Unlimited FDIC Insurance Coverage on your Citibank Checking Account

I have receive this email from Citibank regarding FDIC Insurance Coverage.

Good news! Citibank is participating in the FDIC's Temporary Liquidity Guarantee Program. Through December 31, 2009, all of your non-interest and interest bearing checking deposit account balances are fully guaranteed by the FDIC for the entire amount in your account. *

And as a reminder, in October the FDIC increased the amount of insurance on eligible savings accounts -- such as savings, market rate, money market accounts, club and holiday accounts, and certificates of deposits -- from $100,000 to $250,000 through December 31, 2009.**

To learn more about FDIC insurance, visit the agency's web site at www.fdic.gov or call a Citibank representative at 1-800-374-9700. You may also call the FDIC at 877-ASKFDIC (877-275-3342) or TDD 800-925-4618.

Citigroup gets massive government bailout

Joint Statement by Treasury, Federal Reserve and the FDIC on Citigroup

The government rescued Citigroup Inc, agreeing to shoulder most of the potential losses from $306 billion in its risky assets and inject $20 billion in new capital, its biggest effort yet to prevent a big bank from failing.

The U.S. government is committed to supporting financial market stability, which is a prerequisite to restoring vigorous economic growth. In support of this commitment, the U.S. government on Sunday entered into an agreement with Citigroup to provide a package of guarantees, liquidity access and capital.

As part of the agreement, Treasury and the Federal Deposit Insurance Corporation will provide protection against the possibility of unusually large losses on an asset pool of approximately $306 billion of loans and securities backed by residential and commercial real estate and other such assets, which will remain on Citigroup's balance sheet. As a fee for this arrangement, Citigroup will issue preferred shares to the Treasury and FDIC. In addition and if necessary, the Federal Reserve stands ready to backstop residual risk in the asset pool through a non-recourse loan.

In addition, Treasury will invest $20 billion in Citigroup from the Troubled Asset Relief Program in exchange for preferred stock with an 8% dividend to the Treasury. Citigroup will comply with enhanced executive compensation restrictions and implement the FDIC's mortgage modification program.

With these transactions, the U.S. government is taking the actions necessary to strengthen the financial system and protect U.S. taxpayers and the U.S. economy.

We will continue to use all of our resources to preserve the strength of our banking institutions and promote the process of repair and recovery and to manage risks. The following principles guide our efforts:

* We will work to support a healthy resumption of credit flows to households and businesses.
* We will exercise prudent stewardship of taxpayer resources.
* We will carefully circumscribe the involvement of government in the financial sector.
* We will bolster the efforts of financial institutions to attract private capital.

Citi Group To Cuts 50000 Jobs

Citigroup said today it plans to cut more than 50,000 jobs worldwide as part of a larger effort to slash expenses and regain profitability.



Reuters reports that bank sources have said the cuts will be completed within the first couple of months of 2009. Citigroup had about 375,000 employees at its 2007 peak. It now aims to bring payrolls down to 300,000.

You can see Citigroup's "town hall" presentation for employees here.

Citigroup to lay off another 10,000

Citigroup will reportedly undertake another round of massive layoffs and is poised to start raising credit card rates for a number of its customers.


The battered financial services giant will let go some 10,000 workers, with the cuts starting as early as this week, in such areas as the company's investment banking and wealth management divisions, The Wall Street Journal reported Friday.

Citigroup's board sent a memo to all employees Thursday calling the report "irresponsible and completely inaccurate

Citigroup sources said that CEO Vikram Pandit will provide an update on the state of the company to employees at a town hall meeting Monday morning. It remains unclear, however, whether those talks will touch on payroll cuts.