Citicorp: The Story of a Bank in Crisis

In the 1980s banking was a glamorous industry handling multimillion-dollar mergers and acquisitions, credit card operations, real estate deals and foreign loans. The largest U.S. bank was Citicorp, with 3300 branches, offices on six continents, and a staggering $1.858 billion profit in 1988. Veteran business journalist Miller of Bankers Magazine presents a stinging analysis of Citicorp's poor management, faulty loans, bad investments and steep losses in the late 1980s and early 1990s. While he blames former chairman Walter Wriston for the foreign loan debacle, his primary target is current chairman John Reed. Armed with facts and numbers, Miller builds an interesting case against Citicorp. Yet his allegations often fail to produce a smoking gun, notably regarding accusations of money laundering and technical insolvency. Also missing is detailed comparative material covering other money center banks and the growth of super-regional banks. (Apr.)