Fixed Income Investor Review July 23, 2008 Gary Crittenden, CFO Zion Shohet, Treasurer
Agenda Citi Overview Balance Sheet Management Capital Markets & Funding Q & A 1
Citi Overview Gary Crittenden, CFO
Balance Sheet Management and Capital Markets & Funding Zion Shohet, Treasurer
Proactive Capital Issuances ($bn) $49.7 Capital Issuance since 3Q 07 5.5 ETruPS 11.7 Preferred -15.2 Net Loss 7.5 Equity Units 15.7 Convertible Preferred 3Q 07-2Q 08 Net Losses 9.3 Common* * Includes $4.4bn issued related to Nikko transaction 4
Stable Equity Metrics $bn 160 140 Shareholders Equity 120 100 80 Tier 1 60 40 20 0 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 Note: Total Equity includes Common Equity and preferred stock, but excludes the impact of $7.5 billion of convertible equity units which begin mandatory conversion into common shares on March 15th, 2010. 5
Active Asset Program Core Assets Disciplined asset budgeting and allocation Focus on returns Dynamic transfer pricing Legacy Assets Active reduction through Divestitures Asset sales Run-off 6
Asset Trends ($Tr) 25% $474B 2.36 (11)% $(257)B 2.02 2.22 2.19 2.20 2.10 1.88 4Q'06 1Q'07 2Q'07 3Q'07 4Q'07 1Q'08 2Q'08 (1) (1) Preliminary. 7
Citi Capital Ratios 14% 13% 12% 11% 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% 12.2% 11.6% 11.7% 11.9% 11.7% 11.5% 11.2% 11.2% 10.6% 10.7% 8.3% 8.7% 8.6% 8.5% 8.6% 8.6% 7.9% 7.7% 7.3% 7.1% 5.2% 5.2% 5.2% 5.2% 4.8% 5.0% 4.4% 4.4% 4.1% 4.0% 1Q'06 2Q'06 3Q'06 4Q'06 1Q'07 2Q'07 3Q'07 4Q'07 1Q'08 2Q'08 Total Capital Ratio Tier 1 Capital Ratio Leverage Ratio --- Represents minimum for well capitalized bank holding company 8
Liquidity Risk Management Tools Liquidity Ratios Internal and External Triggers INTEGRATED INTEGRATED FUNDING FUNDING AND AND LIQUIDITY LIQUIDITY MANAGEMENT MANAGEMENT Market Access Limits Contingency Funding Plan 9
Liquidity Highlights Diversified and stable deposit base $804bn sourced globally as of 6/30/08; up $32bn YoY Structural liquidity enhanced by recent deleveraging Assets down $120bn YoY; structural liquidity of equity, long-term debt, and deposits up $119bn YoY Reduced bank unsecured wholesale borrowings As of recently, net placer of interbank funds Extended maturity profile of liabilities Average maturity of long-term debt extended to 7.3 years Smaller and extended CP program Commercial paper outstanding has been reduced to $32bn, and weighted average maturity extended to 50 days Expanded cash and highly liquid securities $65bn of cash and highly liquid securities (excluding unencumbered box) at the holding company and broker dealer as of 6/30/08; up from $24bn at 12/31/07 10
Citigroup Ratings Citigroup Inc. Summary of Credit Ratings and Outlooks Moody's S&P Fitch Rating Outlook Rating Outlook Rating Outlook Citigroup Inc. Senior Debt Aa3 Negative AA- Negative AA- Negative Commercial Paper P-1 A-1+ F1+ Citigroup Funding Inc. Senior Debt Aa3 Negative AA- Negative AA- Negative Commercial Paper P-1 A-1+ F1+ Citibank, N.A. Senior Debt Aa1 Negative AA Negative AA- Negative Short-Term Obligations P-1 A-1+ F1+ Citibank International plc Senior Debt Aa3 Negative AA Negative AA- Negative Short-Term Obligations P-1 A-1+ F1+ Citigroup Global Markets Holdings Inc. Senior Debt Aa3 Negative AA- Negative AA- Negative Commercial Paper P-1 A-1+ F1+ Note: Citigroup Funding Inc. and Citigroup Global Markets Holdings Inc. have implicit ratings based upon the guarantee provided by Citigroup Inc. 11
Programmatic Approach to Funding Diversified Funding Robust Liquidity Management Commitment to Franchises Develop and Maintain Dialogue with Investors 12
Global Franchises Citigroup Inc. $40 (Billions) Historical Issuance $37.4 $35 USD Non-USD $30 $25 $20 $15 $10 $13.7 CHF EUR JPY $22.8 CHF EUR GBP JPY $23.9 $23.9 AUD CHF EUR GBP SGD AUD CAD CHF EUR GBP JPY SGD $29.6 AUD CAD CHF EUR GBP HKD JPY SEK SGD THB AUD CAD CHF DKK EUR GBP HKD JPY NZD SEK SGD THB $20.6 EUR GBP JPY SGD THB $5 $0 2002 2003 2004 2005 2006 2007 2008 YTD Non-USD % of Total Outstandings $70B $82B $97B $101B $122B $155B $171B 13% 22% 31% 35% 44% 48% 50% 13
Maturity Profile Citigroup Inc. Total Outstandings ($B) and Remaining Life (yrs) Distribution of Maturities 180 160 140 4.9 5.7 6.5 6.7 7.0 7.0 7.3 8 7 6 5 16% 14% 12% 10% 9% 10% 9% 14% 9% 8% 9% 120 4 8% 7% 8% 100 80 60 70 82 97 101 122 155 171 2002 2003 2004 2005 2006 2007 Current 3 2 1 0 6% 4% 2% 0% 4% 2H'08 2009 2010 2011 2012 2013 2014 3% 2015 4% 2016 2017 5% 2018 2019-2028 2029+ Issuance Weighted Average Maturity 2007: 8.6-years YTD 2008: 10.9-years 14
2008 YTD Issuance Summary: Citigroup Inc. ($B) By Tenor By Currency $10.0 $8.0 $6.0 3.5 non-usd USD USD 52.4% EUR 15.9% $4.0 $2.0 $0.0 1.5 1.6 4.8 3.6 2.5 1.8 1.2 0.2 1.5 Yr 3 Yr 5 Yr 10 Yr 15 Yr 20 Yr 30 Yr THB 0.4% SGD 2.1% JPY 14.3% GBP 14.9% Larger transaction sizes Feb: $2.5B 30-yr Mar: EUR 2B 5-yr Apr: $4.75B 5-yr May: $3.0B 10-yr 15
2008 YTD Issuance Summary: Citigroup Funding Inc. ($B) By Tenor By Currency $5 0.01 non-usd USD USD 76.8% $4 0.1 $3 $2 4.4 3.6 1.7 $1 $0 1.6 0.8 0.4 0.4 0.3 0.1 0.0 1 yr 2 yr 3-5 yr 6-10 yr 12-15 yr 18+ yr SEK 0.1% GBP 0.2% JPY 0.5% Other 2.8% EUR 19.7% Raised $13.5B in 11 currencies: WAM: 3.3yrs, non-usd: 23.2%, structured: 46% Diversification across products and markets Distribution in 19 European countries Product Innovation: Rate Structured, Inflation Linked, Equity Linked Expansion of currencies (Scandinavia, Eastern Europe) 16
$60 $40 $20 $0 $53 $46 $35 $37 $32 60 17 Outstanding CP (billions) WAM (days) Commercial Paper Program: Citigroup Funding Inc. 40 20 0 Jun '07 Sep '07 Dec '07 Mar '08 June '08 Commercial Paper O/S Weighted Average Maturity
2008 Borrowings Targets Citigroup Inc. Senior/Subordinated Issuance Non-USD % Target Weighted Average Maturity Full Year Targets $38 46B 50% 8.0 years Expected Funding Requirements $18 26B CFI Senior/Subordinated Issuance Non-USD % Target Weighted Average Maturity $16 22B 30% 3.5 4.0 years $3 9B Commercial Paper Outstanding $30 35B 18
Investor Connections Fixed Income Investor Website www.citigroup.com/citigroup/fixedincome Information and Communications Resource for Fixed Income Investors Contact us FixedIncomeIR@Citi.com 19
Certain statements in in this this document are are forward-looking statements within the the meaning of of the the Private Securities Litigation Reform Act. Act. These statements are are based on on management s current expectations and and are are subject to to uncertainty and and changes in in circumstances. Actual results may may differ materially from from those included in in these statements due due to to a variety of of factors. More information about these factors is is contained in in Citigroup s filings with with the the Securities and and Exchange Commission. 20
Question and Answer Session Gary Crittenden, CFO Zion Shohet, Treasurer