Citigroup to cut 11,000 jobs

Citigroup announced Wednesday that it would cut more than 11,000 jobs in a move boost efficiency, with most of the cuts in its global consumer banking division. "Due to this repositioning, Citi expects to record pre-tax charges of approximately $1 billion in the fourth quarter of 2012 and approximately $100 million of related charges in the first half of 2013," the company said. Around 6,200 of the job losses will be in the consumer banking division as Citi pushes a strategy of focusing on the 150 cities around the world "that have the highest growth potential in consumer banking." As a result, Citi said it will "significantly" scale back operations in Pakistan, Turkey, Paraguay, Uruguay and Romania. Other markets affected by the cuts include the United States, Brazil, Hong Kong, South Korea, and Hungary. "While we are committed to -- and our strategy continues to leverage -- our unparalleled global network and footprint, we have identified areas and products where our scale does not provide for meaningful returns," said Michael Corbat, the huge bank's new chief executive. "And we will further increase our operating efficiency by reducing excess capacity and expenses, whether they center on technology, real estate or simplifying our operations." The actions came seven weeks after Corbat was named chief executive following the shock sacking of Vikram Pandit and Pandit's top aide in an unexpected board move against them.