Citibank Australia

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Citibank, N.A.
Type Subsidiary (of Citigroup)
Founded 1985
Headquarters Sydney, Australia
Key people Stephen Roberts (CEO)

Citibank Australia was opened in 1985 and was one of the first foreign banks to be granted a banking license in Australia,[1] besides being one of the largest international banks in the country.[2] With its head office in Sydney, Citibank currently has major centers in Melbourne, Perth, and Brisbane and employs a total of about 1,200 Australians.[3] The parent company, Citigroup, has around a million customers in Australia and New Zealand, along with about 900 local corporate and institutional clients.[4] Stephen Roberts is the Chief Executive Officer.[5]

History[edit]

In 1985, Citibank was granted a banking licence in Australia. In 1999, Diners Club Australia was acquired by Citibank. Citigroup Centre was opened in 2001 in Sydney. In 2002, CitiGold Wealth Management Banking was launched. The next year, Salomon Smith Barney joined up with Citibank Corporate Bank to form the Citigroup Global Corporate and Investment Banking Group. In 2009, following a massive bailout of its parent Citigroup Inc by the US Government in 2008, Citigroup announced in January 2009 that the parent would be separated into "bad bank" Citi Holdings (comprising the bank's brokerage, consumer finance and troubled assets) and Citicorp. Citicorp, the "good bank," will consist of retail banking, business banking and credit cards. Citigroup announced on 27 January 2009 that Michael Corbat, former head of Citigroup's brokerage business, will head Citi Holdings.[6] The US Government is reported to be applying considerable pressure on Citigroup Inc to raise capital and this has led to speculation that smaller foreign units such as Citibank Australia will be sold.

Divisions[edit]

Citibank Australia comprises the consumer group division of its parent company, Citi Australia. The other two divisions of Citi are markets and banking, and wealth management.[7]

  • Citi Global Consumer Group: Under this division fall Citibank and Diners Club. The Diners Club Card is a charge card started in 1950, the first of its kind.
  • Citi Markets and Banking: This division of Citi performs a multitude of functions, including underwriting equity and debt, providing advice about mergers and acquisitions and providing services in cash management, custodial, foreign exchange, trade and treasury.
  • Citi Global Wealth Management: This division of Citi includes Citi Private Bank, Citi Smith Barney and Citi Investment Research.
  • Retail banking. Citibank rapidly expanded its retail banking in May 2011, opening new branches in most major shopping centres such as Castle Towers, and the QVB. These branches do not offer Telling services, instead these are looked after by 3rd parties such as the NAB, and Australia Post's Bank@Post, there older retail branches such as the one located in the citigroup centre also offer telling services.

Citibank Australia offers its customers home loans and personal loans, savings accounts, credit cards and insurance. It is also one of the biggest providers of superannuation funds in Australia.

Sponsorship and CSR[edit]

Citibank Australia has various financial education and environmental programs to serve local communities in Australia. Its program Making Cents[8] is geared towards helping parents and teachers instruct children about the basics of money management. Another program funded by Citibank in Australia is Hip Pocket,[9] a workshop for teenagers in Year 10 and 11 which helps them to understand finances and be educated consumers. Finally, Citibank Australia has provided funding for an organization called Learning Links with a program called Counting for Life, which helps children with difficulties in learning math.[10]

As part of its CSR Citibank Australia has engaged in various initiatives such as reducing its energy use and paper use; supporting companies that use alternative energy, and undertaking research on the impact of climate change on trade and industry.[11] It has become an “Action for Climate Change” partner with Conservation Volunteers Australia, which involves having events for Citibank employees in which they are educated about climate change, opening up opportunities for employees to take part in conservation efforts, and providing funding for tree planting.[12]

Citibank Australia also supports a children’s hospice in New South Wales called Bear Cottage, as well as The Shepherd Centre, a centre for hearing impaired children. It is part of the Australian Business Community Network, which helps public schools through initiatives such as mentoring programs and career fairs.[13]

Citibank Australia is a major sponsor of the Sydney Swans AFL club.

References[edit]

  1. ^ http://findarticles.com/p/articles/mi_hb4849/is_12_17/ai_n28567440 Australian Banking and Finance
  2. ^ http://findarticles.com/p/articles/mi_m0EIN/is_1999_Sept_7/ai_55675006 Business Wire
  3. ^ http://www.citibank.com.au/AUGCB/APPS/portal/loadPage.do?path=/info/det/AboutUs.htm About Citibank Australia
  4. ^ http://www.citi.com.au/citigroup/ourbusiness.html Citibank Australia
  5. ^ http://www.citi.com.au/citigroup/executives.html Citibank Australia Executives
  6. ^ http://uk.reuters.com/article/marketsNewsUS/idUKN2746521920090127 Reuters Report re formation of good bank/bad bank
  7. ^ http://www.citibank.com.au/AUGCB/APPS/portal/loadPage.do?tabId=home&path=/info/det/aboutus_aboutcitigroup.htm About Citi Group
  8. ^ http://www.financefirst.net.au/index.htm Finance First
  9. ^ http://www.ywcansw.com.au/youth_programs/hip_pocket.php YWCA NSW
  10. ^ http://www.readingforlife.net.au/html/counting_for_life.html Reading for Life
  11. ^ http://www.citi.com.au/citigroup/community/environment.html Climate Change
  12. ^ http://www.actionforclimatechange.org.au Action for Climate Change
  13. ^ http://www.citi.com.au/citigroup/community/overview.html
    Citigroup Community

External links[edit]