the National Bureau of
Economic Research the US
recession that began in
December 2007 ended in June
2009
bull The 18-month slump was the
longest since the Great
Depression
bull Reasons behind the long duration
of the recession attributed to the
plunge in household wealth as well
as financial crises in the US and
overseas
Major Recessions in the US EconomyMonths
Source National Bureau of Economic Research news articles
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
14
hellip with the magnitude of the scale nearly improving
One Year
Ago
(12-31-09)
Today
(03-03-11)
Citigroup Market Value
$ billions bull Larger than the revenue of all but
38 companies on the Fortune
Global 500 Ranking
minus About the size of Honda
Motor or ArcelorMittal
(based on 2007 revenue)
bull Larger than the gross state
product of 18 states in the US
(including the District of
Columbia)
minus About the size of Utah
(based on 2007 gross state
product)
bull Larger than the GDP of 11
countries in the worldSource Standaard amp Poorrsquos Thomson Financial Fortune BEA World Bank
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
15
US has reduced its Fed fund rate to near zero and announced a shift in its
finance policyhellip
Federal Reserves Fund Rate 1974-2011Percent
bull Federal Reserve abandons
its official target rate of 1
bull Fed fund rate now stands
reduced to an
unprecedented 0 to 025
bull Has indicated a shift in its
finance policy to
lsquoquantitative easingrsquo in an
attempt to revive the
economy
bull Near zero rate is expected to
help stabilize housing prices
bull However this could also
weaken the US dollar Note Instrument - Federal funds
Maturity - Overnight
Frequency - Monthly
Description - Federal funds effective rateSource Federal Reserve Board
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
16
This uncertainty will be compounded by increased volatility
SourceBloomberg
0
10
20
30
40
50
60
70 Series1
Series2
Volatility Indices(Chicago Board Options Exchange Volatility Index)
Unprecedented
volatility has
emerged
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
17
When a butterfly flaps its wings in Brazilhellip
SourceEdward N Lorenz The Essence of Chaos
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
18
When a butterfly flaps its wings
18
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
19
How the recession changed us
Lost jobs Lost homes Lost freedom
19
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
20
How the recession changed us
State budgets face shortfalls National deficit mounts
20
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
21
How the recession changed us
We cut spending We cut saving
21
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
22
How the recession changed Citi
22
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
23
The Daily Show
23
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
24
Media coverage related government bailout
The Daily Show
24
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
25
Weekly World News
25
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
26
National Lampoon
26
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
27
Dropping stock
27
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
28Source Forrester Research News articles
The economic downturn resulted in lack of trust towards the
banking institutions hellip
The tough financial regulatory
reform bill passed by the
government in July 2010 put
banks business practices in a
harsh light
Lacking trust
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
29Source Forrester Research News articles
Consumers believe financial institutions
negatively impacted the economy
Attitudes toward big financial companies and the role they
play in this country
Percent
Government intervention to give money to big banks and
investment firms was a good idea or bad idea
Percent
Survey of 5612 US and Canadian households and individuals ages 18 and older The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer
amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Shouldering blame and responsibility
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
30
Wall street executives are least favorable than Congress
Impression of people for major US institutions
The Bloomberg National Poll conducted December 2009 for Bloomberg News by Selzer amp Co Inc is based on interviews with 1000 US adults ages 18 or older
Very Mostly
Favorable Favorable
Small business 53 39
The military 52 35
Doctors 32 53
The White House 18 33
Lawyers 7 32
Insurance companies 6 30
Corporate executives 5 24
Congress 4 25
Wall Street executives 3 15
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
31
Congress Press Pundits
Increased oversight
So many bosses
31
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
32
Economy - Stress at an all time high
32
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
33
Our fortunes are shifting
We are changing the way we do business
33
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
34
Change to keep
Plan for the future
Work on the short term
Face the facts fix the urgent
34
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
35
Face the facts
Mistakes were made
35
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
36
Fix the urgent
Shore our capital reserves
Revamp risk
Revamp management
Divest businesses
Constant conversations with our stakeholders
36
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
37
Work on the short-term
Daily wake up call
Sentiment read every 24 hours
Messaging response tested daily
Rapid response team - minimize lags
Cross-functional expertise is critical
Assess the situation amp provide a rapid response
37
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
38
Position as a leader
bull Regular press
bull Insights about the consumer
bull Hopes aspirations fears
bull Spending saving habits
38
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
3939
hellipand the results have been extensively covered by the media
Citibankrsquos press releases on surveys it conducted
New Citi survey finds majority of Americans have cut back on everyday expenses nearly half only shopping
for what they absolutely need
ndash October 2010
New Citibank survey reveals a meaningful increase in economic optimism for 2011
ndash February 2011
New Citi survey finds 62 of Americans believe the economy has yet to hit bottom
ndash July 2010
New national survey by Citi reveals consumers across all income levels and ethnic groups have permanently changed
their saving and spending habits ndash September 2009
Media coverage
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
40
Print and Onlinebull 23 articles and over 720 online outlets
Broadcastbull Aired on 6 national and regional broadcast outlets
Radiobull Aired on 6 national and regional radio outlets
Combined results
40
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
41
National SurveyldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo says Eric Eve senior vice president Global Community Relationship at Citirdquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
41
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
42
ldquoPerhaps surprisingly a survey by banking giant Citigroup Inc found minorities had a more positive view of the economy than the majority of Americans Of 100 blacks and Hispanics surveyed earning between $25000 and $50000 a year about half believed the economy will improve over the next six months compared to 38 percent of a larger national sample of workersrdquo
ldquoThrough our work and our network ofpartnerships [we] are committed to helpingcommunities and citizens across the countryas they navigate these difficult financialtimesrdquo ldquoCitirsquos study of consumer
sentiment among low- to moderate-income (LMI) African American and Hispanic communities in the Chicago area found that both communities expressed more optimism about the national economic outlook than a national representative sample of cross-ethnic respondents and are taking a more cautious approach to saving and spending practicesrdquo
Consumer Sentiment Survey Focus on Chicago
ldquoThe study showedhellipfirst and foremost a level of increased optimism in our communities here in Chicago in African American and Hispanic communities particularly in low- to moderate-income communitiesrdquo ndash Eric Eve
ldquorsquoThis new survey points to a profound shift in the way people think about their saving and spending The current economic environment is altering perhaps permanently the way we think about spending moneyrsquo
ldquoA Citi survey out today found that people nationwide have made what they call permanent spending and savings changes linked to the economic downturnrdquo
ldquoA majority of US consumers say they have permanently changed their spending and savings habits in response to the global financial markets crash and recession according to a Citigroup survey released on Fridayrdquo
42
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
43
Womenrsquos Survey
ldquoLisa Caputo from Citigroup says women have been reassessing many working moms are going back to school to improve their economic opportunities Shes encouraging women to save as they earn and plan for time-outs in life but theres no question this recession has taken a tollrdquo
ldquoWorking mothers have been hardest hit with more than half (53 percent) indicating they work longer hours to make ends meet compared with just 24 percent of women without children and 33 percent of men according to a new study from Citirdquo
ldquoAnd were seeing in the survey done by Hart Research that really theyre telling us that they are permanently changing their spending and savings patterns I think not only is it a transformational recession but its also telling us that women are an economic barometer that cant be overlooked when it comes to how were going to move as a country out of this recessionrdquo
43
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
44
Mortgage Reports Linking Community with Business
ldquoCitigroup released its eighth quarterly mortgage data report today touting the fact that it had helped lsquoapproximately 130000 distressed homeowners with loans it owns or services remain in their homes and avoid foreclosure on mortgages valued at more than $20 billionrsquordquo
ldquoCitigroup Inc (C) helped 108000 mortgage holders avoid foreclosure in the second quarter a nearly 30 increase over the volume of borrowers it helped in the first quarter the company said Tuesday The number of efforts to keep borrowers in their homes was higher than the number of foreclosures completed by Citi borrowers by a ratio of more than 12-to-1 in the second quarter - double the ratio from six months ago the company saidrdquo
ldquolsquoIts going to be a tough slog for the next couple of quarters because unemployment will have its consequencesrsquo Sanjiv Das the chief executive of CitiMortgage said in an interview lsquoBut we have the capacity and infrastructure to deal with that Our ability to slow down the rate of loans going into foreclosure has gone up significantlyrsquordquo
44
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
45
Formula for the future
45
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
46
Look Ahead
Look Back - History
PODs
Priority segments and LOBs
New vision
New mission
New Citi positioning
Strategic analysis
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
47
Anticipate
US from 4th to 1st
largest economy
Japan biggest
gains from 3 to
10 of world lsquos
economy
China India and
EM countries
growth results in
major shift of
power
Poised to enter a new growth super cycle
47
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
48
Move to the money
48
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
49
Four out of
the top five
economies
will be EM by
2030
Largest Economies by Decade2000 US$ Tn 2010 US$ Tn 2030 US$ Tn
1 US US China
2 Japan China US
3 Germany Japan India
4 UK Germany Brazil
5 France France Indonesia
6 China UK Japan
7 Italy Italy Germany
8 Canada Brazil Mexico
9 Brazil Canada France
10 Mexico Russia UK
Contributions to global growth ()
100
47
19
15
13
11
07
06
06
12
146
56
33
26
23
20
16
15
20
59 382
84
82
64
56
66
93
122
303
735
Source ldquoThe World in 2050rdquo HSBC January 2011
Opportunity harness emerging market growth
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
50
Founded in 1812 Citibank has a rich heritage
RANK BRAND YEAR INTRODUCED VALUE ($M)
1 Coca-Cola 1886 70452
2 IBM 1880 64727
3 Microsoft 1984 60895
4 Google 1996 43557
5 GE 1890 42808
6 McDonalds 1937 33578
7 Intel 1968 32015
8 Nokia 1865 29495
9 Disney 1923 28731
10 Hewlett-Packard 1957 26867
25 Nike 1972 13706
62 Adidas 1949 5495
97 Starbucks 1971 3339
SourceInterbrand
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
51
Before a financial practice can become a global industry standard there has to be a pioneering
bank There has to be a bank that envisions something different innovates and works to implement
it worldwide For the past two centuries Citibank has unequivocally been that institution
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
52
Continuous consumer insights
bull Intensive global qualitative and quantitative research
bull Understand the financial landscape and market position
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
53
What else is in your field of vision
See more
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
54
Who is competition for Google
Itrsquos not just Yahoo
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
55
Who is competition for Citi
Others with assets
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
56
Who is competition for Citi
Others with effect
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
57
What else is in your field of vision
57
Black swans Black penguins Other anomalies
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
58
Your brand is way more than a logo
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future
59
A healthy brand can weather the storms
0
5
10
15
20
25
30
35
3Q
07
4Q
07
1Q
08
2Q
08
3Q
08
4Q
08
1Q
09
2Q
09
3Q
09
4Q
09
1Q
10
2Q
10
3Q
10
Represents the crisis period from 3Qrsquo08 till 3Qrsquo09
60
Totally new Citi
bull Heritage of the past
bull Reality of the present
bull Leadership for the future