Citigroup (C) Bows To Pressure, Will Meet With Analyst Mike Mayo
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Price: $138.07 --0%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 2.1%
Revenue Growth %: +7.3%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 2.1%
Revenue Growth %: +7.3%
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According to a report from FOX Business Network's Charles Gasparino, Citigroup Inc. (NYSE: C) has given in to the pressure and will meet with prominent securities analyst Mike Mayo, who has been denied access to the firm due to his criticism over the last two years.
The report said that Mayo was contacted by Citigroup on Tuesday and was promised a meeting with key executives within the firm “by the end of September."
Mayo was not certain if he would be meeting with the firm's chief executive officer Vikram Pandit, or the chief financial officer, John Gerspach.
“The move by Citigroup comes as the firm has faced intense criticism by large investors and even some rival analysts for blackballing Mayo from meetings with top executives at the bank, even as other analysts have gained access to key members of management, most notably its CEO and CFO,” Gasparino wrote.
Mayo has attacked the business model of Citigroup recently, saying that the firm’s accounting of Deferred Tax Assets is its way of “cooking the books” by as much as $10 billion. If Citigroup were to write0down the DTAs it would report massive losses.
The argument became a question of corporate accountability, especially for a company that was bailed out and is partially owned by the government. Critics began to jump on Citigroup for not allowing Mayo access to its key officials due to him badgering the firm’s stock.
On Monday, Dick Bove of Rochdale openly criticized Citigroup for not meeting with Mayo, despite the differing opinions of the two.
The report said that Mayo was contacted by Citigroup on Tuesday and was promised a meeting with key executives within the firm “by the end of September."
Mayo was not certain if he would be meeting with the firm's chief executive officer Vikram Pandit, or the chief financial officer, John Gerspach.
“The move by Citigroup comes as the firm has faced intense criticism by large investors and even some rival analysts for blackballing Mayo from meetings with top executives at the bank, even as other analysts have gained access to key members of management, most notably its CEO and CFO,” Gasparino wrote.
Mayo has attacked the business model of Citigroup recently, saying that the firm’s accounting of Deferred Tax Assets is its way of “cooking the books” by as much as $10 billion. If Citigroup were to write0down the DTAs it would report massive losses.
The argument became a question of corporate accountability, especially for a company that was bailed out and is partially owned by the government. Critics began to jump on Citigroup for not allowing Mayo access to its key officials due to him badgering the firm’s stock.
On Monday, Dick Bove of Rochdale openly criticized Citigroup for not meeting with Mayo, despite the differing opinions of the two.
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