BAKU, Azerbaijan, November 10. Citigroup Inc.
will redeem all $1 billion of its Series Y preferred stock on
November 15, 2026, as part of efforts to improve the efficiency of
its funding and capital structure, the company said.
The redemption covers 1 million depositary shares, each
representing a 1/25th interest in the bank’s 4.150% Fixed Rate
Reset Noncumulative Preferred Stock, Series Y.
Holders will receive $1,000 in cash for each depositary share.
The payment is scheduled for November 16, the business day
following the redemption date.
Shareholders registered as of November 6 will also receive a
previously declared quarterly dividend of $10.375 per depositary
share on the payment date.
Citigroup said its decisions on preferred stock redemptions take
into account several factors, including economic value, regulatory
developments, potential effects on net interest margin and
borrowing costs, the maturity profile of its debt portfolio,
capital implications and overall market conditions.
Dividends on the preferred stock will cease to accrue from
November 15. The redeemed depositary shares will no longer be
outstanding as of November 16.
Computershare Trust Company, N.A. will act as the paying agent
for the redemption.
Citigroup Inc. (NYSE: C) is a leading global bank
founded in 1812 and headquartered in New York. It provides a broad
range of financial products and services to consumers,
corporations, governments and institutions in more than 160
countries and jurisdictions. The company operates through several
major segments, including Institutional Clients Group, Personal
Banking and Wealth Management, and has approximately $2.4 trillion
in total assets.
