Charlie Peabody of Portales Partners “deconstructed” an internal memo of Vikram Pandit, Citi’s CEO, on the bank’s repayment of the TARP loan:
Citigroup: “Today we announce a series of transactions to repay the $20 billion of TARP outstanding and terminate the asset guarantee we received from the U.S. Government.”
Translation: I am sick of working for $1 per year.
Citigroup: “Today we are strongly capitalized…”
Translation: We have diluted the shareholders by a factor of six.
Citigroup: “… efficient…”
Translation: We have cut the company in half.
Citigroup: “…and created a strong foundation for the future.”
Translation: We are working on a strategy.
Citigroup: “There are still economic challenges ahead…”
Translation: Forget about any kind of bonus.
Citigroup: “Over the past few months, I have visited many of you in the U.S and around the world…”
Translation: I am trying to avoid the home office.
More Than an Uptick?
Barron’s, December 21, 2009