Citi-chovia or WaCiti (C, WB)

Banking, finance, and taxes

Published: September 26, 2008 3:12 pm

Last Updated: April 27, 2020 7:05 pm

The rumor mill and the deal-making mill might not be dead. The New York Times’ DealBook noted that Citigroup Inc. (NYSE:C) and Wachovia Corporation (NYSE: WB) were in early merger talks. Citi shares closed up 3.8% at $20.15 in a late-day run-up after being down sharply earlier. Wachovia shares closed down 27% at $10.00 on fears that it would face credit troubles similar to WaMu. These mergers have so far not been great for shareholders at competing banks. Wachovia’s stock is actually down about 3% in after-hours trading. Where that ultimately goes is anyone’s guess. Until there is a confirmation from one or both companies, we are treating this more as rumor than as fact.

As we noted, Citigroup’s financial supermarket model is now being vindicated based upon the financial consolidation. Too bad it executed that strategy poorly.

Jon C. Ogg
September 26, 2008

Travel Cards Are Getting Too Good To Ignore (sponsored)

Credit card companies are pulling out all the stops, with the issuers are offering insane travel rewards and perks.

We’re talking huge sign-up bonuses, points on every purchase, and benefits like lounge access, travel credits, and free hotel nights. For travelers, these rewards can add up to thousands of dollars in flights, upgrades, and luxury experiences every year.

It’s like getting paid to travel — and it’s available to qualified borrowers who know where to look.

We’ve rounded up some of the best travel credit cards on the market. Click here to see the list. Don’t miss these offers — they won’t be this good forever.