Citigroup to Close Global Distressed-Debt Group as CEO Jane Fraser Continues Overhaul

Citigroup is shuttering another Wall Street business as CEO Jane Fraser pushes ahead with her overhaul of the bank, CNBC has learned. The company has decided to close its global distressed-debt group, according to sources familiar with the move.

Exiting Underperforming Businesses

Citigroup is strategically exiting businesses with poor returns in order to improve its performance targets set by CEO Jane Fraser. In September, Fraser announced a major overhaul of the bank, which is the third largest in the U.S. by assets. Since then, she has been taking steps to trim executive positions and pare back businesses. This internal effort is known as “Project Bora Bora.”

Previous Business Closure

Last week, Citigroup announced the closure of its municipal-bond trading operations, a once-thriving business that had fallen on hard times. The distressed-debt group, which trades the bonds and other securities of companies in or approaching bankruptcy, employs around 40 people.

Citigroup’s decision to close the global distressed-debt group is part of its ongoing efforts to streamline operations and improve profitability. By focusing on more profitable areas of the business, Citigroup aims to achieve its performance targets and strengthen its position in the market.

For more information about Citigroup’s business closures and CEO Jane Fraser’s overhaul plans, please visit Citigroup.