Citibank 2008 Annual Report Download - page 106

See Note 20 to the Consolidated Financial Statements on page 169 for
further detail on long-term debt and commercial paper outstanding.
Credit Ratings
Citigroup’s ability to access the capital markets and other sources of
wholesale funds, as well as the cost of these funds and its ability to maintain
certain deposits, is highly dependent on its credit ratings. The table below
indicates the current ratings for Citigroup.
On November 24, 2008, Fitch Ratings lowered Citigroup Inc.’s and
Citibank, N.A.’s senior debt rating to “A+” from “AA-.” In doing so, Fitch
removed the rating from “Watch Negative” and applied a “Stable Outlook.”
On December 18, 2008, Moody’s Investors Service lowered Citigroup Inc.’s
senior debt rating to “A2” from “Aa3” and Citibank, N.A.’s long-term rating
to “Aa3” from “Aa1.” In doing so, Moody’s removed the rating from “Under
Review for possible downgrade” and applied a “Stable Outlook.” On
January 16, 2009, Moody’s placed the ratings outlook of Citigroup Inc. and
its subsidiaries on “Under Review for possible downgrade” from “Stable
Outlook,” while maintaining the “Stable Outlook” for Citibank N.A.’s short-
term obligations. On February 27, 2009, Moody’s Investors Service lowered
Citigroup Inc.’s senior debt ratings to “A3” from “A2” and Citibank, N.A.’s
long term rating to “A1” from “Aa3.” In doing so, Moody’s removed the
ratings from “Under Review for possible downgrade” and applied a “Stable
Outlook.” On December 19, 2008, Standard & Poor’s lowered Citigroup Inc.’s
senior debt rating to “A” from “AA-” and Citibank, N.A.’s long-term rating to
“A+” from “AA.” In doing so, Standard & Poor’s removed the rating from
“CreditWatch Negative” and applied a “Stable Outlook.” On December 19,
2008, Standard & Poor’s also lowered the short-term and commercial paper
ratings of Citigroup and Citibank, N.A. to “A-1” from “A-1+”. On February
27, 2009, Standard & Poor’s placed the ratings of Citigroup Inc. and its
subsidiaries on “Negative Outlook”.
As a result of the Citigroup guarantee, changes in ratings and ratings
outlooks for Citigroup Funding Inc. are the same as those of Citigroup noted
above.
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