Citi today announced that it has reached a definitive agreement to sell
100% of the shares of Citi Cards Japan, Inc. (hereafter Citi Cards
Japan), the exclusive issuer of Diners Club cards in Japan, to Sumitomo
Mitsui Trust Bank, Limited (hereafter Sumitomo Mitsui Trust Bank).
Approximately 743,000 customer accounts of Citi Cards Japan (as of
February 28, 2015) will be included in the sale. The financial terms of
the transaction are not material to Citi. The transaction is expected to
close by the end of 2015, subject to customary closing conditions.
From now until closing, there will be no change in the way Citi serves
its cards customers in Japan. Citi and Sumitomo Mitsui Trust Bank agreed
to cooperate to ensure a smooth transition of the business to Sumitomo
Mitsui Trust Bank, and for the continued offering of products and
services to customers of Citi Cards Japan.
The sale represents another step in Citi’s strategy of further
streamlining its Global Consumer business, which was announced on
October 14, 2014.
Following the sale, Citi will continue to deliver the power of its
unrivalled global network to its Japanese and non-Japanese corporate,
institutional and governmental clients in Japan. Citi will serve these
clients by focusing on its corporate and investment banking, markets and
transaction services businesses.
“This is a positive outcome for Citi, as well as for the employees and
customers of Citi Cards Japan. This decision furthers Citi’s global
strategy of focusing our resources where we feel we have a competitive
advantage. Citi has been in Japan since 1902 and it continues to be an
important market for Citi,” said Citigroup Japan Holdings CEO Peter B.
Eliot.
Citi’s Institutional Clients Group advised Citi on this transaction.
# # #
Citi
Citi, the leading global bank, has approximately 200 million customer
accounts and does business in more than 160 countries and jurisdictions.
Citi provides consumers, corporations, governments and institutions with
a broad range of financial products and services, including consumer
banking and credit, corporate and investment banking, securities
brokerage, transaction services, and wealth management.
Additional information may be found at www.citigroup.com
| Twitter: @Citi | YouTube: www.youtube.com/citi
| Blog: http://blog.citigroup.com
| Facebook: www.facebook.com/citi
| LinkedIn: www.linkedin.com/company/citi
Certain statements in this release are “forward-looking statements”
within the meaning of the U.S. Private Securities Litigation Reform Act
of 1995. These statements are based on management's current expectations
and are subject to uncertainty and changes in circumstances. These
statements are not guarantees of future results or occurrences. Actual
results and capital and other financial condition may differ materially
from those included in these statements due to a variety of factors,
including the precautionary statements included in this release and
those contained in Citigroup’s filings with the U.S. Securities and
Exchange Commission, including without limitation the “Risk Factors”
section of Citigroup’s 2014 Annual Report on Form 10-K. Any
forward-looking statements made by or on behalf of Citigroup speak only
as to the date they are made, and Citigroup does not undertake to update
forward-looking statements to reflect the impact of circumstances or
events that arise after the date the forward-looking statements were
made.
Copyright Business Wire 2015