Press Release

Citigroup private bank CEO leaves

Citigroup Inc. said Thursday Damian Kozlowski, chief executive of its private banking unit, is leaving the company in the latest management change at the largest U.S. bank. Kozlowski's position is being split in two. John Longley, a divisional director in the international operations of Citigroup's (Charts) Smith Barney brokerage, will become chief executive of the U.S. private bank.

Deepak Sharma, who has led Citigroup's wealth management operations in Asia and the Middle East, will oversee all wealth management operations outside the United States.
The shake-up was announced in a memo to employees from Sallie Krawcheck, who oversees the wealth management unit.

It marks Krawcheck's first attempt to put her imprint on the unit's structure since she took over on March 12. Krawcheck replaced Todd Thomson, who was ousted in January.

Kozlowski had led the private bank, which serves affluent clients, since June 2005 and sat on Citigroup's management committee. He is leaving to pursue opportunities outside the company, according to Krawcheck.

A Citigroup spokeswoman confirmed the memo's contents. None of the executives was immediately available for comment. In her memo, Krawcheck said the new leadership structure "streamlines our organization and brings management closer to our client-facing colleagues."

Sharma already sits on Citigroup's management committee, while Longley will join it. Sharma will remain based in Singapore, and Longley will move to New York from San Francisco. Both will report to Krawcheck.

In 2006, profit at the private bank rose 18 percent to $439 million, as revenue increased 8 percent to $2.02 billion. In all of wealth management, including Smith Barney, profit rose 16 percent to $1.44 billion, while revenue rose 17 percent to $10.18 billion.

Source: CNNMoney.com
Date: 06.04.2007 [ID: 4]

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