Citi drops some mortgage business
(31 October 2008 – Australia) Citibank has announced that it will cut its range of retail and business operations in Australia.
In the announcement, Citibank said that, from 30 November 2008, it will cease new-to-bank commercial mortgages and personal instalment loans.
Citibank, the consumer banking arm of Citi in Australia, explained the rationale behind the withdrawal by saying that it has streamlined its product range in response to prevailing market conditions.
In the announcement, Citibank said that the change does not impact Citibank's consumer mortgages portfolio, which constitutes approximately 85 percent of its mortgages business.
Citibank will continue to manage and maintain existing commercial mortgage loans and said that it remains committed to the Australian broker channel.
Peter Hayward, head of distribution & marketing said across that Asia Pacific and in Australia, the bank was reorganising to become a more efficient organisation in order to grow.
Citibank is working with employees impacted by this decision and expects to be able to redeploy some staff. Where positions are made redundant, affected employees will be offered full professional support.
Citibank, the consumer banking arm of Citi in Australia, explained the rationale behind the withdrawal by saying that it has streamlined its product range in response to prevailing market conditions.
In the announcement, Citibank said that the change does not impact Citibank's consumer mortgages portfolio, which constitutes approximately 85 percent of its mortgages business.
Citibank will continue to manage and maintain existing commercial mortgage loans and said that it remains committed to the Australian broker channel.
Peter Hayward, head of distribution & marketing said across that Asia Pacific and in Australia, the bank was reorganising to become a more efficient organisation in order to grow.
Citibank is working with employees impacted by this decision and expects to be able to redeploy some staff. Where positions are made redundant, affected employees will be offered full professional support.
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