FWP 1 dfwp.htm FINAL TERM SHEET Final Term Sheet

Filed Pursuant to Rule 433
Registration Nos. 333-132370 and 333-132370-01

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Citigroup Funding Inc.

Callable Range Accrual Notes Due 2016

Final Term Sheet

September 15, 2006

 


Issuer:    Citigroup Funding Inc.
Guarantee:    All payments due on the Notes are fully and unconditionally guaranteed by Citigroup Inc., Citigroup Funding’s parent company.
Rating of Issuer’s Obligations:    Aa1/AA- (Moody’s/S&P) based upon the Citigroup guarantee.
Offering:    Callable Range Accrual Notes Due 2016
Sole Underwriter:    Citigroup Global Markets Inc.
Underlying Index:    Constant Maturity Swap (CMS30 and CMS2)
Principal Amount Issued:    US$ 25,000,000.00
Pricing Date:    September 15, 2006
Issue Date:    September 27, 2006
Maturity Date:    September 27, 2016
Issue Price:    100% of the principal amount
Interest Rate:   

Year 1: 8.38%

Year 2-10: 8.38% x N/D

(quarterly, 30/360, unadjusted)

Where:

N=Number of Calendar Days in Reference Period where Spread

fixes equal to or above Accrual Barrier.

D=Number of Calendar Days in Reference Period.

Minimum Coupon is 0.00%

Accrual Barrier:    -.05%
Spread:    (CMS30 – CMS2)
Reference Period:    Each period beginning on (and including) the day that is two Business Days prior to the commencement of each coupon period and ending on (and excluding) the day that is two Business Days immediately before the next coupon date.
Index Fixings:    CMS30 and CMS2 are respectively the 30 year and 2 year 30/360 USD Semi-annual swap rates as quoted daily on Reuter’s page ISDAFIX1 (11 a.m. fixing)
Interest Calculation Period:    Each three-month period from and including an Interest Payment Date to and including the day immediately preceding the next Interest Payment Date
Interest Payment Date:    Quarterly paid on each March, June, September and December 27, commencing on December 27, 2006
Payment at Maturity:    100% of the principal amount
Day Count:    Quarterly, 30/360, unadjusted
Early Redemption:    Callable, in whole and not in part, by the Issuer on each Interest Payment Date, beginning on September 27, 2007
Redemption Price:    100% of the principal amount, plus any accrued and unpaid interest

 


Citigroup Funding Inc., the issuer, and Citigroup Inc., the guarantor, have filed a registration statement (including a prospectus and prospectus supplement) with the Securities and Exchange Commission (“SEC”) for the offering to which this communication relates. Before you invest, you should read the prospectus and prospectus supplement in that registration statement (File No. 333-132370) and the other documents Citigroup Funding and Citigroup have filed with the SEC for more complete information about Citigroup Funding, Citigroup and this offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, you can request the prospectus and prospectus supplement by calling toll-free 1-877-858-5407.


Notice of Redemption:    Not less than 10 Calendar Days
Business Day:    New York
Calculation Agent:    Citigroup Financial Products Inc.
Form and Denomination:    Registered Medium-Term Notes in minimum denominations and minimum increments of US$10,000.00
Clearing and Settlement:    DTC
Listing:    None
CUSIP/ISIN Number:    1730T0AX7
Underwriting Discount:    0.00%
Fees and Conflicts:    Citigroup Financial Products Inc. and its affiliates involved in this offering are expected to receive compensation for activities and services provided in connection with the Notes. Further, Citigroup Funding expects to hedge its obligations under the Notes through the trading of other instruments, such as options, swaps or futures, based upon one or more of its affiliates. Each of Citigroup Funding’s or its affiliates’ hedging activities and Citigroup Financial Products Inc.’s role as the Calculation Agent for the Notes may result in a conflict of interest.

 


Citigroup Funding Inc., the issuer, and Citigroup Inc., the guarantor, have filed a registration statement (including a prospectus and prospectus supplement) with the Securities and Exchange Commission (“SEC”) for the offering to which this communication relates. Before you invest, you should read the prospectus and prospectus supplement in that registration statement (File No. 333-132370) and the other documents Citigroup Funding and Citigroup have filed with the SEC for more complete information about Citigroup Funding, Citigroup and this offering. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, you can request the prospectus and prospectus supplement by calling toll-free 1-877-858-5407.