Global Transaction Services Vision, Mission and Bold Ambition Francesco Vanni d Archirafi Client Advisory Board for Investment Managers March 11, 2010
High expectations are the key to everything. Sam Walton Founder of WalMart 1
Global Transaction Services represents 25% of Citicorp s earnings today Citigroup Citicorp Institutional Clients Group GTS Securities & Banking Regional Consumer Banking North America EMEA Latin America Asia Citi Holdings Brokerage & Asset Management Local Consumer Lending Special Asset Pool FY 09 Reported GTS Citicorp Citi Holdings Revenues $9.8B $60.2B $30.6B Expenses $4.5B $31.7B $14.7B Net Income $3.7B $14.8B ($8.3B) Assets * $61B $1,079B $547B Deposits (EOP) $324B $731B $92B * EOP, 4Q 09: Citicorp, Citi Holdings; Average, 4Q 09: GTS Note: Corporate/Other not shown. Net income $(7,026) million in 4Q 09 and $(7,606) million for 2009. Deposits (EOP) of $13B. 2
with ambitions to become a third of Citicorp s earnings by 2012 Citicorp NI 2009 : $14.8B Citicorp NI 2012 25% GTS 13% RCB 62% S&B 1/3 RCB 1/3 GTS 1/3 S&B 3
We are in the business of intermediating financial flows Capital Markets & Investment Flows Trade Flows Treasury Flows Key GTS Client Value Proposition: Seamless global platform enabled by proprietary network in 90+ countries Enable end-to-end visibility and control Globally connected service model a competitive differentiator Optimize working capital, resulting in enhanced EPS Increase efficiency for processing financial transactions Mitigate operational and execution risk Value-added services for assets that maximize returns GTS Brings Global Local and Takes Local Global Large scale global provider of high value-added transaction and information services Serves approximately 60,000 clients in 140+ countries Provider of multiproduct, multi-region solutions through long-term client relationships 4
We are the arteries of our clients businesses Arteries of the global financial system Move over $3 trillion in financial flows, and facilitate more than 5 million transactions each day, with connections to over 200 global clearing systems Citi Inside for Financial Institutions Clients include: 400+ of top 500 banks 200 of top 300 asset managers 50% of top hedge funds Top 10 insurance companies Embedded banking infrastructure or platform provider Trusted advisor for market access, regulatory knowledge and technical skill Operating System for Corporate clients Service 99% of Fortune 100, 94% of the Fortune Global 500 1,000+ leading local / regional corporate clients based in Emerging Markets Deliver processing and working capital efficiency via automation, centralization Balance sheet solutions leveraging our cash & trade capabilities Public Sector Success Transfer Service the governments of 100+ countries Over 700 public sector clients globally: ~400 Central Government entities ~200 Local and Regional Governments ~100 Central Banks, SWF s Enable operating efficiencies and improved service Provide greater visibility and control over financial flows 5
and are a client-centric provider to the investment industry Investor Services Provides Global Custody, Securities Finance, Fund Administration, Advice and Distribution Support, and Middle Office solutions Caters primarily to mutual funds, pension funds, banks, hedge funds, and insurers Covers 94 markets worldwide Issuer Services Provides Agency & Trust and Depository Receipt services Clients include financial institutions, corporate clients and public entities Covers 70+ countries worldwide Intermediary Services Provides asset servicing and transaction functions through Direct Custody and Clearing Primarily serves broker-dealers, banks and infrastructures, but also increasingly insurers, fund managers and other global investors Covers 57 markets worldwide through industry-leading proprietary network 6
Our business tomorrow the enterprise services partnership Staying close to our clients to ensure we meet their emerging needs with solutions that support their future growth Mobile CitiDirect BE BE Informed: BE in Control: Seeing the big picture Visibility, Control and Efficiency BE Efficient: BE Connected: Simpler, Faster, More Relevant, Timely and Efficient Accessible Information Electronic Bank Account Management (ebam) Sustained investment into technology and embracing disruptive innovation that will drive transformation Partnering with regional and global mobile network operators Research, Development, Innovation, and Learning Next generation, award winning online-banking platform Enterprise Payments Streamline account openings through fully electronic workflow Enterprise Content Management (ECM) B2C C2C Enterprise services engagement, ie. reference data, KYC/AML, content management Launching Citi s first dedicated R&D Center G2C GTS Enterprise C2G Cards Payments B2B C2B Enabling front-to-back payments solutions across the value-chain Increasing workflow efficiency for our clients through automation Extend best execution, improve enterprisewide visibility and transparency Hedge Fund Middle Office Treasury Analytics Advanced Pooling Continue to mitigate risk while driving operating efficiency and productivity Daily operational services for Hedge Funds Transparency and insights into returns, risk and compliance Efficient management of assets across multiple jurisdictions Enhancing access to the knowledge and market connections across our global network OpenWealth SM Fund Governance Portal Performance Measurement All-in-One platform for household investment management Transparency application for Fund Boards Visualization capability for CIO to monitor performance/asset flows 7
Our core values define our identity and purpose The Employer of Choice The Provider of Choice To Our People To Our Clients The Business Partner of Choice The Neighbor of Choice To Our Suppliers To Our Community 8
When our clients win, we win. 9
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