|
Citigroup Inc.'s president and chief operating officer, Robert B.
Willumstad, has decided to step down from those positions to seek the top
job at a public company, the financial services giant announced
Thursday.
Citigroup said Willumstad, 59, intends to work with management to
assure an orderly transition of his responsibilities between now and
September.
Willumstad has been president since 2002. He was
given the COO title as well in 2003 as a consolation prize
when he was passed over for the chief
executive position, which went to Charles Prince.
Prince, 55, took over from Sanford "Sandy" Weill, who gave up the CEO
title but remained chairman of the New York-based bank.
Willumstad also will leave Citigroup's board of directors, the
statement said.
Citigroup said it would not fill the positions
Willumstad was vacating .
As part of his separation agreement, Willumstad will receive incentive
compensation for the first months of 2005, based on the company's
full-year performance.
Citigroup also will accelerate the vesting of shares worth about $6
million - 40 percent of a $15 million restricted stock retention award the
company gave him in July 2003. He also will receive a car, driver and
secretarial services through August 2006, unless he takes a new job before
then, according to a filing with the Securities and Exchange Commission.
Last year, Citigroup paid Willumstad a $9.69 million bonus atop a
$983,000 salary, along with restricted options on 329,000 company shares.
The announcement was made after the closing of regular trading. On
Thursday, Citigroup shares rose 76 cents, or more than 1.6 percent, to
$46.50 on the New York Stock Exchange.
Willumstad, in the statement, said he was seeking a position as CEO of
a public company.
"While I will miss my close collaboration with the senior management at
Citigroup, I am looking forward, at this point in my career, to having an
opportunity to realize this longtime, personal goal," he said.
From 2000 to 2003, Willumstad headed Citigroup's global consumer
businesses, which includes the credit card, consumer finance and retail
banking operations. Under his direction, revenue at the group grew from
$28 billion to $41 billion while net income rose 23 percent per year,
Citigroup said.
"During this time, the consumer business acquired, and successfully
integrated, a number of businesses in the United States and across the
world, including Banamex in Mexico and Koram in South Korea," the
Citigroup statement said.
(Agencies) | 
Updated: 2005-07-15 11:10
