Citigroup Announces $2.0 Billion Redemption of Floating Rate Notes Due 2023

Rhea-AI Summary

Citigroup Inc. announced a full redemption of $2 billion of its Floating Rate Notes due 2023, effective September 1, 2022. The redemption reflects Citigroup's liability management strategy aimed at improving funding efficiency and capital structure. The redemption price will be par value plus accrued interest, with interest ceasing to accrue from the redemption date. Citigroup continues to evaluate opportunities for redeeming or repurchasing securities based on several factors, including economic value and market conditions.

Positive

• Redemption of $2 billion in Floating Rate Notes aligns with liability management strategy.
• Improves funding efficiency and capital structure.

Negative

• None.

NEW YORK--(BUSINESS WIRE)-- Citigroup Inc. is announcing the redemption, in whole, constituting $2,000,000,000 of its Floating Rate Notes due 2023 (the “notes”) (ISIN: US172967KX80).

The redemption date for the notes is September 1, 2022 (the “redemption date”). The cash redemption price for the notes payable on the redemption date will equal par plus accrued and unpaid interest, to but excluding, the redemption date.

The redemption announced today is consistent with Citigroup's liability management strategy, and reflects its ongoing efforts to enhance the efficiency of its funding and capital structure. Citigroup will continue to consider opportunities to redeem or repurchase securities, based on several factors, including without limitation, the economic value, regulatory changes, potential impact on Citigroup's net interest margin and borrowing costs, the overall remaining tenor of Citigroup's debt portfolio, capital impact, as well as overall market conditions.

Beginning on the redemption date, interest will no longer accrue on the notes.

Citibank, N.A. is the paying agent for the notes. For further information on the notes, please see the related prospectus supplement at the following web address: https://www.citigroup.com/citi/fixedincome/data/243208ACL.PDF

Citi

Citi is a preeminent banking partner for institutions with cross-border needs, a global leader in wealth management and a valued personal bank in its home market of the United States. Citi does business in more than 160 countries and jurisdictions, providing corporations, governments, investors, institutions and individuals with a broad range of financial products and services.

Additional information may be found at www.citigroup.com | Twitter: @Citi | YouTube: www.youtube.com/citi | Blog: http://blog.citigroup.com | Facebook: www.facebook.com/citi | LinkedIn: www.linkedin.com/company/citi

View source version on businesswire.com: https://www.businesswire.com/news/home/20220816005162/en/

Media: Danielle Romero-Apsilos (212) 816-2264

Fixed Income Investors: Peter Demoise (212) 559-2718

Source: Citigroup Inc.

FAQ

What is Citigroup's recent $2 billion redemption announcement about?

Citigroup announced a full redemption of $2 billion of its Floating Rate Notes due 2023, effective September 1, 2022.

When will Citigroup's Floating Rate Notes be redeemed?

The redemption date for Citigroup's Floating Rate Notes is September 1, 2022.

What will happen to interest payments on Citigroup's redeemed notes?

Interest will cease to accrue on the notes beginning on the redemption date.

Why is Citigroup redeeming its Floating Rate Notes?

The redemption is part of Citigroup's strategy to enhance funding efficiency and improve its capital structure.

How much is Citigroup redeeming in Floating Rate Notes?

Citigroup is redeeming $2 billion in Floating Rate Notes.