Citibank 2009 Annual Report Download - page 175

165
2007 Structural Expense Review Restructuring Charges
Severance
In millions of dollars
Contract
termination
costs
Asset
write-
downs (3)
Employee
termination
cost
Total
CitigroupASC 712 (1) ASC 420 (2)
Total Citigroup (pretax)
Original restructuring charge $ 950 $ 11 $ 25 $ 352 $ 39 $ 1,377
Additional charge $ 42 $ 96 $ 29 $ 27 $ 11 $ 205
Foreign exchange 19 — 2 — — 21
Utilization (547) (75) (28) (363) (33) (1,046)
Changes in estimates (39) — (6) (1) (8) (54)
Balance at December 31, 2007 $ 425 $ 32 $ 22 $ 15 $ 9 $ 503
Additional charge $ 10 $ 14 $ 43 $ 6 $ — $ 73
Foreign exchange (11) — (4) — — (15)
Utilization (288) (34) (22) (7) (6) (357)
Changes in estimates (93) (2) (2) (4) (3) (104)
Balance at December 31, 2008 $ 43 $ 10 $ 37 $ 10 $ — $ 100
Foreign exchange (1) — (1) — — (2)
Utilization (41) (10) (35) (9) — (95)
Changes in estimates (1) — (1) (1) — (3)
Balance at December 31, 2009 $ — $ — $ — $ — $ — $ —
(1) Accounted for in accordance with ASC 712, Compensation – Nonretirement Postemployment Benefits (formerly SFAS No. 112, Employer’s Accounting for Post Employment Benefits (SFAS 112)).
(2) Accounted for in accordance with ASC 420, Exit or Disposal Cost Obligations (formerly SFAS No. 146, Accounting for Costs Associated with Exit or Disposal Activities (SFAS 146)).
(3) Accounted for in accordance with ASC 360, Property, Plant and Equipment (formerly SFAS No. 144, Accounting for the Impairment or Disposal of Long-Lived Assets (SFAS 144)).
The total restructuring reserve balance and total charges as of
December 31, 2009 and 2008 related to the 2008 Re-engineering Projects
Restructuring Initiatives are presented below by business in the following
tables. These charges are reported in Restructuring on the Company’s
Consolidated Statement of Income and are recorded in each business.
2008 Re-engineering Projects
For the year ended December 31, 2009
In millions of dollars
Total
restructuring
reserve
balance as of
December 31,
2009
Total
restructuring
charges for
the year
ended
December 31,
2009
Total
restructuring
charges
since
inception (1)(2)
Citicorp $ 75 $31 $ 832
Citi Holdings 1 27 252
Corporate/Other 93 28 336
Total Citigroup (pretax) $169 $86 $1,420
(1) Amounts shown net of $196 million related to changes in estimates recorded during 2009.
(2) Excludes pension curtailment charges of $51 million recorded during the fourth quarter of 2008.
For the year ended December 31, 2008
In millions of dollars
Total restructuring reserve
balance as of
December 31, 2008
Total
restructuring
charges (1)
Citicorp $ 789 $ 890
Citi Holdings 184 267
Corporate/Other 338 373
Total Citigroup (pretax) $1,311 $1,530
(1) Represents the total charges incurred since inception and excludes pension curtailment charges of $51 million recorded during 2008.