Citigroup reported fourth quarter results that fell far short of what analysts were forecasting.  Citigroup executives said fears about the European debt crisis made clients increasingly risk-averse during the quarter.  This resulted in a “very, very weak December,” according to John C. Gerspach, Citigroup’s chief financial officer.  He added, “Europe remains the largest overhang on the... 

Plans to eliminate 1% of its workforce, about 3,000 positions, are being contemplated by Citigroup as the company seeks to slash costs and reduce overhead.  Some employees that will be losing their positions with the company have already been notified that they will lose their jobs within the next few months.  It is believed that around 1/3 of the eliminated positions will be in Citigroup’s securities... 

The Federal Housing Finance Agency (FHFA) has filed lawsuits against 17 banks in New York state and federal courts and in federal court in Connecticut.  The lawsuits seek to recoup $196 billion lost on mortgage-backed securities purchased by Freddie Mac and Fannie Mae.  The lawsuits accuse the banks of providing misleading information about the soundness of the mortgages underlying the securities...