858a 3/19/01 4:33 PM Page cov2

2000 ANNUAL REPORT

> > > > > > > > > > > > LEAD. BY EXAMPLE. 858a 3/16/01 3:56 PM Page cov3

LEAD. BY EXAMPLE.SM

ACQUIRED SCHRODERS’ ACQUIRED BANK HANDLOWY, COMPLETED THE FORMATION ACQUIRED REMAINING INVESTMENT BANKING LEADING CORPORATE BANK OF CITISTREET, A 50/50 15 PERCENT OF TRAVELERS BUSINESS, CREATING IN POLAND JOINT VENTURE BETWEEN PROPERTY CASUALTY SCHRODER SALOMON STATE STREET CORPORATION SMITH BARNEY FORMED A PARTNERSHIP AND CITIGROUP WITH FUBON GROUP, ONE OF TAIWAN’S LEADING FINANCIAL SERVICES FIRMS

ACQUIRED ASSOCIATES PARTNERED WITH ACQUIRED SIGNIFICANT FIRST CAPITAL AND ITS AMERICA ONLINE AS INTEREST IN PENSION MORE THAN 2,600 A PREFERRED PROVIDER FUNDS, AFORE GARANTE BRANCHES ACROSS OF FINANCIAL PRODUCTS OF MEXICO AND SIEMBRA 15 COUNTRIES AND SERVICES GROUP OF ARGENTINA

> > > > > > > > > > > > > > > 858txta 3/16/01 3:51 PM Page 1

> > > > > > > > > > > > > > > > > > > > > > > > FINANCIAL HIGHLIGHTS

> CITIGROUP > SEGMENT INCOME In Millions of Dollars   % Change

> GLOBAL CONSUMER Banking/Lending , ,  Insurance , ,  Western Europe    Japan    Emerging Markets    Consumer Internet Investments(A) ⁽⁾⁽⁾⁽⁾ > TOTAL GLOBAL CONSUMER , , 

> GLOBAL CORPORATE AND INVESTMENT BANK Salomon Smith Barney & The Global Relationship Bank , ,  Emerging Markets Corporate Banking , ,  Commercial Lines Insurance ,   > TOTAL GLOBAL CORPORATE AND INVESTMENT BANK , , 

> GLOBAL INVESTMENT MANAGEMENT AND PRIVATE BANKING Citigroup Asset Management    The Citigroup Private Bank    > TOTAL GLOBAL INVESTMENT MANAGEMENT AND PRIVATE BANKING   

> ASSOCIATES , , ⁽⁾ > INVESTMENT ACTIVITIES(B) ,   > CORPORATE/OTHER ⁽⁾⁽⁾⁽⁾

> CORE INCOME , , 

Restructuring-related items and merger-related costs, after-tax ⁽⁾   Cumulative Effect of Accounting Changes(C)  ⁽⁾ 

> NET INCOME , , 

> NET REVENUE , , 

(A) Includes the results of e-Consumer and other consumer activities. (B) Includes the Company’s venture capital activities, the realized investment gains and losses related to certain corporate- and insurance- related investments, and the results of certain investments, in countries that refinanced debt under the 1998 Brady Plan or plans of a similar nature. (C) Refers to adoption of Statement of Position (SOP) 97-3, “Accounting by Insurance and Other Enterprises for Insurance-Related Assessments” of ($135) million; adoption of SOP 98-7, “Deposit Accounting: Accounting for Insurance and Reinsurance Contracts That Do Not Transfer Insurance Risk” of $23 million; and the adoption of SOP 98-5, “Reporting on the Costs of Start-Up Activities” of ($15) million. 858txta 3/16/01 3:51 PM Page 2

CITIGROUP IS  thousand employees

> > > > > > > > > DEAR FELLOW SHAREHOLDER,

IN A SHORT AMOUNT OF TIME, CITIGROUP HAS EMERGED AS THE MOST EXCITING

FINANCIAL SERVICES COMPANY IN THE WORLD, A PLACE WHERE CLIENTS WANT TO DO

BUSINESS AND EMPLOYEES WANT TO BUILD THEIR FUTURES. OUR INTENSE FOCUS ON

OUR CLIENTS AND EMPLOYEES HAS RESULTED IN RECORD PERFORMANCE FOR OUR

SHAREHOLDERS. >> 858txta 3/16/01 3:51 PM Page 3

>> JUST TWO YEARS AFTER CITICORP REPORTED INCOME OF $3.5 BILLION to maximize the incredible power 3 of technology—now and in the AND TRAVELERS REPORTED $2.9 BILLION, THE COMBINED COMPANY future. We broke out the emerging markets as a distinct business group HAS MORE THAN QUADRUPLED EACH OF THESE FIGURES. CLEARLY, to better serve the unique needs CITIGROUP IS NOT A LARGER VERSION OF TRAVELERS OR CITICORP BUT of these countries and elevate the business as a strategic priority. A NEW COMPANY ALTOGETHER, WITH MORE EXCITING GROWTH POSSI- This new management structure is designed to take advantage of the BILITIES THAN EITHER PREDECESSOR HAD ALONE. trends in global capitalism and the enormous opportunities in these Our achievements are the result Our return on common equity markets. The population in these of the energy and commitment of reached 24 percent. Importantly, countries is vastly underserved, and 230,000 people working in more your stock closed the year at $51.06, we enjoy a unique competitive than 100 countries. I am very up 22 percent—which was 28.4 per- advantage due to our long-standing proud of their efforts to make cent better than the performance of history of service there, our reputa- Citigroup the great company the Dow Jones Industrial Average. tion as the best place to bank, and we have built today, and the even What’s more, we have delivered to the unmatched array of products greater company we will build our shareholders a 110 percent total and services we offer. tomorrow. return on their investment over the last eight quarters. The new model of financial services > RECORD RESULTS we are building rests on three FOR OUR SHAREHOLDERS > 2000: LEADING pillars that, put together, give us Our record core income of $14.14 FROM STRENGTH significant advantage. First, we billion made us one of the most In an uneven year for the world’s have created more distribution profitable companies in the world, economies and stock markets, our channels—both physical and vir- with all of our businesses contribut- results continued to validate the tual—than any other company in ing to those results. We continue to new model we created to deliver financial services, serving customer build our recurring and predictable financial services to our 146 million segments across the entire wealth earnings; the quality and stability of accounts and unlock value for our spectrum. Second, we have created the profits we generated has never shareholders. And, we are working an unparalleled global footprint, been stronger. Our total equity to make that model even stronger. being locally embedded in more topped $71 billion (including trust than 100 countries and the leading preferred securities), giving us a During the year, we reorganized and nondomestic player in most. Third, superior capital position among streamlined the management of our the breadth of our products and financial services providers. This businesses and instituted an even services creates cross-service oppor- solid capital base provides us the deeper sense of financial discipline tunities through our global means to be both strategic and across the company. We entered distribution channels that are opportunistic, as well as endure and new markets and expanded our unavailable to any other company even prosper, during turbulent eco- consumer, corporate and investment in the industry. This unique combi- nomic times. banking businesses through organic nation of competencies gives us growth, key acquisitions and part- enormous strategic flexibility for nerships. We reorganized our entire growth. Internet effort to position Citigroup

CITIGROUP 2000 LETTER TO SHAREHOLDERS 858txta 3/16/01 3:51 PM Page 4

4 To strengthen our model, we under- Siembra in Argentina, Colfondos managers a thorough understand- took many acquisitions around in Colombia and Afore Garante ing of their businesses, assets and the world, the most prominent in Mexico, moving Citigroup into risks. Although we tightly manage of which are summarized below: a leading position in retirement our business to deliver on near- services in the region. term growth expectations, we also ■ Salomon Smith Barney completed look forward several years to posi- ■ its merger with Schroders, creat- We created the CitiStreet joint tion ourselves strategically for the ing a first-class Pan-European venture with State Street Bank changes, problems and opportuni- investment bank and moving and Trust Company to offer ties that lie ahead. Finally, as we Citigroup to a top-tier position in administrative, outsourcing and continually invest in our infrastruc- the European marketplace, where investment management services ture, we keep a close watch on capital markets are growing and for defined-contribution, pension, our overhead costs—we spend economies are restructuring. and health and welfare plans money like it’s our own. And in worldwide. ■ We globalized our consumer fact, it is— more than two thirds finance business and expanded > OUR BUSINESS PHILOSOPHY of our employees are now owners. our distribution channels by Few companies that have led the Our goal is 100 percent. acquiring Associates First Capital world in earnings would describe We are committed to increasing our and its 2,600 branches across themselves as a work in progress. bottom line on average by double 15 countries, making us the lead- The fact is, we are. As a company, digits—not including acquisitions. ing consumer finance company we are defining an identity that We have a global orientation but in the world, and broadening our is new in the marketplace and for with deep local roots in every mar- consumer operations into new ourselves. ket where we operate. And, we markets such as Japan and Europe. Key to our success has been the operate at the forefront of techno- ■ We acquired Bank Handlowy, the quality of our management team logical innovation, striving to deliver leading corporate bank in Poland, and the discipline with which we services seamlessly to our customers providing us with a great platform run our business. I believe we have across multiple delivery platforms. for growth in one of Europe’s assembled one of the finest senior > MANAGING COMPLEXITY fastest-growing economies, and a management teams in any industry Our size gives us enormous strategic base from which we may pursue or company, composed of individuals flexibility, but if not managed well, it further opportunities in Central with a long history with our prede- could neutralize growth and stifle and Eastern Europe. cessor companies, as well as newer creativity. Though many companies faces that bring fresh perspectives ■ have stalled, we have demonstrated We seized the global growth and thinking. Not only do these opportunities in insurance by join- we can be big, grow fast and remain leaders have deep insight into our nimble. Our track record over the ing forces with the Fubon Group businesses, they have a demonstrated to become leaders in the large and last few years demonstrates that we ability to turn those insights into can harness the advantage of size rapidly growing financial services results for both our customers and market in Taiwan, and to establish without getting bogged down by the our shareholders. It is a tightly knit baggage. Even as the most profitable a platform to expand our expertise team with superb business judgment. across other Asian markets. company in financial services, our The discipline that characterizes market share today is only about ■ We capitalized on the growing shift our senior management team three percent of the total global profit to privatized defined-contribution carries through every part of our pool. We are just getting started. pension plans in three key Latin organization. We demand from our American markets by acquiring

CITIGROUP 2000 LETTER TO SHAREHOLDERS 858txta 3/16/01 3:51 PM Page 5

As we grow, however, we remain their performance. They are more > A WORD OF THANKS 5 very conscious of the need to man- interested in teamwork than in I greatly appreciate the dedication age the organizational complexity politics. And, they lead by example, and hard work of our fellow direc- that size brings. We need to ensure giving credit to others for success tors. Vice Chairman Paul Collins that no matter how large we grow, and assuming personal responsibil- announced his retirement this past our people truly feel that each and ity for failure. Ours is a company for year. Paul was a valuable contribu- every one of them can make a dif- people who have a sense of urgency tor to our company and he will be ference. We want our people to and excitement, who are candid, missed. I also would like to express share a strong sense of pride in insightful and creative, and who my thanks to Edgar Woolard, Jr., Citigroup as well as in their partic- thrive in an environment of change, who left the board, for his dedicated ular business. We will continue challenge and competition. We service to the company. Finally, after to create a working environment value people who are committed to building the Associates into a major where bureaucracy is discouraged, excellence in what they do, and we, force in consumer finance and then entrepreneurial thinking is fostered in turn, are committed to creating merging it with Citigroup, Keith and where mistakes are tolerated, the best possible environment for Hughes will leave active service admitted to and addressed before them to thrive in. with the company. I wish him and they become real problems. his family all the best. > OUR ASPIRATION > OUR HIGHEST PRIORITY Looking ahead, we seek to be the I want to extend special thanks to There should be no doubt that our leader in global financial services, my good friend Bob Lipp. Bob led people are the key to our success now with market leadership in every one the way in building our consumer and in the future, for our customers of our major activities. We aspire business into one of the greatest and our shareholders, and that they to be one of the great companies in franchises ever. He has decided are our highest single priority. We the world, one that is completely to take a step back from day-to-day seek to provide an environment— client centered and provides unpar- operations and return to his role culture, job satisfaction, opportunity alleled levels of customer service as as Chairman of Travelers Property and compensation—that attracts and a means of protecting and building Casualty. He will continue to be an retains outstanding individuals all our business franchise over time. We important voice in the company. over the world. We embrace diver- seek to be known as the company Once again, I want to thank the sity, which is essential to our global with the highest standards of moral employees of Citigroup, whose pro- orientation. And above all, we insist and ethical conduct—working to fessionalism and dedication are key on a workplace founded on mutual earn client trust, day in and day to our growth and profitability, and respect, where everyone is treated out, through sound advice and whose ability to deliver value to our with dignity. shared wisdom. clients and shareholders is unques- Our objective is to create a meritoc- We are also dedicated to commu- tioned. It is to them that we dedicate racy where people are rewarded for nity service. We take a leadership this Year 2000 Annual Report. their performance. We want every role in communities around the employee to be a shareholder and world in which we operate. every employee to take the company We want every one of them to personally—to care about each be better because we’re there. We other, the quality of our products strive to build a company where and services, and their value to our the best people want to work and Sandy Weill clients and shareholders. The people to be the first choice of where cus- of Citigroup put customers first and tomers want to do business. That are constantly striving to improve is our vision for Citigroup.

CITIGROUP 2000 LETTER TO SHAREHOLDERS 858txta 3/16/01 3:51 PM Page 6

CITIGROUP lead. by example.

WE ARE AN ECONOMIC WE VALUE A WE VALUE WE ASPIRE TO BE ENTERPRISE WITH… WORKPLACE WHERE… PEOPLE WHO… KNOWN AS…

> a relentless focus on growth, > bureaucracy is discouraged, > take the company personally. > the leader in global financial aiming to increase earnings by entrepreneurial thinking is They care about each other, services with market leader- double digits on average, not fostered and decision making the quality of our products ship in every one of our major including acquisitions. is streamlined by an “open- and services, and above all, activities, and one of the great door” management style. their value to our clients and companies in the world. > a global orientation, but shareholders. with deep local roots in every > diversity is embraced, particu- > a company where the best market where we operate. larly in light of our globality. > are committed to a strong people want to work, and be work ethic and who are con- the first choice of where cus- > a highly diversified base of > mistakes are tolerated, admit- stantly striving to excel in tomers want to do business. earnings that enables us to ted to and addressed before serving their customers. prosper under any market they become real problems. > client centered, providing condition. > are more interested in team- unparalleled levels of customer > people are promoted on their work than in internal politics. service as a means of protect- > capital employed in higher- merits rather than on their ing and building our business margin businesses, each one of tenure, and rewarded for > lead by example, giving credit franchise over time. which is capable of profitable their performance within the to others for success and growth on a stand-alone basis. context of what they can per- assuming personal responsi- > an organization with credi- sonally control or influence. bility for failure. bility—doing what we say, > financial strength protected by reporting results and meeting financial discipline, enabling > people treat each other with > have a sense of urgency and expectations with accuracy us to take risks commensurate mutual respect and dignity. excitement, who demonstrate and objectivity. with rewards to capture attrac- candor, insight and creativity, tive opportunities. > people truly feel that, no and thrive in an environment > the company with the highest matter how large we grow, of change, challenge and com- standards of moral and ethical > a close watch on our overhead each and every one of us petition. conduct—working to earn costs, but a willingness to can make a difference. client trust, day in and day invest prudently in our infra- > are committed to excellence out. Our word is our bond. structure—we spend money in whatever they do. like it’s our own. > a company dedicated to the notion of community service, > a focus on technological inno- taking a leadership role in vation, seamlessly delivering every local community value to our customers across around the world in which multiple platforms. we operate, and making each community a better place because we are there. 858txta 3/16/01 3:51 PM Page 7

citigroup 

focus in their approach to their busi- 7 DEAR CITIGROUP SHAREHOLDER, ness. I have since found that those I HAVE BEEN AT CITIGROUP FOR ROUGHLY A YEAR AND A HALF—NOT characteristics define life every day at Citigroup. In a more placid period, VERY LONG, BUT LONG ENOUGH TO FORM SOME FAIRLY STRONG VIEWS that might simply be a positive; in this era of rapid and transformative ABOUT THIS INSTITUTION. >> change, it is requisite for success.

Citigroup is unique in today’s finan- I have encountered in each of our This past year has seen many mani- cial world. I think the evidence is business areas and in countries festations of this energy. Having clear that there is substantial value around the globe. The highest said that, there is no room for con- added for consumers, corporate priority now is to continue to tentment or indeed anything but a clients and investors in the ability move forward in attracting and dynamic commitment to constant to bring together in one provider motivating outstanding people, by improvement and constant forward the products, services and global providing an environment where motion. I believe this is a widely capacity relevant to each client the great strengths and breadth of shared view throughout Citigroup. project or need. This ability also this institution enhance each per- creates an extraordinarily exciting son’s potential for accomplishment My own activity has focused on and fulfilling environment for out- and fulfillment. We must, in addi- working with Sandy and the standing professionals. tion, continue to build the sense Management Committee on strate- of teamwork and mutual endeavor gic and managerial issues, acting The challenge now—recognizing all across products and across borders. as a sounding board for others, that has already been accomplished— serving with Sandy as the reporting is to realize the immense potential I believe that ours is an era of his- point in the corporate strategic and that lies ahead. This is far from a toric economic change, with the proprietary investment functions, simple matter. But our future is reduction of barriers to cross- and working with clients. in our own hands. We have the border trade and capital flows, the ability—given our strengths, our spread of market-based economics All of this has reinforced both resources, and our global and around the globe, the growth of my respect for what has been product positions—to create an many developing economies and accomplished and my belief in the unrivaled ability in the years ahead the ongoing development of trans- promise and potential of Citigroup. to meet customer needs, provide formative technologies. All of this I look forward to working with fulfillment for our people and cre- will continue to create great oppor- Sandy, the management team and ate shareholder value. tunities, but also real risks, for the people of Citigroup for a long financial institutions. The key to time to come in building this I have been impressed by the success will be a dynamic mindset extraordinary institution for the progress in bringing the constituent with respect to strategy, along with benefit of our customers, our parts of Citigroup together and in sound and sensible decisions on people and our shareholders. developing effective management a financial institution’s strategic, processes for this vast and unprece- managerial and operational issues. dented complex of capacities and geographies, though certainly much When I first spoke to the senior peo- Robert E. Rubin work lies ahead in both areas. ple at Citigroup about coming here, I have also been struck by the qual- I was impressed by the enormous ity and commitment of the people energy and the forward-looking

CITIGROUP 2000 SHAREHOLDER LETTER 858txta 3/19/01 4:46 PM Page 8

CITIGROUP HAS  million accounts

> > > > > > > > > GLOBAL CONSUMER

IN 2000, THE GLOBAL CONSUMER BUSINESSES ADDED STRENGTH TO AN ALREADY

STURDY FOUNDATION, A FOUNDATION THAT COMPRISES THE FINANCIAL SERVICE SEC-

TOR’S MOST DIVERSE CONSUMER PRODUCT OFFERINGS AND DISTRIBUTION PLATFORMS,

INDUSTRY-LEADING ADVANCED TECHNOLOGY, A STRONG WORLDWIDE PRESENCE AND A

POWERFUL GLOBAL FRANCHISE IN CITIBANK. >> 858txta 3/16/01 3:51 PM Page 9

CITIBANK ONLINE IS RANKED NUMBER ONE AMONG ONLINE BANKS BY GOMEZ ADVISORS AND CITIBANK.COM IS THE HIGHEST-RANKED CONSUMER WEB SITE BY FORRESTER RESEARCH.

>> OUR STRATEGY FOR GROWTH IS BASED ON LEVERAGING THESE in 2000. Sales totaled $43 billion, 9 and globally, assets under manage- STRENGTHS THROUGH CONTINUED EXPANSION IN THE DEVELOPED ment grew to $133 billion, making AND DEVELOPING WORLD, INTERNAL OPPORTUNITIES, STRATEGIC us one of the leading providers of investment products around ACQUISITIONS AND BY PROVIDING CONSUMERS WITH INCREASED the world.

ACCESS TO OUR PRODUCTS. > INSURANCE EXPANDS Citigroup continued its strategic > GLOBAL CARDS REACHES was demonstrated when investment in the insurance busi- 100 MILLION ACCOUNTS the CitiFinancial system was ness, acquiring the outstanding In credit cards, we accelerated our integrated rapidly throughout shares of Travelers Property global growth through ten strategic the former Associates branch Casualty. In addition, both princi- acquisitions, including Associates network in the U.S. pal insurance businesses, Travelers First Capital. These actions firmly Insurance and Primerica, contin- > placed Citigroup in the top posi- THE CONSUMER BANKING ued to demonstrate the power TRANSFORMATION tion in credit and charge cards, of our strategy, using our diverse In Citibanking North America, and among the leaders in private proprietary distribution channels we made excellent progress in label cards, bringing our total card to provide Citigroup products to developing our branch operations account base to 100 million. The a wide spectrum of consumers. technology platforms on which as a distribution channel for finan- these accounts are managed offer cial products from other Citigroup Travelers’ homeowners and auto opportunities to build on our best- businesses. We launched a staff insurance sales are strong and in-industry cost position and training program that produced growing, boosted by a revitalized efficiently leverage further global a cadre of licensed sales profes- independent agent support SM expansion. sionals. Also, Citipro and program, expansion of our non- ® CitiBusiness Solutions Review— standard auto program and sales > CONSUMER FINANCE which address the needs of to Citigroup credit card customers. TAKES TOP U.S. POSITION individuals and small business Because this market is experienc- CitiFinancial grew substantially owners—achieved solid results. ing rising loss costs, Travelers is as a result of the Associates acqui- For example, in 2000, we applying the same underwriting sition, which added 750 branches expanded the sale of mutual discipline used to combat the and catapulted CitiFinancial funds and annuities. commercial market rate declines into the number-one spot in the of the 1990s. In addition, North American market. In its > INVESTMENTS Travelers has instituted programs first major expansion outside The consumer investment business to increase customer retention North America, CitiFinancial is an integral part of our strategy and broaden customer access gained a strong foothold in to offer a broad range of financial to our products through the Europe and Japan. Again, the products to our customers, and Internet. power of our technology platform we made substantial progress

CITIGROUP 2000 GLOBAL CONSUMER 858txta 3/16/01 3:51 PM Page 10

,,,

>> THE U.S. DOLLAR AMOUNT OF REAL ESTATE LOANS ORIGINATED BY MORTGAGE BANKING IN 2000.

10 In the life and annuities businesses, services. To capitalize on these characteristics, a new, separate business Travelers achieved a 19 percent group, Emerging Markets, was formed to bring a singular management increase in individual annuities focus to the consumer and corporate businesses in these geographies sales, principally through (see Emerging Markets section, p. 16). independent producers and pro- prietary distribution channels; > MARKETING THE CITIGROUP BRANDS introduced new life insurance During 2000, Travelers increased its advertising with new commercials products; and expanded relation- designed to bolster the Travelers brand and support its independent ships with our leading indepen- agents. Citibank and Citi® Cards initiated their first major campaigns dent producers to achieve a 25 in several years, representing our confidence in the expanded advisory percent increase in individual life services offered in our branches. These campaigns, tag lined “Live insurance sales. Richly,SM ” are intended to reach those who seek balance between lifestyle needs and financial security. > INTERNATIONAL FOCUS In 2000, we took our first major > EXTENDING OUR REACH ON THE INTERNET steps to build out our insurance We recognize the Internet as a growing channel that has already allowed us business via a strategic alliance to engage more than eight million accounts online. This year, we debuted with Fubon Group, a leading Citibank® Online, which integrates our previous services, Direct Access® financial services company in and Citi f/i. The success of our personal online banking service can be Taiwan. And in 2001, Primerica measured by our more than 600,000 customers in the U.S. and via the will build on Citigroup’s existing number-one Internet Bank ranking from Gomez Advisors and Forrester market presence and local know- Research. ledge in Europe with the development of its independent To fill out the spectrum of Citigroup’s consumer brokerage businesses, sales force distribution model we introduced Cititrade®. The service allows self-directed investors in Spain. to trade stocks, options, mutual funds and bonds even during after- hours trading. Research for Cititrade is powered by Salomon Smith In Latin America, Asia, Central Barney, enhancing the service’s value for customers. and Eastern Europe, the Middle East and Africa, we offer mostly The launch of MyCiti® established Citigroup as the first major financial banking services, a result of services company to offer account aggregation. Consumers can access Citibank’s historical presence. a wide range of online accounts in one location, using one password. The country profiles of these markets indicate GDP growth far Responding to the growing need to make payments or send money SM in excess of other regions as well online, Citigroup introduced c2it. c2it allows individuals to send as a faster-growing and younger money to anyone with an e-mail address—a revolutionary product population in need of financial that epitomizes our intent and ability to lead by example.

CITIGROUP 2000 GLOBAL CONSUMER 858txta 3/16/01 3:51 PM Page 11

The Internet has become an important channel for the Mortgage 11 Banking businesses, with more than $3.8 billion in mortgage, home equity and student loans booked online, representing 15 percent of the division’s total business in 2000.

Additionally, we developed an alliance with America Online in the U.S. to extend our products and services to the 27 million customers of AOL, the world’s largest Internet service provider.

Travelers launched Atlas3 to give its independent agents the ability to quote and issue policies using the Internet to access Travelers systems. For Life & Annuity agents, the company built a “virtual office” that ,, provides marketing materials online.

> LEVERAGING “MANUFACTURING” AND DISTRIBUTION >> CALLS RECEIVED BY CITI CARDS We achieved significant increases in revenue across all major consumer IN THE U.S. EVERY YEAR. businesses from sales of products through other Citigroup channels. At year-end, Travelers Insurance had sold $5.1 billion in annuities through Citibank, Primerica, Salomon Smith Barney (SSB) and CitiStreet. Homeowners and auto insurance sold to Citi credit card holders reached $32 million in premiums. Primerica sold $1.8 billion in mutual funds from Citigroup Asset Management, and CitiFinancial extended $2.3 bil- lion in home equity and debt-consolidation loans to Primerica customers and Citi credit card customers. Mortgage operations sold $1.7 billion of first mortgage and home equity loans at SSB, with 50 percent of SSB’s Financial Consultants participating in the program.

> LOOKING AHEAD Each of our businesses represents a strong base on which to build— through acquisitions and through sales of Citigroup products using our extensive network of proprietary channels. We also have the potential to realize significant operating efficiencies by leveraging our industry-leading technology platforms as we grow internationally. These platforms power our transaction processing, recordkeeping, and Internet initiatives and make it possible to expand sales of our products and enter new markets at low cost. The key to success continues to be how well we use our strengths in technology, product knowledge, innovation, our global pres- ence and the powerful Citibank brand name.

CITIGROUP 2000 GLOBAL CONSUMER 858txta 3/19/01 5:15 PM Page 12

CITIGROUP TRADES IN  currencies

> > > > > > > > > GLOBAL CORPORATE & INVESTMENT BANK

IN 2000, CITIGROUP’S GLOBAL CORPORATE & INVESTMENT BANK EMERGED AS THE PRE-

MIER ORGANIZATION FOR MEETING ALL THE FINANCIAL SERVICES NEEDS OF

CORPORATIONS, GOVERNMENTS, AND INSTITUTIONAL AND INDIVIDUAL INVESTORS

AROUND THE GLOBE. >> 858txta 3/16/01 3:51 PM Page 13

THE GLOBAL PRIVATE CLIENT GROUP REPORTED MORE THAN $1 BILLION IN NET INCOME (USD) IN 2000.

>> THE SUCCESSFUL INTEGRATION OF MULTIPLE ACQUISITIONS, BRINGING presence, particularly in the 13 emerging markets, where Citibank TOGETHER UNMATCHED PRODUCT AND SERVICE CAPABILITIES, ALONG has a presence unmatched by any WITH UNPARALLELED GEOGRAPHIC PRESENCE, HAS CREATED THE financial institution. We opened investment banking offices in INVESTMENT AND CORPORATE BANKING MODEL FOR THE Manila and Mumbai, among other locations. We also expanded our 21ST CENTURY. Taipei office and assumed full control of our joint venture with > BEST IN CLASS and undersea cable company, Korea Exchange Bank. We continue to be gratified by the a transaction that demonstrated considerable industry recognition our leading-edge capabilities in Our powerful combination of our organization has received. In equities, debt, lending, foreign product and geographic presence 2000, we were named “Bank of exchange, asset finance, deriva- in more than 100 countries has the Year” for the second consecu- tives and securitization. made us a recognized leader. tive year by International Financing By creating a distinct Emerging Review, and “Investment Bank of > GEOGRAPHIC STRENGTH Markets organization, Citigroup the Year” by Investment Dealers’ Foremost among our achieve- recognizes the enormous potential Digest, two of our industry’s most ments in 2000 was the merger for continued growth in these key coveted awards. We consider this with Schroders Investment Bank, markets (see Emerging Markets recognition—along with the many which more than doubled our section, page 16). others—a testament to the vision investment banking and equities of our management team, the footprint in Europe. As the final > EXECUTION EXCELLENCE hard work of our employees and, critical building block for our During 2000, we achieved our most important, the results we are global platform, it set the stage goal of establishing a leading capi- achieving for our clients. for our record year in the region, tal markets platform in all our during which we catapulted to products and geographies to serve > POWER OF ONE top-tier status in every business. our corporate, sovereign and insti- Citibank’s Global Relationship Similarly, our Nikko Salomon tutional investor clients. While Bankers and Salomon Smith Smith Barney joint venture, overall it was a year of challenging Barney’s Investment Bankers work which launched in March 1999, capital and credit markets, our together to meet the needs of our has already established itself as ability to execute transactions for more than 2,500 corporate and one of the leading investment clients in difficult conditions set institutional clients around the banks in Japan, with more than us apart. globe. This demonstration of the a 30 percent share of the equity “Power of One” paid enormous issuance market. Our truly global fixed-income dividends in 2000, generating a platform provides clients with 40 percent increase in revenues in As we continued to expand our solutions in all products, curren- jointly covered relationships. One investment banking business cies, time zones and market of many examples was our role in globally, we leveraged our long- conditions. One example of its Tyco’s spin-off of its fiber optics established corporate banking success is that we managed the

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,,,

>> THIRD-PARTY ASSETS OF CITIGROUP IN CENTRAL AND EASTERN EUROPE.

14 highest dollar volume in jumbo bonds of any of our competitors. Similarly, TheMuniCenter.com, each cre- our global leadership in sales and trading of equities allowed us to com- ated to provide greater liquidity plete offerings in challenging markets, including NTT’s ¥1.2 trillion and transparency in the second- follow-on, Japan’s largest secondary offering of the year. Our municipal ary markets. In addition, the finance business continued to be a leader, as well. creation of TheMarkets.com gave clients broader access to the latest We made great progress in the growth of our advisory business, with a market information, including global M&A market share exceeding 20 percent. Particularly noteworthy our own award-winning research. was our role as advisor to AOL in its merger with Time Warner—the largest merger in history. > TRAVELERS INSURANCE 2000 was particularly significant Other significant transactions included: for Travelers and the commercial insurance industry. After a decade ■ AT&T Wireless’s $10.6 billion IPO, the largest offering in U.S. capital of declining pricing, particularly markets history; in the middle market, our disci- ■ Telmex’s $1.84 billion secondary offering, the largest nonprivatization plined underwriting approach, equity deal in the emerging markets last year; applied so effectively during the declining market, is now produc- ■ British Telecom’s $10 billion global bond offering, the largest dollar- ing significant gains in a rising denominated deal in the investment-grade corporate bond market; one. Our success allowed us to ■ Vodafone Airtouch’s $5.25 billion multicurrency jumbo bond offering; make significant investments in ■ Pidemco Land and DBS Land, the largest-ever M&A deal between two technology, further strengthening Singapore companies, and one in which we were sole advisor for both our competitive position. companies; and ■ the $23.7 billion Bestfoods/Unilever merger. Today, Travelers Commercial Lines, at more than $1 billion in Our number-one position in global project finance was further strength- core operating income, is a leader ened by our role in the highly acclaimed $1 billion Al Taweelah A1 in all major commercial product transaction in the United Arab Emirates, which earned the company six categories. With a strong emphasis “Deal of the Year” awards. As a result of our lead role in such prominent on the profitable and growing transactions as Abbey National-Holmes financing and Punch Taverns, specialty accounts market, our our securitization business now leads the market in both the U.S. and acquisition of the Reliance surety Europe. And our top-rated foreign exchange, asset finance and warrants business this year definitively businesses continue to offer the most comprehensive product range, positioned Travelers as the leader geographic access and cross-border expertise in the marketplace. in this field as well.

> E-COMMERCE In a year with tremendous activity on the e-commerce front and increas- ing client demand for efficient and innovative electronic solutions, we led the way in developing consortia across all our capital markets businesses. Among them were Atriax, BondBook, Volbroker.com and

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> GLOBAL PRIVATE CLIENT GROUP Our Global Private Client Group continued to distinguish itself in 2000 as one of the highest-quality and fastest-growing wealth management businesses in the financial services industry. As major investments in technology and training continued, the business achieved its best year ever, with record net income surpassing $1 billion.

In the U.S., we employ a record 12,127 Financial Consultants (FCs), an increase of 800 over last year. Productivity per FC reached an all-time high, and $89 billion of net new money was entrusted to SSB, which ended the year with nearly $1 trillion in total client assets. Sixteen percent of all affluent U.S. households already have a relationship with SSB’s Private Client Group, and our market share continues to grow.

The Private Client Group continued its focus on technology to enhance  client service and increase FC productivity. We completed a national rollout of new FC workstations with upgrades in capacity, functionality >> COUNTRIES AND TERRITORIES IN WHICH ® and usability. SSB Access, our client Internet offering, was dramatically WORLDWIDE SECURITIES SERVICES enhanced, with enrollment surpassing 1.6 million client accounts and SERVES GLOBAL ISSUERS, INVESTORS daily site visits reaching a peak of 16 million, five times the 1999 high. AND INTERMEDIARIES. Client enthusiasm for fee-based financial services also grew rapidly, as total client assets under fee-based management surpassed $200 billion, > MOMENTUM representing 20 percent of total assets and more than one third of In terms of absolute profits, our total revenues. success in 2000 made us the largest corporate and investment Salomon Smith Barney FCs continued to take advantage of their access bank in the world. We enter 2001 to Citibank on behalf of their clients, selling a full range of products with tremendous momentum. and services, including a record $2 billion in Private Bank and Citibank World class in every product and consumer loans and mortgages and $1.8 billion in Travelers annuities. geographic region, and a source of strength during all types of Two acquisitions completed in 2000 reinforced our growth strategy. The market conditions, our focus now purchase of HSBC’s retail brokerage business in Australia enabled us to is to build on our long-term rela- benefit from the continued growth of personal financial services in the tionships. By offering clients an Asia-Pacific region. Also, our acquisition of AST StockPlan Inc., coupled even greater array of solutions with our existing Stock Plan Services Group, created an end-to-end consistently and seamlessly, we resource to serve a diverse clientele, ranging from pre-IPO companies strive to become a more perma- to Fortune 500 firms. SSB now manages more than 1,000 stock plans nent and strategic part of their serving some 2.6 million individual plan participants. decision-making process, and their primary financial services provider.

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CITIGROUP IS PRESENT IN  countries

> > > > > > > > > EMERGING MARKETS

CITIGROUP, PRINCIPALLY THROUGH CITIBANK, HAS A LONG AND UNRIVALED HISTORY

AS A PROVIDER OF FINANCIAL SERVICES THROUGHOUT THE WORLD. OUR GLOBAL FOOT-

PRINT INCLUDES 79 EMERGING MARKET COUNTRIES IN ASIA, LATIN AMERICA, CENTRAL

AND EASTERN EUROPE, THE MIDDLE EAST AND AFRICA. THIS ON-THE-GROUND PRES-

ENCE IS UNIQUE AMONG FINANCIAL INSTITUTIONS AND GIVES CITIGROUP A POWERFUL

ADVANTAGE IN DELIVERING THE MOST DIVERSE ARRAY OF PRODUCTS AND SERVICES TO

THE BROADEST RANGE OF CLIENTS. >> 858txtb 3/16/01 3:54 PM Page 17

CITIGROUP HAS HAD A PRESENCE IN ASIA FOR 99 YEARS.

>> IN RECOGNITION OF THE TREMENDOUS EXPANSION OPPORTUNITIES IN > SERVING OUR CLIENTS 17 Our clients in the emerging mar- THE EMERGING MARKETS, CITIGROUP CREATED A DISTINCT ORGANIZA- kets include individuals, local TION IN 2000 TO FOCUS SINGLE-MINDEDLY ON OUR BUSINESSES THERE. corporations and institutions. We deliver a full range of corporate banking services—local accounts, The story in the emerging markets than any firm in our industry, treasury services, corporate centers on growth—realized and allowing us to grow even during financing—locally, regionally potential. Toward this end, our times of economic uncertainty. and globally. We bring this same new organization brings together expertise to the multinational the local consumer and corporate Our on-the-ground presence subsidiaries of Citibank’s Global businesses in each of these attracts corporate and consumer Relationship Bank clients, provid- countries, allowing us to build clients looking for security, stabil- ing them with in-depth knowledge synergies and efficiencies across ity, trust and a global firm that of local markets and an ability to the two businesses, streamline understands local conditions. deliver on-the-ground solutions. our infrastructure and accelerate Our network of relationships with We also partner with Salomon our own growth. This new unit also local companies and governments Smith Barney in developing M&A includes two global corporate busi- gives us a solid grounding for Advisory and Equity offerings in nesses: e-Business and Worldwide conducting business and assessing these growing capital markets. Securities Services. In all these risk. And, our long tradition as businesses, we are committed to a global enterprise has fostered a Our long presence in many of expanding our e-commerce pres- corporate culture that is at home these markets and our use of ence, with rapidly growing B2B, everywhere in the world. local talent make us function B2C and B2B2C activities already in as a “local” bank. Through our the market, and a pipeline of new The economic momentum in the branches, we offer individuals services ready for delivery in 2001. emerging markets and their highly personal service and all the other attractive demographic profile advantages of a local bank. Our No financial company in the translate into tremendous revenue consumer clients benefit from our world is positioned as well as opportunities in banking, insur- size and global expertise, which Citigroup is to reap the rewards ance, investments and securities— gives them access to the financial of the $1 trillion emerging market our core businesses. We are and technological power of a large revenue opportunity. We are the already a major factor in these money-center bank, including bank of choice in most of these markets and are ready to bring world-class services such as credit markets, where our powerful our business to the next level, one cards and investments. And, our brand name and strong balance that only a company the size and global platform allows us to intro- sheet provide an enormous com- depth of Citigroup can attain. duce a continuous stream of new petitive advantage in building our and innovative products quickly business and responding to com- and more cost-effectively than our petitors. We have more capital competitors can.

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18 > BUILDING THE FRANCHISE Our strategy is to be a local bank in every country where we do business, with roots as deep and broad as any indigenous institution. This strategy focuses around several business goals and initiatives: increasing our market share beyond our current average three percent over the next five years, through organic growth and acquisitions; serving a broad local customer base, both corporate and consumer; offering a diverse set of products; providing consistent long-term commitment to our business and our clients; demonstrating good corporate citizenship, with unwa- vering commitment to the communities where we do business; and developing senior management from local populations. We have talented local staff and are viewed as the best employer in the emerging markets.

> ACQUISITIONS  In addition to our strong organic growth, our businesses made a number of strategic acquisitions in 2000 to add to our momentum. Our acquisi- >> EMERGING MARKET COUNTRIES IN tion of Bank Handlowy in Poland moved us rapidly from a very small WHICH CITIGROUP DOES BUSINESS. presence to a 13 percent market share in Poland and a consumer network share expected to reach five percent over the next few years. Similarly, investments in EFG Hermes in Egypt; Siembra Group, Afore Garante and Colfondos in Latin America; and Fubon in Asia expanded our prod- uct offerings and reinforced our new model for global financial services.

> E-BUSINESS Our e-Business unit provides comprehensive e-commerce solutions for corporations and financial institutions seeking global, cost-effective and innovative ways to “Web-enable” their terrestrial businesses. Citibank e-Business solutions focus on integrating existing, end-to-end liquidity management, cash management and trade finance capabilities with Internet-based exchanges, software solutions, e-marketplaces, logistics and financial services.

Our vision is to become the world’s leading e-business enabler by provid- ing Web-based solutions for our clients. To help fulfill this vision, we formed strategic alliances with Commerce One and Oracle Corporation, became a founding partner of FinancialSettlementMatrix.com, and aligned with a number of renowned technology providers.

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CitiDirect® online banking, our > LOOKING AHEAD 19 Web-based platform, delivers a In 2001, we will focus on expand- comprehensive array of transac- ing our credit card and consumer tion services to global corporate finance businesses. The acquisition clients in four languages and 58 of Associates First Capital lays countries. In the coming months, some of the groundwork for this we will extend the number of lan- initiative. Given that only guages and services to ensure that, one percent of GDP is spent on through CitiDirect, our clients can insurance in the emerging mar- reach us worldwide. kets—versus nine percent in the OECD—the opportunities to > WORLDWIDE SECURITIES expand our insurance business Worldwide Securities Services are substantial, and we have the includes four product sets: products and resources to make Custody, Clearing, Agency and significant inroads. The trend  Trust, and Depositary Receipts. toward pension privatization in We are building market share in these markets offers exceptional >> PERCENTAGE OF THE WORLD’S LAND every one of these sectors. Total opportunities to expand our asset MASS AND POPULATION COVERED BY assets under custody grew by management business. In the OUR EMERGING MARKETS BUSINESS. some ten percent in 2000, and e-commerce space, our goal is to now stand at $4.3 trillion. be the leading Internet financial We are number one in Clearing, services company, as embedded on number two in Agency and Trust, the Web as we are on the ground. and our leadership is acknowl- edged in numerous surveys We have the resources and talent (number-one global network by in place to widen our product Global Custodian magazine, offerings, broaden our customer number one in Asia Custody by base and expand our distribution Global Investor magazine, and channels. At the same time, we “Best Straight Through Processing have put together a strong staff Bank” by STP magazine). In dedicated to serving corporate 2001, we will further develop and consumer clients and are our Internet delivery platform building on our three superb with CitiDirect for Securities, platforms: product, presence which will allow our issuer, and distribution. intermediary and investor clients to conduct all their critical busi- ness via their Web browsers.

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CITIGROUP HAD CORE INCOME OF . billion dollars

> > > > > > > > > GLOBAL INVESTMENT MANAGEMENT & PRIVATE BANKING GROUP

ONE OF THE WORLD’S LEADING WEALTH MANAGEMENT ORGANIZATIONS, CITIGROUP’S

GLOBAL INVESTMENT MANAGEMENT & PRIVATE BANKING GROUP PROVIDES INVEST-

MENT MANAGEMENT AND RELATED SERVICES TO A BROAD SPECTRUM OF CLIENTS

AROUND THE WORLD, FROM BEGINNING INVESTORS TO WEALTHY INDIVIDUALS AND

LARGE INSTITUTIONS, BOTH PUBLIC AND PRIVATE. >> 858txtb 3/16/01 3:54 PM Page 21

THE CITIGROUP PRIVATE BANK, ONE OF THE LARGEST PRIVATE BANKING BUSINESSES IN THE WORLD, HAS MORE THAN 90 OFFICES WORLDWIDE.

>> THE CITIGROUP PRIVATE BANK PROVIDES PERSONALIZED WEALTH unique in the marketplace. For 21 example, our highly successful MANAGEMENT SERVICES FOR AFFLUENT CLIENTS, AND RANKS AMONG Family Advisory Practice helps our THE VERY LARGEST GLOBAL PROVIDERS TO HIGH-NET-WORTH INDIVID- most affluent clients deal with the issues raised by wealth, from busi- UALS AND FAMILIES, BASED ON TOTAL BUSINESS VOLUME. ness succession to philanthropy, and our Art Advisory Practice Citigroup Asset Management is approach to grow and preserve helps our clients select, price, the ninth-largest U.S.-based assets for both short-term investing negotiate, finance and preserve money management group as and multigenerational transfers. art and antiques. With this based on global assets under As markets become more complex unprecedented scope of service, management. Global Retirement and volatile, the Citigroup Private the Private Bank is fast becoming Services includes CitiStreet, Bank has become a trusted partner the global advisor of choice. the third-largest U.S. defined- to help clients manage, grow and contribution plan servicer, and preserve wealth around the world. > CITIGROUP ASSET Emerging Markets Retirement MANAGEMENT Services, which is the second- When it comes to the breadth Citigroup Asset Management is largest pension administration and depth of investment choices rapidly becoming the destination business in Latin America, based offered to clients, the Private Bank of choice for the “serious moneySM” on total participants. stands far above industry competi- —the core holdings—of institu- tors. Our acquisition of Winter tions and individuals around the > THE CITIGROUP PRIVATE BANK Capital in 2000, one of the most world. The broad array of prod- The Private Bank’s goal is to respected names in wealth advi- ucts—mutual funds, managed deliver our products and services sory, is a major enhancement in accounts, and private and institu- to our clients anytime, anywhere providing the very best investment tional portfolios—caters to the around the world, through our options custom-tailored to clients’ needs of every class of investor. more than 90 offices in 32 coun- needs. In 2001, the broad spec- Citigroup Asset Management tries. Our clients include many trum of Citigroup’s services also enjoyed a solid 2000. Assets under of the world’s most influential will be available to our clients management topped $400 billion, entrepreneurs, families and senior around the world. up six percent over 1999. For the corporate executives. year, Citigroup Asset Management’s Our clients’ needs do not begin units received $23 billion in net The Private Bank offers a set of and end with investment products. flows into mutual funds and capabilities to our clients equal To meet those needs, the Private managed accounts, a strong per- to those that Citigroup provides Bank provides a full range of formance during a negative year large institutions globally. The top-tier financial capabilities that in many markets. Private Bank’s rigorous and disci- include trust services, structured plined approach to investing lending and banking, foreign The institutional asset manage- allows each client to match return exchange, equity derivatives and ment arm of Citigroup Asset expectations with minimum risk private equity. The Private Bank Management, serving clients exposure. Our clients utilize this also has many services that are around the world, offers a full

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array of equity, fixed-income, balanced and alternative products and investment strategies. Institutional clients include corporations, public and private pension funds, insurance companies, governments, unions, ,, endowments, foundations, central banks and supranational organizations. These clients recognize us as a “thought leader” capable of providing an advantage in today’s complex markets. >> AVERAGE NET WORTH OF CITIGROUP PRIVATE BANK CLIENTS IN THE U.S. The institutional asset management group is supported by a state-of-the- IN 2000. industry research effort. We are building one of the strongest buy-side research platforms in the industry. The group, which boasts 150 analysts and associates engaged in fundamental and quantitative research, has been heralded by Forbes Global magazine as “The Wizards of Stamford” (after its Connecticut location).

We augmented this recognition with an ad campaign featuring the top fund managers in our Smith Barney Mutual Fund family, our main brand in the U.S., using the tag line: “Your Serious Money. Professionally Managed.SM ”

In U.S. markets in 2000, Citigroup Asset Management consolidated several fund brands under the Smith Barney name. This sharpened our focus by making Smith Barney our primary advice-sold brand in all of Citigroup’s retail U.S. distribution channels. The move produced immedi- ate results, most dramatically in Citibank branches in the U.S., where the Smith Barney funds were sold for the first time.

In addition, our separately managed account business, which serves the investment needs of our most affluent clients, has grown significantly and now totals more than $60 billion in assets under management.

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> GLOBAL RETIREMENT SERVICES Citigroup’s Global Retirement Services (GRS) is becoming a major player > CITIGROUP GLOBAL in the pension and retirement services business worldwide. In April INVESTMENTS 2000, GRS completed its joint venture with State Street Bank & Trust Citigroup Global Investments manages a $10 billion Citigroup port- Company. Called CitiStreet, the company offers administrative, out- folio that returned $1.4 billion in net sourcing and investment management services for defined-contribution, income in 2000. It also manages pension and health-and-welfare plans worldwide. CitiStreet now stands $140 billion in our insurance assets, as the third-largest defined-contribution administrator in the U.S., with the Citigroup Pension Fund, and our more than five million plan participants. With workers continuing to clients’ money through Travelers change careers and employers at an unprecedented pace, CitiStreet is Asset Management International well placed to take advantage of large-scale IRA and 401(k) rollover Corporation LLC (TAMIC) and opportunities. Alternative Investment Strategies. By managing a portfolio that’s nearly as Outside the U.S., we are building a strong base in private pension admin- diversified as Citigroup itself, Global istration, particularly in Latin America. We now hold the number-two Investments has achieved consis- market position in Latin America, with more than 6.5 million plan tently solid results year after year. participants. We completed a series of transactions in 2000 that gave us In fact, Global Investments has been significant interests in pension companies in several markets, including a positive contributor to Citigroup’s Argentina, Colombia, Mexico and El Salvador. total earnings for more than 30 consecutive quarters, even under Throughout the world, most notably in Europe and Japan, a combination challenging market conditions— of generous welfare states and aging populations means there will be a testament to the skill and discipline shortage of workers to support pay-as-you-go Social Security retirement with which the portfolio is managed. systems. Drawing upon its experience and resources, GRS stands ready to assist individuals and institutions around the world with innovative Citigroup Global Investments applies pension and retirement services. Citigroup’s in-depth knowledge of geographies, industries and clients, and makes direct equity investments in a range of companies worldwide. Investments are managed across four categories: Citicorp Venture Capital, U.S. Proprietary and Alternative Investments, Fixed Income and Emerging Markets. Together, these investments convert two of Citigroup’s greatest strengths— its financial expertise and global presence—into increased share- holder value.

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CITIGROUP SPANS  continents

> > > > > > > > > INTERNET OPERATING GROUP

WITH MORE THAN EIGHT MILLION ACCOUNTS ONLINE, CITIGROUP IS USING THE

INTERNET TO STRENGTHEN ITS GLOBAL FRANCHISE. THE INTERNET IS AN IMPORTANT

DISTRIBUTION CHANNEL, COMPLEMENTING OUR BROAD PHYSICAL PRESENCE; IT ALSO

HAS THE POWER TO FUNDAMENTALLY CHANGE THE WAY WE DO BUSINESS. >> 858txtb 3/16/01 3:54 PM Page 25

CITIGROUP MANAGES 8.2 MILLION ONLINE ACCOUNTS.

>> IN 2000, WE MADE SIGNIFICANT STRIDES IN USING THE INTERNET AND participating in leading industry 25 consortia, including CitiFXSM ELECTRONIC COMMERCE FOR THE BENEFIT OF OUR CLIENTS, EMPLOYEES Interactive, SSB Direct and AND SHAREHOLDERS. WE CALL OUR STRATEGY “CITI ON THE NET”— SSB Global Equities Online, as well as Atriax, BondBook and A FOCUSED EFFORT TO DELIVER CONVENIENCE AND VALUE TO TheMarkets.com.

OUR CLIENTS AND GREATER EFFICIENCIES TO OUR BUSINESSES Strategic alliances are a key feature (YOU CAN VISIT “CITI ON THE NET” AT WWW.CITIONTHENET.COM). of our approach to the Internet and we established strategic part- nerships with AOL and Oracle. > DRIVING “e” ACROSS Citigroup became the first major CITIGROUP financial services firm to offer One of our largest opportunities The Internet Operating Group account aggregation. Citibank is to increase operating margins (IOG) was created to drive our Online was relaunched and has by adopting common business Internet strategy and coordinate won a number of industry awards. processes using the Internet and efforts across all our businesses. We introduced c2it, an e-mail- other technologies. This is a major We created new Internet units based money transfer system priority for 2001 and beyond. to empower the business lines: representing the first step in our e-Consumer, e-Business and effort to make “person-to- In summary, we have opportunities e-Capital Markets. We restructured anywhere” payment capabilities to use new technology to extend e-Citi as a company-wide resource available on the Net. Our invest- our reach, create new products and that specializes in identifying and ment service, SSB Access, tripled services, and improve productivity. implementing new technologies, its user base during 2000 and We intend to seize them. establishing standards to promote incorporated many new features, efficiency and productivity, and including online enrollment, free > CITIGROUP’S FIVE GOALS structuring and negotiating bill payment and real-time posi- FOR THE INTERNET Internet alliances. tion updates. We also introduced ■ Offer a comprehensive suite wireless capabilities to our cus- of consumer services, anytime, > ROSTER OF SUCCESSES tomers in several markets around on any device This produced a series of successes the world. ■ Establish our products as stan- during the year with the launch dards for Internet payments of suites of new products for con- Citigroup is also making it easier ■ Offer a comprehensive suite sumers, corporations and capital and more cost-effective for cor- of corporate banking services markets users. porate clients to do business. ■ Be a leader in Internet-based CitiDirect is a Web-based transac- capital markets For consumers, we created tion banking platform that offers ■ Be a Web-enabled company Citi.com, a portal offering an inte- cash management in 58 countries and drive up productivity grated set of Citigroup consumer and four languages. In the capital services spanning banking, bro- markets, we offer proprietary prod- kerage and insurance. With the ucts spanning foreign exchange, introduction of MyCiti.com, fixed income and equities, and are

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CITIGROUP MADE , grants

> > > > > > > > > GLOBAL COMMUNITY

CITIGROUP IS COMMITTED TO TAKING A LEADERSHIP ROLE IN IMPROVING THE QUALITY

OF LIFE IN LOCAL COMMUNITIES WHERE OUR EMPLOYEES AND CLIENTS LIVE AND WORK.

IN ALL LOCATIONS, WE ADHERE TO THE SAME HIGH STANDARDS OF ETHICS, FAIR LEND-

ING, FAIR ACCESS TO FINANCIAL SERVICES, CUSTOMER PRIVACY, DIVERSITY IN HIRING,

AND CULTURAL AND ENVIRONMENTAL SENSITIVITY. WE ARE A GLOBAL COMPANY WITH

AN INTENSELY LOCAL FOCUS. WE BELIEVE THAT EXTENDING OUR RESOURCES TO BENE-

FIT OTHERS IS THE RIGHT THING TO DO, AND WE REALIZE THAT ECONOMICALLY

HEALTHY COMMUNITIES ARE NECESSARY FOR BUSINESS SUCCESS. >> 858txtb 3/16/01 3:54 PM Page 27

CITIGROUP EMPLOYEES VOLUNTEERED MORE THAN 136,000 HOURS IN 2000.

>> IN 2000, CITIGROUP AND THE CITIGROUP FOUNDATION SUPPORTED programs. In Nigeria, Citibank 27 partners with several local OUR LOCAL ACTIVITIES WITH TENS OF MILLIONS OF DOLLARS IN universities in a program that GRANTS. THESE GRANTS FOCUSED PRIMARILY ON COMMUNITY DEVEL- reaches 16,000 students and strengthens financial, education OPMENT AND EDUCATION, AS WELL AS THE ARTS AND CULTURE, and technology skills. It has been recognized for helping HEALTH AND HUMAN SERVICES, AND THE ENVIRONMENT. Nigeria meet its growing need for high-tech professionals. > COMMUNITY DEVELOPMENT In the U.S., Citigroup Center We support a broad range of com- for Community Development The National Academy munity development programs Enterprise (CCDE) marked its Foundation, a highly regarded that contribute to healthy econ- first year of operating at full career development program omies: microcredit, affordable capacity by lending and investing in the U.S., was founded and is housing, small business develop- $762 million, 90 percent above its chaired by Citigroup Chairman ment, new jobs, day care and previous year’s total. CCDE draws and CEO Sandy Weill. Almost health facilities, and a variety resources from across Citigroup’s two decades after the Foundation of savings incentive programs. businesses to provide nonprofit began, some 394 academies in and for-profit organizations with 145 school systems are at work Microcredit provides lower- innovative, comprehensive and preparing young people for income individuals with small cost-effective financing packages careers in finance, information but essential loans as they build for community development. technology, and travel, tourism economic self-reliance. It has and hospitality. In 2000, we grown dramatically over the last Citigroup also helps low-income launched the Citigroup Academy few years, originally in devel- individuals work toward financial of Finance Scholars Program, oping markets and now in independence through Individual which will award scholarships developed ones. For some 15 Development Accounts (IDA) annually to 20 graduating years, Citigroup has pioneered projects. IDAs provide matching Academy of Finance seniors, as and supported microlending pro- incentives for those with low well as match them with mentors grams around the world that incomes so that their savings grow and offer internships. have strengthened this important faster. In 2000, we helped estab- industry’s infrastructure. In lish an IDA program for NYANA, > BUSINESS INITIATIVES 2000, we contributed $2.8 mil- the New York Association for New MAKING A DIFFERENCE lion to intermediary microcredit Americans. Our employees regularly seek out providers such as ACCION, opportunities where business and Grameen, FINCA International > EDUCATION social responsibilities meet hand and Shared Interest. In many Recognizing that education is a in hand. Using a team of bankers cases, Citigroup volunteers have determining factor in developing with backgrounds in engineering, provided technical assistance individuals and societies, we are environmental regulation, law and and management expertise. a leader in supporting innovative project finance, our SSB Public education and career preparation Finance group underwrites a wide

CITIGROUP 2000 GLOBAL COMMUNITY 858txtb 3/16/01 3:54 PM Page 28

,

>> NUMBER OF CHILDREN CITIGROUP CARES FOR IN ON-SITE DAY CARE CENTERS IN THE U.S.

28 variety of environmentally benefi- Our financial education initiatives expanded our commitment by cial projects, including water and help consumers identify financial working with groups such as wastewater treatment, solid waste products and services that best Conservation International, the disposal, environmental remedia- suit their needs. In 2000, Citibank World Environment Center and tion, acquisition of environmentally presented 1,500 financial educa- the World Resources Institute. sensitive lands and electric utility tion seminars. SSB sponsored an pollution control projects. Through investor education program that > VOLUNTEERISM the Social Awareness Investment provided women, minorities and Citigroup encourages volunteerism Program, Smith Barney Asset young investors with greater among its employees and, in some Management offers investors the insight into investing and the places, we are setting the standard. opportunity to combine their finan- financial markets. At our Travelers For example, Hong Kong’s Social cial and social goals by integrating unit, we offered seminars on pre- Welfare Department was inspired high-quality investment manage- serving assets through fire and by our local employee volunteer ment services with comprehensive crime prevention. program to launch a countrywide research on sociocultural trends corporate citizenship awareness and issues. > THE ENVIRONMENT program. Vibrant volunteer Citigroup strives to be responsible programs also exist in Australia, After five years of working with in addressing environmental issues Brazil, Indonesia, Singapore, SSB to provide welfare-to-work and helping its businesses better Taiwan, Turkey and the U.S., to opportunities for single mothers understand and find financial name just a few. receiving public assistance in value in environmentally sound New York, Wildcat Services business transactions. Senior exec- In 2000, the Foundation made Corporation has replicated the utives on our Global Corporate a $1 million grant to Habitat for program at Schroder SSB in and Investment Bank Environ- Humanity International to launch a London. The Wildcat/SSB collabo- mental and Social Policy Review U.S. volunteer program, “Citigroup ration enables individuals to Committee meet regularly to Builds Communities.” During the move directly from public assis- review emerging environmental year, over 3,000 employees from tance to well-paying jobs and and human rights issues and to 16 states logged 27,000 volunteer economic self-sufficiency. ensure that our business activities hours to help build homes for are consistent with our environ- deserving families. Our employees In the U.S., our community mental policies. in Bolivia, Colombia, Kenya, lending and investing in low- Korea, Peru, the Philippines, South and moderate-income areas has Recognizing the business value of Africa, South Korea, Venezuela and increased nearly 125 percent since environmental stewardship, we Uganda were also involved in local 1997, reaching more than $19 were one of the first U.S.-based Habitat projects. billion in 2000. Building on this financial services companies to achievement, CitiMortgage has sign the United Nations Environ- To receive a copy of our “Global formed partnerships to provide ment Programme’s Statement Corporate Citizenship Report,” con- $12 billion in affordable mortgages by Financial Institutions on the tact Citigroup Document Services over the next five years. Environment and Sustainable at 1-877-936-2737. Outside the Development. In 2000, we U.S., call 1-718-765-6460.

CITIGROUP 2000 GLOBAL COMMUNITY 858txtb 3/16/01 3:54 PM Page 29

lead. by example.

AS THE WORLD’S LEADING FINANCIAL SERVICES PROVIDER TO INDIVIDUAL AND CORPORATE

CLIENTS, CITIGROUP IS RECOGNIZED BY INDEPENDENT ORGANIZATIONS, THE MEDIA AND CLIENTS

AS THE BEST IN THE INDUSTRY. FOLLOWING IS A SAMPLING OF SOME OF THIS RECOGNITION:

> ASIAMONEY > FINANCIAL TIMES > LATIN FINANCE Overall Best Cash Management Bank World’s Most Respected Financial Company Regional Bank of the Year in Asia World’s Top Retail Bank Best Debt House Asia’s Top Forex House Asia’s Top Derivatives House > FORBES > MUTUAL FUNDS MAGAZINE Asia’s Best Global Custodians Smith Barney Fundamental Value Fund Following named best in class: Named to Honor Roll Smith Barney Large Cap Growth > THE ASSET Smith Barney Aggressive Growth Best Foreign Exchange Bank > FORRESTER RESEARCH Smith Barney Appreciation Best Loan House Top Online Bank Smith Barney Fundamental Value Best Project Finance House Smith Barney Social Awareness > Best Cash Management Bank FUTURE BANKER Salomon Brothers Capital Best Asian Currency Bond House Top Technology Deal of the Year for c2it > NATIONAL BLACK MBA ASSOCIATION > > THE BANKER FX WEEK Corporation of the Year Top World Bank Best Bank for Foreign Exchange > PROJECT FINANCE INTERNATIONAL Global Bank of the Year > GLOBAL FINANCE No. 1 Global Lead Arranger of Project Loans > CENTRAL EUROPEAN Best Global Consumer Bank Asia-Pacific Project Finance Bank of the Year Best Investment Bank Best Global Retail Internet Bank Best Emerging Markets Bank > RISK > CORPORATE FINANCE Best International Bank in Latin America Global Derivatives House of the Year Best Commercial Bank Best International Bank in Middle East Best Bank for Bonds and Africa > TIME INC Best Bank for Securitization Best Bank in Project Finance Globally No. 1 Financial Services Brand in Asia Best Bank in Emerging Markets Best Global Securitization Bank > Best Cash Management Bank Best Global Derivatives Bank TRADE FINANCE Best Bank for FX Best Export Finance Arranger > Top Bank in Project Finance GOMEZ ADVISORS Best Structured Trade Finance Bank Top Internet Bank > > COUNCIL FOR AID TO EDUCATION TREASURY MANAGEMENT > 2000 Leaders for Change Award IFR ASIA INTERNATIONAL Loan House of the Year Best Global Bank—Cash Management > DERIVATIVES STRATEGY Domestic Bond House of the Year Best Bank in Europe—Cash Management Best in Currency Derivatives Best Bank in North America—Cash > IFR LATIN AMERICA Management > EUROMONEY Bank of the Year Best Corporate Bond House Brazil Financing House of the Year > U.S. DEPARTMENT OF HOUSING Best at Euro & Nondollar Commercial Paper & URBAN DEVELOPMENT > Best at EMTNs INSTITUTIONAL INVESTOR “Best of Best” Award for Green Hills Project, Best Foreign Bank in 33 Countries Top Fixed Income Trading Firm South Dakota and Regions Top Derivatives Dealer > THE WALL STREET JOURNAL > > FINANCE ASIA INTERNATIONAL FINANCING REVIEW Smith Barney Aggressive Growth Fund Best Bank in Asia Bank of the Year Named to Elite Eight Best Commercial Bank Global Loan House of the Year Best Loan House European Securitization House of the Year > THE WALL STREET JOURNAL Best Project Finance House North American Securitization House FORECASTING SURVEY Best Cash Management Bank of the Year Top Financial Firm > > FINANCIAL INTELLIGENCE ASIA INVESTMENT DEALERS DIGEST > WORKING MOTHER Project Finance House of the Year Bank of the Year No. 1 on “100 Best Companies for Working Trade Finance Bank of the Year Deal of the Year Mothers” list in amount of Banker of the Year on-site day care > FINANCIAL NETNEWS > Citi.com—Financial Services Web Site LATINA STYLE of the Year One of the Top 50 U.S. Companies for Latinas to Work 858txtb 3/16/01 3:54 PM Page 30

leadership

> BOARD OF DIRECTORS Göran Lindahl > CORPORATE & INVESTMENT BANK Francis Andrew Rozario C. Michael Armstrong Former President & CEO PLANNING GROUP CitiBusiness Chairman & CEO ABB Ltd. Michael A. Carpenter* Jean-Paul Votron AT&T Corp. Thomas S. Murphy Chairman & CEO, Salomon Smith Central & Eastern Europe, Middle East Alain J.P. Belda Former Chairman & CEO Barney; Head, Citibank’s Global & Africa, Corporate/Consumer Chairman of the Board & CEO Capital Cities/ABC, Inc. Relationship Bank Edward T. Walsh Alcoa Inc. John S. Reed Frank Bisignano Chief Financial Officer Kenneth J. Bialkin Former Chairman & Co-CEO Chief Administrative Officer Simon J. Williams Partner Citigroup Inc. David Bushnell Asia-Pacific Consumer Skadden, Arps, Slate, Meagher Robert E. Rubin Global Risk Management Y.S. Wong & Flom LLP Director; Chairman of Francois de Carbonnel Sales & Trading Kenneth T. Derr The Executive Committee; Strategy Chairman of the Board, Retired, Member of the Office of the Chairman, Citigroup Inc. Roberto Di Fazio > GLOBAL INVESTMENT MANAGEMENT Chevron Corporation Global Equities & PRIVATE BANKING PLANNING John M. Deutch Dr. Eisuke Sakakibara Professor of Keio University John Donnelly GROUP Institute Professor, Massachusetts Human Resources Institute of Technology Former Vice Minister of Finance for Thomas W. Jones* International Affairs, Japan Paul Galant ● Chairman & CEO, Keith W. Hughes e-Commerce Global Investment Management Director, Citigroup Inc. Prof. Dr. Ekkehard Schulz Chairman of the Executive Board Joan Guggenheimer and Private Banking Group Ann Dibble Jordan ThyssenKrupp AG General Counsel Co-Chairman & CEO, Consultant Citigroup Asset Management Morris Tabaksblat Roy A. Guthrie* Robert I. Lipp Chairman CitiCapital and International Finance Vernon Barback Chairman of the Board Global Operations & Technology Reed Elsevier plc ● Travelers Property Casualty Corp. Arthur Hyde Sanford I. Weill Global Equities Robert R. Battel Reuben Mark Institutional Business Chairman & CEO Toshiharu Kojima Chairman & CEO ● Citigroup Inc. Nikko Salomon Smith Barney Stephen A. Cone Colgate-Palmolive Company Global Marketing Lorenzo H. Zambrano Alan S. MacDonald✝ ● Michael T. Masin Chairman of the Board & CEO Koichiro Kitade Vice Chairman and President Global Relationship Bank Cemex, S.A. de C.V. ● Market Region Head, Japan Verizon Communications Inc. Tom Maheras Alfred M. Zeien The Citigroup Private Bank Dudley C. Mecum Global Fixed Income Former Chairman & CEO ● William Krivoshik Managing Director The Gillette Company Jay Mandelbaum Global Technology Capricorn Holdings, LLC Global Private Client Group Wendy J. Murdock Richard D. Parsons Eduardo Mestre > CONSUMER PLANNING GROUP Retail Business Co-Chief Operating Officer Global Investment Banking Robert B. Willumstad*✝ ● Christopher M. Robinson AOL Time Warner Inc. Edward Miller Chairman & CEO Chief Administrative Officer Andrall E. Pearson Schroder Salomon ✝ ● Founding Chairman Marjorie Magner* Smith Barney Michael F. Rosenbaum General Counsel Tricon Global Restaurants, Inc. Senior EVP, Chief Administrative Officer William Mills Robert E. Rubin*● John A. Addison, Jr. SSB Asia-Pacific Peter K. Scaturro The Citigroup Private Bank Director; Chairman of the Executive Primerica Financial Services Will Samuel Committee; Member of the Office of the Ajaypal S. Banga Schroder Salomon Deepak Sharma Chairman, Citigroup Inc. Consumer Assets & Consumer Finance Smith Barney Market Region Head, Asia-Pacific The Citigroup Private Bank Franklin A. Thomas Kenneth L. Dowd Julian Simmonds Former President Global Investments Global Foreign Exchange and Robert Shepler The Ford Foundation Michael R. Dunn Structured Products Global Retirement Services Sanford I. Weill* Chief Financial Officer Barbara Yastine* Brad Thomas Chairman & CEO Steven Freiberg Chief Financial Officer Human Resources Citigroup Inc. Citibank Cards North America Natica von Althann Arthur Zankel Michael S. Knapp > EMERGING MARKETS Market Region Head, Latin America The Citigroup Private Bank General Partner CitiFinancial PLANNING GROUP Zankel Capital Advisors, LLC Geoff von Kuhn Carl E. Levinson Victor J. Menezes*✝ HONORARY DIRECTOR Consumer Assets Market Region Head, United States Chairman & CEO, Citibank, N.A. The Citigroup Private Bank The Honorable Gerald R. Ford ● Former President of the United States Anne MacDonald Jorge A. Bermudez Global Marketing Colin Woolcock e-Business Market Region Head, Maura Markus > SALOMON SMITH BARNEY Michael A. Contreras Europe, Middle East & Africa Citibanking North America INTERNATIONAL ADVISORY BOARD Latin America Corporate The Citigroup Private Bank Scott Powell Alvaro A.C. de Souza Umberto Agnelli Credit Risk Management Latin America Consumer > Investment Management Vice Chairman & CEO ● IFI-Istituto Finanziario Raymond J. Quinlan Michael B.G. Froman Peter Carman Industriale S.p.A. Global Product Strategic Priorities & Co-Chairman & Global Chief Management/Development Sir Peter Bonfield Business Development Investment Officer Chief Executive George C. Ross Ann M. Goodbody Virgil H. Cumming British Telecommunications plc Risk Management Risk Management Chief Investment Officer, Smith Barney John L. Clendenin Michael A. Ross Sandra S. Jaffee Mutual Funds & Affiliates Former Chairman & CEO General Counsel Worldwide Securities Services Michael Even ● Bell South Corporation A. Sami Siddiqui Alan D. Jones Global Quantitative Analysis Andrea Jung e-Consumer Human Resources A. Rama Krishna President & Chief Executive Officer D. Richard Williams Stephen H. Long Global Equity Research Avon Products, Inc. Primerica Financial Services Asia-Pacific Corporate Ralph S. Larsen David W. Young Naveed Riaz Chairman & CEO Treasury Operations & Technology Johnson & Johnson

✝ *Member of Citigroup Management Committee Member of Citicorp/Citibank, N.A. Board of Directors ● Member of the Internet Operating Group ■ Member of the Consumer Planning Group 858txtb 3/16/01 3:54 PM Page 31

>>INSURANCE PLANNING GROUP ChristineChief Financial B. Mead Officer SENIORTechnology CORPORATE Officer OFFICERS GailAdministration; Natoli General Counsel & Jay S. Fishman * ● ■ ChiefWarren Financial H. May Officer HamidIrwin Ettinger Biglari * ● DiversityCorporate Secretary Chief Operating Officer, JamesIndependent M. Michener Distribution CorporateTax & Accounting Strategy NancySheri Ptashek S. Newcomb Finance & Risk GeneralKate A. CounselPreston SirAhmed Winfried Fahour* F.W. Bischoff* WindowsInvestor Relations on Risk CEO, Travelers Insurance KatePrimerica A. Preston & Citibank Sales Chairman,Development Citigroup Europe DouglasWilliam R.L. Rhodes*Peterson✝ JohnCharles J. AlbanoJ. Clarke Primerica & Citibank Sales RobertJay S. FishmanDruskin* ● ChiefVice Chairman Auditor NationalTravelers AccountsProperty Casualty ✝ Robert J. Price Chief OperationsOperating Officer, & CharlesH. Onno O. Ruding Prince III* CharlesJohn J. AlbanoJ. Clarke Citi Insurance TechnologyFinance & Risk Officer ChiefVice Chairman, Operating Citicorp/CitibankOfficer, Operations & TravelersNational AccountsProperty Casualty Jerry T. Shroat ■ IrwinCEO, EttingerTravelers Insurance Administration;Petros K. Sabatacakis* General ✝Counsel & ■ Corporate Secretary Douglas G. Elliot PersonalCITIGROUP Lines GLOBAL INVESTMENTS TaxPamela & Accounting P. Flaherty Senior Risk Officer Commercial Lines Global Community Relations Sheri Ptashek ChristopherTodd S. Thomson* E. Watson Ahmed Fahour* Michael Schlein Paul A. Healy Gulf Specialty DevelopmentJim Garnett InvestorCorporate Relations Affairs & Human Resources Chief Financial Officer, Citigroup ✝ Construction W. Douglas Willett JayRisk S. Management Fishman WilliamNora Slatkin R. Rhodes* William Comfort Vice Chairman Peter N. Higgins HumanCiticorp ResourcesVenture Capital ChiefAnn M. Operating Goodbody Officer, Government Relations & Corporate Middle Market FinanceRisk Management & Risk H.Services Onno Ruding✝ William Heyman WilliamJoseph P.R. Kiernan Hogan > CITIGROUP GLOBAL INVESTMENTS CEO,William Travelers Hannon Insurance ViceKatherine Chairman, McG. Citicorp/Citibank Sullivan ● Equity and Alternative Investments ✝ IndividualBond Annuities, Life Insurance ToddTribeca S. Investments Thomson* PamelaBusiness P.Services Flaherty PetrosChief Operating K. Sabatacakis* Officer, e-Citi Global Community Relations● Senior Risk Officer JosephBrian MacLean P. Kiernan ChiefDipak Financial Rastogi Officer, Citigroup Deryck C. Maughan* Todd S. Thomson BondSmall Commercial WilliamEmerging Comfort Markets JimVice GarnettChairman MichaelChief Financial Schlein Officer, Citigroup GeorgeChristine C. B. Kokulis Mead■ Citicorp Venture Capital RiskHead, Management Citigroup Mergers CorporateRoger Trupin Affairs & Human Resources Joseph Rueli & Acquisitions TravelersChief Financial Life & Officer Annuity WilliamChief Financial Heyman Officer Ann M. Goodbody NoraController Slatkin ■ RiskStephanie Management B. Mudick Government Relations & Corporate GlennJerry T. D. Shroat Lammey EquityDavid Tysonand Alternative Investments Guy Whitaker ChiefPersonal Financial Lines Officer Tribeca Investments WilliamDeputy GeneralHannon Counsel ServicesTreasury Fixed Income ● MarlaChristopher B. Lewitus E. Watson Dipak Rastogi BusinessGail Natoli Services Katherine McG. Sullivan GeneralGulf Specialty Counsel DeryckDiversity C. Maughan*● Chief Operating Officer, e-Citi EmergingSENIOR CORPORATE Markets OFFICERS ViceNancy Chairman S. New Todd S. Thomson Brian MacLean ● JosephHamid BiglariRueli * Small Commercial ■ Chairman,comb Internet Operating Group Chief Financial Officer, Citigroup George C. Kokulis ChiefCorporate Financial Strategy Officer Head,Windows Citigroup on Risk Mergers Roger Trupin WarrenTravelers H. Life May & Annuity David Tyson & Acquisitions Independent Distribution Sir Winfried F.W. Bischoff* Douglas L. Peterson Controller William R. Hogan FixedChairman, Income Citigroup Europe StephanieChief Auditor B. Mudick Guy Whitaker Individual Annuities, Life Insurance ● Robert Druskin* DeputyCharles GeneralO. Prince Counsel III* Treasury Glenn D. Lammey Chief Operations & Chief Operating Officer, Operations &

> CITIGROUP COUNTRY CORPORATE OFFICERS Algeria Channel Islands Germany Kazakhstan Panama Switzerland Kamal B. Driss (Jersey) Willy P. Socquet Reza Ghaffari Francisco J. Conto Per Etholm Angola Clive S. Jones Ghana Kenya Paraguay Taiwan Raoul Van Deursen Chile A. Chukwuemeka Terence M. Davidson Henry Comber Peter T. Baumann Argentina Ariel D. Sevi Emuwa Korea Peru Tanzania Carlos M. Fedrigotti China Greece Sajjad Razvi Eric R. Mayer Farhan Faruqui Aruba Richard D. Stanley Christos Sorotos Lebanon Philippines Thailand Philip Henriquez Colombia Guam Elia S. Samaha Catherine M. Weir Henry H.C. Ho Australia Steven Puig Renzo C. Viegas Luxembourg Poland Trinidad and Tobago Shayne Elliott Congo, Democratic Guatemala Marc E. Pecquet Shirish Apte Steve M. Bideshi Austria Republic of the Juan A. Miro Macau Portugal Tunisia Albrecht O. Staerker To be announced Haiti T.C. Chan Martin Johansson Nayera Amin Bahamas Costa Rica Gladys M. Coupet Malaysia Puerto Rico Turkey M. Carmen Butler Victor M. Balcazar Honduras Juan Bruchou Roberto Lopez Sebastian Paredes Bahrain Côte d'Ivoire Alexis Vaughn Mexico Romania Uganda Mohammed E. Al-Shroogi Mark H. Wiessing Hong Kong Julio A. de Quesada Zdenek Turek Sanjeev Anand Bangladesh Czech Republic T.C. Chan Monaco Russia Ukraine David E. Rees David Francis Hungary To be announced Allan J. Hirst Witold Zielinski Belgium Denmark Mark Robinson Morocco Saudi Arabia United Arab Emirates Peter Verhoeven Elias Panayotopoulos India Eric P. Stoclet Mike de Graffenried Ahmed Saeed S. Bin Brek Bolivia Dominican Republic Nanoo G. Pamnani Nepal Senegal United Kingdom Agustin Davalos Nicole Reich Indonesia Anil Gyawali Michael A. Grossman Ellen Alemany Brazil Ecuador Michael G. Zink Netherlands Singapore Uruguay Alcides S. Amaral Franco Moccia Ireland Christopher I. Devries Sunil Sreenivasan Gustavo J. Cardoni Brunei Egypt Aidan M. Brady New Zealand Slovakia Venezuela Glen R. Rase To be announced Israel Ivo Distelbrink Arif Usmani Philip Henriquez Bulgaria El Salvador Nandan Mer Nigeria South Africa Vietnam Plamen S. Iltchev Gjis Veltman Italy Michel Accad Marcus D’Andrade John M. Beeman Cameroon Finland Sergio Ungaro Norway Spain Virgin Islands (U.S.) Louis Adande Stephen L. Dwyre Jamaica Per Kumle Francesco Paolo Vanni Alvaro Jaramillo Canada France Peter H. Moses Oman d’Archirafi Zambia Michael M. Roberts Jean-Claude Gruffat Japan Zulfiquar Sulaiman Sri Lanka Srinivasan Sridhar Cayman Islands Gabon Frits Seegers Pakistan Kapila Jayawardena M. Carmen Butler Nuhad K. Saliba Jordan Zubyr Soomro Sweden Suhair A. Al-Ali Jan Belfrage

✝ *Member of Citigroup Management Committee Member of Citicorp/Citibank, N.A. Board of Directors ● Member of the Internet Operating Group ■ Member of the Consumer Planning Group *Note: Countries and territories where Citigroup has a presence but no designated Country Corporate Officer are not reflected in the above list. 858txtb 3/16/01 3:54 PM Page 32

citigroup at a glance

> GLOBAL CONSUMER Trading Strength Maintain our leadership Branding Integrated the former Concert and 2000 INITIATIVES position in the secondary markets in serving most of the Citifunds families into the Smith Live Richly Developed innovative, multichannel institutional investors by ensuring that we Barney family in the U.S., establishing a advertising and marketing campaign that sets have state-of-the-art technology and that single, strong brand with roots dating back Citibanking and Credit Cards apart from the we take advantage of all the opportunities more than 60 years. industry. presented by the Internet and changing Leadership With the launch of Smith Barney Credit Card Expansion Completed ten strategic market structures. funds into U.S. Citibank branches through acquisitions, including Associates First Expanded Service Continue to enhance the Citicorp Investment Services, Citigroup Asset Capital, to expand our credit card business. value that we provide to our high-net-worth Management became the top-selling fund Common Platform Began migration of global clients through improved products and complex in the U.S. Citibank channel. card business to a common operating plat- services, while continuing to deepen our Advisory Acquired Winter Capital, a highly form, starting in Mexico, Germany and Italy. penetration of the high-net-worth market- regarded investment advisory firm, to International Insurance Expansion Established place by delivering “best-of-class” capabilities enhance the Private Bank’s investment Citi Insurance unit dedicated to strengthen- to meet complicated financial needs. process; established a new unit within Private ing and expanding our insurance business Financial and Risk Controls Continue to Bank to advise ultra-affluent families on internationally. enhance our disciplined capital allocation, issues ranging from business succession to risk management and credit management philanthropy to socially responsible investing. FOCUS FOR 2001 processes in recognition of changing market Technology Exploit Internet and mobile com- conditions. FOCUS FOR 2001 merce opportunities while continuing global Leadership Become the leading global asset cards operating platform convergence. > EMERGING MARKETS management, private banking and retirement Growth Focus on investment in key interna- 2000 INITIATIVES services franchise with a reputation for tional markets including continued portfolio Sustaining Momentum Sustained strong growth excellence. acquisition and strategic partnerships. momentum by combining organic growth Growth Acquire partners to increase our Leveraging Strengths Realize more fully the and acquisitions in priority countries. competitive and global reach. franchise potential through relationship Acquisition/Joint Ventures Closed several key Advertising Conduct ongoing ad campaign development, cross-service and integration transactions: Bank Handlowy, EFG Hermes, to highlight Private Bank’s capabilities and of our Internet activities. Siembra, Garante, Colfondos and Fubon, increase recognition globally, including our Branding Develop a branded and differenti- among others. successful “Heroes” campaign in the U.S. ated market positioning. Cost Management Initiated a number of key and Asia. strategic cost-management actions focusing > GLOBAL CORPORATE on quality, continuous process improvement > INTERNET OPERATING GROUP AND INVESTMENT BANK and realization of synergies. 2000 INITIATIVES 2000 INITIATIVES Solutions Launched a number of new Web- Strategy Created “Citi on the Net”— Power of One Provided corporate clients glob- based transactional services and products Citigroup’s five-point Internet strategy; we ally with the “Power of One”: combined such as B2B and B2C e-billing, a smart card have dedicated Internet resources in all busi- capabilities of Citibank and SSB, generating a program using JAVA technology. ness groups. 40 percent increase in revenues from jointly Products Launched new and enhanced prod- covered relationships. FOCUS FOR 2001 ucts for consumers, corporations and capital Global Platform Completed the integration of Market Share Continue market share increases market clients, including Citi.com, MyCiti, Schroder Salomon Smith Barney, creating the with a combination of organic growth and Citibank Online, SSB Access, Account fastest-growing investment bank in Europe acquisitions. Online, c2it, CitiDirect, CitiFX Interactive, and culminating the build-out of our global Internet Exploit market presence to deliver SSB Direct and Global Equities Online. investment banking and securities trading our global product set via the Internet for Consortia Actively participated in the redesign platform with top-tier capabilities in all geog- corporations and consumers. Continue to of capital markets through leading Internet- raphies and products. innovate e-solutions for corporate customers based exchanges such as Atriax, BondBook, Global Product Leadership Realized across-the- who are Web-enabling their businesses. Brut and TheMarkets.com. board gains in market share in M&A, Products Develop global product sets in credit Alliances Entered into alliances with leading equities, fixed-income and structured prod- cards, consumer finance, insurance and asset Internet companies, including AOL and ucts across all boundaries, winning mandates management. Oracle. for marquee transactions in every business. Leadership Define ourselves as the number- FOCUS FOR 2001 Improved Client Services Enhanced suite of fee- one financial institution in terms of customer based and other personal financial services, and employee satisfaction. New Services Continue to enhance our online increasing penetration of high-net-worth products and services by focusing on interna- > market. Expanded state-of-the-art SSB Access GLOBAL INVESTMENT MANAGEMENT tional opportunities. Internet platform to 1.6 million clients. AND PRIVATE BANKING GROUP Wireless Launch wireless services worldwide. 2000 INITIATIVES Payments Accelerate adoption of Citigroup FOCUS FOR 2001 Research Developed world-class buy-side products as standards for Internet payments. Partnership Translate the powerful product research team covering more than 800 com- Productivity Use Web technology to enhance platform we have built into tremendous panies, with a goal of 2,000 companies by client interaction and service, build market value for customers globally, offering an even the end of 2001. share and revenues, and raise internal pro- greater array of solutions in a consistent and ductivity through common business seamless manner to become our clients’ sup- processes. plier of choice for all financial services. 858a 3/16/01 3:56 PM Page cov4

 CONTINENTS  COUNTRIES  CURRENCIES , GRANTS , EMPLOYEES Printed on recycled paper. Design: Salomon Smith Barney Graphic Communications Printed on recycled paper. ,, ACCOUNTS ,,, CORE INCOME ,,, REVENUES ,,, ASSETS

 UMBRELLA

STOCKHOLDER INFORMATION TRANSFER AGENT EXCHANGE AGENT The Citigroup 2000 Annual Report Citigroup common stock is listed Stockholder address changes and Holders of Associates First Capital & Form 10-K are available for view- on the New York Stock Exchange inquiries regarding stock transfers, Corp., Citicorp, Salomon Inc or ing/printing on our web site: and the Pacific Exchange under dividend replacement, 1099-DIV The Travelers Corporation common www.citigroup.com the ticker symbol “C.” Citigroup stock, Citigroup Inc. Preferred reporting, and lost securities for For a printed copy, please contact: Preferred Stock Series F, G, H, K, Stock Series J, S or T, Salomon Inc common and preferred stocks Citigroup Document Services M, Q, R and U are also listed on Preferred Stock Series E or D, or should be directed to: 140 58th Street, Suite 51 the New York Stock Exchange. Travelers Group Preferred Stock Series Citibank Shareholder Services Brooklyn, New York 11220 A or D should arrange to exchange ANNUAL MEETING P.O. Box 2502 Toll-free 1-877-936-2737 their certificates by contacting: The annual meeting will be held Jersey City, NJ 07303-2502 Outside U.S. (718) 765-6460 at 9:00 a.m. on April 17, 2001, Toll-free 1-888-250-3985 Citibank Shareholder Services E-mail address: at Carnegie Hall, 881 Seventh Outside U.S. (201) 536-8057 P. O. Box 2502 [email protected] Avenue, New York, New York. Jersey City, NJ 07303-2502 Facsimile (201) 324-3284 Copyright Citigroup Inc. 2001 Toll-free 1-888-250-3985 E-mail address: All rights reserved. Outside U.S. (201) 536-8057 [email protected] Printed in the U.S.A. Facsimile (201) 324-3284 E-mail address: [email protected] 858a 3/19/01 4:33 PM Page cov1

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©2001 Citigroup Inc. 57490 CIT2014 3/01