What's up at Citigroup? Regional deals coming?

Well, it's not quite Wachovia, now is it? For that matter, it's certainly not Goldman Sachs, with which Citigroup had a chance to merge. The news that Citigroup is negotiating to buy Chevy Chase Bank, a mid-Atlantic bank, is sort of a let down. It indicates that growing its deposit base will require a piecemeal approach of bidding on multiple, smaller banks with uncertain results. Small wonder then that the Citigroup board is starting to put the heat on top executives. The infighting is heating up and that it has spilled into the media is a strong sign that all is not well. While some directors are reportedly in favor of replacing chairman Win Bischoff, the real issue is CEO Vikram Pandit. His honeymoon ended long ago. In hindsight, was passing on the Goldman Sachs opportunity a huge mistake? 

For more:
- here's a Reuters article

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