All hands to the pump in Latin America
No sooner was Citigroup’s Latin American business getting used to some stability, than the bank announced a reshuffle in the corporate and investment bank (CIB). Gustavo Marin, who was previously in day-to-day charge of the region’s corporate and investment banking business, is now solely focused on Brazil (for both CIB and consumer banking).
Instead the regional brief has passed to Fernando Quiroz, a Citigroup veteran, who will oversee the bank’s regional fortunes outside Brazil and Mexico (where Julio de Quesada is in charge). What difference this will make to the bank’s clients is uncertain but Citigroup senior executives are confident that the moves will boost chief executive Manuel Medina-Mora’s Latin American empire. This (including Mexico, which is considered a separate business in Citigroup’s accounting structure) contributed $208 million to Citigroup’s CIB net income in the fourth quarter of 2005.
One reason for the organizational restructuring could be a concern about a relative lack of success in Brazil, especially in equities and M&A – hence the São Paulo-based Marin concentrating only on that market.