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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (23354)	2/11/2005 9:55:20 AM
From: Square_Dealings	Read Replies (1) \| Respond to of 116555

i think they merge to hide problems m

To: mishedlo who wrote (23354)	2/11/2005 12:33:45 PM
From: Elroy Jetson	Respond to of 116555

Citigroup Holdings Company was formed when Citibank purchased Travelers Insurance forming Citigroup. It's possible Citigroup may have used Citigroup Holdings for additional acquisitions, such as their bank acquisition company Citibank West. Now that Citigroup is selling Travelers Insurance to MetLife, Citigroup Holdings may no longer serve a purpose. The point of a separate corporation is to avoid risks in the subsidiary from hurting the parent company's credit rating. The downside is the credit rating of the subsidiary is not much helped by being owned by the parent company. For example Citibank has a Weiss Safety rating of C+ while Citibank West has a lower rating of C. Needless to say, neither rating is terrific. weissratings.com .