Citigroup: Financial Winners and Losers

(Updated with stock price moves.)

NEW YORK (TheStreet) -- Citigroup (C) was among the losers of the financial sector Monday after the bank said it has reached a deal to repay $20 billion in government aid.

Citigroup said Monday it has reached an agreement with the U.S. government and its regulators to pay back $20 billion it received in bailout aid. Citigroup said it will immediately issue $20.5 billion of capital and debt, made up of $17 billion of common stock, and it also will issue $3.5 billion of tangible equity unit.

The Treasury Department has agreed to sell up to $5 billion of Citigroup stock it holds in a secondary offering, the bank said. Treasury also said it plans to sell the remainder of its shares in an orderly fashion over the next six to 12 months.

Citigroup shares were losing 27 cents, or 6.8%, to $3.68.

On the other hand, Visa (V) rose after Standard & Poor's said it will add the company, along with four others, to the S&P 500 index. The changes will become effective after the close of trading on Dec. 18. Visa was lately rising by 3.8% to $84.46.

MBIA (MBI), which will be bounced from the S&P 500 in favor of Mead Johnson Nutrition (MJN), was tumbling 8.3% to $3.37.

In other bank news, Bank of America (BAC) shares slipped after The Wall Street Journal reported that the bank has picked a front-runner to take the CEO spot, but compensation questions are holding up an agreement.

The Journal reported that Bank of New York Mellon (BK) CEO Robert Kelly told directors of his bank he was in discussions to replace the departing Ken Lewis for the top job at Bank of America. Negotiations between Bank of America and Kelly are fluid, with a person close to Kelly saying it might not be possible for the parties to reach a deal, according to the report.