Citigroup Inc. (NYSE: C) or Citi is an American multinational financial services corporation headquartered in Manhattan, New York City, New York, United States. Citigroup was formed from one of the world's largest mergers in history by combining the banking giant Citicorp and financial conglomerate Travelers Group on April 7, 1998.The year 2012 marks Citi's 200th anniversary.
Citigroup suffered huge losses during the global financial crisis of 2008 and was rescued in November 2008 in a massive stimulus package by the U.S. government. Its largest shareholders include funds from the Middle East and Singapore.According to the New York Times, on February 23, 2009, Citigroup announced that the United States government would take a 36% equity stake in the company by converting US$25 billion in emergency aid into common shares with a US Treasury credit line of $45 billion to prevent the bankruptcy of market since 1888. Later to become MasterCard, the bank introduced its First National City Charge Service credit card – popularly known as the "Everything card" – in 1967.
In 1976, under the leadership of CEO Walter B. Wriston, First National City Bank (and its holding company First National City Corporation) was renamed as Citibank, N.A. (and Citicorp, respectively). Shortly afterward, the bank launched the Citicard, which pioneered the use of 24-hour ATMs. John S. Reed was elected CEO in 1984, and Citi became a founding member of the CHAPSclearing house in London. Under his leadership, the next 14 years would see Citibank become the largest bank in the United States, the largest issuer of credit cards and charge cards in the world, and expand its global reach to over 90 countries.
The Bank of New York Mellon
The Bank of New York Mellon Corporation (NYSE: BK), commonly referred to asBNY Mellon is an American multinational banking and financial services corporation formed on July 1, 2007 as result of the merger of The Bank of New York and Mellon Financial Corporation.The company employs more than 48,000 staff worldwide and has over US$ 1.3 trillion in assets under management and $26.6 trillion in assets under custody and administration thereby being the largest deposit bank in the world. It operates in six primary financial services sectors including advisory services, asset management, asset servicing, broker-dealer, issuance services, treasury services and wealth management.It is the oldest banking corporation in the United States, tracing its origins to the establishment of the Bank of New York in 1784 by Alexander Hamilton.
The Bank of New York was founded by Alexander Hamilton on June 9, 1784, in the old Walton Mansion in New York City.The President of the new bank was former Major General Alexander McDougall, with William Winston Seaton as the Chief Cashier. In 1792 when the New York Stock Exchange was first opened, The Bank of New York was the first company to be traded on the Exchange.The bank was founded in 1784 by a series of documents drawn up by Alexander Hamilton. It wasn't until May 2, 1791 that the Bank was able to procure a charter.
The charter was renewed several times up until the era of free banking, when in 1852, it was officially recognized under Banking Law as a bank having a capital of $2,000,000.Following the instigation of the National Banking Act, the Bank of New York in 1865 was once again chartered, this time as a National Bank via the act.
Up through the early 1900s, the Bank of New York continued to expand and prosper. In July 1922, the Bank of New York and the New York Life Insurance and Trust Company merged. Because of the wise policies adopted by the management of the Bank, the firm managed to come through the Great Depression strengthened financially. In 1948 the Bank once again merged, this time with the Fifth Avenue Bank, to be followed by a merger in 1966 with the Empire Trust Company.That same year, 1966, the Bank of New York opened offices in London.The addition of the London office, was instrumental in the establishment of the Bank on the international level.The bank's holding company was created in 1969. It was instrumental in the growth and expansion of the Bank of New York, outside of New York City
Mellon Financial
In 1902, T. Mellon & Son's name was changed to that of the Mellon National Bank. The firm merged with the Union Trust Company in 1946, a business founded by Andrew Mellon.The name of the newly formed organization was the Mellon National Bank and Trust Company, Pittsburgh's first $1 billion bank.
In 1920 Andrew left his leadership post of the bank to become the longest serving U.S. Treasury Secretary in history (serving under three separate administrations). In 1929, Richard founded Mellbank Corporation. In 1946, Mellon National, Mellbank, and the Union Trust Company merged to form Mellon National Bank and Trust Company. A reorganization in 1972 brought about a name change to Mellon Bank, N.A. and the formation of a holding company, Mellon National Corporation.
In 1983, Mellon bought Girard Bank of Philadelphia and Central Counties Bank of State College, Pennsylvania. The next year, Mellon National Corporation became Mellon Bank Corporation, and purchased Northwest Pennsylvania Corporation of Oil City, Pennsylvania. In 1986, Mellon bought Commonwealth National Financial of Harrisburg, Pennsylvania. In 1991, Mellon bought United Penn Bank of Wilkes-Barre, Pennsylvania. The next year, Mellon bought 54 branch offices of Philadelphia-based Philadelphia Savings Fund Society, whose parent company had become insolvent. Philadelphia Savings Fund Socity, was the first savings bank in the United States, founded in 1819.
In 1993, Mellon bought The Boston Company from American Express and AFCO Credit Corporation from The Continental Corporation. The next year, Mellon merged with the Dreyfus Corporation, bringing its mutual funds under its umbrella. 1998 saw Mellon's purchase of United Bankshares, Inc., of Miami, 1st Business Bank of Los Angeles, and Founders Asset Management.
In 1999, Martin G. McGuinn became chairman and chief executive officer of Mellon Bank Corporation. Mellon Bank Corporation then became Mellon Financial Corporation. In 2004, Mellon announced it would purchase Safeco Trust Company from Seattle-based Safeco Corporation. The same year, it purchased outstanding shares in London-based Pareto Partners and offered them floor space in Mellon Financial (opened earlier in the year).
