vishnuvega
04-11-2007, 09:34 AM
Vikram Pandit is tipped to take over as Citigroup CEO after Charles Prince tenders his resignation today. Pandit ran Morgan Stanley’s institutional banking business before joining Citigroup earlier this year.
Charles Prince III, current chairman and CEO, has taken responsibility for the bank’s disappointing results, due to large losses related to subprime mortgages and the credit market turmoil.
His exit will end a tumultuous four-year reign at the bank, where he won over the board with an aggressive growth strategy but failed to convince Wall Street investors and many of his own employees.
Pandit, a former professor at Columbia University, left Morgan Stanley to form a hedge fund, which he sold to Citigroup for $800 million.
Prince would become the second CEO to lose his job in the wake of the subprime mortgage problems, following Stanley O’Neal of Merril Lynch who quit this week.
Charles Prince III, current chairman and CEO, has taken responsibility for the bank’s disappointing results, due to large losses related to subprime mortgages and the credit market turmoil.
His exit will end a tumultuous four-year reign at the bank, where he won over the board with an aggressive growth strategy but failed to convince Wall Street investors and many of his own employees.
Pandit, a former professor at Columbia University, left Morgan Stanley to form a hedge fund, which he sold to Citigroup for $800 million.
Prince would become the second CEO to lose his job in the wake of the subprime mortgage problems, following Stanley O’Neal of Merril Lynch who quit this week.