Exhibit 99.1
Perpetual Preferred Placement Terms | ||||
Offering | • | $25 billion liquidation preference perpetual preferred stock | ||
Investor | • | United States Department of the Treasury | ||
Regulatory Treatment | • | Tier 1 capital | ||
Accounting Treatment | • | Recorded in stockholders’ equity | ||
Ranking | • | Pari passu with all other series of outstanding preferred stock | ||
Dividends | • | 5.00% per annum for first five years, 9.00% per annum thereafter | ||
• | Cumulative, payable quarterly | |||
• | Dividends are not tax-deductible | |||
Maturity | • | Perpetual | ||
Call Protection | • | Non-callable prior to 3rd anniversary other than with proceeds from issuance of Tier 1-qualifying perpetual preferred or common stock of at least $6.25 billion | ||
Impact on Previously Issued | • | None | ||
Convertible Securities |
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Warrant Placement Terms | ||||
Offering | • | Warrant to purchase Citi common stock | ||
Investor | • | United States Department of the Treasury | ||
Regulatory Treatment | • | Tier 1 capital | ||
Accounting Treatment | • | Recorded in stockholders’ equity | ||
• | Impact to EPS calculated under the Treasury Stock Method | |||
Number of Underlying Shares | • | Initially 210,084,034 | ||
• | Would be reduced by half if Citi raises an additional $25 billion through the issuance of Tier 1-qualifying perpetual preferred or common stock securities by December 31, 2009 | |||
Strike Price | • | $17.85 (average of the closing prices of Citi common stock for the 20 trading days ending on October 10th) | ||
Exercise Type and Expiration | • | American exercise (anytime during the life of the warrant) | ||
• | Physical or net share settlement at Investor’s option | |||
• | Expiration date is October 28, 2018 | |||
Impact on Previously Issued Convertible Securities | • | Issuance of the warrant, together with the issuance of common stock in April 2008, will result in a reduction of the conversion price of the privately placed convertible securities | ||
• | Further details will be set forth in our Form 10-Q for the third quarter |
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