DISCONTINUED OPERATIONS

9 Months Ended

Sep. 30, 2012

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS

2.     DISCONTINUED OPERATIONS

Sale of Certain Citi Capital Advisors Business

        During the third quarter of 2012, the Company executed definitive agreements to transition a carve-out of its liquid strategies business within Citi Capital Advisors (CCA), which is part of the Institutional Clients Group segment, to certain employees responsible for managing those operations. The transaction will be accounted for as a sale and is currently expected to close in the first quarter of 2013. This sale is reported as discontinued operations for the third quarter of 2012 only. Prior periods were not reclassified due to the immateriality of the impact in those periods.

        The following is a summary as of September 30, 2012 of the assets of Discontinued operations held for sale on the Consolidated Balance Sheet for the operations related to the CCA business to be sold:

In millions of dollars	September 30, 2012
Assets
Deposits at interest with banks	$	7
Goodwill		17
Intangible assets		20
Total assets	$	44

        Summarized financial information for Discontinued operations for the operations related to CCA follows:

In millions of dollars	Three Months Ended September 30, 2012
Total revenues, net of interest expense	$	11
Income (loss) from discontinued operations	$	(45	)
Gain on sale		—
Benefit for income taxes		(16	)
Income (loss) from discontinued operations, net of taxes	$	(29	)

Sale of Egg Banking PLC Credit Card Business

        On March 1, 2011, the Company announced that Egg Banking plc (Egg), an indirect subsidiary which was part of the Citi Holdings segment, entered into a definitive agreement to sell its credit card business to Barclays PLC. The sale closed on April 28, 2011. An after-tax gain on sale of $126 million was recognized in the second quarter of 2011. Egg operations had total assets and total liabilities of approximately $2.7 billion and $39 million, respectively, at the time of sale.

        Summarized financial information for Discontinued operations, including cash flows, for the credit card operations related to Egg follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
In millions of dollars	2012			2011			2012			2011
Total revenues, net of interest expense	$	—		$	38		$	1		$	331
Income (loss) from discontinued operations	$	(1	)	$	(5	)	$	(4	)	$	39
Gain (loss) on sale		—			15			(1	)		141
Provision for income taxes		(1	)		4			(2	)		63
Income from discontinued operations, net of taxes	$	—		$	6		$	(3	)	$	117

	Nine Months Ended September 30,
In millions of dollars	2012		2011
Cash flows from operating activities	$	—	$	(146	)
Cash flows from investing activities		—		2,827
Cash flows from financing activities		—		(12	)
Net cash provided by discontinued operations	$	—	$	2,669

Combined Results for Discontinued Operations

        The following is summarized financial information for the CCA business, the Egg credit card business and previous discontinued operations, for which Citi continues to have minimal residual costs associated with the sales.

	Three Months Ended September 30,						Nine Months Ended September 30,
In millions of dollars	2012			2011			2012			2011
Total revenues, net of interest expense	$	11		$	39		$	12		$	336
Income (loss) from discontinued operations	$	(46	)	$	(5	)	$	(49	)	$	38
Gain (loss) on sale		—			16			(1	)		146
Provision (benefit) for income taxes		(15	)		10			(13	)		72
Income (loss) from discontinued operations, net of taxes	$	(31	)	$	1		$	(37	)	$	112

Cash flows from discontinued operations

	Nine Months Ended September 30,
In millions of dollars	2012		2011
Cash flows from operating activities	$	—	$	(146	)
Cash flows from investing activities		—		2,827
Cash flows from financing activities		—		(12	)
Net cash provided by discontinued operations	$	—	$	2,669