DISCONTINUED OPERATIONS, SIGNIFICANT DISPOSALS AND OTHER BUSINESS EXITS |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2025 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| DISCONTINUED OPERATIONS, SIGNIFICANT DISPOSALS AND OTHER BUSINESS EXITS | DISCONTINUED OPERATIONS, SIGNIFICANT DISPOSALS AND OTHER BUSINESS EXITS Summary of Discontinued Operations Citi’s results from Discontinued operations consisted of residual activities related to the sale of the Egg Banking plc credit card business in 2011. All Discontinued operations results are recorded within All Other. Citi’s Income (loss) from discontinued operations, net of taxes, as well as cash flows from Discontinued operations, were not material for the periods presented. Significant Disposals As of December 31, 2025, Citi had closed the sales of nine consumer banking businesses within All Other—Legacy Franchises: •Australia closed in the second quarter of 2022 •The Philippines closed in the third quarter of 2022 •Bahrain, Malaysia and Thailand closed in the fourth quarter of 2022 •India and Vietnam closed in the first quarter of 2023 •Taiwan closed in the third quarter of 2023 •Indonesia closed in the fourth quarter of 2023 During 2025, the following transactions were identified as significant disposals, including the assets and liabilities that were classified as held-for-sale (HFS) within Other assets and Other liabilities on the Consolidated Balance Sheet and the Income (loss) before taxes (benefits) related to the business. Agreement to Sell Poland Consumer Banking Business On May 27, 2025, Citi entered into an agreement to sell its Poland consumer banking business, which is part of All Other—Legacy Franchises. The sale, which is subject to regulatory approvals and other customary closing conditions, is expected to close by mid-2026. Beginning in the second quarter of 2025, Citi reported the business as HFS. During 2025, Citi recognized a pretax loss on sale of approximately $181 million recorded in Other revenue ($138 million after-tax), subject to closing adjustments. Income before taxes, excluding the pretax loss on sale, for the Poland consumer banking business was as follows:
The following assets and liabilities related to the Poland consumer banking business were reclassified to HFS within Other assets and Other liabilities, respectively, on the Consolidated Balance Sheet at December 31, 2025:
(1) Includes liquidity resources currently composed of approximately $4.6 billion of Deposits with banks. This may transfer as cash and securities at time of closing and is primarily recorded in Markets. Sale of AO Citibank Financial Impact in 2025 On December 29, 2025, Citi’s Board of Directors approved a plan to sell AO Citibank, which conducted Citi’s remaining operations in Russia and has historically been reported within the Services, Markets and Banking reportable segments as well as within All Other. As a result of this approval: •Citi reported its remaining businesses in Russia as HFS as of the fourth quarter of 2025. •The HFS accounting treatment resulted in a pretax loss on sale in the fourth quarter of 2025 of approximately $1.2 billion ($1.1 billion after-tax), recognized as a reduction in Other revenue through a valuation allowance. •The loss on sale includes approximately $1.6 billion related to the currency translation adjustment (CTA) losses that will also remain in Accumulated other comprehensive income (AOCI) until closing. The sale of AO Citibank signed and closed on February 18, 2026. Income before taxes, excluding the pretax loss on sale, for AO Citibank was as follows:
The following assets and liabilities related to AO Citibank were classified as HFS within Other assets and Other liabilities, respectively, on the Consolidated Balance Sheet at December 31, 2025:
(1) Includes approximately $2.6 billion of reserve for transfer risk associated with Russia, a portion of which relates to Citi’s clients’ risk. (2) Includes approximately $1.5 billion of intercompany liabilities owed by AO Citibank to other Citi entities outside of Russia related to funds held that represent Citi’s clients’ risk. Financial Impacts in 2026 On February 18, 2026, Citi signed and closed the sale of AO Citibank to Renaissance Capital (RenCap): •As of the first quarter of 2026, Citi no longer consolidated AO Citibank into its consolidated financial statements. •The cumulative impact of CTA, consisting of the approximate $1.6 billion included in the loss on sale in the fourth quarter of 2025 and the release of that CTA from AOCI at closing, was capital neutral to Citi’s Common Equity Tier 1 Capital. Other Significant Disposals On March 1, 2023, Citi completed the sale of its India consumer banking business, which was part of All Other—Legacy Franchises. The business had approximately $5.2 billion in assets, including $3.4 billion of loans (net of allowance of $32 million) and excluding goodwill. The total amount of liabilities was $5.2 billion, including $5.1 billion in deposits. The sale resulted in a pretax gain on sale of approximately $1.0 billion ($717 million after-tax), subject to closing adjustments, recorded in . The income before taxes for India consumer banking in 2023 was not material to Citi’s ownership through March 1, 2023. On August 12, 2023, Citi completed the sale of its Taiwan consumer banking business, which was part of All Other—Legacy Franchises. The business had approximately $11.6 billion in assets, including $7.2 billion of loans (net of allowance of $92 million) and excluding goodwill. The total amount of liabilities was $9.2 billion, including $9.0 billion in deposits. The sale resulted in a pretax gain on sale of approximately $409 million ($289 million after-tax), subject to closing adjustments, recorded in Other revenue. The income before taxes for Taiwan consumer banking in 2023 was not material to Citi’s ownership through August 12, 2023. Citi did not have any other significant disposals as of December 31, 2025. For a description of the Company’s significant disposal transactions in prior periods and financial impact, see Note 2 to the Consolidated Financial Statements in Citi’s 2024 Form 10-K. Other Business Exits Other significant transactions during 2025 included the following: Sale of 25% Equity Stake in Banamex On December 15, 2025, Citi completed the sale of a 25% equity stake in Grupo Financiero Banamex, S.A. de C.V. (Banamex), which is part of All Other—Legacy Franchises. Under the transaction, CHPAF Holdings, S.A.P.I. de C.V. (CHPAF), a company wholly owned by Fernando Chico Pardo and members of his immediate family, acquired 25% (approximately 520 million shares) of Banamex’s outstanding common shares at a fixed price-to-book value of 0.80 times the local GAAP book value of the shares at closing, which resulted in Citi receiving total sales consideration of approximately $2.3 billion. As a result of the sale, Citi’s stockholders’ equity increased by approximately $1.7 billion due to (i) the reclassification of an approximate $2.3 billion CTA loss associated with Banamex from AOCI (within stockholders’equity) to Noncontrolling interests (NCI), partially offset by (ii) a net loss on sale of approximately $0.6 billion recorded primarily in additional paid-in capital within stockholders’equity, which reflects the difference between the sale consideration received and 25% of the Banamex U.S. GAAP book value. The following table shows the effect of the transaction in Citi’s ownership interest in Banamex:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||