Monday, November 5, 2007

Citigroup Capital Ratios

Here are the relevant capital ratios for Citigroup as detailed in the 10-Q filed this morning. These ratios are for Citigroup. The 10-Q has a second set of capital ratios for Citibank, N.A. The numbers for Citigroup are as of 9/30/07:

Core capital (leverage) ratio 4.13%
Tier 1 risk-based capital ratio 7.31%
Total risk-based capital ratio 10.61%

My assumption is that these capital ratios don't take into account the latest write offs that hit the tape this morning. The 10-Q states that "to be well capitalized under federal bank regulatory agency definitions, a bank holding company must have a Tier 1 Capital Ratio of at least 6%, a Total Capital Ratio of at least 10%, and a Leverage Ratio of at least 3%, and not be subject to an FRB directive to maintain higher capital levels."

Here are the actual numbers as of 9/30/07 in billions (add six zeros):

Total Tier 1 Capital $ 92,370
Total Tier 2 Capital $ 41,453
Total Capital (Tier 1 and Tier 2) $ 133,823

Ratio Calculations

Tier 1 risk-based capital ratio of 7.31% is calculated by dividing $92,370 by total Risk-Adjusted Assets of $ 1,261,790.

Total risk-based capital ratio of 10.61% is calculated by dividing $ 133,823 by total Risk-Adjusted Assets of $ 1,261,790.

Core capital (leverage) ratio of 4.13% is calculated by dividing $92,370 by adjusted average assets.

3 comments:

living off dividends said...

i bailed on the small amt of Citigroup stock i had on thursday.

glad i did, even though i took a loss.

Eric J. Fox said...

Good call. I think Citigroup can fall a lot further.

Anonymous said...

Were going back up guys.

Hold on to $12.