LBO exposure may hit Bear Stearns, Lehman

(Reuters) - Large commercial banks such as Citigroup Inc. are on the hook for loads of leveraged buyout debt they hoped to sell to investors, but with a $230 billion market capitalization, Citi is seen as having the balance sheet to absorb any losses without much of a headache.




Large commercial banks like Citi and JPMorgan Chase & Co. also benefit from more diversified businesses including revenue from consumer banking and broad international operations.


Read more at Reuters.com Business News

CORRECTED - RLPC-Continental funds VDO buy with 13.5 bln euro loan

(Reuters) - The financing package, which funds the acquisition and
refinances existing debt, is being arranged by Citigroup and
Goldman Sachs, the source told Reuters Loan Pricing Corp.




Continental is acquiring Siemens VDO for 11.4 billion euros,
in a deal that will create one of the leading automotive
electronics suppliers.


Read more at Reuters.com Bonds News

US STOCKS-Indexes up on Boeing, Amazon.com; housing eyed

(Reuters) - NEW YORK, July 25 - U.S. stocks rose on
Wednesday, bouncing back from the prior session's tumble, as
solid profits and outlooks from Boeing Co and Amazon.com
Inc. quashed concerns about the housing slump.




Financial company shares, which declined sharply on
Tuesday, also underpinned the market's rebound, with Citigroup
rising 1.1 percent to $49.87.


Read more at Reuters.com Bonds News

UPDATE1-Genpact sees $16-$18/share price band for 35.3 mln IPO

(Reuters) - Genpact is offering about 17.6 million shares in the IPO,
while some stockholders are offering the remaining shares, the
company said in an amended filing with the U.S Securities and
Exchange Commission.




Morgan Stanley, Citigroup, JP Morgan, Wachovia Securities,
Merrill Lynch & Co., Banc of America Securities, Credit Suisse,
Deutsche Bank Securities and UBS Investment Bank were
underwriting the IPO, Bermuda based Genpact said.


Read more at Reuters.com Government Filings News

Bank of America Earnings Trail as Citigroup, JPMorgan, Merrill Go Abroad

(Bloomberg) -- Bank of America Corp. does more
business in the U.S. than any of its competitors, and that's
eroding returns for shareholders of the Charlotte, North
Carolina-based company.

Demand for financial services is increasing three times as
fast outside the U.S., fueled by companies and investors in
Brazil, China, India and Russia. While Bank of America operates
in 45 countries, they produce only 13 percent of its revenue.
That's puny compared with Citigroup Inc., which derives almost
half its sales from abroad and ranks among the biggest banks in
Mexico, Poland and South Korea.


Read more at Bloomberg Currencies News

Abu Dhabi Hires Citigroup, Deutsche Bank for First International Bond Sale

(Bloomberg) -- Abu Dhabi, the largest sheikhdom in
the United Arab Emirates and owner of the world's fifth-biggest
oil reserves, hired Citigroup Inc. and Deutsche Bank AG to help
it sell its first international bonds.

The emirate's government plans to issue bonds in dollars and
will start meetings with potential investors in the week
beginning July 15, Citigroup said in an e-mailed statement today.


Read more at Bloomberg Bonds News

Liberty likely to seek rest of DirecTV shrs: analyst

(Reuters) - Citigroup raised its price target for DirecTV to $30 from
$24. The share closed at $24.39 on Monday on the New York Stock
Exchange.




Liberty agreed to exchange a stake in Rupert Murdoch's News
Corp. for a 38 percent controlling stake in DirecTV in a deal
that is expected to close by the end of the year.


Read more at Reuters.com Mergers News

Tyco Shares Decline After Citigroup Says Company is Unlikely LBO Candidate

(Bloomberg) -- Tyco International Ltd. shares had
their biggest decline in four months after Citigroup Investment
Research downgraded the stock to ``sell'' and said the company
was unlikely to be a leveraged buyout candidate.

A ``solid'' balance sheet and recurring free cash flow make
Tyco a ``logical'' candidate, Citigroup analyst Jeffrey Sprague
wrote in a note to clients. ``However, this scenario looks less
likely at current valuations.''


Read more at Bloomberg Stocks News

U.K. Stocks Including Vodafone Decline; Shares of Lloyds TSB Group Gain

(Bloomberg) -- U.K. stocks including Vodafone Group
Plc fell after a survey of economists indicated the Bank of
England may today raise its benchmark interest rate for the fifth
time in a year.

Lloyds TSB Group Plc advanced after Citigroup Inc. suggested
investors increase their holdings in the U.K.'s largest provider
of personal loans.


Read more at Bloomberg Stocks News

South Korean Stocks Gain More Than 1 Percent for Fourth Day; Samsung Gains

(Bloomberg) -- South Korean stocks advanced more than
1 percent for a fourth day. Samsung Electronics Co. gained on
speculation prices for dynamic random access memory, or DRAM,
will rise, helping improve earnings.

LG.Philips LCD Co. advanced after brokerages including
Citigroup Inc. said the company will turn to profit in the second
quarter.


Read more at Bloomberg Stocks News

U.S. Stock-Index Futures Advance; Citigroup, Lexicon Advance in Europe

(Bloomberg) -- U.S. stock-index futures gained on
speculation that a home-sales report today will show signs the
housing market may be improving.

Citigroup Inc. advanced in Europe after the South China
Morning Post said the biggest U.S. bank is targeting 13 percent
growth in revenue from its Hong Kong operations. Lexicon
Pharmaceuticals Inc. climbed after saying preclinical research
showed its experimental antibodies may treat heart disease.


Read more at Bloomberg Stocks News

Citigroup buys Automated Trading Desk for $680 mln

(Reuters) - The transaction is the latest in a series of smaller deals
for Citigroup since it was freed 15 months ago from a Federal
Reserve order that kept it from making acquisitions.




Citigroup said Automated Trading Desk will keep its Mount
Pleasant, South Carolina, headquarters and operate as a unit of
its global equities business. The transaction is expected to
close in the third quarter, pending regulatory approval.


Read more at Reuters.com Bonds News

European Stocks Gain, Led by Energy, Mining Shares; BP, BHP, Nestle Climb

(Bloomberg) -- European stocks rose for the first time
in six days as higher commodity prices lifted energy and mining
companies and Citigroup Inc. said shares in the region are cheap.

BP Plc, Europe's second-biggest oil producer, and BHP
Billiton Ltd., the world's largest mining company, advanced.
Nestle SA increased after Deutsche Bank AG recommended buying
stock in the food company. Groupe Danone rose on a report the
yogurt maker will likely sell its LU cookies division.


Read more at Bloomberg Stocks News

Turkish Interest Rates Will Fall After Election Vote, Akbank's Dincer Says

(Bloomberg) -- Turkish interest rates may fall as
next month's general election restores political stability to an
economy bigger than two-thirds of European Union members, Akbank
TAS's managing director said.

The July 22 vote should bring down borrowing costs provided
the new government can end a dispute over the presidency that's
kept rates high, Suzan Sabanci Dincer said in an interview at
Akbank's Istanbul headquarters. That could revive a credit boom
that's attracted Citigroup Inc. and ING Groep NV to the nation of
72 million.


Read more at Bloomberg Bonds News

BAE Systems, CHC, ConocoPhillips, Mosaic, Playboy: U.S. Equity Preview

(Bloomberg) -- The following is a list of companies
whose shares may have unusual price changes in U.S. exchanges
today. This preview includes news that broke after exchanges
closed yesterday. Stock symbols are in parentheses after company
names. Share prices are as of 7:30 a.m. New York time.

BAE Systems Plc (BAESY US): Analysts at Citigroup Inc.,
Morgan Stanley and Deutsche Bank AG said yesterday's 7.8 percent
drop in UK-traded shares of Europe's largest defense contractor
was excessive. The shares fell yesterday after the company said
the U.S. Department of Justice is investigating whether the
company violated corruption laws in arms sales to Saudi Arabia.
BAE's ADRS, each worth four shares, fell $2 to $32.70 in regular
trading yesterday.


Read more at Bloomberg Stocks News

Venezuela Bolivar Rises After Government Foreign Bond Sale Brings Dollars

(Bloomberg) -- Venezuela's bolivar rose to a two-
week high in unregulated trading after the government sold bonds
denominated in foreign currencies to commercial banks.

The government sold an undetermined amount of the bonds to
banks including Citigroup Inc.'s local unit in an effort to
contain the bolivar's decline in the unofficial dollar market,
the weekly newspaper Descifrado.com said, citing people familiar
with the transaction. The bonds were sold at the official
exchange rate of 2,150 bolivars to the dollar, Descifrado.com
said.


Read more at Bloomberg Currencies News

Most U.S. Stocks Fall on Concern About Losses in Mortgage Securities

(Bloomberg) -- Most U.S. stocks fell for a second
day on concern the paralysis of two Bear Stearns Cos. hedge
funds may spark losses in mortgage securities.

Citigroup Inc., American International Group Inc. and
Merrill Lynch & Co. led declines. Nokia Oyj, the biggest mobile-
phone maker, slipped after an analyst cut his recommendation on
the shares.


Read more at Bloomberg Stocks News

UPDATE 1-Freddie Mac sells $1.265 bln reference REMICs

(Reuters) - The guaranteed maturity class has a 6.00 percent coupon and
was priced at 99.8789 to yield 6.045 percent, or 102 basis
points over the interpolated Treasury curve. Settlement is June
26.




The joint lead managers on the sale were Citigroup Global
Markets, Credit Suisse and JP Morgan.


Read more at Reuters.com Bonds News

U.S. Stock Futures Fall on Rising Oil, Mortgage Concern; Citigroup Slips

(Bloomberg) -- U.S. stock-index futures fell after
oil approached $70 a barrel and concern spread that losses in
mortgage securities will reduce profits at financial firms.

Citigroup Inc., American International Group Inc. and
JPMorgan Chase & Co. declined in Europe. Home Depot Inc., the
largest home-improvement chain, and Nokia Oyj, the biggest
mobile-phone maker, slipped after analysts cut their
recommendations on the shares.


Read more at Bloomberg Stocks News

U.S. Stocks Plunge on Higher Yields, Mortgage Bond Concern; JPMorgan Falls

(Bloomberg) -- Financial shares tripped over higher
bond yields, sending the Standard & Poor's 500 Index to its
steepest drop in two weeks.

Growing concern losses in mortgage securities will spread
helped drive down shares of JPMorgan Chase & Co., Citigroup Inc.
and Bank of America Corp. Moody's Corp., the inventor of credit
ratings, fell to its lowest in two months on speculation bond
issuance will slow.


Read more at Bloomberg Stocks News