Top Firm Said To Be Thinking Of Dumping Chairman

The Wall Street Journal reports that the board at Citigroup is becoming dissatisfied with the performance of the company, and says that some directors are now lobbying for the replacement of Chairman Sir Win Bischoff.

Although the bank did issue a statement Wednesday denying that it is officially on the look-out for a new chairman, The Journal quotes one unnamed 'person familiar with the situation', who claims that Bischoff standing down 'seems likely'. One school of thought is that, with increasing pressure on Citi's stock price, some Directors are seeking a non-banker to head up the board.

Bloomberg reports that shares in Citic Pacific surged Thursday, after its parent confirmed that it would assume $1.3bn in currency losses sustained on bets on the Aussie dollar.

The Financial Times reports the total losses now sustained by the financial sector as a result of the credit crisis are now approaching $1,000bn.

Reuters reports that former Goldman chairman John Whitehead said at the Reuters Global Finance Summit Wednesday that the economic slump the US faces could be 'worse than the depression'. He is also concerned about the size of the budget deficit, saying: 'Before I go to sleep at night, I wonder if tomorrow is the day Moody's and S&P will announce a downgrade of US government bonds. Eventually, US government bonds would no longer be the triple-A credit that they've always been'.

The news agency also reports that Lehman Brothers is planning to sell $8m of art that once decorated the firm's New York HQ building.

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