U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) June 26, 2002
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Citigroup Inc.
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(Exact name of registrant as specified in its charter)
Delaware 1-9924 52-1568099
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(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
399 Park Avenue, New York, New York 10043
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(Address of principal executive offices) (Zip Code)
(212) 559-1000
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(Registrant's telephone number, including area code)
Citigroup Inc.
Current Report on Form 8-K
Item 5. Other Events.
On June 26, 2002, in light of WorldCom's announcement concerning the restatement
of its earnings, Citigroup's Chief Financial Officer Todd Thomson outlined
Citigroup's exposure to WorldCom as follows:
* In the Corporate & Investment Bank, we expect our net credit losses to be
negligible. We expect modest losses arising out of our role as market maker
and other positions in WorldCom publicly-traded securities.
* Through our insurance companies' $70 billion fixed income portfolio, we
estimate the face value exposure to various WorldCom bonds to be
approximately $85 million at Travelers Property Casualty and about $250
million at our life and annuity companies.
* In addition, we estimate $40 million in possible exposure in other areas
throughout Citigroup.
"While we are currently assessing the level of impairment on these securities,
we expect that the financial impact to Citigroup should be relatively modest,"
said Thomson.
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Forward-Looking Statements
Certain of the statements contained herein that are not historical facts are
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act. Citigroup's actual results may differ materially from
those included in the forward-looking statements. Forward-looking statements are
typically identified by words or phrases such as "believe," "expect,"
"anticipate," "intend," "estimate," "target," "may increase," "may fluctuate,"
"may result in," "are projected," and similar expressions. These forward-looking
statements involve risks and uncertainties including, but not limited to, the
following: general economic conditions, including the performance of financial
markets and interest rates; the ability of WorldCom to meet its future
obligations; and the future value of WorldCom securities.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Dated: June 27, 2002 CITIGROUP INC.
By: /s/ William P. Hannon
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Name: William P. Hannon
Title: Controller