2020 ANNUAL REPORT Citi’s Value Proposition We work with companies to optimize their daily operations, A Mission of Enabling whether they need working capital, to make payroll or export their goods overseas. By lending to companies large and Growth and Progress small, we help them grow, creating jobs and real economic value at home and in communities around the world. We provide financing and support to governments at all levels, What You Can Expect From Us and so they can build sustainable infrastructure, such as housing, What We Expect From Ourselves transportation, schools and other vital public works. Citi’s mission is to serve as a trusted partner to our clients by These capabilities create an obligation to act responsibly, responsibly providing financial services that enable growth do everything possible to create the best outcomes, and and economic progress. Our core activities are safeguarding prudently manage risk. If we fall short, we will take decisive assets, lending money, making payments and accessing the action and learn from our experience. capital markets on behalf of our clients. We have 200 years of experience helping our clients meet the world’s toughest We strive to earn and maintain the public’s trust by constantly challenges and embrace its greatest opportunities. We are Citi, adhering to the highest ethical standards. We ask our the global bank — an institution connecting millions of people colleagues to ensure that their decisions pass three tests: across hundreds of countries and cities. they are in our clients’ interests, create economic value, and are always systemically responsible. When we do these things We protect people’s savings and help them make the purchases — well, we make a positive financial and social impact in the from everyday transactions to buying a home — that improve the communities we serve and show what a global bank can do. quality of their lives. We advise people on how to invest for future needs, such as their children’s education and their own retirement, and help them buy securities such as stocks and bonds. Financial Summary In billions of dollars, except per-share amounts, ratios and direct staff 2020 2019 2018 Global Consumer Banking Net Revenues $ 30.0 $ 33.0 $ 32.3 Institutional Clients Group Net Revenues 44.3 39.3 38.3 Corporate/Other Net Revenues 0.1 2.0 2.2 Total Net Revenues $ 74. 3 $ 74. 3 $ 72.9 Net Income $ 11.0 $ 19.4 $ 18.0 Diluted EPS — Net Income 4.72 8.04 6.68 Diluted EPS — Income from Continuing Operations 4.73 8.04 6.69 Assets $ 2,260 $ 1,951 $ 1,917 Deposits 1,281 1,071 1,013 Citigroup Stockholders’ Equity 199 193 196 Basel III Ratios — Full Implementation1 Common Equity Tier 1 Capital 11.7% 11.8% 11.9% Tier 1 Capital 13.3% 13.3% 13.4% Total Capital 15.6% 15.9% 16.1% Supplementary Leverage 7.0 % 6.2% 6.4% Return on Assets 0.50% 0.98% 0.94% Return on Common Equity 5.7% 10.3% 9.4% Return on Tangible Common Equity 6.6% 12.1% 11.0% Book Value per Share $ 86.43 $ 82.90 $ 75.05 Tangible Book Value per Share 73.67 70.39 63.79 Common Shares Outstanding (millions) 2,082 2,114 2,368 Total Payout Ratio 73% 122% 109% Market Capitalization $ 128 $ 169 $ 123 Direct Staff (thousands) 210 200 204 Totals may not sum due to rounding. 1 Please see Key Capital Metrics on page 4. 1 Dear Shareholders: Never could I have imagined that my final year as CEO of Citi would be consumed by a once-in-a-century health crisis that would upend the global economy and the lives of everyone on our planet. It was a year filled with immense pain and uncertainty but also courage and purpose — and we can take heart that even as it did its worst, the global pandemic has brought out Michael L. Corbat Chief Executive Officer the best in us. October 2012 – February 2021 Letter to Shareholders 2020 was a year that tested Citi like never before. From the beginning, I was We were one of the first banks in the U.S. to determined to see that Citi not merely manage through but emerge stronger announce consumer assistance programs from the pandemic — and that, in addition to serving as a source of strength for our credit card and mortgage customers. for our clients, we seize the opportunity to help lead the relief and recovery Though Citi historically has not been a large and remind the world of the invaluable role that Citi plays as a global bank. lender to small businesses, by year end we funded loans totaling $3.8 billion as part of the I’m proud to say we have done that, by every measure. Entering the U.S. Small Business Administration’s Paycheck pandemic on a solid footing from a capital and liquidity perspective gave Protection Program and donated $50 million us the resources we needed to support our colleagues, customers, clients in proceeds from the program to support and communities during the sharpest economic downturn since the Great community economic recovery efforts. Depression. That financial stability enabled us to do many things to catalyze the recovery without jeopardizing our own safety and soundness. For our globally minded clients who include multinational companies, emerging market From the onset of the pandemic, we acted swiftly. When shelter-at-home leaders, governments, investors and ultra- orders were issued last March by governments around the globe, we high net worth households, we have been undertook a massive effort to keep our employees safe while serving our helping them contend with volatile markets, clients seamlessly. Within days, we had nearly 200,000 of our colleagues up reconfigure supply chains, and access short- and running at their kitchen tables and home offices. We offered childcare and long-term liquidity. and in-home care options and enhanced health and education resources and provided special compensation to help ease the financial burden for 75,000 colleagues. 2 And because we take seriously our Our Global Consumer Bank bore the impact of sharply decreased credit responsibility to the communities we card spending, although we did see deposit growth in every region. In serve, we have supported front-line health the U.S., our retail business benefited from exceptionally high mortgage workers and deployed other resources to refinancing as homeowners saw opportunities in this ultra-low-rate those who desperately need help. Combined environment, and we experienced continued momentum in digital deposits. with donations from Citi colleagues, In Mexico, an ongoing slowdown in overall economic growth and industry contributions to pandemic-related causes volumes resulted in lower revenues. In Asia, card spending was down, from our company and the Citi Foundation but we saw strong performance in wealth management, with investment topped $100 million in 2020. revenues at their highest level in a decade. Providing Strength in a Year of Upheaval Despite the tumultuous impacts of the pandemic, we turned in solid financial results during 2020. In an operating environment more uncertain and challenging than any in recent memory, we kept revenues flat to the banner year of 2019. In 2020, we earned $11 billion of net income on revenues of $74 billion despite the roughly $10 billion increase we took in credit reserves as a result of the pandemic and the impact of current expected credit losses. Even after meeting the capital and liquidity needs of our clients, we closed out the year exceptionally well-capitalized, with a Common Equity Tier 1 ratio of 11.7%, exceeding our 10% regulatory minimum. We also increased our Tangible Book Value per Share to $73.67, up 5% from 2019. Our Institutional Clients Group performed well, delivering 13% revenue growth, positive operating leverage and 22% operating margin growth for the year. Our Treasury and Trade Solutions business, although negatively affected Jane Fraser by lower rates, experienced strong client Chief Executive Officer engagement and digital adoption, including March 2021 – a 9% year-over-year increase in users of our CitiDirect BE® banking platform. Our global expertise means that we continue to be the first call for many of “ Citi is an incredible institution with a the most significant financial transactions and activities. In September, our team led proud history and a bright future. I am the initial public offering for the enterprise excited to join with my colleagues in software company Snowflake, which returned 100% to investors while creating writing the next chapter.” a new $65 billion market cap company. In November, we were selected to serve as the financial advisor to the international public health organization Gavi in its effort to equitably distribute 2 billion vaccine doses for COVID-19 by the end of 2021. 3 We continued to combine our scale, • Citi’s Net Income increased from digital capabilities and ecosystem to be $7.5 billion to $19.4 billion. 2020 NET REVENUES1 where our customers need us to be. In • Citi’s Return on Assets increased $74.2 Billion the U.S., our largest consumer market, from 39 bps to 98 bps. we expanded our lending partnership BY REGION with American Airlines, announced • Citi’s Efficiency Ratio improved private label and co-brand credit card from 72.0% to 56.5%. agreements with two new partners, • Citi’s Return on Tangible Common Meijer and Wayfair, and drove robust Europe, Equity increased from 5.0% to 12.1%, Middle East digital deposit sales. In Mexico, we North America and Africa closing the gap with our peers. 50% (EMEA) worked with PepsiCo Alimentos Mexico 17% We dramatically increased the return and Amigo PAQ to enable mobile Latin America access to credit to more than 800,000 of capital to common shareholders.