Citigroup's president and investment bank boss Jamie Forese, long considered the potential successor to chief executive officer Michael Corbat, is departing after 34 years at the firm according to an internal memo.
Forese, 56, is one of the longest serving executives at Citi. He also served as head of the bank's Institutional Clients Group (ICG), which brought in about half of Citi's revenue last year. There he will be succeeded by Paco Ybarra, who served as Forese's deputy.
This would be the biggest departure from the executive team at the third largest U.S. bank since consumer banking head Manuel Medina-Mora left three years ago.
Jamie has played a critical role in cultivating a client-centric mindset across the firm and driving tangible changes to make it easier for our clients to do business with us"
Forese was the second highest earner at Citi after CEO Michael Corbat. His unit, which includes treasury services, the investment bank, corporate lending and capital markets, delivered 50 percent of revenues and more than two-thirds of profits to the bank last year.
The division fell short of some annual targets in 2018 and Forese was the only executive on the operating committee not to receive a raise for the year, according a recent filing. He has told acquaintances he was frustrated and unhappy, sources told Reuters.
"Jamie has played a critical role in cultivating a client-centric mindset across the firm and driving tangible changes to make it easier for our clients to do business with us," Corbat said in the memo. "While I am pleased Jamie will always be an advisor to us, his daily leadership and counsel will be missed by all of us."
The firm's consumer division in recent years has been criticized by Wall Street analysts as it continually missed internal targets. The unit has started to show signs of a turnaround as the bank rolled out new digital-banking tools and turned its focus away from promotional credit-card offers.
The CEO of its Asia Pacific region, Francisco Aristeguieta, will also leave the company later this month to pursue an external opportunity, Citi said.