Citi (C) Cutting More Positions 'Souldn't Be a Surprise'
Earlier in the session, Citigroup (NYSE: C) announced plans to cut its workforce by 11,000 jobs, or roughly 4 percent of the total. But, the bank might not be done yet.
Fox Business says an executive told them the bank is still looking for ways to "optimize," and that it isn't done yet. Incoming CEO Michael Corbat will be more focused on cutting the fat, so more layoffs shouldn't come as a surprise, the executive noted.
Another stated that Citi has gotten too robust at the top with "[t]oo many middle managers, too many layers."
Earlier, FBN's Charles Gasparino hinted that peers Goldman Sachs (NYSE: GS) and Morgan Stanley (NYSE: MS) wouldn't be cutting out more jobs as well. No word from either firm has been released over plans. One might also imagine that Bank of America (NYSE: BAC) might move to reduce overhead, though it's stock back above $10 for the first time since July 2011 bodes well for CEO Brian Moynihan.
Citi is up 6.7 percent to inraday highs Wednesday.
Fox Business says an executive told them the bank is still looking for ways to "optimize," and that it isn't done yet. Incoming CEO Michael Corbat will be more focused on cutting the fat, so more layoffs shouldn't come as a surprise, the executive noted.
Another stated that Citi has gotten too robust at the top with "[t]oo many middle managers, too many layers."
Earlier, FBN's Charles Gasparino hinted that peers Goldman Sachs (NYSE: GS) and Morgan Stanley (NYSE: MS) wouldn't be cutting out more jobs as well. No word from either firm has been released over plans. One might also imagine that Bank of America (NYSE: BAC) might move to reduce overhead, though it's stock back above $10 for the first time since July 2011 bodes well for CEO Brian Moynihan.
Citi is up 6.7 percent to inraday highs Wednesday.