Citi CEO Michael Corbat Announces Plans to Retire in February 2021; Board of Directors Selects Jane Fraser to Succeed Corbat as CEO
Citi CEO Michael Corbat today announced that, after 37 years at Citi, including the last eight years as CEO, he plans to retire from Citi and step down from its Board of Directors in February of 2021. The Board of Directors selected Jane Fraser, currently Citi’s President and CEO of Global Consumer Banking, to succeed him as CEO in February, and she has been elected to the Board of Directors, with service beginning immediately. Jane Fraser has been at Citi for 16 years and has been in her current roles since 2019.
Michael Corbat said, “I am extremely proud of what we have accomplished in the past eight years. We completed our transformation from the financial crisis and emerged a simpler, safer and stronger institution. Across our businesses, we made investments in products where we saw opportunities for growth and Citi has regained its place as a leader in banking. We doubled down on our global network, making it indispensable for our clients and gained significant share across our markets and banking franchises. In consumer banking, we rationalized our footprint and embraced the push to digital, making it a centerpiece of our branch-lite footprint and we now deliver best-in-class products and experiences to our customers.
“Our financial performance improved steadily and significantly during the eight years before COVID, as we kept our commitment to increase our return on and of capital to our shareholders. From 2012 to 2019, Citi’s net income increased from $7 billion to nearly $20 billion and our Return on Tangible Common Equity increased from 5% to over 12%, closing the gap with our peers. We went from returning hardly any capital to returning nearly $80 billion in capital to our shareholders over the last six years.
“Through it all, we showed the character of our people and our firm as we took leadership roles in the fight against climate change and for gender equity. Citi’s performance through COVID-19 has shown our strength and resilience, and I am confident Citi will continue to be a valuable partner to our clients and customers.
“Of course, there is always more to do and I believe the time is right for my successor to lead Citi through this next stage of progress. We know there are products where we can still gain share; we know that the expectations of our customers and clients keep increasing and we have to work harder to keep up. And as the world’s most global bank, safety and soundness always have to be a foundation of our institution. We have launched significant investments in our infrastructure as part of our push to make strengthening our risk and control environment a strategic priority for the firm.