Chuck Prince Deathwatch: Keep an Eye on Medina-Mora

The WSJ is reporting that Citigroup is holding an emergency board meeting this weekend, and that Chuck Prince's ouster might be on the agenda:

It wasn't clear precisely what the meeting would address, but the subject of further writedowns could come up. The board may also consider the future of Chief Executive Charles Prince, according to people close to the company.
Robert Rubin, the former Treasury secretary who is the chairman of Citigroup's executive committee, is being considered as a possible interim replacement, but he has balked at taking on the responsibility, those people said.

There's really very little that Rubin would gain from taking on the job. His reputation is ironclad right now, and he hardly needs the money: the downside would be vastly greater than the upside.

Instead, if Prince is ousted and the board wants either a temporary or a permanent CEO, they might end up choosing Manuel Medina-Mora, the man who took Banamex public and eventually sold it to Citigroup as the largest and most successful bank in Mexico. The guy has a proven track record of running a commercial bank, which is more than any of the other potential candidates can say, and he's been a senior Citigroup executive for long enough now that he must know the company reasonably well.

Update: The WSJ now reports that Prince will resign on Sunday, jumping before he is pushed.

Add Your Comment

Report Abuse

Archive

Categories

Links