Citibank 2012 Annual Report Download - page 68

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Impact of Changes on Capital Ratios Under Current
Regulatory Guidelines
The following table presents the estimated sensitivity of Citigroup’s and
Citibank, N.A.’s capital ratios to changes of $100 million in Tier 1 Common
Capital, Tier 1 Capital or Total Capital (numerator), or changes of $1 billion
in risk-weighted assets or adjusted average total assets (denominator),
as of December 31, 2012. This information is provided for the purpose
of analyzing the impact that a change in Citigroup’s or Citibank, N.A.’s
financial position or results of operations could have on these ratios. These
sensitivities only consider a single change to either a component of capital,
risk-weighted assets or adjusted average total assets. Accordingly, an event
that affects more than one factor may have a larger basis point impact than
is reflected in this table.
Tier 1 Common ratio Tier 1 Capital ratio Total Capital ratio Leverage ratio
Impact of $100
million change in
Tier 1 Common Capital
Impact of $1
billion change in
risk-weighted
assets
Impact of $100
million change in
Tier 1 Capital
Impact of $1
billion change in
risk-weighted
assets
Impact of $100
million change in
Total Capital
Impact of $1
billion change in
risk-weighted
assets
Impact of $100
million change in
Tier 1 Capital
Impact of $1
billion change
in adjusted
average total
assets
Citigroup 1.0 bps 1.3 bps 1.0 bps 1.4 bps 1.0 bps 1.8 bps 0.5 bps 0.4 bps
Citibank, N.A. 1.2 bps 1.7 bps 1.2 bps 1.7 bps 1.2 bps 2.0 bps 0.8 bps 0.7 bps
Broker-Dealer Subsidiaries
At December 31, 2012, Citigroup Global Markets Inc., a U.S. broker-dealer
registered with the SEC that is an indirect wholly owned subsidiary of Citigroup,
had net capital, computed in accordance with the SEC’s net capital rule,
of $6.2 billion, which exceeded the minimum requirement by $5.7 billion.
In addition, certain of Citi’s other broker-dealer subsidiaries are subject
to regulation in the countries in which they do business, including
requirements to maintain specified levels of net capital or its equivalent.
Citigroup’s other broker-dealer subsidiaries were in compliance with their
capital requirements at December 31, 2012. See Note 20 to the Consolidated
Financial Statements.