Citi Plans $4.5 Billion Debt Sale, Report Says

The banking giant is expected to pile on more writedowns in the first quarter, <I>Bloomberg</I> reports.
By Laurie Kulikowski ,

Citigroup

(C) - Get Report

plans to sell $4.5 billion worth of debt, according to media reports.

The New York-based financial titan is selling five-year, dollar-denominated notes that may yield 300 basis points more than U.S. Treasuries due in 2013,

Bloomberg

reported, citing a person familiar with the offering.

A Goldman Sachs analyst earlier this week said Citi would

write down as much as $12 billion

and lose $1.55 a share in the first quarter.

Merrill Lynch

(MER)

, another firm rocked by writedowns to securities tied to mortgages and other debt during the credit crunch, could write down another $2 billion, the Goldman analyst said.

A Citi spokeswoman was not immediately available. Citi shares fell slightly on Friday.

Loading ...