How Would You Fix Citigroup?

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Ask most people in finance and they’ll tell you that Citigroup has been one of the worst managed firms on Wall Street for at least a decade. (Maybe even longer but nobody who speaks to DealBreaker can remember back any further than that.) Chuck Prince is said to be under heavy pressure from his investors—especially another guy named Prince—to cut costs and get the stock price up.
Standing in the way of the plan to fix Citi, however, has been the inability of the bank to assemble a credible senior management team. Most of Sandy Weil’s “cronies”—we’re not sure why, but Sandy is the only Wall Steeter we know whose staffers are consistently referred to as “cronies”—have left or been let go. Many executive positions remain vacant, there are consistent rumors that top people are leaving and many of the top spots have been filled by outsiders. The move to hire a former Morgan Stanley bigshot by buying his hedgefund for $600 million looks like a sign of desperation to fill out the top ranks of the firm.
Can Citigroup be saved? Or do we need to destroy this Citi in order to save it? We’re inviting you to share your ideas on how to fix the bank that Sandy built.

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