Citigroup Will Meet With Mayo After Analyst Complains
August 30, 2010, 5:33 PM EDTBy Joanna Ossinger
(Updates trading in fifth paragraph.)
Aug. 30 (Bloomberg) -- Citigroup Inc. said its senior management will meet with Mike Mayo after the analyst complained that their failure to do so for almost two years caused him to doubt the bank’s trustworthiness.
The company will “meet with Mr. Mayo in due course,” Jon Diat, a spokesman for Citigroup, said in an e-mail today following Mayo’s report.
“It is not clear to us that the internal and risk management culture has changed sufficiently to earn our trust,” Mayo of Credit Agricole Securities said in a note to clients today. “We have not had a private meeting with senior management, the type typically available to analysts, in about 21 months even while most if not almost all other analysts have done so despite our repeated requests.”
Mayo is tied for the top rating among analysts covering New York-based Citigroup, based on Bloomberg data tracking returns from the past year. Among 25 analysts followed by Bloomberg, 13 say “buy” and 9 say “hold.” Mayo and two others have “sell” ratings.
Citigroup shares fell 2.4 percent to $3.67 at 4 p.m. New York time. They have plunged 93 percent since December 2006.
--Editors: Nick Baker, Stephanie Borise
To contact the reporter on this story: Joanna Ossinger in New York at jossinger@bloomberg.net
To contact the editor responsible for this story: Nick Baker at nbaker7@bloomberg.net
