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(CEP News) - Reports that Citigroup was considering breaking up or selling the company sent shares surging in pre-market trading but a large rebound didn't materialize at the open and shares are down 8%.
At 9:50 a.m. EST, shares of the company are down 38 cents to $4.36 per share after the Wall Street Journal reported top officials at the bank are "weighing the possibility of auctioning off pieces of the financial giant or even selling the company outright." On Thursday, Citigroup stock had its worst day in history, falling 26% to 4.71. The company has lost 92% of its market value since May 2007. Citigroup's board of directors is scheduled to have a formal meeting on Friday to discuss options. CNBC reported that possible merger partners include Morgan Stanley and Goldman Sachs. Citigroup has long maintained that it has very strong capital and liquidity positions, something the company affirmed on Thursday. Other reports indicate Citigroup officials are in Washington asking regulators to reinstate bans on short-selling. Similar prohibitions were enacted in September. By Adam Button,
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, edited by Stephen Huebl,
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