Citigroup (C - Get Report), ravaged by its exposure to subprime mortgages, wrote down a pretax sum of $18.1 billion and took a fourth-quarter loss of $9.83 billion, or $1.99 a share. That reverses last year's profit of $5.13 billion, or $1.03 a share, and it compares with Wall Street targets for a loss of $1.03 a share, per Thomson Financial. Revenue plummeted 69.7% to $7.22 billion, also thanks to the massive subprime writedowns.
Citi shares were recently sliding $2.26, or 7.8%, to $26.80, in sharp retreat from the upward float they had enjoyed over the past week.
On the uptick, Arena Therapeutics (ARNA - Get Report) picked up $1.14, or 15%, to $8.55, after an upgrade from Bank of America analyst William Ho. He raised his rating on the stock to buy from neutral, predicting that a data safety monitoring committee reviewing echocardiograms won't find a link between Arena's obesity drug Lorcaserin and heart valve damage.
Elsewhere, Lifecore Biomedical (LCBM) said Tuesday that it will be acquired by Warburg Pincus for $17 a share in cash, a 30% premium over the average price of the shares for the last 30 days, valuing the company at about $239 million. The company expects the transaction will close before the end of the first quarter. Shares climbed $3.89, or 30.3%, to $16.73.Back in earnings, Boston bank State Street (STT - Get Report) said fourth-quarter income