US EditionCitigroup Board Approves Sale of Russia Unit, Flags $1.2 ...
Citigroup plans to complete the sale by mid-2026, anticipating a $1.1 billion after-tax loss due to currency translation adjustments and exit costs.
- On Monday, the Board of Citigroup approved a plan to sell AO Citibank, marking Citigroup Inc. final step exiting its Russia operations with a $1.1 billion loss.
- Since the full-scale invasion of Ukraine, Russia imposed strict exit rules requiring steep asset sales, mandatory 'exit taxes' and government approval, making leaving difficult and costly for foreign firms operating in Russia.
- Citi will classify the unit as 'held for sale' starting in the fourth quarter of 2025, with AO Citibank currently reported within Citi's Services, Markets, Banking and All Other Legacy Franchises segments, and expects signing and completion in the first half of 2026.
- Citi expects an estimated pre-tax loss of about $1.2 billion, driven by roughly $1.6 billion in currency translation losses, in the fourth quarter of 2025, with a capital-neutral impact on CET1.
- Management expects higher severance in the fourth quarter but lower costs next year while maintaining an efficiency ratio below 60% in 2026; Citigroup shares rose 0.29% to $118.46 premarket on Tuesday.
12 Articles
12 Articles
Citigroup Approves Sale of Russian Operations, Flagging $1.2Bln Loss
Citigroup announced Monday that its board had approved a plan to sell the last of its business operations in Russia, with the banking group expecting to take a $1.1 billion loss in the process.
The Russian bank announced on Monday that its board of directors approved the sale of its Russian unit, AO Citibank, to Renaissance Capital, in an agreement that will generate a pre-tax loss of approximately $1.2 billion, largely related to currency conversion.The agreement is expected to close in the first half of 2026, according to a presentation to the SEC. “Approvals result in a pre-tax loss in the sale for the fourth quarter of 2025, largel…
Citigroup Russia Unit Sale Approved, Setting Stage for $1.2B Loss
The long road out of Russia for Citigroup has reached a decisive turn. The bank said Monday its board has signed off on the sale of its Russian subsidiary, AO Citibank, to Renaissance Capital, a move expected to result in a pre-tax loss of roughly $1.2 billion, driven largely by currency translation effects. The transaction, disclosed in a regulatory filing, is slated to close in the first half of 2026, marking another milestone in Citi’s retrea…
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