Citigroup Reduces Profit by $600M on Legal Costs

Citigroup Reduces Profit by $600M on Legal Costs

Assessment

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Business

University

Hard

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The company adjusted its Q3 2014 financial results due to a $600 million increase in legal accruals, stemming from regulatory inquiries. This adjustment reduced net income from $3.4 billion to $2.8 billion, causing a 1.5% drop in stock value after hours.

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2 questions

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1.

OPEN ENDED QUESTION

3 mins • 1 pt

What was the stock's performance after the financial results were announced?

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2.

OPEN ENDED QUESTION

3 mins • 1 pt

What impact did the legal accrual have on the quarterly profit?

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