REGULATORY CAPITAL AND CITIGROUP INC. PARENT COMPANY INFORMATION

Citigroup is subject to risk-based capital and leverage guidelines issued by the Federal Reserve Board. Citi’s U.S. insured depository institution subsidiaries, including Citibank, N.A., are subject to similar guidelines issued by their respective primary federal bank regulatory agencies. These guidelines are used to evaluate capital adequacy and include the required minimums shown in the following table. The regulatory agencies are required by law to take specific prompt actions with respect to institutions that do not meet minimum capital standards.

The following table sets forth Citigroup’s and Citibank, N.A.’s regulatory capital tiers, risk-weighted assets, quarterly adjusted average total assets, and capital ratios as of December 31, 2014 in accordance with current regulatory standards (reflecting Basel III Transition Arrangements):



In millions of dollars, except ratios	Stated minimum		Well capitalized minimum		Citigroup⁽¹⁾			Citibank, N.A.⁽¹⁾
Common Equity Tier 1 Capital					$	166,663		$	128,262
Tier 1 Capital					166,663			128,262
Total Capital⁽²⁾					184,959			139,246
Risk-weighted assets					1,274,672			945,407
Quarterly adjusted average total assets ⁽³⁾					1,849,325			1,366,910
Common Equity Tier 1 Capital ratio	4.0	%	N/A		13.07		%	13.57		%
Tier 1 Capital ratio	5.5		6.0	%	13.07			13.57
Total Capital ratio	8.0		10.0		14.51			14.73
Tier 1 Leverage ratio	4.0		5.0 ⁽⁴⁾		9.01			9.38


(1)	As of December 31, 2014, Citigroup’s and Citibank, N.A.’s reportable Common Equity Tier 1 Capital, Tier 1 Capital, and Total Capital ratios were the lower derived under the Basel III Advanced Approaches framework.


(2)	Total Capital includes Tier 1 Capital and Tier 2 Capital.


(3)	Tier 1 Leverage ratio denominator.

(4) Applicable only to depository institutions.

N/A Not Applicable

As indicated in the table above, Citigroup and Citibank, N.A. were well capitalized under the current federal bank regulatory definitions as of December 31, 2014.

Banking Subsidiaries—Constraints on Dividends

There are various legal limitations on the ability of Citigroup’s subsidiary depository institutions to extend credit, pay dividends or otherwise supply funds to Citigroup and its non-bank subsidiaries. The approval of the Office of the Comptroller of the Currency is required if total dividends declared in any calendar year exceed amounts specified by the applicable agency’s regulations. State-chartered depository institutions are subject to dividend limitations imposed by applicable state law.

In determining the dividends, each depository institution must also consider its effect on applicable risk-based capital and leverage ratio requirements, as well as policy statements of the federal regulatory agencies that indicate that banking organizations should generally pay dividends out of current operating earnings. Citigroup received $8.9 billion and $12.2 billion in dividends from Citibank, N.A. during 2014 and 2013, respectively.

Non-Banking Subsidiaries

Citigroup also receives dividends from its non-bank subsidiaries. These non-bank subsidiaries are generally not subject to regulatory restrictions on dividends, although their ability to declare dividends can be restricted by capital considerations, as set forth in the table below.



In millions of dollars
Subsidiary	Jurisdiction	Net capital or equivalent		Excess over minimum requirement
Citigroup Global Markets Inc.	U.S. Securities and Exchange Commission Uniform Net Capital Rule (Rule 15c3-1)	$	5,521	$	4,376
Citigroup Global Markets Limited	United Kingdom’s Prudential Regulatory Authority (PRA)	$	7,162	$	2,482

Citigroup Inc. Parent Company Only Income Statement and Statement of Comprehensive Income



	Years ended December 31,
In millions of dollars	2014			2013			2012
Revenues
Interest revenue	$	3,121		$	3,234		$	3,384
Interest expense	4,437			5,559			6,573
Net interest expense	$	(1,316	)	$	(2,325	)	$	(3,189	)
Dividends from subsidiaries	8,900			13,044			20,780
Non-interest revenue	247			139			613
Total revenues, net of interest expense	$	7,831		$	10,858		$	18,204
Total operating expenses	$	1,980		$	851		$	1,497
Income before taxes and equity in undistributed income of subsidiaries	$	5,851		$	10,007		$	16,707
Benefit for income taxes	(643		)	(1,637		)	(2,062		)
Equity in undistributed income (loss) of subsidiaries	816			2,015			(11,278		)
Parent company’s net income	$	7,310		$	13,659		$	7,491
Comprehensive income
Parent company’s net income	$	7,310		$	13,659		$	7,491
Other comprehensive income (loss)	(4,083		)	(2,237		)	892
Parent company’s comprehensive income	$	3,227		$	11,422		$	8,383

Citigroup Inc. Parent Company Only Balance Sheet



	Years ended December 31,
In millions of dollars	2014		2013
Assets
Cash and due from banks	$	125	$	233
Trading account assets	604		184
Investments	830		1,032
Advances to subsidiaries	77,951		83,110
Investments in subsidiaries	211,353		203,739
Other assets⁽¹⁾	110,559		105,823
Total assets	$	401,422	$	394,121
Liabilities
Federal funds purchased and securities loaned or sold under agreements to repurchase	$	185	$	185
Trading account liabilities	762		165
Short-term borrowings	1,075		382
Long-term debt	149,512		156,804
Advances from subsidiaries other than banks	27,430		24,181
Other liabilities	12,273		8,412
Total liabilities	$	191,237	$	190,129
Total equity	210,185		203,992
Total liabilities and equity	$	401,422	$	394,121


(1)	Other assets included $42.7 billion of placements to Citibank, N.A. and its branches at December 31, 2014, of which $33.9 billion had a remaining term of less than 30 days. Other assets at December 31, 2013 included $43.3 billion of placements to Citibank, N.A. and its branches, of which $33.6 billion had a remaining term of less than 30 days.

Citigroup Inc. Parent Company Only Cash Flows Statement



	Years ended December 31,
In millions of dollars	2014			2013			2012
Net cash provided by (used in) operating activities of continuing operations	$	5,940		$	(7,881	)	$	1,598
Cash flows from investing activities of continuing operations
Purchases of investments	$	—		$	—		$	(5,701	)
Proceeds from sales of investments	41			385			37,056
Proceeds from maturities of investments	155			233			4,286
Changes in investments and advances—intercompany	(7,986		)	7,226			(397		)
Other investing activities	5			4			994
Net cash provided by (used in) investing activities of continuing operations	$	(7,785	)	$	7,848		$	36,238
Cash flows from financing activities of continuing operations
Dividends paid	$	(633	)	$	(314	)	$	(143	)
Issuance of preferred stock	3,699			4,192			2,250
Proceeds (repayments) from issuance of long-term debt—third-party, net	(3,636		)	(13,426		)	(33,434		)
Net change in short-term borrowings and other advances—intercompany	3,297			11,402			(6,160		)
Other financing activities	(990		)	(1,741		)	(199		)
Net cash provided by (used in) financing activities of continuing operations	$	1,737		$	113		$	(37,686	)
Net increase (decrease) in cash and due from banks	$	(108	)	$	80		$	150
Cash and due from banks at beginning of period	233			153			3
Cash and due from banks at end of period	$	125		$	233		$	153
Supplemental disclosure of cash flow information for continuing operations
Cash paid (received) during the year for
Income taxes	$	235		$	(71	)	$	78
Interest	5,632			6,514			7,883

Note: With respect to the tables above, “Citigroup Inc. Parent Company Only” refers to the parent holding company Citigroup Inc., excluding consolidated subsidiaries. Citigroup Funding Inc. (CFI) was previously a first-tier subsidiary of Citigroup Inc., issuing commercial paper, medium-term notes and structured equity-linked and credit-linked notes. The debt of CFI was guaranteed by Citigroup Inc. On December 31, 2012, CFI was merged into Citigroup Inc., the parent holding company.