CITIGROUP INC (C) — 10-K

Filed 2026-02-20 · Period ending 2025-12-31 · 211,031 words · SEC EDGAR

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# CITIGROUP INC (C) — 10-K

**Filed:** 2026-02-20
**Period ending:** 2025-12-31
**Accession:** 0000831001-26-000011
**Source:** [SEC EDGAR](https://www.sec.gov/Archives/edgar/data/831001/000083100126000011/)
**Origin leaf:** e93af92e106208201c478f9c49b2b6443c5c8d7d3694540f8b49d51b892c4294
**Words:** 211,031



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UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWASHINGTON, D.C. 20549FORM 10-K (Mark One)
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| | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | |
For the fiscal year ended December31, 2025
OR
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| | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | |
For the transition period from to 
Commission file number1-9924 
CitigroupInc.
(Exact name of registrant as specified in its charter)
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| Delaware | 52-1568099 | |
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |
| 388 Greenwich Street, | New York | NY | 10013 | |
| (Address of principal executive offices) | (Zip code) | |
(212)559-1000 
(Registrants telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934 formatted in Inline XBRL: See Exhibit 99.01
Securities registered pursuant to Section 12(g) of the Act: none
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes x Noo
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Act. Yes o Nox
Indicate by check mark whether the registrant (1)has filed all reports required to be filed by Section13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12months (or for such shorter period that the registrant was required to file such reports), and (2)has been subject to such filing requirements for the past 90days. Yesx Noo
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule405 of RegulationS-T (232.405 of this chapter) during the preceding 12months (or for such shorter period that the registrant was required to submit such files). Yes x Noo
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of large accelerated filer, accelerated filer, smaller reporting company and emerging growth company in Rule12b-2 of the Exchange Act.
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| Large accelerated filer | | Accelerated filer | | Non-accelerated filer | | Smaller reporting company | | |
| Emerging growth company | | |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. Yeso
Indicate by check mark whether the registrant has filed a report on and attestation to its managements assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. 
If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. o
Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrants executive officers during the relevant recovery period pursuant to 240.10D-1(b). o
Indicate by check mark whether the registrant is a shell company (as defined in Rule12b-2 of the Act). Yes Nox
The aggregate market value of Citigroup Inc. common stock held by non-affiliates of Citigroup Inc. on June 30, 2025 was approximately $156.2 billion.
Number of shares of Citigroup Inc. common stock outstanding on January 31, 2026: 1,749,319,009 
Documents Incorporated by Reference: Portions of the registrants proxy statement for the annual meeting of stockholders scheduled to be held on May20, 2026 are incorporated by reference in this Form 10-K in response to Items 10, 11, 12, 13 and 14 of Part III.
Available online at www.citigroup.com
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FORM 10-K CROSS-REFERENCE INDEX
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| Item Number | Page | |
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| Part I | |
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| 1. | Business | 436, 121127, | |
| 129, 160164, | |
| 299300 | |
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| 1A. | Risk Factors | 4962 | |
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| 1B. | Unresolved Staff Comments | Not Applicable | |
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| 1C. | Cybersecurity | 5557, 113115 | |
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| 2. | Properties | Not Applicable | |
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| 3. | Legal ProceedingsSee Note 30 to the Consolidated Financial Statements | 287293 | |
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| 4. | Mine Safety Disclosures | Not Applicable | |
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| Part II | | |
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| 5. | Market for Registrants Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities | 138139, 170172, 301303 | |
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| 6. | Reserved | |
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| 7. | Managements Discussion and Analysis of Financial Condition and Results of Operations | 836, 64120 | |
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| 7A. | Quantitative and Qualitative Disclosures About Market Risk | 64120, 165169, 190228, 235278 | |
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| 8. | Financial Statements and Supplementary Data | 134298 | |
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| 9. | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure | Not Applicable | |
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| 9A. | Controls and Procedures | 127128 | |
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| 9B. | Other Information | 302 | |
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| 9C. | Disclosure Regarding Foreign Jurisdictions that Prevent Inspections | Not Applicable | |
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| Part III | |
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| 10. | Directors, Executive Officers and Corporate Governance | 304306* | |
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| 11. | Executive Compensation | ** | |
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| 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters | *** | |
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| 13. | Certain Relationships and Related Transactions, and Director Independence | **** | |
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| 14. | Principal Accountant Fees and Services | ***** | |
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| Part IV | |
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| 15. | Exhibit and Financial Statement Schedules | |
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| * | For additional information regarding Citigroups Directors, see Corporate Governance and Proposal 1: Election of Directors in the definitive Proxy Statement for Citigroups Annual Meeting of Stockholders scheduled to be held on May20, 2026, to be filed with the SEC (the Proxy Statement), incorporated herein by reference. | |
| ** | See Compensation Discussion and Analysis, The Personnel and Compensation Committee Report, and 2025 Summary Compensation Table and Compensation Information and CEO Pay Ratio in the Proxy Statement, incorporated herein by reference, other than disclosure under the heading Pay versus Performance information responsive to Item 402(v) of Regulation S-K of SEC rules. | |
| *** | See About the Annual Meeting, Stock Ownership and Equity Compensation Plan Information in the Proxy Statement, incorporated herein by reference. | |
| **** | See Corporate GovernanceDirector Independence, Certain Transactions and Relationships, Compensation Committee Interlocks and Insider Participation and Indebtedness in the Proxy Statement, incorporated herein by reference. | |
| ***** | See Proposal 2: Ratification of Selection of Independent Registered Public Accountants in the Proxy Statement, incorporated herein by reference. | |
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CITIGROUPS 2025 ANNUAL REPORT ON FORM 10-K
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| OVERVIEW | 4 | |
| Non-GAAP Financial Measures | 4 | |
| Citigroups Five Reportable Business Segments | 6 | |
| MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS | 8 | |
| Executive Summary | 8 | |
| Citis Multiyear Transformation | 10 | |
| Recent Developments | 11 | |
| Summary of Selected Financial Data | 12 | |
| Balance Sheet Overview | 14 | |
| Segment Revenues and Income (Loss) | 16 | |
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| Services | 17 | |
| Markets | 20 | |
| Banking | 23 | |
| Wealth | 26 | |
| U.S. Personal Banking | 29 | |
| All OtherManaged Basis | 32 | |
| All OtherDivestiture-Related Impacts (Reconciling Items) | 36 | |
| CAPITAL RESOURCES | 37 | |
| RISK FACTORS | 49 | |
| SUSTAINABILITY | 62 | |
| HUMAN CAPITAL RESOURCES AND MANAGEMENT | 62 | |
| Managing Global RiskTable of Contents | 63 | |
| MANAGING GLOBAL RISK | 64 | |
| SIGNIFICANT ACCOUNTING POLICIES ANDSIGNIFICANT ESTIMATES | 121 | |
| DISCLOSURE CONTROLS AND PROCEDURES | 127 | |
| MANAGEMENTS ANNUAL REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING | 128 | |
| FORWARD-LOOKING STATEMENTS | 129 | |
| REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM (PCAOB ID # 185) | 130 | |
| Financial Statements and NotesTable of Contents | 133 | |
| CONSOLIDATED FINANCIAL STATEMENTS | 134 | |
| NOTES TO CONSOLIDATED FINANCIAL STATEMENTS | 142 | |
| FINANCIAL DATA SUPPLEMENT | 298 | |
| SUPERVISION, REGULATION AND OTHER | 299 | |
| OTHER INFORMATION | 302 | |
| CORPORATE INFORMATION | 304 | |
| Executive Officers | 304 | |
| Citigroup Board of Directors | 306 | |
| EXHIBIT INDEX | 307 | |
| SIGNATURES | 312 | |
| GLOSSARY OF TERMS AND ACRONYMS | 313 | |
3OVERVIEWCitigroups history dates back to the founding of the City Bank of New York in 1812. Citigroup is a global diversified financial services holding company whose businesses provide consumers, corporations, governments and institutions with a broad, yet focused, range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, trade and securities services and wealth management. Citi does business in nearly 160 countries and jurisdictions.Citis vision is to be the preeminent banking partner for institutions with cross-border needs, a global leader in wealth management and a valued personal bank in the U.S.Throughout this report, Citigroup, Citi and the Company refer to Citigroup Inc. and its consolidated subsidiaries. All Note references correspond to the Notes to the Consolidated Financial Statements herein, unless otherwise indicated. For a list of certain terms and acronyms used in this Annual Report on Form 10-K and other Citigroup presentations, see Glossary of Terms and Acronyms at the end of this report. Additional InformationAdditional information about Citigroup is available on Citis website at www.citigroup.com. Citigroups annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and proxy statements, as well as other filings with the U.S. Securities and Exchange Commission (SEC) are available free of charge through Citis website by clicking on SEC Filings under the Investors tab. The SECs website also contains these filings and other information regarding Citi at www.sec.gov. For a discussion of 2024 versus 2023 results of operations of Services, Markets, Banking, Wealth, U.S. Personal Banking and All Other, see each respective businesss results of operations in Citigroups Annual Report on Form 10-K for the year ended December 31, 2024 (the 2024 Annual Report on Form 10-K).Presentation ChangesChanges in presentation have been made, including the following:Effective July 1, 2025, gains and losses on certain economic and qualifying hedging derivatives, foreign currency transaction gains and losses related to non-U.S. dollar debt and certain foreign operations that designate the U.S. dollar as their functional currency in countries with highly inflationary economies reported within Services, Markets, Banking and All OtherCorporate Other, which were previously presented within Other revenue, are now presented within Principal transactions. Prior periods were conformed to reflect this change in presentation. Effective July 1, 2025, certain predominantly variable expenses incurred in ongoing support of products and services, which were previously presented within Other operating expenses and Transactional and tax charges, are now aggregated and presented within a new expenses category, Transactional and product servicing (see Glossary below for definition). Additionally, certain non-income tax charges incurred, which were previously presented within Transactional and tax charges and do not align with the redefined Transactional and product servicing, are now presented within Other operating. Prior periods were conformed to reflect this change in presentation.Effective January 1, 2025, certain transaction processing fees paid by Citi, primarily to credit card networks, reported within U.S. Personal Banking (USPB), Services, Wealth and All OtherLegacy Franchises (Mexico Consumer/SBMM and Asia Consumer), which were previously presented within Other operating expenses, are now presented as contra-revenue within Commissions and fees reported in Non-interest revenue. Prior periods were conformed to reflect this change in presentation.Effective January 1, 2025, USPB changed its reporting for certain installment lending products that were transferred from Retail Banking to Branded Cards to reflect where these products are managed. Prior periods were conformed to reflect this change in presentation.
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Please see Risk Factors below for a discussion of material risks and uncertainties that could impact Citis businesses, results of operations and financial condition.
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Non-GAAP Financial Measures Citi prepares its financial statements in accordance with U.S. generally accepted accounting principles (GAAP) and also presents certain non-GAAP financial measures (non-GAAP measures) that exclude certain items or otherwise include components that differ from the most directly comparable measures calculated in accordance with U.S. GAAP. These non-GAAP financial measures are not intended to be a substitute for GAAP financial measures and may not be defined or calculated the same way as non-GAAP measures with similar names used by other companies.Citis non-GAAP financial measures in this Form 10-K include the following:Revenues excluding the loss on sale due to the held-for-sale accounting treatment related to Citis plan to sell AO Citibank (which was sold on February 18, 2026) in Russia (the Russia-related notable item)Expenses excluding a goodwill impairment related to Citis agreement to sell a 25% equity stake in Grupo Financiero Banamex, S.A. de C.V. (Banamex) (the Banamex-related notable item)Net income and diluted earnings per share (EPS), excluding revenue and expense notable items4 Banking and Corporate Lending revenues excluding gain (loss) on loan hedgesAll Other (managed basis), excluding divestiture-related impactsTangible common equity (TCE), return on tangible common equity (RoTCE) and tangible book value per share (TBVPS)Non-Markets net interest income The following are details for the above non-GAAP financial measures:Citis revenues excluding the Russia-related notable item represent as reported, or GAAP, financial results less this notable item. Citi believes its results excluding the Russia-related notable item are useful to investors, industry analysts and others in evaluating Citis results of operations and comparing its operational performance between periods, by providing a meaningful depiction of the underlying fundamentals of period-to-period operating results, particularly given the outsized impact of the item, as well as additional comparability to peer companies.Citis expenses excluding the Banamex-related notable item represent as reported, or GAAP, financial results less this notable item, within All OtherLegacy Franchises. For more information on this notable item, see Executive Summary and All OtherManaged BasisLegacy Franchises (Managed Basis) below. Citis net income and diluted EPS excluding the Russia-related and Banamex-related notable items represent as reported, or GAAP, financial results adjusted for these two notable items. Citis expenses excluding the Banamex-related notable item represent as reported, or GAAP, financial results less the Banamex-related notable item. Citi believes its results excluding the Russia-related and Banamex-related notable items are useful to investors, industry analysts and others in evaluating Citis results of operations and comparing its operational performance between periods, by providing a meaningful depiction of the underlying fundamentals of period-to-period operating results, particularly given the outsized impact of these items, as well as additional comparability to peer companies.Citis All Other results excluding divestiture-related impacts represent as reported, or GAAP, financial results less the items incurred and recognized that are wholly and necessarily a consequence of actions taken to sell (including through a public offering), dispose of or wind down business activities associated with Citis previously announced exit markets within All OtherLegacy Franchises. Additionally, Citis Chief Executive Officer, its chief operating decision maker, regularly reviews financial information for All Other on a managed basis that excludes these divestiture-related impacts. For more information on Citis results excluding divestiture-related impacts, see Executive Summary and All OtherDivestiture-Related Impacts (Reconciling Items) below.For more information on Banking and Corporate Lending revenues excluding gain (loss) on loan hedges, see Executive Summary and Banking below. Citi believes that Banking and Corporate Lending revenues excluding gain (loss) on loan hedges are useful to investors, industry analysts and others because the gain (loss) on loan hedges are independent of Banking and Corporate Lendings core operations and not indicative of the performance of the business operations.For more information on TCE, RoTCE and TBVPS, see Capital ResourcesTangible Common Equity, Book Value Per Share, Tangible Book Value Per Share and Return on Equity below. TCE, RoTCE and TBVPS are used by management, as well as investors, industry analysts and others, in assessing Citis use of equity. Citi believes TCE and RoTCE are useful to investors, industry analysts and others by providing alternative measures of capital strength and performance. Citi believes TBVPS provides additional useful information about the level of tangible assets in relation to Citis outstanding shares of common stock.For more information on non-Markets net interest income, see Market RiskNon-Markets Net Interest Income below. Management uses non-Markets net interest income to assess the performance of Citis non-Markets lending, investing (including asset-liability management) and deposit-raising activities, apart from any volatility associated with such Markets activities. Citi believes the use of this non-GAAP measure provides investors, industry analysts and others with an alternative measure to analyze the net interest income trends of Citis lending, investing and deposit-raising activities, by providing a meaningful depiction of the underlying fundamentals of period-to-period operating results of those activities; improved visibility into management decisions and their impacts on operational performance; and additional comparability to peer companies.Included in Citis reported revenues was an immaterial increase in divestiture-related revenues of ($176) million in the current year, primarily related to Citis Poland consumer banking business, compared to aggregate divestiture-related revenues of $26 million in the prior year. Accordingly, Citi is not adjusting for these immaterial amounts. 5 Citigroup is managed pursuant to five reportable business segments (segments), also referred to as Citis five businesses: Services, Markets, Banking, Wealth and U.S. Personal Banking. Activities not assigned to the segments are included in All Other. For additional information, see the results of operations for each of the segments and All Other within Managements Discussion and Analysis of Financial Condition and Results of Operations below. Note: Mexico is included in Latin America (LATAM) within International.(1)Fixed Income Markets consists of the Rates and Currencies and Spread Products and Other Fixed Income sub-businesses; Equity Markets consists of the Equity Derivatives, Equity Cash and Prime Services sub-businesses.(2)Investment Banking consists of the Debt Capital Markets (DCM), Equity Capital Markets (ECM) and Advisory sub-businesses.(3)Mexico Consumer/SBMM operates primarily through Grupo Financiero Banamex, S.A. de C.V. (Banamex) and its consolidated subsidiaries. Mexico Consumer/SBMM results of operations and certain balance sheet information are presented in a managerial view in this Form 10-K and include certain intercompany allocations, managerial charges and offshore expenses that reflect the Mexico Consumer/SBMM operations as a component of Citis consolidated operations, and are not intended to reflect, and may differ significantly from, Banamexs results and operations as a standalone legal entity. For additional information, see All OtherManaged BasisLegacy Franchises (Managed Basis) below.(4)Primarily represents the two remaining exit countries (Poland and Korea).(5)Within International, Citi is organized into six clusters: United Kingdom; Japan, Asia North and Australia (JANA); LATAM; Asia South; Europe; and Middle East, Africa and Russia (MEA). Although the chief operating decision maker (CODM) does not manage Citis segments and All Other by cluster, Citi provides additional selected financial information (revenue and certain corporate credit metrics) below for the six clusters within International.6 Effective as of the first quarter of 2026, Citi transferred its Retail Banking business from USPB to Wealth, and the remaining USPB businesses, including Branded Cards and Retail Services, were integrated into a new U.S. Consumer Cards (USCC) segment. The following chart details Citis segments and their lines of business as of the first quarter of 2026: Note: Mexico is included in Latin America (LATAM) within International.(1)Fixed Income Markets consists of the Rates and Currencies and Spread Products and Other Fixed Income sub-businesses; Equity Markets consists of the Equity Derivatives, Equity Cash and Prime Services sub-businesses.(2)Investment Banking consists of the Debt Capital Markets (DCM), Equity Capital Markets (ECM) and Advisory sub-businesses.(3)Mexico Consumer/SBMM operates primarily through Grupo Financiero Banamex, S.A. de C.V. (Banamex) and its consolidated subsidiaries. Mexico Consumer/SBMM results of operations and certain balance sheet information are presented in a managerial view in this Form 10-K and include certain intercompany allocations, managerial charges and offshore expenses that reflect the Mexico Consumer/SBMM operations as a component of Citis consolidated operations, and are not intended to reflect, and may differ significantly from, Banamexs results and operations as a standalone legal entity. For additional information, see All OtherManaged BasisLegacy Franchises (Managed Basis) below.(4)Primarily represents the remaining two exit countries (Poland and Korea).(5)Within International, Citi is organized into six clusters: United Kingdom; Japan, Asia North and Australia (JANA); LATAM; Asia South; Europe; and Middle East, Africa and Russia (MEA). Although the chief operating decision maker (CODM) does not manage Citis segments and All Other by cluster, Citi provides additional selected financial information (revenue and certain corporate credit metrics) below for the six clusters within International.7 MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSEXECUTIVE SUMMARYAs described further throughout this Executive Summary, Citi demonstrated improved business performance and made significant progress on its strategic priorities in 2025 and early 2026:Citi and its five businesses each achieved positive operating leverage for 2025 for the second consecutive year. Citis positive operating leverage in 2025 was driven by revenue growth of 6% and disciplined expense management, with expenses up 3%.Citi returned $17.6 billion to common shareholders in the form of share repurchases ($13.3 billion) under its multiyear $20 billion common stock repurchase program and dividends ($4.3 billion). Citi will continue to assess the level of common share repurchases on a quarter-by-quarter basis.Citi continued to advance its transformation, with over 80% of transformation programs now at or nearly at Citis target state. Additionally, in December 2025, the OCC terminated its July 2024 amendment to Citibanks 2020 Consent Order (see Citis Multiyear Transformation below).Citi continued to make progress on its remaining divestitures, including completing the sale of a 25% equity stake in Banamex in 2025 and signing and closing the sale of AO Citibank in Russia to Renaissance Capital (RenCap) on February 18, 2026. For additional information about the sale of AO Citibank and its impacts, see Recent Developments and Managing Global RiskOther RisksCountry RiskRussia below.2025 Results SummaryCitigroupCitigroup reported net income of $14.3 billion, or $6.99 per share. This compared to net income of $12.7 billion, or $5.94 per share in the prior year. Results in 2025 included two notable items: Russia-related notable item: revenues included a $1.2 billion ($1.1 billion after-tax) loss on sale related to the held-for-sale accounting treatment related to Citis plan to sell AO Citibank in Russia (which was sold on February 18, 2026)Banamex-related notable item: expenses included a goodwill impairment of $726 million ($714 million after-tax) related to Citis agreement to sell a 25% equity stake in Grupo Financiero Banamex, S.A. de C.V. (Banamex)Excluding the Russia-related notable item and the Banamex-related notable item, net income was $16.1 billion, or $7.97 per share.Net income increased 13% versus the prior year, driven by higher revenues, partially offset by higher expenses, a higher effective tax rate and higher provisions for credit losses. Citigroups effective tax rate was 27% in 2025 versus 25% in the prior year, driven by the limited tax benefit of the Russia-related and Banamex-related notable items. Citigroup revenues of $85.2 billion in 2025 increased 6% on a reported basis, driven by an increase in net interest income, up 11%, partially offset by lower non-interest revenue, down 4%. The increase in net interest income reflected higher net interest income in Markets, Services, USPB and Wealth, partially offset by lower net interest income in All Other (managed basis) and Banking. The decrease in non-interest revenue was driven by declines in All Other (managed basis), Markets and USPB, largely offset by Banking, Wealth and Services. Excluding the Russia-related notable item, revenues were $86.4 billion.Citigroups average loans in 2025 were $716 billion, up 5% versus the prior year, largely driven by loan growth in Markets, USPB and Services. For additional information about Citis average loans by business, including drivers and loan trends, see each businesss results of operations and Loans Outstanding below.Citigroups average deposits in 2025 were approximately $1.4 trillion, up 4% versus the prior year, primarily driven by an increase in Services. For additional information about Citis average deposits by business, including drivers and deposit trends, see each respective businesss results of operations and Liquidity RiskDeposits below.ExpensesCitigroups operating expenses of $55.1 billion increased 3% from the prior year, driven by higher compensation and benefits, the Banamex-related notable item, higher technology and communications and higher transactional and product servicing expenses, partially offset by lower deposit insurance expenses and restructuring charges. The increase in compensation and benefits was driven by performance-related compensation and higher severance. The increase in technology and communication was driven by continued investments in transformation and businesses. The increase in transactional and product servicing was driven by higher volumes in USPB, Markets and Wealth, partially offset by All Other. Excluding the Banamex-related notable item, expenses were $54.4 billion. For additional information on Citis transformation investments, see Citis Multiyear Transformation below.8 ProvisionsCitis total provisions for credit losses and for benefits and claims were $10.3 billion, reflecting net credit losses of $9.1 billion and a net allowance for credit losses (ACL) build of $1.2 billion. Net credit losses were up 1% from the prior year, driven by increases in Legacy Franchises in All Other, largely offset by decreases in USPB. The net ACL build was driven by changes in the macroeconomic outlook and transfer risk. Citis total provisions for credit losses and for benefits and claims in the prior year were $10.1 billion, reflecting net credit losses of $9.0 billion and a net ACL build of $1.1 billion, driven by changes in credit quality, higher net lending activity and transfer risk, partially offset by changes in the macroeconomic outlook. For additional information on Citis ACL, see Significant Accounting Policies and Significant EstimatesCitis Allowance for Credit Losses (ACL) below. For additional information on Citis consumer and corporate provisions, see each respective segments and All Others results of operations and Credit Risk below.CapitalCitigroups Common Equity Tier 1 (CET1) Capital ratio was 13.2% as of December 31, 2025, compared to 13.6% as of December 31, 2024, based on the Basel III Standardized Approach for determining risk weighted assets (RWA). The decrease was primarily driven by common share repurchases, an increase in RWA and the payment of common and preferred dividends, partially offset by net income and net beneficial movements in Accumulated other comprehensive income (AOCI).In 2025, Citi repurchased $13.3 billion of common shares and paid $4.3 billion of common dividends (see Unregistered Sales of Equity Securities, Repurchases of Equity Securities and Dividends below).Citigroups Supplementary Leverage ratio as of December 31, 2025 was 5.5%, compared to 5.8% as of December 31, 2024. The decrease was driven by an increase in Total Leverage Exposure, partially offset by an increase in Tier 1 Capital. For additional information on Citis capital ratios and related components, see Capital Resources below. For additional information on capital-related risks, trends and uncertainties, see Capital ResourcesRegulatory Capital Standards and Developments and Risk FactorsStrategic Risks, Operational Risks and Compliance Risks below. For information on the results of operations for 2025 for each of Citis segments and All Other, see Services, Markets, Banking, Wealth, USPB and All OtherManaged Basis below.Macroeconomic and Other Risks and Uncertainties Various macroeconomic, geopolitical and regulatory factors have contributed to economic uncertainties in the U.S. and globally, including, but not limited to, those related to various geopolitical challenges, tensions and conflicts; changes in U.S. laws or policies, including those related to trade and tariffs; and lower interest rates. These factors could adversely affect economic growth, unemployment and inflation in the U.S. and other countries and result in volatility and disruptions in financial markets. Such risks and uncertainties could adversely impact Citis clients, customers, businesses, funding costs, provisions and overall results of operations and financial condition during 2026.For a further discussion of trends, uncertainties and risks that will or could impact Citis segments and All Other, results of operations, capital and other financial condition during 2026, see each respective segments and All Others results of operations, Risk Factors and Managing Global Risk, including Managing Global RiskOther RisksCountry RiskArgentina below.9 CITIS MULTIYEAR TRANSFORMATIONAs previously disclosed, Citis transformation, including the remediation of its consent orders with the FRB and OCC, is a multiyear endeavor that is not linear. Citi is modernizing and simplifying the Company in order to lead in a dynamic, competitive and digital world. Citis transformation goes beyond remedying regulatory concerns to intentionally transform how the organization operates, and makes investments that not only support current needs, but also benefit the Company over the long term.Citis transformation target outcomes remain focused on changing its business and operating models such that they simultaneously: further strengthen controls, enhance data quality and governance, reduce risk and continue to improve Citis regulatory compliance and its cultureenhance Citis value to customers, clients and shareholdersTransformation efforts of this scale involve significant complexities and uncertainties, including ongoing regulatory challenges and risks. Citi may continue to experience significant challenges in progressing the transformation and satisfying the regulators expectations in both sufficiency and timing, particularly with regard to data quality management related to governance and regulatory reporting. The regulators may also identify additional risk and control issues that could result in further regulatory actions. For additional information about these regulatory risks, see Risk FactorsCompliance Risks below.For additional information on Citis transformation progress, investments and governance over the last several years, see Citis Multiyear Transformation in Citis 2024 Annual Report on Form 10-K.2025 Transformation ProgressCiti continued to make progress on its transformation in 2025. As of December 31, 2025, over 80% of Citis transformation programs were at or nearly at the Companys target state. Progress through 2025 included the following:enhanced and implemented automated controls to further mitigate risk of large erroneous payments in over 90 countriescompleted migration of committed corporate loans to Citis strategic loans processing platform for North Americaapplied technology solutions leveraging AI to support governance of data reported in key regulatory reports completed onboarding of wholesale and retail contractual data to two strategic data platforms with built-in controls for accuracy, completeness and timeliness continued to optimize, modernize and simplify Citi by retiring or replacing 548 applications during 2025 (representing 9% of all applications)In 2025, Citis transformation-related expenses increased 14% from the prior year to approximately $3.3 billion, largely driven by increased spending on data, as well as on controls. While Citis transformation investments will remain significant in 2026 and beyond, Citi expects them to decline over time. FRB and OCC Consent Orders ComplianceCitis transformation efforts include implementation of the October 7, 2020 FRB and OCC Consent Orders issued to Citigroup and Citibank, respectively. The 2020 Consent Orders require Citigroup and Citibank to implement extensive targeted action plans and submit quarterly progress reports on a timely and sufficient basis, detailing the results and status of improvements relating principally to various aspects of:enterprise-wide risk management;compliance risk management;data quality management related to governance; and internal controls. Although there are no restrictions on Citis ability to serve its clients, the 2020 OCC Consent Order requires Citibank to obtain prior approval of any significant new acquisition, including any portfolio or business acquisition, excluding ordinary course transactions. For additional information about the requirements under the 2020 Consent Orders, see Citis October 9, 2020 Form 8-K.In 2024 the FRB entered into a Civil Money Penalty Consent Order with Citigroup in the amount of approximately $61 million, having found that Citigroup had ongoing deficiencies related to its data quality management program and inadequate measures for managing and controlling its data quality risks; and the OCC entered into a Civil Money Penalty Consent Order with Citibank, a wholly owned subsidiary of Citigroup, in the amount of $75 million, having found that Citibank had failed to make sufficient and sustainable progress toward achieving compliance with the OCCs 2020 Consent Order. The OCC and Citibank also entered into an amendment to the October 7, 2020 OCC Consent Order (the Amendment), which the OCC terminated on December 18, 2025. For additional information on the 2024 Consent Orders and the Amendment, see Citis July 10, 2024 Form 8-K.Citi continues to work constructively with the FRB and OCC and provide additional information regarding its plans and progress to both regulators on an ongoing basis.10 Transformation GovernanceCiti has built an organization and infrastructure to manage, guide and support its transformation, which spans all businesses and functions to ensure consistency. Additionally, the Citigroup and Citibank Boards of Directors each formed a Transformation Oversight Committee, an ad hoc committee of each Board, to provide oversight of Citis efforts to improve its risk and control environment and managements remediation efforts under the consent orders.While every member of Citis executive management team, or EMT, is involved in the transformation and plays a key, direct role in its implementation, Citis CEO has taken a leading role in managing the effort. As part of this effort, Citis CEO has assembled a team consisting of long-tenured employees and new hires from across various disciplines and areas of expertise and experience, along with representatives from each of Citis businesses and functions, to lead the various transformation programs. Citi is focusing its most senior talent on this effort and has a detailed, integrated approach to execute on the transformation. Citis Transformation Steering Committee, chaired by Citis CEO, sets the overall direction for the transformation and communicates progress to the Citigroup Board of Directors, as well as seeks input and feedback from the Board. RECENT DEVELOPMENTSOn February 18, 2026, Citi signed and closed the sale of AO Citibank, Citis former Russian subsidiary, to RenCap. The transaction resulted in Citis full exit from its operations in Russia and included all remaining businesses, as well as approximately 800 employees. The divestiture of the remaining business operations is expected to provide an estimated benefit to Citis Common Equity Tier 1 (CET1) capital in the first quarter of 2026 of approximately $4 billion, primarily driven by the deconsolidation of associated risk-weighted assets, a reduction in disallowed deferred tax assets (DTA) and the release of associated currency translation adjustment (CTA) loss. While a benefit in the first quarter of 2026, the cumulative impact of the $1.6 billion CTA loss is regulatory capital neutral to Citi. For additional information, see Managing Global RiskOther RisksCountry RiskRussia below and Note 2.11 RESULTS OF OPERATIONSSUMMARY OF SELECTED FINANCIAL DATACitigroup Inc. and Consolidated Subsidiaries
| |
| In millions of dollars, except per share amounts | 2025 | 2024 | 2023 | 2022 | 2021 | |
| Net interest income | $ | 59,792 | $ | 54,095 | $ | 54,900 | $ | 48,668 | $ | 42,494 | |
| Non-interest revenue | 25,433 | 26,627 | 23,166 | 26,314 | 29,080 | |
| Revenues, net of interest expense(1) | $ | 85,225 | $ | 80,722 | $ | 78,066 | $ | 74,982 | $ | 71,574 | |
| Operating expenses(1) | 55,132 | 53,567 | 55,970 | 50,936 | 47,883 | |
| Provisions for credit losses and for benefits and claims | 10,265 | 10,109 | 9,186 | 5,239 | (3,778) | |
| Income from continuing operations before income taxes | $ | 19,828 | $ | 17,046 | $ | 12,910 | $ | 18,807 | $ | 27,469 | |
| Income taxes | 5,373 | 4,211 | 3,528 | 3,642 | 5,451 | |
| Income from continuing operations | $ | 14,455 | $ | 12,835 | $ | 9,382 | $ | 15,165 | $ | 22,018 | |
| Income (loss) from discontinued operations, net of taxes | (3) | (2) | (1) | (231) | 7 | |
| Net income before attribution of noncontrolling interests | $ | 14,452 | $ | 12,833 | $ | 9,381 | $ | 14,934 | $ | 22,025 | |
| Net income attributable to noncontrolling interests | 146 | 151 | 153 | 89 | 73 | |
| Citigroups net income | $ | 14,306 | $ | 12,682 | $ | 9,228 | $ | 14,845 | $ | 21,952 | |
| Earnings per share | |
| Basic | |
| Income from continuing operations | $ | 7.11 | $ | 6.03 | $ | 4.07 | $ | 7.16 | $ | 10.21 | |
| Net income | 7.11 | 6.03 | 4.07 | 7.04 | 10.21 | |
| Diluted | |
| Income from continuing operations | $ | 6.99 | $ | 5.95 | $ | 4.04 | $ | 7.11 | $ | 10.14 | |
| Net income | 6.99 | 5.94 | 4.04 | 7.00 | 10.14 | |
| Dividends declared per common share | 2.32 | 2.18 | 2.08 | 2.04 | 2.04 | |
| Common dividends | $ | 4,340 | $ | 4,218 | $ | 4,076 | $ | 4,028 | $ | 4,196 | |
| Preferred dividends | 1,114 | 1,054 | 1,198 | 1,032 | 1,040 | |
| Common share repurchases | 13,250 | 2,500 | 2,000 | 3,250 | 7,600 | |
Table continues on the next page, including footnotes.12 SUMMARY OF SELECTED FINANCIAL DATA (Continued) Citigroup Inc. and Consolidated Subsidiaries
| |
| In millions of dollars, except per share amounts, ratios and direct staff | 2025 | 2024 | 2023 | 2022 | 2021 | |
| At December 31: | |
| Total assets | $ | 2,657,202 | $ | 2,352,945 | $ | 2,411,834 | $ | 2,416,676 | $ | 2,291,413 | |
| Total deposits | 1,403,573 | 1,284,458 | 1,308,681 | 1,365,954 | 1,317,230 | |
| Long-term debt | 315,827 | 287,300 | 286,619 | 271,606 | 254,374 | |
| Citigroup common stockholders equity | 192,241 | 190,748 | 187,853 | 182,194 | 182,977 | |
| Total Citigroup stockholders equity | 212,291 | 208,598 | 205,453 | 201,189 | 201,972 | |
| Average assets | 2,644,069 | 2,468,431 | 2,442,233 | 2,396,023 | 2,347,709 | |
| Direct staff (in thousands) | 226 | 229 | 239 | 240 | 223 | |
| Performance metrics | |
| Return on average assets | 0.54 | % | 0.51 | % | 0.38 | % | 0.62 | % | 0.94 | % | |
| Return on average common stockholders equity(2) | 6.8 | 6.1 | 4.3 | 7.7 | 11.5 | |
| Return on average total stockholders equity(2) | 6.7 | 6.1 | 4.5 | 7.5 | 10.9 | |
| Return on tangible common equity (RoTCE)(3) | 7.7 | 7.0 | 4.9 | 8.9 | 13.4 | |
| Operating leverage(4) | 266 bps | 770 bps | (577) bps | (161) bps | (1,340) bps | |
| Efficiency ratio (total operating expenses/total revenues, net) | 64.7 | 66.4 | 71.7 | 67.9 | 66.9 | |
| Basel III ratios | |
| CET1 Capital(5) | 13.18 | % | 13.63 | % | 13.37 | % | 13.03 | % | 12.25 | % | |
| Tier 1 Capital(5) | 13.65 | 15.31 | 15.02 | 14.80 | 13.91 | |
| Total Capital(5) | 15.66 | 15.42 | 15.13 | 15.46 | 16.04 | |
| Supplementary Leverage ratio | 5.48 | 5.85 | 5.82 | 5.82 | 5.73 | |
| Citigroup common stockholders equity to assets | 7.23 | % | 8.11 | % | 7.79 | % | 7.54 | % | 7.99 | % | |
| Total Citigroup stockholders equity to assets | 7.99 | 8.87 | 8.52 | 8.33 | 8.81 | |
| Dividend payout ratio(6) | 33 | 37 | 51 | 29 | 20 | |
| Total payout ratio(7) | 133 | 58 | 76 | 53 | 56 | |
| Book value per common share | $ | 110.01 | $ | 101.62 | $ | 98.71 | $ | 94.06 | $ | 92.21 | |
| Tangible book value per share (TBVPS)(3) | 97.06 | 89.34 | 86.19 | 81.65 | 79.16 | |
(1)Effective January 1, 2025, certain transaction processing fees paid by Citi, primarily to credit card networks, reported within USPB, Services, Wealth and All OtherLegacy Franchises (Mexico Consumer/SBMM and Asia Consumer), which were previously presented within Other operating expenses, are presented as contra-revenue within Commissions and fees reported in Non-interest revenue. Prior periods were conformed to reflect this change in presentation.(2)The return on average common stockholders equity is calculated using net income less preferred stock dividends divided by average common stockholders equity. The return on average total Citigroup stockholders equity is calculated using net income divided by average Citigroup stockholders equity.(3)RoTCE and TBVPS are non-GAAP financial measures. For information on RoTCE and TBVPS, see Capital ResourcesTangible Common Equity, Book Value Per Share, Tangible Book Value Per Share and Return on Equity below.(4)The operating leverage ratio represents the year-over-year growth rate in basis points (bps) of Total revenues, net of interest expense less the year-over-year growth rate of Total operating expenses. Positive operating leverage indicates that the revenue growth rate was greater than the expense growth rate.(5)Citis binding CET1 Capital ratios were derived under the Basel III Standardized Approach and Total Capital ratios were derived under the Advanced Approaches framework for all periods presented. Citis binding Tier 1 Capital ratios were derived under the Basel III Advanced Approaches framework as of December 31, 2025 and were derived under the Standardized Approach as of December 31, 2024, 2023, 2022 and 2021.(6)The dividend payout ratio represents dividends declared per common share as a percentage of net income per diluted share.(7)The total payout ratio represents the total of common dividends declared plus common share repurchases as a percentage of net income available to common shareholders (Net income less preferred dividends). See Consolidated Statement of Changes in Stockholders Equity, Note 11 and Equity Security Repurchases below for the component details. 13 BALANCE SHEET OVERVIEW This section provides details of select assets and liabilities reported on Citigroups Consolidated Balance Sheet and the changes from December 31, 2024 to December 31, 2025: 
| |
| In millions of dollars | December 31, 2025 | December 31, 2024 | $Increase(Decrease) | %Increase(Decrease) | |
| Assets | |
| Cash and deposits with banks, net of allowance | $ | 349,579 | $ | 276,532 | $ | 73,047 | 26 | % | |
| Securities borrowed and purchased under agreements to resell, net of allowance | 356,195 | 274,062 | 82,133 | 30 | |
| Trading account assets | 537,139 | 442,747 | 94,392 | 21 | |
| Investments, net of allowance | 444,229 | 476,657 | (32,428) | (7) | |
| Loans, net of unearned income and allowance for credit losses on loans | 732,983 | 675,914 | 57,069 | 8 | |
| All other assets | 237,077 | 207,033 | 30,044 | 15 | |
| Total assets | $ | 2,657,202 | $ | 2,352,945 | $ | 304,257 | 13 | % | |
| Liabilities and equity | |
| Total deposits | $ | 1,403,573 | $ | 1,284,458 | $ | 119,115 | 9 | % | |
| Securities loaned and sold under agreements to repurchase | 348,098 | 254,755 | 93,343 | 37 | |
| Trading account liabilities | 162,798 | 133,846 | 28,952 | 22 | |
| Short-term borrowings | 51,878 | 48,505 | 3,373 | 7 | |
| Long-term debt | 315,827 | 287,300 | 28,527 | 10 | |
| All other liabilities | 161,206 | 134,715 | 26,491 | 20 | |
| Total liabilities | $ | 2,443,380 | $ | 2,143,579 | $ | 299,801 | 14 | % | |
| Preferred stock | 20,050 | 17,850 | 2,200 | 12 | |
| Common equity | 192,241 | 190,748 | 1,493 | 1 | |
| Noncontrolling interests | 1,531 | 768 | 763 | 99 | |
| Total liabilities and equity | $ | 2,657,202 | $ | 2,352,945 | $ | 304,257 | 13 | % | |
| |
| |
| |
Cash and deposits with banks: increased $73 billion, or 26%, primarily driven by growth in deposits in excess of loan growth, reductions in investments and net issuances of long-term debt, partially offset by growth in net trading assets and liabilities.Securities borrowed and purchased under agreements to resell: increased $82 billion, or 30%, primarily driven by Rates and Currencies in Markets, reflecting increased client activity. See Note 12.Trading account assets: increased $94 billion, or 21%, driven by increases in foreign government securities, mortgage-backed securities and equities securities, driven by client demand and market-making activity in Markets. See Note 26.Investments: decreased $32 billion, or 7%. Held-to-maturity debt securities decreased $53 billion, or 22%, largely driven by maturities and paydowns of U.S. Treasury securities. Available-for-sale debt securities increased $20 billion, or 9%, driven by net purchases of foreign government securities, partially offset by net sales of U.S. Treasury securities. See Note 14. Loans: increased $57 billion, or 8%, driven by growth in Markets, primarily driven by financing activity in Spread Products, and Services, driven by continued demand for trade loans, as well as growth in Retail Banking from consumer mortgages and Branded Cards in USPB, partially offset by a decline in Banking. See Note 15.All other assets: consisting of brokerage receivables, premises and equipment, goodwill and intangibles, loans HFS, deferred taxes, accruals, other receivables, leases and other, increased $30 billion, or 15%. See Notes 10, 13, 17 and 29.Deposits: increased $119 billion, or 9%, driven by an increase in operational deposits in Services. See Note 18.Securities loaned and sold under agreements to repurchase: increased $93 billion, or 37%, driven by Rates and Currencies in Markets, reflecting increased Company financing in support of client activities. See Note 12.Trading account liabilities: increased $29 billion, or 22%, primarily driven by equities in Prime Services in Markets, reflecting increased client demand. See Note 26. 14 Short-term borrowings: increased $3 billion, or 7%. See Note 19.Long-term debt: increased $29 billion, or 10%, primarily driven by issuances of senior bank and non-bank benchmark debt and non-bank customer-related debt, partially offset by a decrease in Federal Home Loan Bank (FHLB) borrowings. See Note 19.All other liabilities: consisting of brokerage payables, accruals, deferred taxes, other payables, deposits HFS, leases and other, increased $26 billion, or 20%. See Notes 2, 10, 13 and 29.Preferred stock: increased $2.2 billion, or 12%, reflecting $7.2 billion of issuances, partially offset by $5.0 billion of redemptions. See Note 22.Common equity: increased $1.5 billion, or 1%, as $14.3 billion in net income, $3.5 billion in lower Accumulated other comprehensive income (AOCI) losses, the net $1.7 billion increase due to the 25% Banamex equity interest sale and $0.8 billion in employee stock awards were largely offset by $13.3 billion in repurchases and $5.5 billion of common ($4.3 billion) and preferred ($1.1 billion) dividends.See the Consolidated Statement of Changes in Stockholders Equity in the Consolidated Financial Statements and Unregistered Sales of Equity Securities, Repurchases of Equity Securities and Dividends below. 15 SEGMENT REVENUES AND INCOME (LOSS)REVENUES(1)
| |
| In millions of dollars | 2025 | 2024 | 2023 | % Change2025 vs. 2024 | % Change2024 vs. 2023 | |
| Services | $ | 21,256 | $ | 19,618 | $ | 18,062 | 8 | % | 9 | % | |
| Markets | 21,970 | 19,836 | 18,649 | 11 | 6 | |
| Banking | 8,215 | 6,201 | 4,715 | 32 | 32 | |
| Wealth | 8,559 | 7,483 | 6,997 | 14 | 7 | |
| USPB | 20,971 | 20,055 | 18,900 | 5 | 6 | |
| All Othermanaged basis(2) | 4,430 | 7,503 | 9,397 | (41) | (20) | |
| All Otherdivestiture-related impacts (Reconciling Items)(2) | (176) | 26 | 1,346 | NM | (98) | |
| Total Citigroup net revenues | $ | 85,225 | $ | 80,722 | $ | 78,066 | 6 | % | 3 | % | |
INCOME
| |
| In millions of dollars | 2025 | 2024 | 2023 | % Change2025 vs. 2024 | % Change2024 vs. 2023 | |
| Income (loss) from continuing operations | |
| Services | $ | 7,139 | $ | 6,584 | $ | 4,701 | 8 | % | 40 | % | |
| Markets | 5,928 | 5,005 | 3,938 | 18 | 27 | |
| Banking | 2,324 | 1,529 | (31) | 52 | NM | |
| Wealth | 1,490 | 1,002 | 419 | 49 | 139 | |
| USPB | 3,097 | 1,382 | 1,820 | 124 | (24) | |
| All Othermanaged basis(2) | (4,441) | (2,460) | (2,124) | (81) | (16) | |
| All Otherdivestiture-related impacts (Reconciling Items)(2) | (1,082) | (207) | 659 | (423) | NM | |
| Income from continuing operations | $ | 14,455 | $ | 12,835 | $ | 9,382 | 13 | % | 37 | % | |
| Discontinued operations | $ | (3) | $ | (2) | $ | (1) | (50) | % | (100) | % | |
| Less: Net income attributable to noncontrolling interests | 146 | 151 | 153 | (3) | (1) | |
| Citigroups net income | $ | 14,306 | $ | 12,682 | $ | 9,228 | 13 | % | 37 | % | |
(1)See footnote 1 in Results of OperationsSummary of Selected Financial Data above for the description of a change in presentation.
(2)All Other (managed basis) excludes divestiture-related impacts (Reconciling Items) related to (i) Citis divestitures of its Asia Consumer businesses and (ii) the ongoing divestiture of Banamex, within Legacy Franchises. The Reconciling Items are reflected in the relevant line items in Citis Consolidated Statement of Income. See All OtherDivestiture-Related Impacts (Reconciling Items) below.
NM Not meaningful
16 
SERVICES
Services includes TTS and Securities Services:
TTS provides an integrated suite of tailored cash management, payments and trade and working capital solutions to multinational corporations, financial institutions and public sector organizations. 
Securities Services connects investors and issuers across global markets, providing a comprehensive product offering, including on-the-ground local market expertise, post-trade technologies, customized data solutions and a wide range of securities services solutions that can be tailored to meet clients needs.
Services revenue is generated primarily from spreads and fees associated with these activities. Services earns spread revenue on deposits, as well as interest on loans. Revenue generated from these activities is primarily recorded in Net interest income in the table below. 
Fee income is earned for assisting clients with transactional services and clearing. Revenue generated from these activities is recorded in Commissions and fees. Revenue is also generated from assets under custody and administration (AUC/AUA) and is primarily recorded in Administration and other fiduciary fees. For additional information on these types of revenues, see Note 5. Services revenues reflect the impact of a revenue sharing arrangement with BankingCorporate Lending, for Services products sold to Corporate Lending clients. This generally results in a reduction in Services reported revenue recorded in All other as part of Non-interest revenue in the table below. 
Services maintains an international presence with product offerings in over 90 countries.
| |
| In millions of dollars, except as otherwise noted | 2025 | 2024 | 2023 | % Change2025 vs. 2024 | % Change2024 vs. 2023 | |
| Net interest income (including dividends) | $ | 15,001 | $ | 13,423 | $ | 13,251 | 12 | % | 1 | % | |
| Fee revenue | |
| Commissions and fees(1) | 3,478 | 3,296 | 3,085 | 6 | 7 | |
| Administration and other fiduciary fees | 2,907 | 2,716 | 2,501 | 7 | 9 | |
| Total fee revenue | $ | 6,385 | $ | 6,012 | $ | 5,586 | 6 | % | 8 | % | |
| Principal transactions | 804 | 753 | (372) | 7 | NM | |
| All other(2) | (934) | (570) | (403) | (64) | (41) | |
| Total non-interest revenue | $ | 6,255 | $ | 6,195 | $ | 4,811 | 1 | % | 29 | % | |
| Total revenues, net of interest expense(1) | $ | 21,256 | $ | 19,618 | $ | 18,062 | 8 | % | 9 | % | |
| Total operating expenses(1) | $ | 10,813 | $ | 10,568 | $ | 9,991 | 2 | % | 6 | % | |
| Net credit losses on loans | 56 | 48 | 40 | 17 | 20 | |
| Credit reserve build (release) for loans | 55 | (130) | 47 | NM | NM | |
| Provision for credit losses on unfunded lending commitments | (17) | 17 | (18) | NM | NM | |
| Provisions for credit losses on other assets and HTM debt securities | 360 | 341 | 881 | 6 | (61) | |
| Provision (release) for credit losses | $ | 454 | $ | 276 | $ | 950 | 64 | % | (71) | % | |
| Income from continuing operations before taxes | $ | 9,989 | $ | 8,774 | $ | 7,121 | 14 | % | 23 | % | |
| Income taxes | 2,850 | 2,190 | 2,420 | 30 | (10) | |
| Income from continuing operations | $ | 7,139 | $ | 6,584 | $ | 4,701 | 8 | % | 40 | % | |
| Noncontrolling interests | 64 | 101 | 66 | (37) | 53 | |
| Net income | $ | 7,075 | $ | 6,483 | $ | 4,635 | 9 | % | 40 | % | |
| Efficiency ratio | 51 | % | 54 | % | 55 | % | |
| Balance Sheet data (in billions of dollars) | |
| EOP assets | $ | 628 | $ | 584 | $ | 586 | 8 | % | | % | |
| Average assets | 604 | 586 | 583 | 3 | 1 | |
| Revenue by line of business | |
| Net interest income | $ | 12,238 | $ | 10,923 | $ | 11,085 | 12 | % | (1) | % | |
| Non-interest revenue | 3,140 | 3,578 | 2,591 | (12) | 38 | |
| TTS | $ | 15,378 | $ | 14,501 | $ | 13,676 | 6 | % | 6 | % | |
| Net interest income | $ | 2,763 | $ | 2,500 | $ | 2,166 | 11 | % | 15 | % | |
| Non-interest revenue | 3,115 | 2,617 | 2,220 | 19 | 18 | |
17 
| |
| Securities Services | $ | 5,878 | $ | 5,117 | $ | 4,386 | 15 | % | 17 | % | |
| Total Services | $ | 21,256 | $ | 19,618 | $ | 18,062 | 8 | % | 9 | % | |
| Revenue by geography | |
| North America | $ | 6,450 | $ | 5,402 | $ | 5,112 | 19 | % | 6 | % | |
| International | 14,806 | 14,216 | 12,950 | 4 | 10 | |
| Total | $ | 21,256 | $ | 19,618 | $ | 18,062 | 8 | % | 9 | % | |
| International revenue by cluster | |
| United Kingdom | $ | 2,003 | $ | 1,969 | $ | 1,808 | 2 | % | 9 | % | |
| Japan, Asia North and Australia (JANA) | 2,775 | 2,674 | 2,462 | 4 | 9 | |
| LATAM | 2,495 | 2,730 | 2,506 | (9) | 9 | |
| Asia South | 2,520 | 2,426 | 2,160 | 4 | 12 | |
| Europe | 2,481 | 2,280 | 2,230 | 9 | 2 | |
| Middle East, Africa and Russia (MEA) | 2,532 | 2,137 | 1,784 | 18 | 20 | |
| Total | $ | 14,806 | $ | 14,216 | $ | 12,950 | 4 | % | 10 | % | |
| Key drivers(3) | |
| Average loans by line of business (in billions of dollars) | | |
| TTS | $ | 92 | $ | 84 | $ | 80 | 10 | % | 5 | % | |
| Securities Services | 1 | 1 | 1 | | | |
| Total | $ | 93 | $ | 85 | $ | 81 | 9 | % | 5 | % | |
| ACLL as a percentage of EOP loans(4) | 0.33 | % | 0.30 | % | 0.47 | % | |
| Average deposits by line of business (in billions of dollars) | |
| TTS | $ | 732 | $ | 689 | $ | 688 | 6 | % | | % | |
| Securities Services | 146 | 130 | 123 | 12 | 6 | |
| Total | $ | 878 | $ | 819 | $ | 811 | 7 | % | 1 | % | |
| AUC/AUA(5) (in trillions of dollars) | $ | 31.4 | $ | 25.4 | $ | 23.5 | 24 | % | 8 | % | |
| Cross-border transaction value (in billions of dollars) | 416.4 | 379.7 | 358.0 | 10 | 6 | |
| U.S. dollar clearing volume(6) (in millions) | 177.1 | 168.0 | 157.3 | 5 | 7 | |
| Commercial card spend volume (in billions of dollars) | $ | 71.2 | $ | 70.4 | $ | 66.8 | 1 | 5 | |
(1)See footnote 1 in Results of OperationsSummary of Selected Financial Data above for the description of a change in presentation. (2)Services revenues reflect the impact of a revenue sharing arrangement with BankingCorporate Lending, for Services products sold to Corporate Lending clients. This generally results in a reduction in Services reported revenue. (3)Management uses this information in reviewing the segments results and believes it is useful to investors concerning underlying segment performance and trends.(4)Excludes loans that are carried at fair value for all periods.(5)AUC/AUA includes assets for which Citi provides custody or safekeeping services for assets held directly or by a third party on behalf of clients, or assets for which Citi provides administrative services for clients. Securities Services managed AUC/AUA, of which Citi provided both custody and administrative services to certain clients related to $2.9 trillion and $1.9 trillion of such assets at December 31, 2025 and 2024, respectively.(6)Represents the number of U.S. dollar clearing payment instructions processed on behalf of U.S. and foreign-domiciled entities (primarily financial institutions). NM Not meaningful18 2025 vs. 2024Net income of $7.1 billion increased 9%.Revenues increased 8%, driven by growth in TTS and Securities Services, which included the positive impact of the Russia-related notable item of $356 million. Net interest income increased 12%, driven by an increase in average deposit balances and spreads. Average deposits increased 7%, driven by growth in TTS and Securities Services, with growth across both International and North America, largely driven by an increase in operating deposits. Non-interest revenue increased 1%, driven by fee growth of 6% and the positive impact of the Russia-related notable item, offset by higher lending revenue share with BankingCorporate Lending. TTS revenues increased 6%, driven by a 12% increase in net interest income, partially offset by a 12% decrease in non-interest revenue. The increase in net interest income was driven by higher deposit spreads and average deposit balances, up 6%. The decrease in non-interest revenue was driven by higher lending revenue share, partially offset by higher fees. Fee revenue increased 5%, reflecting continued growth in underlying fee drivers, including an increase in cross-border transaction value of 10%, an increase in U.S. dollar clearing volume of 5% and an increase in commercial card spend volume of 1%.Securities Services revenues increased 15%, driven by a 19% increase in non-interest revenue and 11% increase in net interest income. The increase in non-interest revenue was driven by the positive impact of the Russia-related notable item and fee growth of 7%, which benefited from higher assets under custody and administration and client activity, as well as a mark-to-market gain partially offset by higher lending revenue share. Assets under custody and administration increased 24%, which included the benefit of higher market valuations, deepening share of existing client wallet and the onboarding of new clients and assets. The increase in net interest income was driven by higher average deposits, which increased 12%, partially offset by lower deposit spreads. Expenses increased 2%, primarily driven by higher compensation and benefits expense, including performance-related compensation. Provisions were $454 million, reflecting a net ACL build of $398 million, and net credit losses of $56 million. The net ACL build was primarily driven by transfer risk. Provisions were $276 million in the prior year, reflecting a net ACL build of $228 million, driven by transfer risk, and net credit losses of $48 million.For additional information on Citis ACL, see Significant Accounting Policies and Significant Estimates below.For additional information on Services corporate credit portfolio, see Managing Global RiskCredit RiskCorporate Credit below.For additional information on trends in Services deposits and loans, see Managing Global RiskCredit RiskLoans and Managing Global RiskLiquidity RiskDeposits below.For additional information about trends, uncertainties and risks related to future results of the businesses, see Executive Summary above and Managing Global RiskOther RisksCountry RiskArgentina below.19 MARKETSMarkets includes Fixed Income Markets and Equity Markets and provides corporate, institutional and public sector clients around the world with a full range of sales and trading services across equities, foreign exchange, rates, spread products and commodities. The range of services includes market-making across asset classes, risk management solutions, financing and prime brokerage.Citi assesses its Markets business performance on a total revenues basis, as security inventory is often hedged by derivative instruments, creating offsetting gains and losses across revenue lines. As an example, securities that generate Net interest income may be hedged by derivative instruments, which are reported under Principal transactions within Non-interest revenue.As a market maker, Markets facilitates transactions by holding inventory to meet client demand, with resulting gains or losses largely recorded as Principal transactions. Fee revenue is generated from services such as trading, financing, brokerage, securitization and underwriting. Other revenue includes gains (losses) on AFS debt and equity securities (non-trading), and other non-recurring items. Revenue generated from all of these activities is primarily recorded in Non-interest revenue in the table below. Markets revenues also reflect the impact of a revenue sharing arrangement with BankingCorporate Lending, for Markets products sold to Corporate Lending clients. This generally results in a reduction in Markets reported revenue recorded in All other.Net interest income includes interest and dividends on securities held and interest on long- and short-term debt, secured funding transactions, deposits, loans and funding costs.Markets maintains an international presence supported by trading floors in nearly 80 countries and Citis proprietary network in over 90 countries and jurisdictions.
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| In millions of dollars, except as otherwise noted | 2025 | 2024 | 2023 | % Change2025 vs. 2024 | % Change2024 vs. 2023 | |
| Net interest income (including dividends) | $ | 10,009 | $ | 7,005 | $ | 7,233 | 43 | % | (3) | % | |
| Fee revenue | |
| Brokerage and fees | 1,563 | 1,402 | 1,381 | 11 | 2 | |
| Investment banking fees(1) | 524 | 426 | 392 | 23 | 9 | |
| Other | 223 | 238 | 147 | (6) | 62 | |
| Total fee revenue | $ | 2,310 | $ | 2,066 | $ | 1,920 | 12 | % | 8 | % | |
| Principal transactions | 9,551 | 10,822 | 9,789 | (12) | 11 | |
| All other(2) | 100 | (57) | (293) | NM | 81 | |
| Total non-interest revenue | $ | 11,961 | $ | 12,831 | $ | 11,416 | (7) | % | 12 | % | |
| Total revenues, net of interest expense(3) | $ | 21,970 | $ | 19,836 | $ | 18,649 | 11 | % | 6 | % | |
| Total operating expenses | $ | 14,077 | $ | 13,202 | $ | 13,258 | 7 | % | | % | |
| Net credit losses (recoveries) on loans | 206 | 168 | 32 | 23 | 425 | |
| Credit reserve build (release) for loans | (16) | 213 | 202 | NM | 5 | |
| Provision (release) for credit losses on unfunded lending commitments | 7 | 17 | 5 | (59) | 240 | |
| Provisions for credit losses on other assets and HTM debt securities | 40 | 65 | 199 | (38) | (67) | |
| Provision (release) for credit losses | $ | 237 | $ | 463 | $ | 438 | (49) | % | 6 | % | |
| Income (loss) from continuing operations before taxes | $ | 7,656 | $ | 6,171 | $ | 4,953 | 24 | % | 25 | % | |
| Income taxes (benefits) | 1,728 | 1,166 | 1,015 | 48 | 15 | |
| Income (loss) from continuing operations | $ | 5,928 | $ | 5,005 | $ | 3,938 | 18 | % | 27 | % | |
| Noncontrolling interests | 73 | 75 | 67 | (3) | 12 | |
| Net income (loss) | $ | 5,855 | $ | 4,930 | $ | 3,871 | 19 | % | 27 | % | |
| Efficiency ratio | 64 | % | 67 | % | 71 | % | |
| Balance Sheet data (in billions of dollars) | |
| EOP assets | $ | 1,187 | $ | 949 | $ | 1,008 | 25 | % | (6) | % | |
| Average assets | 1,206 | 1,063 | 1,026 | 13 | 4 | |
| Revenue by line of business | |
| Fixed Income Markets | $ | 16,226 | $ | 14,750 | $ | 14,612 | 10 | % | 1 | % | |
| Equity Markets | 5,744 | 5,086 | 4,037 | 13 | 26 | |
| Total | $ | 21,970 | $ | 19,836 | $ | 18,649 | 11 | % | 6 | % | |
20 
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| Rates and Currencies | $ | 11,418 | $ | 10,152 | $ | 10,794 | 12 | % | (6) | % | |
| Spread Products and Other Fixed Income | 4,808 | 4,598 | 3,818 | 5 | 20 | |
| Total Fixed Income Markets revenues | $ | 16,226 | $ | 14,750 | $ | 14,612 | 10 | % | 1 | % | |
| Revenue by geography | |
| North America | $ | 8,357 | $ | 7,562 | $ | 6,839 | 11 | % | 11 | % | |
| International | 13,613 | 12,274 | 11,810 | 11 | 4 | |
| Total | $ | 21,970 | $ | 19,836 | $ | 18,649 | 11 | % | 6 | % | |
| International revenue by cluster | |
| United Kingdom | $ | 4,341 | $ | 4,099 | $ | 4,383 | 6 | % | (6) | % | |
| Japan, Asia North and Australia (JANA) | 2,783 | 2,546 | 2,370 | 9 | 7 | |
| LATAM | 2,141 | 1,962 | 1,444 | 9 | 36 | |
| Asia South | 1,829 | 1,618 | 1,404 | 13 | 15 | |
| Europe | 1,279 | 935 | 1,086 | 37 | (14) | |
| Middle East, Africa and Russia (MEA) | 1,240 | 1,114 | 1,123 | 11 | (1) | |
| Total | $ | 13,613 | $ | 12,274 | $ | 11,810 | 11 | % | 4 | % | |
| Key drivers(4) (in billions of dollars) | |
| Average loans | $ | 141 | $ | 120 | $ | 110 | 18 | % | 9 | % | |
| Net credit losses (NCLs) as a percentage of average loans | 0.15 | % | 0.14 | % | 0.03 | % | |
| ACLL as a percentage of EOP loans(5) | 0.67 | % | 0.88 | % | 0.71 | % | |
| Average trading account assets | $ | 535 | $ | 436 | $ | 379 | 23 | 15 | |
(1)Investment banking fees are primarily composed of underwriting, advisory, loan syndication structuring and other related financing activity. (2)Markets revenues reflect the impact of a revenue sharing arrangement with BankingCorporate Lending, for Markets products sold to Corporate Lending clients. This generally results in a reduction in Markets reported revenue.(3)Citi assesses its Markets business performance on a total revenue basis, as offsets may occur across revenue line items. For example, securities that generate Net interest income may be risk managed by derivatives that are recorded in Principal transactions revenue within Non-interest revenue. For a description of the composition of these revenue line items, see Notes 4, 5 and 6.(4)Management uses this information in reviewing the segments results and believes it is useful to investors concerning underlying segment performance and trends.(5)Excludes loans that are carried at fair value for all periods. NM Not meaningful21 2025 vs. 2024Net income of $5.9 billion increased 19%.Revenues increased 11%, driven by higher revenues in both Fixed Income Markets and Equity Markets.Fixed Income Markets revenue of $16.2 billion increased 10%, reflecting higher revenues in Rates and Currencies and Spread Products and Other Fixed Income. Rates and Currencies revenues increased 12%, driven by higher Rates and foreign exchange revenues on increased client activity, partially offset by higher lending revenue share with BankingCorporate Lending.Spread Products and Other Fixed Income revenues increased 5%, driven by higher financing activity, with an 18% increase in average loans in Spread Products, and continued optimization of the balance sheet, largely offset by lower commodities revenues.Equity Markets revenue was $5.7 billion, up 13%, due to increased market volatility and client activity, with prime balances up over 50%. The increase in Equity Markets revenue was driven by higher Equity Derivatives and Prime Services revenues, partially offset by non-recurrence of prior-year gains related to the Visa B share exchange in Equity Derivatives. Equity Cash revenues were marginally lower following a very strong performance in 2024.Expenses of $14.1 billion increased 7%, primarily driven by higher compensation and benefits, including performance-related compensation and higher technology, transactional and legal expenses.Provisions were $237 million, reflecting net credit losses of $206 million, and a net ACL build of $31 million. Net credit losses were driven by charge-offs in Spread Products. Provisions were $463 million in the prior year, reflecting a net ACL build of $295 million, primarily driven by changes in credit quality and in the macroeconomic outlook, and net credit losses of $168 million.For additional information on Citis ACL, see Significant Accounting Policies and Significant Estimates below.For additional information on Markets corporate credit portfolio, see Managing Global RiskCredit RiskCorporate Credit below.For additional information on trends in Markets deposits and loans, see Managing Global RiskCredit RiskLoans and Managing Global RiskLiquidity RiskDeposits below.For additional information about trends, uncertainties and risks related to future results of the businesses, see Executive Summary above and Managing Global RiskOther RisksCountry RiskArgentina below.22 BANKINGBanking includes Investment Banking (Debt Capital Markets (DCM), Equity Capital Markets (ECM) and Advisory sub-businesses) and Corporate Lending:Investment Banking supports clients capital-raising needs to help strengthen and grow their businesses, including equity and debt capital markets strategic financing solutions and loan syndication structuring, as well as advisory services related to mergers and acquisitions, divestitures, restructurings and corporate defense activities. Corporate Lending consists of corporate and commercial banking, serving as the conduit for Citis product suite to clients.In addition to earning net interest spread revenue on its Corporate Lending activities, Banking primarily generates investment banking fees, composed of underwriting, advisory, loan syndication structuring and other related financing activity. For additional information on these types of revenues, see Note 5. Banking revenues also reflect the impact of a revenue sharing arrangement with BankingCorporate Lending for Investment Banking, Markets and Services products sold to Corporate Lending clients. This generally results in an increase in Banking reported revenue. The revenue share to BankingCorporate Lending is recorded in All other as part of Non-interest revenue in the table below.Banking maintains an international presence leveraging a global network of bankers supporting over 90 countries.
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| In millions of dollars, except as otherwise noted | 2025 | 2024 | 2023 | % Change2025 vs. 2024 | % Change2024 vs. 2023 | |
| Net interest income (including dividends) | $ | 2,132 | $ | 2,157 | $ | 2,161 | (1) | % | | % | |
| Fee revenue | |
| Investment banking fees | 4,618 | 3,857 | 2,713 | 20 | 42 | |
| Other | 233 | 174 | 160 | 34 | 9 | |
| Total fee revenue | $ | 4,851 | $ | 4,031 | $ | 2,873 | 20 | % | 40 | % | |
| Principal transactions | (552) | (787) | (938) | 30 | 16 | |
| All other(1) | 1,784 | 800 | 619 | 123 | 29 | |
| Total non-interest revenue | $ | 6,083 | $ | 4,044 | $ | 2,554 | 50 | % | 58 | % | |
| Total revenues, net of interest expense | $ | 8,215 | $ | 6,201 | $ | 4,715 | 32 | % | 32 | % | |
| Total operating expenses | $ | 4,462 | $ | 4,477 | $ | 4,877 | | % | (8) | % | |
| Net credit losses on loans | 84 | 149 | 169 | (44) | (12) | |
| Credit reserve build (release) for loans | 389 | (200) | (345) | NM | 42 | |
| Provision (release) for credit losses on unfunded lending commitments | 221 | (128) | (354) | NM | 64 | |
| Provisions (releases) for credit losses on other assets and HTM debt securities | 26 | (45) | 387 | NM | NM | |
| Provisions (releases) for credit losses | $ | 720 | $ | (224) | $ | (143) | NM | (57) | % | |
| Income (loss) from continuing operations before taxes | $ | 3,033 | $ | 1,948 | $ | (19) | 56 | % | NM | |
| Income taxes (benefits) | 709 | 419 | 12 | 69 | NM | |
| Income (loss) from continuing operations | $ | 2,324 | $ | 1,529 | $ | (31) | 52 | % | NM | |
| Noncontrolling interests | (5) | 5 | 4 | NM | 25 | % | |
| Net income (loss) | $ | 2,329 | $ | 1,524 | $ | (35) | 53 | % | NM | |
| Efficiency ratio | 54 | % | 72 | % | 103 | % | |
| Balance Sheet data (in billions of dollars) | |
| EOP assets | $ | 140 | $ | 143 | $ | 148 | (2) | % | (3) | % | |
| Average assets | 147 | 152 | 153 | (3) | (1) | |
| Revenue by line of business | |
| Total Investment Banking(1) | $ | 4,434 | $ | 3,637 | $ | 2,632 | 22 | % | 38 | % | |
| Corporate Lending (excluding gain (loss) on loan hedges)(1)(2) | 3,899 | 2,744 | 2,526 | 42 | 9 | |
| Total Banking revenues (excluding gain (loss) on loan hedges)(1)(2) | $ | 8,333 | $ | 6,381 | $ | 5,158 | 31 | % | 24 | % | |
| Gain (loss) on loan hedges(1)(2) | (118) | (180) | (443) | 34 | 59 | |
| Total Banking revenues (including gain (loss) on loan hedges)(1)(2) | $ | 8,215 | $ | 6,201 | $ | 4,715 | 32 | % | 32 | % | |
23 
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| Investment banking fees | |
| Advisory | $ | 1,908 | $ | 1,245 | $ | 1,017 | 53 | % | 22 | % | |
| Equity underwriting (ECM) | 699 | 688 | 500 | 2 | 38 | |
| Debt underwriting (DCM) | 2,011 | 1,924 | 1,196 | 5 | 61 | |
| Total | $ | 4,618 | $ | 3,857 | $ | 2,713 | 20 | % | 42 | % | |
| Revenue by geography | |
| North America | $ | 3,908 | $ | 3,097 | $ | 1,898 | 26 | % | 63 | % | |
| International | 4,307 | 3,104 | 2,817 | 39 | 10 | |
| Total | $ | 8,215 | $ | 6,201 | $ | 4,715 | 32 | % | 32 | % | |
| International revenue by cluster | |
| United Kingdom | $ | 1,088 | $ | 686 | $ | 637 | 59 | % | 8 | % | |
| Japan, Asia North and Australia (JANA) | 796 | 524 | 591 | 52 | (11) | |
| LATAM | 720 | 662 | 522 | 9 | 27 | |
| Asia South | 568 | 411 | 381 | 38 | 8 | |
| Europe | 755 | 588 | 498 | 28 | 18 | |
| Middle East, Africa and Russia (MEA) | 380 | 233 | 188 | 63 | 24 | |
| Total | $ | 4,307 | $ | 3,104 | $ | 2,817 | 39 | % | 10 | % | |
| Key drivers(3) (in billions of dollars) | |
| Average loans | $ | 82 | $ | 88 | $ | 92 | (7) | % | (4) | % | |
| NCLs as a percentage of average loans | 0.10 | % | 0.17 | % | 0.18 | % | |
| ACLL as a percentage of EOP loans(4) | 2.04 | % | 1.42 | % | 1.59 | % | |
(1)Banking revenues reflect the impact of a revenue sharing arrangement with BankingCorporate Lending for Investment Banking, Markets and Services products sold to Corporate Lending clients. This generally results in an increase in Banking reported revenue.(2)Credit derivatives are used to economically hedge a portion of the corporate loan portfolio that includes both accrual loans and loans at fair value. Gain (loss) on loan hedges includes the mark-to-market on the credit derivatives, partially offset by the mark-to-market on the loans in the portfolio that are at fair value. Hedges on accrual loans reflect the mark-to-market on credit derivatives used to economically hedge the corporate loan accrual portfolio. The fixed premium costs of these hedges are netted against the corporate lending revenues to reflect the cost of credit protection. Citigroups results of operations excluding the impact of gain (loss) on loan hedges are non-GAAP financial measures. (3)Management uses this information in reviewing the segments results and believes it is useful to investors concerning underlying segment performance and trends.(4)Excludes loans that are carried at fair value for all periods. NM Not meaningful24 The discussion of the results of operations for Banking below excludes (where noted) the impact of any gain (loss) on hedges of accrual loans, which are non-GAAP financial measures. For a reconciliation of these metrics to the reported results, see the table above.2025 vs. 2024Net income of $2.3 billion increased 53%. Revenues increased 32%, driven by growth in Investment Banking and Corporate Lending (excluding the impact of losses on loan hedges) and a lower mark-to-market loss on loan hedges (a $118 million loss versus a $180 million loss in the prior year). Excluding the impact of gain (loss) on loan hedges, Banking revenues increased 31%. Investment Banking revenues increased 22%, driven by a 20% increase in investment banking fees across Advisory, DCM and ECM with a larger overall market wallet and overall wallet share gains. Advisory fees increased 53%, with growth across several sectors and higher sponsor-led activity. DCM fees were up 5%, driven by growth in leveraged finance and investment-grade debt, partially offset by a decline in investment-grade loan activity. ECM fees were up 2%, driven by strength in IPOs and convertibles, amid favorable equity market conditions, offset by lower follow-on activity.Corporate Lending revenues increased 47%, including the impact of gain (loss) on loan hedges. Excluding the impact of gain (loss) on loan hedges, Corporate Lending revenues increased 42%, driven by the impact of higher lending revenue share from Services, Markets and Investment Banking.Expenses were unchanged, as an increase in compensation and benefits, including investments made in the business, was offset by a reduction in other operating expenses.Provisions were $720 million, reflecting a net ACL build of $636 million, and net credit losses of $84 million. The net ACL build was driven by changes in credit quality, changes in the macroeconomic outlook and higher net lending activity. Provisions were a benefit of $224 million in the prior year, reflecting a net ACL release of $373 million, driven by improved macroeconomic conditions and transfer risk, and net credit losses of $149 million.For additional information on Citis ACL, see Significant Accounting Policies and Significant Estimates below. For additional information on Bankings corporate credit portfolio, see Managing Global RiskCredit RiskCorporate Credit below.For additional information on trends in Bankings deposits and loans, see Managing Global RiskCredit RiskLoans and Managing Global RiskLiquidity RiskDeposits below.For additional information about trends, uncertainties and risks related to future results of the businesses, see Executive Summary above and Managing Global RiskOther RisksCountry RiskArgentina below.25 WEALTHAs of December 31, 2025, Wealth includes the Private Bank, Citigold and Wealth at Work and provides financial and advisory services to a range of client segments consisting of ultra-high net worth, high net worth and affluent clients. These services include banking, investment, lending and custody product offerings in approximately 20 countries, including the U.S. and four wealth management centers: Singapore, Hong Kong, the UAE and London:The Private Bank provides financial services to ultra-high net worth clients through customized product offerings. Citigold provides financial services to affluent and high net worth clients through elevated product offerings and financial relationships. Wealth at Work provides financial services to professional industries (including law firms, consulting groups and accounting and asset management firms) through tailored solutions.Wealth revenue is primarily generated from spreads and fees associated with its financial and advisory services. Net interest income is mainly driven by interest earned on client deposits and tailored lending solutions, including mortgages, margin lending, personal, small business and other loans, and international credit cards. Fee income is primarily generated from asset-based advisory and management fees, as well as transaction-related fees from client investment activity across brokerage, structured products, foreign exchange and banking services. For additional information on these types of revenues, see Note 5.Effective as of the first quarter of 2026, Citi transferred its Retail Banking business from USPB to Wealth, and the remaining USPB businesses, including Branded Cards and Retail Services, were integrated into a new U.S. Consumer Cards (USCC) segment. For additional information, see Overview above.
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| In millions of dollars, except as otherwise noted | 2025 | 2024 | 2023 | % Change2025 vs. 2024 | % Change2024 vs. 2023 | |
| Net interest income | $ | 5,281 | $ | 4,508 | $ | 4,413 | 17 | % | 2 | % | |
| Fee revenue | |
| Commissions and fees(1) | 1,551 | 1,380 | 1,180 | 12 | 17 | |
| Other(2) | 962 | 949 | 802 | 1 | 18 | |
| Total fee revenue | $ | 2,513 | $ | 2,329 | $ | 1,982 | 8 | % | 18 | % | |
| All other(3) | 765 | 646 | 602 | 18 | 7 | |
| Total non-interest revenue | $ | 3,278 | $ | 2,975 | $ | 2,584 | 10 | % | 15 | % | |
| Total revenues, net of interest expense | $ | 8,559 | $ | 7,483 | $ | 6,997 | 14 | % | 7 | % | |
| Total operating expenses(1) | $ | 6,501 | $ | 6,326 | $ | 6,461 | 3 | % | (2) | % | |
| Net credit losses on loans | 170 | 121 | 98 | 40 | 23 | |
| Credit reserve build (release) for loans | (26) | (236) | (85) | 89 | (178) | |
| Provision (release) for credit losses on unfunded lending commitments | (3) | (9) | (12) | 67 | 25 | |
| Provisions for benefits and claims (PBC), and other assets | (1) | (2) | (4) | 50 | 50 | |
| Provisions (releases) for credit losses and PBC | $ | 140 | $ | (126) | $ | (3) | NM | NM | |
| Income from continuing operations before taxes | $ | 1,918 | $ | 1,283 | $ | 539 | 49 | % | 138 | % | |
| Income taxes | 428 | 281 | 120 | 52 | 134 | |
| Income from continuing operations | $ | 1,490 | $ | 1,002 | $ | 419 | 49 | % | 139 | % | |
| Noncontrolling interests | | | | | | |
| Net income | $ | 1,490 | $ | 1,002 | $ | 419 | 49 | % | 139 | % | |
| Efficiency ratio | 76 | % | 85 | % | 92 | % | |
| Balance Sheet data (in billions of dollars) | |
| EOP assets | $ | 230 | $ | 224 | $ | 229 | 3 | % | (2) | % | |
| Average assets | 231 | 231 | 244 | | (5) | |
| Revenue by line of business | |
| Private Bank | $ | 2,676 | $ | 2,386 | $ | 2,332 | 12 | % | 2 | % | |
| Citigold | 4,953 | 4,221 | 3,803 | 17 | 11 | |
| Wealth at Work | 930 | 876 | 862 | 6 | 2 | |
| Total | $ | 8,559 | $ | 7,483 | $ | 6,997 | 14 | % | 7 | % | |
26 
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| Revenue by geography | |
| North America | $ | 4,316 | $ | 3,628 | $ | 3,615 | 19 | % | | % | |
| International | 4,243 | 3,855 | 3,382 | 10 | 14 | |
| Total | $ | 8,559 | $ | 7,483 | $ | 6,997 | 14 | % | 7 | % | |
| International revenue by cluster | |
| United Kingdom | $ | 419 | $ | 337 | $ | 288 | 24 | % | 17 | % | |
| Japan, Asia North and Australia (JANA) | 1,503 | 1,358 | 1,144 | 11 | 19 | |
| LATAM | 150 | 129 | 118 | 16 | 9 | |
| Asia South | 1,508 | 1,352 | 1,190 | 12 | 14 | |
| Europe | 305 | 300 | 301 | 2 | | |
| Middle East, Africa and Russia (MEA) | 358 | 379 | 341 | (6) | 11 | |
| Total | $ | 4,243 | $ | 3,855 | $ | 3,382 | 10 | % | 14 | % | |
| Key drivers(4) (in billions of dollars) | |
| EOP client balances | |
| Client investment assets(5) | $ | 670 | $ | 587 | $ | 496 | 14 | % | 18 | % | |
| Deposits | 324 | 313 | 319 | 4 | (2) | |
| Loans | 150 | 148 | 151 | 2 | (3) | |
| Total | $ | 1,144 | $ | 1,048 | $ | 966 | 9 | % | 8 | % | |
| Net new investment assets (NNIA)(6) | $ | 44.3 | $ | 42.5 | $ | 30.0 | 4 | % | 42 | % | |
| Average deposits | 313 | 316 | 310 | (1) | 2 | |
| Average loans | 149 | 149 | 150 | | (1) | |
| ACLL as a percentage of EOP loans | 0.34 | % | 0.36 | % | 0.51 | % | |
(1)See footnote 1 in Results of OperationsSummary of Selected Financial Data above for the description of a change in presentation.(2)Primarily related to fiduciary and administrative fees.(3)Primarily related to principal transactions revenue including FX translation.(4)Management uses this information in reviewing the segments results and believes it is useful to investors concerning underlying segment performance and trends.(5)Includes assets under management, and trust and custody assets. (6)Represents investment asset inflows, including dividends, interest and distributions, less investment asset outflows. See Glossary below for additional information. NNIA flows can fluctuate across quarters due to a variety of factors, including, but not limited to, the macroeconomic environment, market volatility, investor sentiment, client activity, seasonal effects and product mix and offering changes.NM Not meaningful27 2025 vs. 2024 Net income of $1.5 billion increased 49%.Revenues increased 14%, driven by growth across Citigold, the Private Bank and Wealth at Work. Net interest income increased 17%, driven by higher deposit spreads, partially offset by lower mortgage spreads and lower average deposit balances. Non-interest revenue increased 10%, driven by higher investment fee revenues and a gain on sale of an alternative investment fund platform, partially offset by the loss of fee revenue from a sale of a trust business in the third quarter of 2025. Client balances increased 9%, primarily driven by higher client investment assets, up 14%. The increase in client investment assets was driven by higher market valuations and NNIA generation ($44 billion for the last 12 months), which represented 8% organic growth, partially offset by the sale of a trust business in the third quarter of 2025.Average deposits decreased 1%, driven by lower deposits in Citigold in North America, as client transfers from USPB (including $15 billion of net transfers during the last 12 months) and net new deposits were more than offset by outflows, including a shift from deposits to higher-yielding investments. Average loans were unchanged, with growth in margin lending offset by transfers of certain relationships and associated mortgage loans to USPB from Wealth.Private Bank revenues increased 12%, driven by higher deposit spreads, the gain on sale of an alternative investments fund platform and higher investment fee revenues, partially offset by lower mortgage spreads. Citigold revenues increased 17%, driven by higher deposit spreads, higher investment fee revenues and higher lending spreads, partially offset by lower average loan balances and lower average deposit balances. Wealth at Work revenues increased 6%, driven by higher deposit spreads and higher investment fee revenues, primarily offset by lower mortgage spreads. Expenses increased 3%, largely driven by higher technology expenses, higher transactional and product servicing expenses and higher compensation and benefit expenses, as higher performance-related compensation and higher severance were partially offset by lower salaries due to lower headcount. Provisions were $140 million, reflecting net credit losses of $170 million, and a net ACL release of $30 million. Net credit losses were primarily driven by international credit cards and write-downs of certain mortgage loans to their collateral value due to the impact of the California wildfires. Provisions were a benefit of $126 million in the prior year, reflecting a net ACL release of $247 million, driven by a refinement of loss assumptions in the margin lending portfolio and changes in the macroeconomic outlook, and net credit losses of $121 million.For additional information on Citis ACL, see Significant Accounting Policies and Significant Estimates below.For additional information on Wealths loan portfolios, see Managing Global RiskCredit RiskConsumer Credit below.For additional information about trends, uncertainties and risks related to future results of the businesses, see Executive Summary above and Risk Factors below.28 U.S. PERSONAL BANKINGAs of December 31, 2025, U.S. Personal Banking (USPB) includes Branded Cards, Retail Services and Retail Banking: Branded Cards includes proprietary credit card portfolios (Value, Rewards and Cash), co-branded card portfolios (including Costco and American Airlines) and personal installment loans.Retail Services includes co-brand and private label relationships (including, among others, The Home Depot, Best Buy and Macys).Retail Banking includes traditional banking services, including deposits, mortgages and other lending products, for retail and small business customers. Retail Banking branches are concentrated in six key metropolitan areas: New York, Los Angeles, San Francisco, Chicago, Miami and Washington, D.C. USPB revenue is primarily generated from net interest income, driven by secured and unsecured consumer loans, including credit card and mortgage lending, as well as spread income on deposits. Fee revenue is primarily generated through credit card activities, including interchange revenue and other card-related fees. Fee revenue reflects the impact of customer reward programs, partner payments within the credit card businesses and retail banking-related fees. For additional information on these types of revenues, see Note 5.Effective as of the first quarter of 2026, Citi transferred its Retail Banking business from USPB to Wealth, and the remaining USPB businesses, including Branded Cards and Retail Services, were integrated into a new U.S. Consumer Cards (USCC) segment. For additional information, see Overview above.
| |
| In millions of dollars, except as otherwise noted | 2025 | 2024 | 2023 | % Change2025 vs. 2024 | % Change2024 vs. 2023 | |
| Net interest income | $ | 22,470 | $ | 21,103 | $ | 20,150 | 6 | % | 5 | % | |
| Fee revenue | |
| Interchange fees(1)(2) | 9,878 | 9,591 | 9,387 | 3 | 2 | |
| Card rewards and partner payments | (12,075) | (11,226) | (11,083) | (8) | (1) | |
| Other(2) | 614 | 468 | 349 | 31 | 34 | |
| Total fee revenue | $ | (1,583) | $ | (1,167) | $ | (1,347) | (36) | % | 13 | % | |
| All other(3) | 84 | 119 | 97 | (29) | 23 | |
| Total non-interest revenue | $ | (1,499) | $ | (1,048) | $ | (1,250) | (43) | % | 16 | % | |
| Total revenues, net of interest expense(1) | $ | 20,971 | $ | 20,055 | $ | 18,900 | 5 | % | 6 | % | |
| Total operating expenses(1) | $ | 9,709 | $ | 9,646 | $ | 9,815 | 1 | % | (2) | % | |
| Net credit losses on loans | 7,431 | 7,579 | 5,234 | (2) | 45 | |
| Credit reserve build (release) for loans | (226) | 1,006 | 1,464 | NM | (31) | |
| Provision for credit losses on unfunded lending commitments | 1 | | 1 | NM | (100) | |
| Provisions for benefits and claims (PBC), and other assets | 5 | 13 | 8 | (62) | 63 | |
| Provisions for credit losses and PBC | $ | 7,211 | $ | 8,598 | $ | 6,707 | (16) | % | 28 | % | |
| Income from continuing operations before taxes | $ | 4,051 | $ | 1,811 | $ | 2,378 | 124 | % | (24) | % | |
| Income taxes | 954 | 429 | 558 | 122 | (23) | |
| Income from continuing operations | $ | 3,097 | $ | 1,382 | $ | 1,820 | 124 | % | (24) | % | |
| Noncontrolling interests | | | | | | |
| Net income | $ | 3,097 | $ | 1,382 | $ | 1,820 | 124 | % | (24) | % | |
| Efficiency ratio | 46 | % | 48 | % | 52 | % | |
| Balance Sheet data (in billions of dollars) | |
| EOP assets | $ | 264 | $ | 252 | $ | 242 | 5 | % | 4 | % | |
| Average assets | 251 | 241 | 231 | 4 | 4 | |
| EOP loans | 232 | 222 | 209 | 5 | 6 | |
| EOP deposits | 88 | 89 | 103 | (1) | (14) | |
| Revenue by line of business(1)(4) | |
| Branded Cards | $ | 11,636 | $ | 10,735 | $ | 9,992 | 8 | % | 7 | % | |
| Retail Services | 6,622 | 7,070 | 6,574 | (6) | 8 | |
| Retail Banking | 2,713 | 2,250 | 2,334 | 21 | (4) | |
| Total | $ | 20,971 | $ | 20,055 | $ | 18,900 | 5 | % | 6 | % | |
29 
| |
| Key drivers(5) (in billions of dollars, except as otherwise noted) | |
| Average loans | $ | 220 | $ | 209 | $ | 193 | 5 | % | 8 | % | |
| ACLL as a percentage of EOP loans(6) | 6.00 | % | 6.38 | % | 6.28 | % | |
| NCLs as a percentage of average loans | 3.38 | % | 3.62 | % | 2.72 | % | |
| Average deposits | 89 | 91 | 110 | (2) | (17) | |
| Branded Cards | |
| Credit card spend volume | $ | 538 | $ | 516 | $ | 497 | 4 | % | 4 | % | |
| Average loans | 119 | 114 | 105 | 5 | 9 | |
| NCLs as a percentage of average loans | 3.68% | 3.71% | 2.68% | |
| New credit cards account acquisitions(7) (in thousands of accounts) | 5,192 | 4,667 | 4,546 | 11 | 3 | |
| Retail Services | |
| Credit card spend volume | $ | 88 | $ | 91 | $ | 95 | (3) | % | (5) | % | |
| Average loans | 51 | 51 | 50 | (2) | 3 | |
| NCLs as a percentage of average loans | 5.73% | 6.27% | 4.64% | |
| New credit cards account acquisitions(7) (in thousands of accounts) | 7,801 | 7,882 | 9,138 | (1) | (14) | |
| Retail Banking | |
| Branches (actual) | 655 | 642 | 647 | 2 | % | (1) | % | |
| Average mortgage loans | $ | 49 | $ | 43 | $ | 37 | 14 | 16 | |
| NCLs as a percentage of average loans | 0.28 | % | 0.28 | % | 0.29 | % | |
(1)See footnote 1 in Results of OperationsSummary of Selected Financial Data above for the description of a change in presentation.(2)Primarily related to credit cards and retail banking related fees.(3)Primarily related to foreign exchange revenues in Retail Banking and revenue incentives from card networks in Branded Cards.(4)Effective January 1, 2025, USPB changed its reporting for certain installment lending products that were transferred from Retail Banking to Branded Cards to reflect where these products are managed. Prior periods were conformed to reflect this change.(5)Management uses this information in reviewing the segments results and believes it is useful to investors concerning underlying segment performance and trends.(6)Excludes loans that are carried at fair value for all periods.(7)Represents the number of new credit card accounts opened.NM Not meaningful30 2025 vs. 2024Net income of $3.1 billion increased 124%. Revenues increased 5%, driven by growth in Branded Cards and Retail Banking, partially offset by a decline in Retail Services. Net interest income increased 6%, driven by higher loan spreads and interest-earning balances in Branded Cards, as well as higher deposit spreads in Retail Banking, partially offset by lower interest-earning loan balances and spreads in Retail Services. Non-interest revenue decreased 43%, driven by higher rewards costs in Branded Cards and higher partner payment accruals in Retail Services, partially offset by higher gross interchange fees in Branded Cards. Branded Cards revenues increased by 8%, driven by higher loan spreads and interest-earning balances, up 6%, as well as higher gross interchange fees, partially offset by higher rewards costs. Branded Cards average loans increased 5%.Retail Services revenues decreased 6%, driven by higher partner payment accruals, as well as lower net interest income due to lower interest-earning loan balances and spreads. Retail Services average loans decreased 2%.Retail Banking revenues increased 21%, primarily driven by the impact of higher deposit spreads. Average deposits decreased 2%, as net new deposits were more than offset by client transfers to Wealth (including $15 billion of net transfers during the last 12 months). Expenses increased 1%, driven by higher transactional and marketing expenses to support customer acquisition and engagement, largely offset by lower compensation and benefits due to lower headcount.Provisions were $7.2 billion, reflecting net credit losses of $7.4 billion, and a net ACL release of $220 million. Net credit losses were down 2%, driven by improved credit performance in Retail Services, partially offset by an increase for loan growth in Branded Cards. The net ACL release was driven by changes in credit quality, largely offset by changes in the macroeconomic outlook. Provisions were $8.6 billion in the prior year, reflecting net credit losses of $7.6 billion, driven by Branded Cards and Retail Services, and a net ACL build of $1.0 billion, driven by changes in credit quality and higher volume, partially offset by changes in the macroeconomic outlook.For additional information on Citis ACL, see Significant Accounting Policies and Significant Estimates below.For additional information on USPBs Branded Cards, Retail Services and Retail Banking loan portfolios, see Managing Global RiskCredit RiskConsumer Credit below.For additional information about trends, uncertainties and risks related to future results of the businesses, see Executive Summary above and Risk Factors below.31 ALL OTHERManaged BasisAll Other (managed basis) includes:Legacy Franchises (managed basis), which excludes divestiture-related impacts discussed below, and Corporate/Other. For information on divestiture-related impacts, see the discussion below as well as All OtherDivestiture-Related Impacts (Reconciling Items) below.Legacy Franchises (Managed Basis)Legacy Franchises (managed basis) results include the following:Mexico Consumer/SBMM, which operates primarily through Grupo Financiero Banamex, S.A. de C.V. (Banamex) and its consolidated subsidiaries, including Banco Nacional de Mexico, S.A. Asia Consumer, primarily representing the consumer banking operations of the remaining two exit countries (Poland and Korea) Legacy Holdings Assets Legacy Franchises (managed basis) results include a $1.6 billion Russia-related CTA loss that remained in Accumulated other comprehensive income (AOCI) until closing of the sale of AO Citibank. The $1.6 billion loss is included in the Russia notable item. See further details below.Legacy Franchises (managed basis) results exclude the following:divestiture-related impacts associated with Asia Consumer divestiture-related impacts associated with Banamex, including the Banamex-related notable item consisting of a $726 million ($714 million after-tax) goodwill impairment in the third quarter of 2025 (see below)At December 31, 2025, Legacy Franchises (managed basis) had the following, which were substantially reported in Mexico Consumer/SBMM: 1,289 retail branches$45 billion in deposits $17 billion in retail banking loans $10 billion in outstanding credit card balances$8 billion in outstanding corporate loans, reported within Mexico SBMMMexico Consumer/SBMM operates primarily through Banamex, which provides traditional retail banking and branded card products to consumers and small business customers and traditional middle-market banking products and services to commercial customers, and other affiliated subsidiaries that offer retirement fund administration and insurance products. Mexico Consumer/SBMMs results of operations are presented in a managerial view, and include certain intercompany allocations, managerial charges and offshore expenses that reflect the Mexico Consumer/SBMM operations as a component of Citis consolidated operations. Mexico Consumer/SBMMs results of operations do not reflect, and may differ significantly from, Banamexs results and operations as a standalone legal entity.For additional information on the loans and deposits of Mexico Consumer/SBMM and Asia Consumer, see Mexico Consumer/SBMM and Asia Consumerkey indicators in the table below.Banamex DivestitureIn 2025, Citi continued to make substantial progress toward the divestiture of Banamex, which remains a strategic priority.Any decisions related to the timing and structure of theproposed Banamex initial public offering (IPO) and anyadditional private sales will continue to be guided by severalfactors, including, among other things, market conditions andreceipt of regulatory approvals.On December 15, 2025, Citi completed the sale of 25% of Banamexs outstanding common shares to a company wholly owned by Fernando Chico Pardo and members of his immediate family. As a result of the closing of the 25% Banamex sale, and prior to deconsolidation, Citis stockholders equity increased by approximately $1.7 billion due to (i) the reclassification of an approximate $2.3 billion CTA loss associated with Banamex from AOCI (within stockholders equity) to Noncontrolling interests (NCI), which is a temporary benefit to Citis stockholders equity and will reverse at deconsolidation, partially offset by (ii) a net loss on sale of approximately $0.6 billion recorded primarily in additional paid-in capital within stockholders equity, which reflects the difference between the sale consideration received and 25% of the Banamex U.S. GAAP book value. The temporary benefit related to the reclassification of the CTA loss is subject to changes in FX.Going forward, and prior to deconsolidation, Citis net income will reflect only Citis proportionate ownership (i.e., 75%) of Banamexs U.S. GAAP legalentity net income, with the remaining 25% recorded in NCI. In addition, 25% of any changes related to Banamexs U.S. GAAP legal-entity net equity, as well as the 25% proportionate share of the CTA balance associated with Banamex, will be reflected in NCI on the Consolidated Balance Sheet. As of December 31, 2025, approximately $(9) billion of unrealized CTA losses, net of hedges and taxes, was attributed to Banamex and its consolidated subsidiaries. Following the 25% share sale, 25% of the unrealized CTA losses were reclassified to NCI, with the remaining 75% continuing to be reported within Citis AOCI (see Note 21 for additional information).32 Citi will deconsolidate Banamex when it owns less than 50% of Banamexs voting stock and does not have substantive participating rights in Banamex. During the quarter in which a deconsolidation occurs, the CTA loss attributable to Banamex and its consolidated subsidiaries, including the amounts recorded within AOCI and NCI, will be recognized in earnings, impacting EPS and RoTCE, and reversing the temporary capital benefit from prior sales. The cumulative impact of the CTA loss will be regulatory capital neutral to Citi. The $(9) billion in CTA losses is subject to change prior to deconsolidation, including as a result of FX movements. For additional information, see the Consolidated Statement of Changes in Stockholders Equity and Notes 2 and 21.Russia-Related CTA LossAO Citibank and its related impacts are not excluded from the results of Legacy Franchises (managed basis). The sale of AO Citibank is not considered part of Citis divestitures of its Asia Consumer businesses, as AO Citibank includes Citis remaining operations (non-consumer) in Russia and was not part of Citis strategic refresh.The cumulative impact of the $1.6 billion CTA loss, including any FX movements that were released from Accumulated other comprehensive income (AOCI) upon closing, were regulatory capital neutral to Citi.For additional information about the sale of AO Citibank and its impacts, see below, Managing Global RiskOther RisksCountry RiskRussia below and Sale of AO Citibank in Note 2.Overall Divestiture ProgressSince Citi announced its intention to exit consumer banking across 14 markets in Asia, Europe, the Middle East and Mexico as part of its strategic refresh, it has: completed the sale of 25% of Banamexs outstanding common sharessigned an agreement to sell the Poland consumer banking business, which is expected to close by mid-2026, subject to regulatory approvals and other customary closing conditionscontinued to make progress on the wind-down in Korea substantially completed wind-downs of the consumer businesses in China and Russiaexited nine marketsIn addition to the divestitures that are part of Citis strategic refresh, on February 18, 2026, Citi signed and closedthe sale of AO Citibank in Russia to RenCap.See Note 2 for additional information on Legacy Franchises consumer banking business sales and wind-downs. Corporate/OtherCorporate/Other includes results of Corporate Treasurymanaged activities, unallocated global operations andtechnology expenses, certain unallocated costs of global staff functions (including finance, risk, human resources, legal and compliance-related costs) including certain transformation-related spend, other corporate expenses (including income taxes) and discontinued operations. 33 
| |
| In millions of dollars, except as otherwise noted | 2025 | 2024 | 2023 | % Change2025 vs. 2024 | % Change2024 vs. 2023 | |
| Net interest income | $ | 4,899 | $ | 5,899 | $ | 7,692 | (17) | % | (23) | % | |
| Non-interest revenue | (469) | 1,604 | 1,705 | NM | (6) | |
| Total revenues, net of interest expense(1) | $ | 4,430 | $ | 7,503 | $ | 9,397 | (41) | % | (20) | % | |
| Total operating expenses(1) | $ | 8,693 | $ | 9,030 | $ | 11,196 | (4) | % | (19) | % | |
| Net credit losses on loans | 1,150 | 928 | 870 | 24 | 7 | |
| Credit reserve build (release) for loans | 234 | 73 | 127 | 221 | (43) | |
| Provision (release) for credit losses on unfunded lending commitments | (11) | (16) | (47) | 31 | 66 | |
| Provisions (release) for benefits and claims (PBC), other assets and HTM debt securities | 140 | 130 | 354 | 8 | (63) | |
| Provisions for credit losses and PBC | $ | 1,513 | $ | 1,115 | $ | 1,304 | 36 | % | (14) | % | |
| Income (loss) from continuing operations before taxes | $ | (5,776) | $ | (2,642) | $ | (3,103) | (119) | % | 15 | % | |
| Income taxes (benefits) | (1,335) | (182) | (979) | NM | 81 | |
| Income (loss) from continuing operations | $ | (4,441) | $ | (2,460) | $ | (2,124) | (81) | % | (16) | % | |
| Income (loss) from discontinued operations, net of taxes | (3) | (2) | (1) | (50) | (100) | |
| Noncontrolling interests | 14 | (30) | 16 | NM | NM | |
| Net income (loss) | $ | (4,458) | $ | (2,432) | $ | (2,141) | (83) | % | (14) | % | |
| Balance Sheet data (in billions of dollars) | |
| EOP assets | $ | 208 | $ | 201 | $ | 199 | 3 | % | 1 | % | |
| Average assets | 205 | 195 | 205 | 5 | (5) | |
| Revenue by line of business(1) | |
| Mexico Consumer/SBMM | $ | 6,500 | $ | 6,141 | $ | 5,668 | 6 | % | 8 | % | |
| Asia Consumer | (995) | 812 | 1,504 | NM | (46) | |
| Legacy Holdings Assets | 7 | (118) | 110 | NM | NM | |
| Corporate/Other | (1,082) | 668 | 2,115 | NM | (68) | |
| Total | $ | 4,430 | $ | 7,503 | $ | 9,397 | (41) | % | (20) | % | |
| Mexico Consumer/SBMMkey indicators (in billions of dollars) | |
| EOP loans | $ | 30.0 | $ | 23.1 | $ | 25.2 | 30 | % | (8) | % | |
| EOP deposits | 43.8 | 34.1 | 40.2 | 28 | (15) | |
| Average loans | 26.4 | 24.4 | 22.8 | 8 | 7 | |
| NCLs as a percentage of average loans(Mexico Consumer only) | 5.56 | % | 4.52 | % | 4.01 | % | |
| Loans 90+ days past due as a percentage of EOP loans (Mexico Consumer only) | 1.72 | 1.43 | 1.35 | |
| Loans 3089 days past due as a percentage of EOP loans (Mexico Consumer only) | 1.59 | 1.41 | 1.35 | |
| Asia Consumerkey indicators(2) (in billions of dollars) | |
| EOP loans | $ | 2.5 | $ | 4.7 | $ | 7.4 | (47) | % | (36) | % | |
| EOP deposits | 1.1 | 7.5 | 9.5 | (85) | (21) | |
| Average loans | 3.5 | 5.9 | 9.5 | (41) | (38) | |
| Legacy Holdings Assetskey indicators (in billions of dollars) | |
| EOP loans | $ | 1.8 | $ | 2.2 | $ | 2.8 | (18) | % | (21) | % | |
(1)See footnote 1 in Results of OperationsSummary of Selected Financial Data above for the description of a change in presentation.
(2)The key indicators for Asia Consumer also reflect the reclassification of loans and deposits to Other assets and Other liabilities under held-for-sale (HFS) accounting on Citis Consolidated Balance Sheet.
NM Not meaningful
34 
2025 vs. 2024
Net loss was $4.5 billion, compared to a net loss of $2.4 billion in the prior year.
All Other (managed basis) revenues of $4.4 billion decreased 41%, driven by lower revenues in Corporate/Other and Legacy Franchises (managed basis), which includes certain impacts of the Russia-related notable item. 
Legacy Franchises (managed basis) revenues of $5.5 billion decreased 19%, due to lower revenues in Asia Consumer (managed basis), which includes certain impacts of the Russia-related notable item, partially offset by higher revenues in Mexico Consumer/SBMM (managed basis) and Legacy Holdings Assets. 
Mexico Consumer/SBMM (managed basis) revenues of $6.5 billion increased 6%, primarily due to higher loan balances in retail banking, cards and SBMM, and higher deposits in SBMM as well as higher fee revenues in the wealth, retirement and insurance businesses. 
Asia Consumer (managed basis) revenues were $(995) million, compared to $812 million in the prior year, driven by certain impacts of the Russia-related notable item and reduction from the closed exits and wind-downs. 
For additional information on the Russia-related notable item, see OverviewNon-GAAP Financial Measures, Executive Summary and Recent Developments above, Managing Global RiskOther RisksCountry RiskRussia below and Sale of AO Citibank in Note 2.
Legacy Holdings Assets revenues were $7 million, compared to $(118) million in the prior year, driven by the absence of higher funding costs in the prior year related to the transfer of the retail banking business in the U.K.
Corporate/Other revenues decreased to $(1.1) billion, compared to $668 million in the prior year, driven by lower net interest income and lower non-interest revenue. The lower net interest income was due to a lower benefit from cash and securities reinvestment, driven by actions taken over the last few quarters to reduce Citis asset sensitivity in a declining interest rate environment. The lower non-interest revenue was primarily driven by gains in the prior year on the sale of certain investments and other assets. 
Expenses decreased 4%, driven by closed exits and wind-downs, lower deposit insurance costs, the absence of the restructuring charge that occurred in the prior year (see Note 9) and the absence of civil money penalties in the prior year. This decline was primarily offset by higher investments in Citis transformation and technology and higher severance costs. For additional information on
Citis transformation investments, see Citis Multiyear
Transformation above.
Provisions were $1.5 billion, reflecting net credit losses of $1.2 billion, and a net ACL build of $363 million. Net credit losses increased 24%, driven by higher consumer lending volume and portfolio seasoning in Mexico Consumer. The net ACL build was primarily driven by higher consumer lending volume and changes in credit quality in Mexico Consumer, as well as transfer risk associated with Russia. Provisions were $1.1 billion in the prior year, reflecting net credit losses of $928 million, primarily in Mexico Consumer, and a net ACL build of $187 million, primarily driven by higher consumer lending volume and changes in credit quality in Mexico Consumer.
For additional information on Citis ACL, see Significant Accounting Policies and Significant Estimates below.
For additional information about trends, uncertainties and risks related to future results of the businesses, see Executive Summary above and Risk Factors below.
35 
ALL OTHERDivestiture-Related Impacts (Reconciling Items)
The table below presents a reconciliation from All Other (U.S. GAAP) to All Other (managed basis). All Other (U.S. GAAP), less Reconciling Items, equals All Other (managed basis). The Reconciling Items are reflected on each relevant line item in Citis Consolidated Statement of Income.
All Other (managed basis) and Legacy Franchises (managed basis) results exclude divestiture-related impacts (see the Reconciling Items column in the table below) related to: 
Citis divestitures of its Asia Consumer businesses, and
the ongoing divestiture of Grupo Financiero Banamex, S.A. de C.V. (Banamex), reported within All Other (U.S. GAAP). 
Certain of the results of operations of All Other (managed basis) and Legacy Franchises (managed basis) are non-GAAP financial measures (see OverviewNon-GAAP Financial Measures above).
| |
| 2025 | 2024 | 2023 | |
| In millions of dollars, except as otherwise noted | All Other(U.S. GAAP) | Reconciling Items(2) | All Other(managed basis) | All Other(U.S. GAAP) | Reconciling Items(3) | All Other(managed basis) | All Other(U.S. GAAP) | Reconciling Items(4) | All Other(managed basis) | |
| Net interest income | $ | 4,899 | $ | | $ | 4,899 | $ | 5,899 | $ | | $ | 5,899 | $ | 7,692 | $ | | $ | 7,692 | |
| Non-interest revenue | (645) | (176) | (469) | 1,630 | 26 | 1,604 | 3,051 | 1,346 | 1,705 | |
| Total revenues, net of interest expense(1) | $ | 4,254 | $ | (176) | $ | 4,430 | $ | 7,529 | $ | 26 | $ | 7,503 | $ | 10,743 | $ | 1,346 | $ | 9,397 | |
| Total operating expenses(1) | $ | 9,570 | $ | 877 | $ | 8,693 | $ | 9,348 | $ | 318 | $ | 9,030 | $ | 11,568 | $ | 372 | $ | 11,196 | |
| Net credit losses on loans | 1,150 | | 1,150 | 935 | 7 | 928 | 864 | (6) | 870 | |
| Credit reserve build (release) for loans | 224 | (10) | 234 | 73 | | 73 | 66 | (61) | 127 | |
| Provision for credit losses on unfunded lending commitments | (11) | | (11) | (16) | | (16) | (47) | | (47) | |
| Provisions for benefits and claims (PBC), other assets and HTM debt securities | 140 | | 140 | 130 | | 130 | 354 | | 354 | |
| Provisions (benefits) for credit losses and PBC | $ | 1,503 | $ | (10) | $ | 1,513 | $ | 1,122 | $ | 7 | $ | 1,115 | $ | 1,237 | $ | (67) | $ | 1,304 | |
| Income (loss) from continuing operations before taxes | $ | (6,819) | $ | (1,043) | $ | (5,776) | $ | (2,941) | $ | (299) | $ | (2,642) | $ | (2,062) | $ | 1,041 | $ | (3,103) | |
| Income taxes (benefits) | (1,296) | 39 | (1,335) | (274) | (92) | (182) | (597) | 382 | (979) | |
| Income (loss) from continuing operations | $ | (5,523) | $ | (1,082) | $ | (4,441) | $ | (2,667) | $ | (207) | $ | (2,460) | $ | (1,465) | $ | 659 | $ | (2,124) | |
| Income (loss) from discontinued operations, net of taxes | (3) | | (3) | (2) | | (2) | (1) | | (1) | |
| Noncontrolling interests | 14 | | 14 | (30) | | (30) | 16 | | 16 | |
| Net income (loss) | $ | (5,540) | $ | (1,082) | $ | (4,458) | $ | (2,639) | $ | (207) | $ | (2,432) | $ | (1,482) | $ | 659 | $ | (2,141) | |
(1)See footnote 1 in Results of OperationsSummary of Selected Financial Data above for the description of a change in presentation.(2)2025 includes (i) an approximate $186million loss recorded in revenue (approximately $157million after-tax), driven by the announced sale of the Poland consumer banking business; and (ii) approximately $877million in operating expenses (approximately $821million after-tax), driven by a goodwill impairment charge in Mexico ($726million ($714million after-tax)) and other costs, primarily separation costs in Mexico and severance costs in the Asia exit markets (collectively approximately $151million (approximately $107million after-tax)).(3)2024 includes $318million (approximately $220million after-tax) in operating expenses, primarily related to separation costs in Mexico and severance costs in the Asia exit markets.(4)2023 includes (i) an approximate $1.059 billion gain on sale recorded in revenue (approximately $727 million after-tax), related to the India consumer banking business sale; (ii) an approximate $403 million gain on sale recorded in revenue (approximately $284 million after-tax), related to the Taiwan consumer banking business sale; and (iii) approximately $372 million (approximately $263 million after-tax) in operating expenses, primarily related to separation costs in Mexico and severance costs in the Asia exit markets.36 CAPITAL RESOURCESOverviewCiti uses capital principally to support its businesses and to absorb potential losses, including credit, market and operational losses. Citi primarily generates capital through earnings from its operating businesses. Citi may augment its capital through issuances of common stock and noncumulative perpetual preferred stock, among other issuances. Further, Citis capital levels may also be affected by changes in accounting and regulatory standards, as well as the impact of future events on Citis business results, such as acquisitions and divestitures and changes in interest and foreign exchange rates. For additional information on capital-related risks, trends and uncertainties, see Regulatory Capital Standards and Developments as well as Risk FactorsStrategic Risks, Operational Risks and Compliance Risks below.Capital ManagementCitis capital management framework is designed to ensure that Citigroup and its principal subsidiaries maintain sufficient capital consistent with each entitys respective risk profile, management targets and all applicable regulatory standards and guidelines. Citi assesses its capital adequacy against a series of internal quantitative capital goals, designed to evaluate its capital levels in expected and stressed economic environments. Underlying these internal quantitative capital goals are strategic capital considerations, centered on preserving and building financial strength. Citis Chief Risk Officer (CRO) and Chief Financial Officer (CFO) co-chair Citigroups Capital Committee, which includes Citis Treasurer and other senior executives. The Citigroup Capital Committee, with oversight from the Risk Management Committee of Citigroups Board of Directors, has responsibility for Citis aggregate capital structure, including the capital assessment and planning process, which is integrated into Citis capital plan. Balance sheet management, including oversight of capital adequacy for Citigroups subsidiaries, is governed by each entitys Asset and Liability Committee, where applicable. For additional information regarding Citis capital planning and stress testing exercises, see Stress Testing Component of Capital Planning below.Current Regulatory Capital StandardsCiti is subject to regulatory capital rules issued by the FRB, in coordination with the OCC and FDIC, including the U.S. implementation of the Basel III rules (for information on potential changes to the Basel III rules, see Regulatory Capital Standards and Developments and Risk FactorsStrategic Risks below). These rules establish an integrated capital adequacy framework, encompassing both risk-based capital ratios and leverage ratios. Banking and broker-dealer subsidiaries of Citigroup are also subject to local capital requirements in the jurisdictions in which they operate, which impact allocations of capital within Citigroup, and may restrict the ability to remit earnings to Citigroup. The availability of such earnings may impact the ability of Citigroup to engage in return of capital to common shareholders in the form of dividends and share repurchases, absorb potential losses and support business growth.Risk-Based Capital RatiosThe U.S. Basel III rules set forth the composition of regulatory capital (including the application of regulatory capital adjustments and deductions), as well as two comprehensive methodologies (a Standardized Approach and Advanced Approaches) for measuring total risk-weighted assets. Total risk-weighted assets under the Standardized Approach include credit and market risk-weighted assets, which are generally prescribed supervisory risk weights. Total risk-weighted assets under the Advanced Approaches, which are primarily model based, include credit, market and operational risk-weighted assets. As a result, credit risk-weighted assets calculated under the Advanced Approaches are more risk sensitive than those calculated under the Standardized Approach. Market risk-weighted assets are currently calculated on a generally consistent basis under both the Standardized and Advanced Approaches. The Standardized Approach does not include operational risk-weighted assets.Under the U.S. Basel III rules, Citigroup is required to maintain several regulatory capital buffers above the stated minimum capital requirements to avoid certain limitations on capital distributions and discretionary bonus payments to executive officers. Similarly, Citigroups primary subsidiary, Citibank, N.A. (Citibank), is required to maintain minimum regulatory capital ratios plus applicable regulatory buffers, as well as to hold sufficient capital to be considered well capitalized under the Prompt Corrective Action framework. For additional information, see Regulatory Capital Buffers and Prompt Corrective Action Framework below. Further, the U.S. Basel III rules implement the capital floor provision of the Dodd-Frank Act (also known as the Collins Amendment), which requires banking organizations to calculate generally applicable capital requirements. As a result, Citi must calculate each of the three risk-based capital ratios (CET1 Capital, Tier 1 Capital and Total Capital) under both the Standardized Approach and the Advanced Approaches and comply with the more binding of each of the resulting risk-based capital ratios. Leverage RatioUnder the U.S. Basel III rules, Citigroup is also required to maintain a minimum Leverage ratio of 4.0%. Similarly, Citibank is required to maintain a minimum Leverage ratio of 5.0% to be considered well capitalized under the Prompt Corrective Action framework. The Leverage ratio, a non-risk-based measure of capital adequacy, is defined as Tier 1 Capital as a percentage of quarterly adjusted average total assets less amounts deducted from Tier 1 Capital. Supplementary Leverage RatioCiti is also required to calculate a Supplementary Leverage ratio (SLR), which differs from the Leverage ratio by including certain off-balance sheet exposures within the denominator of the ratio (Total Leverage Exposure). The SLR represents end-of-period Tier 1 Capital to Total Leverage 37 Exposure. Total Leverage Exposure is defined as the sum of (i) the daily average of on-balance sheet assets for the quarter and (ii) the average of certain off-balance sheet exposures calculated as of the last day of each month in the quarter, less applicable Tier 1 Capital deductions. Advanced Approaches banking organizations are required to maintain a stated minimum SLR of 3.0%.Further, U.S. GSIBs, including Citigroup, are subject to a 2.0% leverage buffer under the enhanced Supplementary Leverage Ratio (eSLR) standards in addition to the 3.0% stated minimum SLR requirement, resulting in a 5.0% SLR for the fourth quarter of 2025. If a U.S. GSIB fails to exceed this requirement, it will be subject to increasingly stringent restrictions (depending upon the extent of the shortfall) on capital distributions and discretionary executive bonus payments. Similarly, Citibank is required to maintain a minimum SLR of 6.0% to be considered well capitalized under the Prompt Corrective Action framework for the fourth quarter of 2025.On November 25, 2025, the U.S. banking agencies issued a final rule revising the eSLR requirements applicable to GSIBs and their depository institution subsidiaries, with an effective date of April 1, 2026 and an optional early adoption date of January 1, 2026. Beginning January 1, 2026, Citi opted for early adoption of the eSLR final rule. Accordingly, both Citigroup and Citibank will be required to maintain an eSLR buffer of 1%, based on Citis current method 1 GSIB surcharge of 2%, for a total SLR requirement of 4%. This compares to the SLR requirement of 5% for Citigroup and 6% for Citibank as of December 31, 2025. For additional information on revisions to the eSLR requirements, see Regulatory Capital Standards and DevelopmentsLeverage Capital Requirements below.Regulatory Capital BuffersCitigroup and Citibank are required to maintain several regulatory capital buffers above the stated minimum capital requirements. These capital buffers would be available to absorb losses in advance of any potential impairment of regulatory capital below the stated minimum regulatory capital ratio requirements.Banking organizations that fall below their regulatory capital buffers are subject to limitations on capital distributions and discretionary bonus payments to executive officers based on a percentage of Eligible Retained Income (ERI), with increasing restrictions based on the severity of the breach. ERI is equal to the greater of (i) the banks net income for the four calendar quarters preceding the current calendar quarter, net of any distributions and tax effects not already reflected in net income, and (ii) the average of the banks net income for the four calendar quarters preceding the current calendar quarter.As of December31, 2025, Citis regulatory capital ratios exceeded the regulatory capital requirements. Accordingly, Citi is not subject to payout limitations as a result of the U.S. Basel III requirements. Stress Capital BufferCitigroup is subject to the FRBs Stress Capital Buffer (SCB) rule, which integrates the annual stress testing requirements with ongoing regulatory capital requirements. The SCB equals the peak-to-trough Common Equity Tier 1 (CET1) Capital ratio decline under the Supervisory Severely Adverse scenario over a nine-quarter period used in the Comprehensive Capital Analysis and Review (CCAR) and Dodd-Frank Act Stress Testing (DFAST), plus four quarters of planned common stock dividends, subject to a floor of 2.5%. SCB-based capital requirements are reviewed and updated annually by the FRB as part of the CCAR process. For additional information regarding CCAR and DFAST, see Stress Testing Component of Capital Planning below. The SCB is applicable only to Citigroup under the Standardized Approach, while the fixed 2.5% Capital Conservation Buffer applies under the Advanced Approaches (see below). As of the fourth quarter of 2025, based on the current SCB standard, Citis required regulatory CET1 Capital ratio decreased to 11.6% from 12.1% under the Standardized Approach, incorporating the 3.6% SCB and Citis current GSIB surcharge of 3.5%. Citis required regulatory CET1 Capital ratio under the Advanced Approaches (using the fixed 2.5% Capital Conservation Buffer) remained unchanged at 10.5%. The regulatory capital framework applicable to Citibank, including the Capital Conservation Buffer, is unaffected by Citigroups SCB.Since its introduction in 2020, Citigroups SCB has been determined each year through DFAST. As a result, Citis 2026 SCB is expected to remain at the 2025 SCB requirement of 3.6% until October 1, 2027 due to the FRB notice to maintain the SCB pending finalization of model changes. For information on these proposed rulemakings, see Regulatory Capital Standards and Developments below.Capital Conservation Buffer and Countercyclical Capital BufferCitigroup is subject to a fixed 2.5% Capital Conservation Buffer (CCB) under the Advanced Approaches. Citibank is subject to the fixed 2.5% CCB under both the Advanced Approaches and the Standardized Approach. In addition, Advanced Approaches banking organizations, such as Citigroup and Citibank, are subject to a discretionary Countercyclical Capital Buffer (CCyB). The CCyB is currently set at 0% by the U.S. banking agencies.GSIB SurchargeThe FRB imposes a risk-based capital surcharge (GSIB surcharge) upon U.S. bank holding companies that are identified as GSIBs, including Citi (for information on potential changes to the GSIB surcharge, see Regulatory Capital Standards and Developments and Risk FactorsStrategic Risks below). The GSIB surcharge augments the SCB, CCB and, if invoked, any CCyB.Citi is required annually to calculate its GSIB surcharge using two methods and is subject to the higher of the resulting two surcharges. The first method (method 1) is based on the Basel Committees GSIB methodology. Under the second method (method 2), the substitutability category under the Basel Committees GSIB methodology is replaced with a 38 quantitative measure intended to assess a GSIBs reliance on short-term wholesale funding. In addition, method 1 incorporates relative measures of systemic importance across certain global banking organizations and a year-end spot foreign exchange rate, whereas method 2 uses fixed measures of systemic importance and application of an average foreign exchange rate over a three-year period. The GSIB surcharges calculated under both method 1 and method 2 are based on measures of systemic importance from the year immediately preceding that in which the GSIB surcharge calculations are being performed (e.g., the method 1 and method 2 GSIB surcharges calculated during 2026 will be based on 2025 systemic indicator data). Generally, Citis surcharge determined under method 2 will be higher than its surcharge determined under method 1.Should Citis systemic importance change year-over-year, such that it becomes subject to a higher GSIB surcharge, the higher surcharge would become effective on January 1 of the year that is one full calendar year after the increased GSIB surcharge was calculated (e.g., a higher surcharge calculated in 2026 using data as of December 31, 2025 would not become effective until January 1, 2028). However, if Citis systemic importance changes such that Citi would be subject to a lower surcharge, Citi would be subject to the lower surcharge on January 1 of the year immediately following the calendar year in which the decreased GSIB surcharge was calculated (e.g., a lower surcharge calculated in 2026 using data as of December 31, 2025 would become effective January 1, 2027).The following table presents Citis GSIB surcharge as determined under method 1 and method 2 for 2025 and 2024:
| |
| 2025 | 2024 | |
| Method 1 | 2.0% | 2.0% | |
| Method 2 | 3.5 | 3.5 | |
For 2026 and 2027, Citis GSIB surcharge under method 2 will remain at 3.5%.
For 2028, Citis GSIB surcharge is expected to increase to the lower of 4% or the surcharge derived as of year-end 2026 under method 2.
In the future, Citis regulatory capital ratios and requirements will depend on, among other things, any changes in regulatory capital rules, requirements and interpretations, Citis stress test results, which could be influenced by the impact of Citis remaining divestitures, and Citis mix of businesses and credit portfolios.
Prompt Corrective Action Framework
In general, the Prompt Corrective Action (PCA) regulations direct the U.S. banking agencies to enforce increasingly strict limitations on the activities of insured depository institutions that fail to meet certain regulatory capital thresholds. The PCA framework contains five categories of capital adequacy as measured by risk-based capital and leverage ratios:
well capitalized
adequately capitalized
undercapitalized
significantly undercapitalized
critically undercapitalized
Accordingly, an insured depository institution, such as Citibank, must maintain minimum CET1 Capital, Tier 1 Capital, Total Capital and Leverage ratios of 6.5%, 8.0%, 10.0% and 5.0%, respectively, to be considered well capitalized. In addition, insured depository institution subsidiaries of U.S. GSIBs, including Citibank, must maintain a minimum Supplementary Leverage ratio of 6.0% to be considered well capitalized for the fourth quarter of 2025.
The eSLR final rule issued on November 25, 2025 has modified the depository institution-level eSLR requirement from a well capitalized threshold under the PCA framework to a buffer construct but has retained the 3% minimum SLR to be considered adequately capitalized. For additional information, see Regulatory Capital Standards and DevelopmentsLeverage Capital Requirements below.
Furthermore, to be well capitalized under current federal bank regulatory agency definitions, a bank holding company must have a Tier 1 Capital ratio of at least 6.0%, a Total Capital ratio of at least 10.0% and not be subject to a FRB directive to maintain higher capital levels.
Both Citigroup and Citibank were well capitalized as of December31, 2025.
Stress Testing Component of Capital Planning
Citi is subject to an annual assessment by the FRB as to whether Citigroup has effective capital planning processes as well as sufficient regulatory capital to absorb losses during stressful economic and financial conditions, while also meeting obligations to creditors and counterparties and continuing to serve as a credit intermediary. This annual assessment includes two related programs: the Comprehensive Capital Analysis and Review (CCAR) and Dodd-Frank Act Stress Testing (DFAST).
For the largest and most complex firms, such as Citi, CCAR includes a qualitative evaluation of a firms abilities to determine its capital needs on a forward-looking basis. In conducting the qualitative assessment, the FRB evaluates firms capital planning practices, focusing on six areas of capital planning: governance, risk management, internal controls, capital policies, incorporating stressful conditions and events, and estimating impact on capital positions. As part of the CCAR process, the FRB evaluates Citis capital adequacy, capital adequacy process and its planned capital distributions, such as dividend payments and common share repurchases. The FRB assesses whether Citi has sufficient capital to continue operations throughout times of economic 
39 
and financial market stress and whether Citi has robust, forward-looking capital planning processes that account for its unique risks. 
All CCAR firms, including Citi, are subject to a rigorous evaluation of their capital planning process. Firms with weak practices may be subject to a deficient supervisory rating, and potentially an enforcement action, for failing to meet supervisory expectations. For additional information regarding CCAR, see Risk FactorsStrategic Risks below. 
DFAST is a forward-looking quantitative evaluation of the impact of stressful economic and financial market conditions on Citis regulatory capital. This program serves to inform the FRB and the general public as to how Citis regulatory capital ratios might change using a hypothetical set of adverse economic conditions as designed by the FRB. In addition to the annual supervisory stress test conducted by the FRB, Citi is required to conduct annual company-run stress tests under the same adverse economic conditions designed by the FRB.
Both CCAR and DFAST include an estimate of projected revenues, losses, reserves, pro forma regulatory capital ratios and any other additional capital measures deemed relevant by 
Citi. Projections are required over a nine-quarter planning horizon under two supervisory scenarios (baseline and severely adverse conditions). All risk-based capital ratios reflect application of the Standardized Approach framework under the U.S. Basel III rules. The FRBs stress test modeling is subject to change under the outstanding proposed rulemaking regarding stress test modeling and scenario design. For information on this proposed rulemaking, see Regulatory Capital Standards and Developments below.
In addition, Citibank is required to conduct the annual Dodd-Frank Act Stress Test. The annual stress test consists of a forward-looking quantitative evaluation of the impact of stressful economic and financial market conditions under several scenarios on Citibanks regulatory capital. This program serves to inform the Office of the Comptroller of the Currency as to how Citibanks regulatory capital ratios might change during a hypothetical set of adverse economic conditions and to ultimately evaluate the reliability of Citibanks capital planning process.
Citigroup and Citibank are required to disclose the results of their company-run stress tests. 
Citigroups Capital Resources 
The following table presents Citigroups required risk-based capital ratios as of December31, 2025 and December31, 2024:
| |
| Standardized Approach | Advanced Approaches | |
| Regulatory Capital Buffers(1) | December 31, 2025 | December 31, 2024 | December31, 2025 and December 31, 2024 | |
| GSIB surcharge | 3.5 | % | 3.5 | % | 3.5 | % | |
| SCB | 3.6 | 4.1 | N/A | |
| CCB | N/A | N/A | 2.5 | |
| CCyB | | | | |
| Regulatory Capital buffer requirement | 7.1 | % | 7.6 | % | 6.0 | % | |
| CET1 Capital (stated minimum) | 4.5 | 4.5 | 4.5 | |
| CET1 Capital ratio requirement | 11.6 | % | 12.1 | % | 10.5 | % | |
| Additional Tier 1 Capital | 1.5 | 1.5 | 1.5 | |
| Tier 1 Capital ratio requirement | 13.1 | % | 13.6 | % | 12.0 | % | |
| Tier 2 Capital | 2.0 | 2.0 | 2.0 | |
| Total Capital ratio requirement | 15.1 | % | 15.6 | % | 14.0 | % | |
(1)For additional information on the capital buffers, see Regulatory Capital Buffers above.
N/A Not applicable
40 
The following tables present Citigroups capital components and ratios as of December31, 2025 and December 31, 2024:
| |
| Standardized Approach | Advanced Approaches | |
| In millions of dollars, except ratios | December 31, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | |
| CET1 Capital(1) | $ | 157,099 | $ | 155,363 | $ | 157,099 | $ | 155,363 | |
| Tier 1 Capital(1) | 179,675 | 174,527 | 179,675 | 174,527 | |
| Total Capital (Tier 1 Capital + Tier 2 Capital)(1) | 216,468 | 205,827 | 206,170 | 197,371 | |
| Total Risk-Weighted Assets | 1,192,174 | 1,139,988 | 1,316,371 | 1,280,190 | |
| Credit Risk(1) | $ | 1,131,414 | $ | 1,073,354 | $ | 943,012 | $ | 901,345 | |
| Market Risk | 60,760 | 66,634 | 59,758 | 66,221 | |
| Operational Risk | N/A | N/A | 313,601 | 312,624 | |
| CET1 Capital ratio(2) | 13.18 | % | 13.63 | % | 11.93 | % | 12.14 | % | |
| Tier 1 Capital ratio(2) | 15.07 | 15.31 | 13.65 | 13.63 | |
| Total Capital ratio(2) | 18.16 | 18.06 | 15.66 | 15.42 | |
| |
| In millions of dollars, except ratios | Required Capital Ratios | December 31, 2025 | December 31, 2024 | |
| Quarterly Adjusted Average Total Assets(1)(3) | $ | 2,685,119 | $ | 2,433,364 | |
| Total Leverage Exposure(1)(4) | 3,276,212 | 2,985,418 | |
| Leverage ratio | 4.0% | 6.69 | % | 7.17 | % | |
| Supplementary Leverage ratio | 5.0 | 5.48 | 5.85 | |
(1)Commencing January 1, 2025, the capital effects resulting from adoption of the current expected credit losses (CECL) methodology have been fully reflected in Citis regulatory capital.(2)At December 31, 2025, Citi's binding CET1 Capital ratio was derived under the Basel III Standardized Approach, whereas the binding Tier 1 Capital and Total Capital ratios were derived under the Basel III Advanced Approaches. At December 31, 2024, Citis binding CET1 and Tier 1 Capital ratios were derived under the Standardized Approach, whereas the Total Capital ratio was derived under the Advanced Approaches. (3)Leverage ratio denominator. Represents average daily total assets for the respective quarters, less amounts deducted from Tier 1 Capital. (4)Supplementary Leverage ratio denominator. Represents quarterly average on-balance sheet assets and certain off-balance sheet exposures calculated in accordance with the U.S. Basel III rules less amounts deducted from Tier 1 Capital.N/A Not applicableAs indicated in the table above, Citigroups capital ratios at December31, 2025 were in excess of the regulatory capital requirements under the U.S. Basel III rules. In addition, Citigroup was well capitalized under federal bank regulatory agencies definitions as of December31, 2025. Common Equity Tier 1 Capital Ratio and SLR Citis CET1 Capital ratio under the Basel III Standardized Approach was 13.2% as of December31, 2025, relative to a required regulatory CET1 Capital ratio of 11.6% as of such date under the Standardized Approach. Citis CET1 Capital ratio under the Basel III Advanced Approaches was 11.9% as of December31, 2025, relative to a required regulatory CET1 Capital ratio of 10.5% as of such date under the Advanced Approaches framework.Citis CET1 Capital ratio decreased under both the Standardized Approach and Advanced Approaches from year-end 2024, driven primarily by common share repurchases, the payment of common and preferred dividends and increases in Standardized Approach RWA and Advanced Approaches RWA, partially offset by net income, net beneficial movements in AOCI and the net impact from Citis agreement to sell a 25% equity stake in Banamex and held-for-sale accounting treatment related to Citis plan to sell AO Citibank in Russia (which was sold on February 18, 2026). Citis Supplementary Leverage ratio was 5.5% at December31, 2025, compared to 5.8% as of December31, 2024. The decrease from year-end 2024 was primarily driven by an increase in Total Leverage Exposure, common share repurchases and the payment of common and preferred dividends, partially offset by year-to-date net income, net beneficial movements in AOCI and the overall net impact from Citis agreement to sell a 25% equity stake in Banamex and held-for-sale accounting treatment related to Citis plan to sell AO Citibank in Russia (which was sold on February 18, 2026).41 Components of Citigroup Capital
| |
| In millions of dollars | December 31,2025 | December 31,2024 | $ Change2024 to 2025 | |
| CET1 Capital | |
| Citigroup common stockholders equity(1) | $ | 192,304 | $ | 190,815 | $ | 1,489 | |
| Add: Qualifying noncontrolling interests | 226 | 186 | 40 | |
| Regulatory capital adjustments and deductions: | 0 | |
| Add: CECL transition provision(2) | | 757 | (757) | |
| Less: Accumulated net unrealized gains (losses) on cash flow hedges, net of tax | 10 | (220) | 230 | |
| Less: Cumulative unrealized net gain (loss) related to changes in fair value of financial liabilities attributable to own creditworthiness, net of tax | (1,919) | (910) | (1,009) | |
| Less: Intangible assets: | 0 | |
| Goodwill, net of related deferred tax liabilities (DTLs)(3) | 18,482 | 17,994 | 488 | |
| Identifiable intangible assets other than mortgage servicing rights (MSRs), net of related DTLs | 3,135 | 3,357 | (222) | |
| Less: Defined benefit pension plan net assets and other | 1,822 | 1,504 | 318 | |
| Less: Deferred tax assets (DTAs) arising from net operating loss, foreign tax credit and general business credit carry-forwards(4) | 10,784 | 11,628 | (844) | |
| Less: Excess over 10%/15% limitations for other DTAs, certain common stock investments and MSRs(4)(5) | 3,117 | 3,042 | 75 | |
| Total CET1 Capital (Standardized Approach and Advanced Approaches) | $ | 157,099 | $ | 155,363 | $ | 1,736 | |
| Additional Tier 1 Capital | |
| Qualifying noncumulative perpetual preferred stock(1) | $ | 19,987 | $ | 17,783 | $ | 2,204 | |
| Qualifying trust preferred securities(6) | 1,433 | 1,422 | 11 | |
| Qualifying noncontrolling interests | 1,229 | 30 | 1,199 | |
| Regulatory capital deductions: | |
| Less: Other | 73 | 71 | 2 | |
| Total Additional Tier 1 Capital (Standardized Approach and Advanced Approaches) | $ | 22,576 | $ | 19,164 | $ | 3,412 | |
| Total Tier 1 Capital (CET1 Capital + Additional Tier 1 Capital) (Standardized Approach and Advanced Approaches) | $ | 179,675 | $ | 174,527 | $ | 5,148 | |
| Tier 2 Capital | |
| Qualifying subordinated debt | $ | 22,380 | $ | 18,185 | $ | 4,195 | |
| Qualifying noncontrolling interests | 247 | 38 | 209 | |
| Eligible allowance for credit losses(2)(7) | 14,311 | 13,560 | 751 | |
| Regulatory capital deduction: | 0 | |
| Less: Other | 145 | 483 | (338) | |
| Total Tier 2 Capital (Standardized Approach) | $ | 36,793 | $ | 31,300 | $ | 5,493 | |
| Total Capital (Tier 1 Capital + Tier 2 Capital) (Standardized Approach) | $ | 216,468 | $ | 205,827 | $ | 10,641 | |
| Adjustment for excess of eligible credit reserves over expected credit losses(2)(7) | $ | (10,298) | $ | (8,456) | $ | (1,842) | |
| Total Tier 2 Capital (Advanced Approaches) | $ | 26,495 | $ | 22,844 | $ | 3,651 | |
| Total Capital (Tier 1 Capital + Tier 2 Capital) (Advanced Approaches) | $ | 206,170 | $ | 197,371 | $ | 8,799 | |
(1)Issuance costs of $63 million and $67 million related to outstanding noncumulative perpetual preferred stock at December31, 2025 and 2024, respectively, were excluded from common stockholders equity and netted against such preferred stock in accordance with FRB regulatory reporting requirements, which differ from those under U.S. GAAP. (2)Commencing January 1, 2025, the capital effects resulting from adoption of the CECL methodology have been fully reflected in Citis regulatory capital. (3)Includes goodwill embedded in the valuation of significant common stock investments in unconsolidated financial institutions. (4)Of Citis $29.5 billion of net DTAs at December31, 2025, $10.8 billion of net DTAs arising from net operating loss, foreign tax credit and general business credit tax carry-forwards, as well as $3.1 billion of DTAs arising from temporary differences that exceeded the 10% limitation, were excluded from Citis CET1 Capital as of December31, 2025. DTAs arising from net operating loss, foreign tax credit and general business credit tax carry-forwards are required to be entirely deducted from CET1 Capital under the U.S. Basel III rules. DTAs arising from temporary differences are required to be deducted from capital only if they exceed 10%/15% limitations under the U.S. Basel III rules.(5)Assets subject to 10%/15% limitations include MSRs, DTAs arising from temporary differences and significant common stock investments in unconsolidated financial institutions. At December31, 2025 and 2024, this deduction related only to DTAs arising from temporary differences that exceeded the 10% limitation.(6)Represents Citigroup Capital XIII trust preferred securities, which are permanently grandfathered as Tier 1 Capital under the U.S. Basel III rules. 42 (7)Under the Standardized Approach, the allowance for credit losses is eligible for inclusion in Tier 2 Capital up to 1.25% of credit risk-weighted assets, with any excess allowance for credit losses being deducted in arriving at credit risk-weighted assets, which differs from the Advanced Approaches framework, in which eligible credit reserves that exceed expected credit losses are eligible for inclusion in Tier 2 Capital to the extent that the excess reserves do not exceed 0.6% of credit risk-weighted assets. The total amount of eligible credit reserves in excess of expected credit losses that were eligible for inclusion in Tier 2 Capital, subject to limitation, under the Advanced Approaches framework were $4.0 billion and $5.1 billion at December31, 2025 and 2024, respectively.Citigroup Risk-Weighted Assets Rollforward
| |
| In millions of dollars | Standardized Approach | Advanced Approaches | |
| Total Risk-Weighted Assets at December 31, 2024 | $ | 1,139,988 | $ | 1,280,190 | |
| General credit risk exposures(1)(2) | 15,660 | 42,374 | |
| Derivatives | 3,367 | (20,088) | |
| Securities financing transactions | 16,905 | (833) | |
| Securitization exposures | 6,419 | 1,732 | |
| Equity exposures | 2,060 | 1,792 | |
| Other exposures(2) | 13,649 | 16,690 | |
| Change in Credit Risk-Weighted Assets | $ | 58,060 | $ | 41,667 | |
| Change in Market Risk-Weighted Assets | $ | (5,874) | $ | (6,463) | |
| Change in Operational Risk-Weighted Assets | N/A | $ | 977 | |
| Total Risk-Weighted Assets at December 31, 2025 | $ | 1,192,174 | $ | 1,316,371 | |
(1)General credit risk exposures include cash and balances due from depository institutions, securities, and loans and leases.(2)Increase in Other exposures was mainly due to a recategorization of certain exposures previously classified as general credit risk exposures to other assets in March 2025.N/A Not applicableIn 2025, the increase in Citigroups Credit RWAs under the Standardized Approach was primarily driven by higher activities in securities financing transactions with corporate counterparties, and growth in corporate lending and credit card exposures, as well as an increase in securitizations. The increase under the Advanced Approaches was mainly due to growth in corporate lending and credit card exposures, and also an increase in investment securities, partially offset by a decrease in derivatives RWA, driven by the net impact of model refinements and enhanced data granularity and sourcing.The decrease in Market RWAs in 2025 under both the Standardized and Advanced Approaches was mainly driven by exposure and model changes.43 Capital Resources of Citigroups Subsidiary U.S. Depository Institutions Citigroups subsidiary U.S. depository institutions are also subject to regulatory capital standards issued by their respective primary bank regulatory agencies, which are similar to the standards of the FRB. The following table presents the risk-based capital ratio requirements for Citibank, Citis primary subsidiary U.S. depository institution, under both the Standardized and Advanced Approaches as of December31, 2025 and December31, 2024:
| |
| Regulatory Capital Buffers(1) | December31, 2025 and December 31, 2024 | |
| CCB | 2.5 | % | |
| CCyB | | |
| Regulatory Capital buffer requirement | 2.5 | % | |
| CET1 Capital (stated minimum) | 4.5 | |
| CET1 Capital ratio requirement(2) | 7.0 | % | |
| Additional Tier 1 Capital | 1.5 | |
| Tier 1 Capital ratio requirement(2) | 8.5 | % | |
| Tier 2 Capital | 2.0 | |
| Total Capital ratio requirement(2) | 10.5 | % | |
(1)For additional information on the capital buffers, see Regulatory Capital Buffers above.
(2)Citibank must maintain minimum CET1 Capital, Tier 1 Capital and Total Capital of 6.5%, 8.0% and 10.0%, respectively, to be considered well capitalized under the PCA regulations applicable to insured depository institutions. See Prompt Corrective Action Framework above.
44 
The following tables present the capital components and ratios for Citibank as of December31, 2025 and December 31, 2024:
| |
| Standardized Approach | Advanced Approaches | |
| In millions of dollars, except ratios | December 31, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | |
| CET1 Capital(1) | $ | 158,202 | $ | 153,483 | $ | 158,202 | $ | 153,483 | |
| Tier 1 Capital(1) | 160,338 | 155,613 | 160,338 | 155,613 | |
| Total Capital (Tier 1 Capital + Tier 2 Capital)(1)(2) | 175,949 | 173,060 | 168,005 | 165,581 | |
| Total Risk-Weighted Assets | 1,006,961 | 998,817 | 1,104,193 | 1,109,387 | |
| Credit Risk(1) | $ | 971,591 | $ | 953,377 | $ | 818,714 | $ | 811,464 | |
| Market Risk | 35,370 | 45,440 | 35,208 | 45,383 | |
| Operational Risk | N/A | N/A | 250,271 | 252,540 | |
| CET1 Capital ratio(3) | 15.71 | % | 15.37 | % | 14.33 | % | 13.83 | % | |
| Tier 1 Capital ratio(3) | 15.92 | 15.58 | 14.52 | 14.03 | |
| Total Capital ratio(3) | 17.47 | 17.33 | 15.22 | 14.93 | |
| |
| In millions of dollars, except ratios | Required Capital Ratios | December 31, 2025 | December 31, 2024 | |
| Quarterly Adjusted Average Total Assets(1)(4) | $ | 1,864,383 | $ | 1,726,312 | |
| Total Leverage Exposure(1)(5) | 2,374,748 | 2,195,386 | |
| Leverage ratio(6) | 5.0 | % | 8.60 | % | 9.01 | % | |
| Supplementary Leverage ratio(6) | 6.0 | 6.75 | 7.09 | |
(1)Commencing January 1, 2025, the capital effects resulting from adoption of the CECL methodology have been fully reflected in Citibanks regulatory capital. (2)Under the Standardized Approach, the allowance for credit losses is eligible for inclusion in Tier 2 Capital up to 1.25% of credit risk-weighted assets, with any excess allowance for credit losses being deducted in arriving at credit risk-weighted assets, which differs from the Advanced Approaches framework, in which eligible credit reserves that exceed expected credit losses are eligible for inclusion in Tier 2 Capital to the extent that the excess reserves do not exceed 0.6% of credit risk-weighted assets.(3)Citibanks binding CET1 Capital, Tier 1 Capital and Total Capital ratios were derived under the Basel III Advanced Approaches framework for all periods presented.(4)Leverage ratio denominator. Represents average daily total assets for the respective quarters, less amounts deducted from Tier 1 Capital. (5)Supplementary Leverage ratio denominator. Represents quarterly average on-balance sheet and certain off-balance sheet exposures calculated in accordance with the U.S. Basel III rules less amounts deducted from Tier 1 Capital.(6)In addition to the risk-based capital requirements shown above, Citibank must also maintain required Leverage and Supplementary Leverage ratios of 5.0% and 6.0%, respectively, to be considered well capitalized under the PCA regulations applicable to insured depository institutions as established by the U.S. Basel III rules. N/A Not applicableAs presented in the table above, Citibanks capital ratios at December31, 2025 were in excess of the regulatory capital requirements under the U.S. Basel III rules. In addition, Citibank was well capitalized as of December31, 2025.Citibanks Supplementary Leverage ratio was 6.8% at December31, 2025, compared to 7.1% at December31, 2024. The decrease was primarily driven by an increase in Total Leverage Exposure and the payment of common and preferred dividends, partially offset by net income and net beneficial movements in AOCI. Citigroup Broker-Dealer SubsidiariesAt December31, 2025, Citigroup Global Markets Inc., a U.S. broker-dealer registered with the SEC that is an indirect wholly owned subsidiary of Citigroup, had net capital, computed in accordance with the SECs net capital rule, of $18 billion, which exceeded the minimum requirement by $12 billion. Moreover, Citigroup Global Markets Limited, a broker-dealer registered with the United Kingdoms Prudential Regulation Authority (PRA) that is also an indirect wholly owned subsidiary of Citigroup, had total regulatory capital of $27 billion at December31, 2025, which exceeded the PRAs combined buffer and minimum regulatory capital requirements.In addition, certain of Citis other broker-dealer subsidiaries are subject to regulation in the countries in which they do business, including requirements to maintain specified levels of net capital or its equivalent. Citigroups other principal broker-dealer subsidiaries were in compliance with their regulatory capital requirements at December31, 2025. 45 Total Loss-Absorbing Capacity (TLAC) U.S. GSIBs, including Citi, are required to maintain minimum levels of TLAC and eligible long-term debt (LTD) and applicable buffers to avoid certain limitations on capital distributions and discretionary bonus payments to executive officers, each set by reference to the GSIBs consolidated risk-weighted assets (RWA) and total leverage exposure.External TLAC RequirementThe external TLAC requirement is the greater of:18% of the GSIBs RWA plus the then-applicable RWA-based TLAC buffer (see below), and7.5% of the GSIBs total leverage exposure plus a leverage-based TLAC buffer of 2% (i.e., 9.5%) for 2025.The RWA-based TLAC buffer equals (i) the 2.5% CCB, plus (ii) any applicable CCyB (currently 0%), plus (iii) the GSIBs capital surcharge as determined under method 1 of the GSIB surcharge rule (2.0% for Citi for 2025). Accordingly, Citis total TLAC requirement was 22.5% of RWA for 2025.LTD RequirementThe LTD requirement is the greater of:6% of the GSIBs RWA plus its capital surcharge as determined under method 2 of the GSIB surcharge rule (3.5% for Citi for 2025), for a total LTD requirement of 9.5% of RWA, and4.5% of the GSIBs total leverage exposure for 2025.The table below details Citis eligible external TLAC and LTD amounts and ratios, and each TLAC and LTD regulatory requirement, as well as the surplus amount in dollars in excess of each requirement:
| |
| December 31, 2025 | |
| In billions of dollars, except ratios | External TLAC | LTD | |
| Total eligible amount | $ | 344 | $ | 161 | |
| % of Advanced Approaches risk-weighted assets | 26.1 | % | 12.2 | % | |
| Regulatory requirement(1)(2) | 22.5 | 9.5 | |
| Surplus amount | $ | 48 | $ | 36 | |
| % of Total Leverage Exposure | 10.5 | % | 4.9 | % | |
| Regulatory requirement | 9.5 | 4.5 | |
| Surplus amount | $ | 33 | $ | 13 | |
(1)External TLAC includes method 1 GSIB surcharge of 2.0%.(2)LTD includes method 2 GSIB surcharge of 3.5%.As of December31, 2025, Citi exceeded each of the TLAC and LTD regulatory requirements, resulting in a $13 billion surplus above its binding TLAC requirement of LTD as a percentage of Total Leverage Exposure.The eSLR final rule issued on November 25, 2025 made conforming changes to the TLAC and LTD regulatory requirements with an optional early adoption date. Citi early adopted the final rule beginning January 1, 2026. Accordingly, effective January 1, 2026, Citis TLAC and LTD leverage-based requirements declined from the 9.5% TLAC leverage-based requirement and 4.5% LTD leverage-based requirement to 8.5% and 3.5%, respectively.For additional information on Citis TLAC-related requirements, see Capital ResourcesRegulatory Capital Standards and Developments and Liquidity RiskTotal Loss-Absorbing Capacity (TLAC) below.46 Regulatory Capital Standards and DevelopmentsLeverage Capital RequirementsOn November 25, 2025, the U.S. banking agencies finalized revisions to the eSLR requirements applicable to GSIBs and their depository institution subsidiaries:The eSLR buffer has been recalibrated from 2% to 50% of the holding companys method 1 GSIB surcharge. The depository institution-level eSLR requirement has been modified from a well capitalized threshold under the PCA framework to a buffer construct, although the 3% minimum SLR to be considered adequately capitalized remains. The eSLR buffer at the depository institution level has also been set to 50% of the holding companys method 1 GSIB surcharge, but with a cap of 1%. Additionally, conforming changes have been made to the holding companys external TLAC and LTD leverage-based requirements. The new leverage-based TLAC buffer will equal the eSLR buffer instead of a fixed 2%, while the new leverage-based external LTD requirement will equal 2.5% plus the eSLR buffer instead of a fixed 4.5%. The effective date of the final rule is April, 1, 2026, with an optional early adoption date beginning January 1, 2026.Commencing January 1, 2026, Citi early adopted the eSLR final rule. Accordingly, effective January 1, 2026, both Citigroup and Citibank are required to maintain an eSLR buffer of 1%, based on Citis current method 1 GSIB surcharge of 2%, for a total SLR requirement of 4%. This compares to the SLR requirement of 5% for Citigroup and 6% for Citibank as of December 31, 2025. In addition, Citis TLAC and LTD leverage-based requirements declined from the 9.5% TLAC leverage-based requirement and 4.5% LTD leverage-based requirement to 8.5% and 3.5%, respectively.Stress Capital Buffer Requirements and Stress TestingFrameworkOn April 17, 2025, the FRB issued a notice of proposed rulemaking intended to reduce the volatility of the SCB requirement by averaging the results of the annual supervisorystress tests over two years. The proposal would also change the annual effective date of the SCB requirement from October 1 to January 1 each year. This proposal remains outstanding.On October 24, 2025, the FRB issued a notice of proposed rulemaking intended to enhance the transparency and public accountability of the FRBs stress testing framework, which informs institutions stress capital buffer requirements. The proposal includes a request for comment on the FRBs stress test models and proposes to codify an enhanced annual disclosure process. As described in Regulatory Capital BuffersStress Capital Buffer above, the FRB announced on February 4, 2026 that, given the outstanding proposals on stress test modeling and scenario design, Citis 2026 SCB is expected to remain at the 2025 SCB requirement of 3.6% until October 1, 2027.Basel III Revisions and GSIB SurchargeOn July 27, 2023, the U.S. banking agencies issued a notice of proposed rulemaking, known as the Basel III Endgame, that would amend U.S. regulatory capital requirements. Separately on July 27, 2023, the FRB proposed changes to the GSIB surcharge rule that aim to make it more risk sensitive. Citi continues to monitor developments related to these rulemakings.47 Tangible Common Equity, Book Value Per Share, Tangible Book Value Per Share and Return on Equity As defined by Citi, tangible common equity (TCE) represents common stockholders equity less goodwill and identifiable intangible assets (other than mortgage servicing rights (MSRs)). Return on tangible common equity (RoTCE) represents annualized net income available to common shareholders as a percentage of average TCE. Tangible book value per share (TBVPS) represents average TCE divided by average common shares outstanding. Other companies may calculate these measures differently. 
| |
| At December 31, | |
| In millions of dollars or shares, except per share amounts | 2025 | 2024 | 2023 | 2022 | 2021 | |
| Total Citigroup stockholders equity | $ | 212,291 | $ | 208,598 | $ | 205,453 | $ | 201,189 | $ | 201,972 | |
| Less: Preferred stock | 20,050 | 17,850 | 17,600 | 18,995 | 18,995 | |
| Common stockholders equity | $ | 192,241 | $ | 190,748 | $ | 187,853 | $ | 182,194 | $ | 182,977 | |
| Less: | |
| Goodwill | 19,098 | 19,300 | 20,098 | 19,691 | 21,299 | |
| Identifiable intangible assets (other than MSRs) | 3,525 | 3,734 | 3,730 | 3,763 | 4,091 | |
| Goodwill and identifiable intangible assets (other than MSRs) related to businesses held-for-sale (HFS) | | 16 | | 589 | 510 | |
| Tangible common equity (TCE) | $ | 169,618 | $ | 167,698 | $ | 164,025 | $ | 158,151 | $ | 157,077 | |
| Common shares outstanding (CSO) | 1,747.5 | 1,877.1 | 1,903.1 | 1,937.0 | 1,984.4 | |
| Book value per share (common stockholders equity/CSO) | $ | 110.01 | $ | 101.62 | $ | 98.71 | $ | 94.06 | $ | 92.21 | |
| Tangible book value per share (TCE/CSO) | 97.06 | 89.34 | 86.19 | 81.65 | 79.16 | |
| For the year ended December 31, | |
| In millions of dollars | 2025 | 2024 | 2023 | 2022 | 2021 | |
| Net income available to common shareholders | $ | 13,192 | $ | 11,628 | $ | 8,030 | $ | 13,813 | $ | 20,912 | |
| Average common stockholders equity | $ | 194,023 | $ | 190,070 | $ | 187,730 | $ | 180,093 | $ | 182,421 | |
| Less: | |
| Average goodwill | 19,809 | 19,732 | 20,313 | 19,354 | 21,771 | |
| Average intangible assets (other than MSRs) | 3,632 | 3,611 | 3,835 | 3,924 | 4,244 | |
| Average goodwill and identifiable intangible assets (other than MSRs) related to businesses HFS | 10 | 6 | 226 | 872 | 153 | |
| Average TCE | $ | 170,572 | $ | 166,721 | $ | 163,356 | $ | 155,943 | $ | 156,253 | |
| Return on average common stockholders equity | 6.8 | % | 6.1 | % | 4.3 | % | 7.7 | % | 11.5 | % | |
| RoTCE | 7.7 | 7.0 | 4.9 | 8.9 | 13.4 | |
48 RISK FACTORSThe following discussion presents what management currently believes could be the material risks and uncertainties that could impact Citis businesses, results of operations and financial condition. As a large, global financial institution, Citi faces particularly complex, diverse and rapidly changing risks and uncertainties. Other risks and uncertainties, including those not currently known to Citi or its management, could also negatively impact Citis businesses, results of operations and financial condition. Thus, the following should not be considered a complete discussion of all of the risks and uncertainties that Citi may face. For additional information about risks and uncertainties that could impact Citi, see Executive Summary, Citis Multiyear Transformation and each respective businesss results of operations above and Managing Global Risk below. The following headings and risk factors generally align with Citis risk categorization, although in certain instances the risk factors may not directly correspond with how Citi categorizes or manages its risks.MARKET-RELATED RISKSMacroeconomic, Geopolitical and Other Challenges and Uncertainties Could Continue to Have a Negative Impact on Citi.Citi has experienced, and could experience in the future, negative impacts to its businesses, cost of credit, results of operations and financial condition as a result of various macroeconomic, geopolitical and other challenges, uncertainties and volatility. These include, among other things:increases in unemployment rates, recessions or slowing economic growth in the U.S., Europe and other regions or countriesdeterioration in consumer and corporate confidenceelevated inflationsignificant volatility and disruptions in financial marketsgovernment fiscal or monetary actions (see the changes to interest rates risk factor below)For example, substantial new import tariffs and a significant increase in the U.S. effective tariff rate occurred in 2025. There can be no assurance that there will not be additional significant changes in tariff or trade policies. Potential impacts in the U.S. and globally related to trade or tariff policies could include heightened market volatility, increased economic uncertainty, adverse impacts to inflation and global economic activity, disruptions in global supply chains and trade flows, impacts on corporate profitability and credit losses, and other adverse impacts.Additional areas of uncertainty include, among others, geopolitical challenges, tensions and conflicts, such as those related to the RussiaUkraine war (see the emerging markets risk factor below) and conflicts in the Middle East and in other regions; economic and geopolitical challenges related to China, including weak economic growth, related policy actions, challenges in the Chinese real estate sector, banking and credit markets, trade restrictions, and tensions or conflicts between China and Taiwan and/or China and the U.S.; high and rising government debt levels in the U.S. and other countries; sanctions; natural disasters; and pandemics. Changes to Interest Rates Could Adversely Affect Citis Results of Operations.Central banks decisions on key interest rates directly affect borrowing and investment costs, loan and investment returns, and the valuation of financial assets. U.S. and global interest rate levels can significantly affect Citis results of operations. Interest rates on loans Citi makes are typically based off or set at a spread over a benchmark interest rate and would likely decline or rise as benchmark rates decline or rise, respectively. While interest Citi earns on its assets and pays on its liabilities generally tends to move in the same direction as changes in benchmark rates, one can decline or rise faster than the other, thereby decreasing or increasing Citis net interest income. A decline in interest rates would generally be expected to result in lower net interest income for Citi, although Corporate Treasury has various tools to manage Citis total interest rate risk position (see Managing Global Risk Market RiskMarket Risk of Non-Trading Portfolios below). Central banks prematurely or disproportionately lowering benchmark interest rates could result in a resurgence of inflation.Higher interest rates can negatively impact the economy, resulting in higher unemployment and lower growth. Increases in interest rates can also adversely impact the fair value of available-for-sale (AFS) and held-to-maturity (HTM) debt securities held by Citi, and thereby Citis capital levels and regulatory liquidity position. Interest rate movements, as well as pricing and product competition, can also impact depositor behavior and thereby affect net interest income. In addition, Citis net interest income could be adversely affected due to a flattening (a lower spread between shorter-term versus longer-term interest rates) or inversion (shorter-term interest rates exceeding longer-term interest rates) of the interest rate yield curve, as Citi typically pays interest on deposits based on shorter-term interest rates and earns money on loans based on longer-term interest rates. For additional information on Citis interest rate risk, see the liquidity risk factor and Managing Global RiskMarket RiskBanking Book Interest Rate Risk below.STRATEGIC RISKSCitis Ability to Return Capital to Common Shareholders Substantially Depends on Regulatory Capital Requirements, Including the Results of the FRBs Stress Testing and CCAR Regimes, and Other Factors.Citis ability to return capital to its common shareholders consistent with its capital planning efforts and targets, whether through its common stock repurchase program or its common stock dividend, substantially depends, among other things, on its regulatory capital requirements. Citi is required to hold regulatory capital buffers, including a Global Systemically Important Bank (GSIB) surcharge and a Stress Capital Buffer (SCB) based upon the results of the annual CCAR process required by the FRB. For additional information on these regulatory capital buffers, see Capital ResourcesRegulatory Capital Buffers above. 49 Changes in regulatory capital rules, requirements or interpretations can impact Citis required regulatory capital. U.S. banking regulators have proposed a number of changes to the U.S. regulatory capital framework, including significant revisions to the U.S. Basel III, GSIB and supervisory stress test rules. These changes will affect Citis regulatory capital requirements and position and the amount of capital Citi will be able to return to shareholders (see Capital ResourcesRegulatory Capital Standards and Developments above).Citis ability to return capital also depends on a variety of other factors, including, but not limited to, the following:its results of operations and financial conditionany impact to capital from its remaining divestituresits ability to maintain an effective capital planning process and management framework, which takes into account forecasts of expected macroeconomic conditions and their associated impacts to the level of Citis regulatory capital and risk-weighted assets under both the Standardized Approach and the Advanced Approaches, as well as the Supplementary Leverage ratio (SLR)deferred tax asset (DTA) utilization (see the ability to utilize DTA risk factor below)All firms subject to CCAR requirements, including Citi, are subject to a rigorous regulatory evaluation of capital planning practices and other reviews and examinations. Citis ability to return capital may be adversely impacted if a regulatory evaluation or examination were to result in negative findings regarding absolute capital levels or other aspects of Citis or any of its subsidiaries operations, including as a result of the imposition of additional capital buffers, limitations on capital distributions or otherwise. For information on limitations on Citis ability to return capital to common shareholders, as well as the CCAR process, supervisory stress test requirements and GSIB surcharge, see Capital ResourcesCurrent Regulatory Capital Standards, Regulatory Capital Buffers and Stress Testing Component of Capital Planning above and the risk management and legal and regulatory proceedings risk factors below.Citi Faces Ongoing Regulatory and Legislative Uncertainties and Changes in the U.S. and Globally.Citi, its management and its businesses continue to face regulatory and legislative uncertainties and changes, both in the U.S. and globally. While the ongoing regulatory and legislative uncertainties and changes facing Citi are numerous and subject to change, examples include, but are not limited to, the following:potential changes to U.S. laws or regulations with respect to credit cards, including a possible cap on interest ratespotential changes to various aspects of the U.S. regulatory capital framework and requirements applicable to Citi (see the capital return risk factor and Capital ResourcesRegulatory Capital Standards and Developments above) potential fiscal, monetary, tax, sanctions and other changes promulgated by the U.S. federal government and other governments (see the macroeconomic challenges and uncertainties and changes to interest rates risk factors above)References to regulatory refer to both formal regulation and the views and expectations of Citis regulators in their supervisory and enforcement roles, which, as they change over time, can have a major impact. Additionally, U.S. and international regulatory and legislative initiatives have not always been undertaken or implemented on a coordinated basis, and areas of divergence have developed and continue to develop with respect to their scope, interpretation, timing, structure or approach, leading to inconsistent or even conflicting requirements, including within a single jurisdiction. Further, ongoing regulatory and legislative uncertainties and changes make Citis long-term business, balance sheet and strategic planning difficult, subject to change, and potentially more costly and may impact its results of operations. U.S. and other regulators globally continue to discuss various changes to regulatory requirements, which require ongoing assessment by management as to the impact to Citi, its businesses and business planning. Business planning must necessarily be based on possible or proposed rules or outcomes, which can change significantly upon finalization, or upon implementation or interpretive guidance from numerous regulatory bodies worldwide, and such guidance can change. Regulatory and legislative changes have also significantly increased Citis compliance risks and costs (see the implementation and interpretation of regulatoryscrutiny and changes risk factor below) and can adversely affect Citis competitive position, as well as its businesses, revenues, results of operations and financial condition.Citi May Be Unable to Achieve Its Objectives from Its Simplification, Transformation and Enhanced Business Performance Priorities.Citi has been pursuing overall simplification initiatives to enhance its client focus and reduce expenses. Citis simplification initiatives, including completing its divestiture of Banamex, involve various execution challenges, may take longer than expected and may result in higher expenses, or lower than expected expense savings, CTA and other losses or other negative financial or strategic impacts, which could be material, and litigation and regulatory scrutiny (for information about CTA impacts, see the changes in or incorrect assumptions risk factor below).As part of its multiyear transformation, Citi also continues to make significant investments and undertake substantial actions across the Company to modernize its data andtechnology infrastructure, further strengthen its risk and controls environment and further enhance safety and soundness (see Citis Multiyear Transformation above and the legal and regulatory proceedings risk factor below). 50 Moreover, Citi continues to make business-led investments, as part of the execution of its strategic priorities. For example, Citi has been making technology and other investments across the Company, including hiring employees in key strategic markets and businesses; enhancing product capabilities and platforms to grow key businesses, improve client digital experiences and add scalability; and implementing new capabilities and partnerships.Citis simplification, transformation and enhanced business performance priorities involve significant complexities and uncertainties. In addition, there is inherent risk that these initiatives will not be as productive or effective as Citi expects, or at all. Conversely, failure to adequately invest in and upgrade Citis technology and processes could result in Citis inability to be sufficiently competitive, meet regulatory expectations, serve clients effectively and avoid disruptions to its businesses, and operational errors (see the operational processes and systems and legal and regulatory proceedings risk factors below). Citis ability to achieve its expected returns, including underlying expense savings, revenue growth and capital return objectives, as well as related operational improvements depends, in part, on factors that it cannot control, including, among others, macroeconomic challenges and uncertainties; customer, client and competitor actions; and ongoing regulatory requirements or changes.Further, Citis simplification, transformation and enhanced business performance priorities may continue to evolve as its business strategies, including with respect to organic or inorganic growth, the market environment and regulatory expectations change, which could make the initiatives more costly and more challenging to implement, and limit their effectiveness. Climate Change Presents Various Financial and Non-Financial Risks to Citi.Climate change presents both immediate and long-term risks to Citi, with the risks expected to increase over time. Climate risks can arise from both physical risks and transition risks. Physical and transition risks can manifest differently across Citis risk categories in the short, medium and long terms. Physical risks include acute risks, such as wildfires, tropical cyclones, heat waves, floods and droughts, as well as consequences of chronic changes in climate. For example, physical risks could have adverse financial, operational and other impacts on Citi, both directly on its business and operations, and indirectly as a result of impacts to Citis clients, customers, vendors and other counterparties. These impacts can include the following:destruction, damage or impairment of owned or leased properties and other assetsdestruction or deterioration of the value of collateral, such as real estatedisruptions to business operations and supply chainsreduced availability or increases in the cost of insurancePhysical risks can also impact Citis credit risk exposures, for example, in its mortgage and commercial real estate lending businesses.Transition risks may arise from changes in regulations or market preferences toward low-carbon industries or sectors, which in turn could have negative impacts on asset values, results of operations or the reputations of Citi and its customers and clients, and lead to a loss of market share, lower revenues and higher credit costs. Diverging legislative and regulatory changes and uncertainties regarding climate-related risk management and disclosures can increase Citis regulatory and compliance risks and costs. Furthermore, Citi may face heightened scrutiny and litigation risks stemming from its climate and sustainability commitments, disclosures and marketing.Even as some regulators seek to mandate additional disclosure of climate-related information, Citis ability to comply with such requirements and conduct more robust climate-related risk analyses may be hampered by lack of information and reliable data. Data on climate-related risks is limited in availability, often based on estimated or unverified figures, collected and reported on a time-lag, and variable in quality. Modeling capabilities to analyze climate-related risks and interconnections continue to evolve.Citis approach to supporting clients in their efforts to decarbonize may lead to both continued exposure to carbon-intensive activity and increased reputation risks from stakeholders with divergent points of view. Additionally, if Citi is unable to achieve some of its objectives or commitments relating to climate change, its businesses, reputation and attractiveness to certain investors or clients may suffer. For additional information, see Sustainability and Managing Global RiskStrategic RiskClimate Risk below.Citis Ability to Utilize Its DTAs, and Thus Reduce the Negative Impact of the DTAs on Citis Regulatory Capital, Will Be Driven by Its Ability to Generate U.S. Taxable Income.At December 31, 2025, Citis net DTAs were $29.5 billion, net of a valuation allowance of $5.0 billion, of which $13.1 billion was deducted from Citis CET1 Capital under the U.S. Basel III rules. Of this deducted amount, $10.8 billion related to net operating losses, foreign tax credit and general business credit carry-forwards, with $3.1 billion related to temporary differences in excess of the 10%/15% regulatory limitations, reduced by $0.8 billion of deferred tax liabilities, primarily associated with goodwill and certain other intangible assets that were separately deducted from capital.Citis ability to realize its DTAs will primarily be dependent upon its ability to generate U.S. taxable income in the relevant reversal periods. Failure to realize any portion of the net DTAs would have a corresponding negative impact on Citis net income and financial returns.The accounting treatment for realization of DTAs is complex and requires significant judgment and estimates regarding future taxable earnings in the jurisdictions in which the DTAs arise and available tax planning strategies. Forecasts of future taxable earnings will depend upon various factors, including, among others, macroeconomic conditions. 51 For additional information on Citis DTAs, including FTCs, see Significant Accounting Policies and Significant EstimatesIncome Taxes below and Notes 1 and 10.Citi Is Subject to Complex Tax Laws, Which May Change, and Citis Interpretation or Application of These Complex Tax Laws Could Differ from Those of Governmental Authorities, Which Could Result in Litigation or Examinations and the Payment of Additional Taxes, Penalties or Interest.Citi is subject to various tax laws of the U.S. and its states and municipalities, as well as the numerous non-U.S. jurisdictions in which it operates. These tax laws are inherently complex, and Citi must make judgments and interpretations about the application of these laws to its entities, operations and businesses. Moreover, these tax laws and related regulations may change, which could result in additional tax liability for Citi. Additionally, Citi is subject to litigation or examinations with U.S. and non-U.S. tax authorities regarding tax matters. While Citi has appropriately reserved for such matters where there is a probable loss, and has disclosed reasonably possible losses, the outcome of the matters may be different than Citis expectations. Citis interpretations or application of the tax laws, including with respect to withholding, stamp, service and other non-income taxes, as well as in connection with asset dispositions, divestitures or similar transactions, could differ from that of the relevant governmental taxing authority, which could result in the requirement to pay additional taxes, penalties or interest, the reduction of certain tax benefits or the requirement to make adjustments to amounts recorded, which could be material. See Note 30 for additional information on how Citi accrues for potential losses from tax matters.A Deterioration in or Failure to Maintain Citis Co-Branding or Private Label Credit Card Relationships Could Have a Negative Impact on Citi.Citi has co-branding and private label relationships with various retailers and merchants through its Branded Cards and Retail Services credit card businesses, whereby in the ordinary course of business Citi issues credit cards to consumers, including customers of the retailers or merchants. The five largest relationships across both businesses constituted an aggregate of approximately 12% of Citis revenues in 2025 (see U.S. Personal Banking above). Citis co-branding and private label agreements often provide for shared economics between the parties and generally have a fixed term.Competition among credit card issuers, including Citi, for these relationships is significant, and Citi may not be able to maintain such relationships on existing terms or at all. Citis co-branding and private label relationships could also be negatively impacted by, among other things, the general economic environment, including the impacts stemming from potential increases in unemployment, inflation or interest rates or lower economic growth rates, as well as a risk of recession; changes in consumer sentiment, spending patterns and credit card usage behaviors; a decline in sales and revenues, partner store closures, any reduction in air and business travel, or other operational difficulties of the retailer or merchant; changes in partner business strategies, including changes in products and services offered; termination or non-renewal of partner agreements, including early termination due to a contractual breach or exercise of other early termination rights; or other factors, including bankruptcies, liquidations, restructurings, consolidations or other similar events, whether due to a challenging macroeconomic environment or otherwise.These events, particularly early termination and bankruptcies or liquidations, could negatively impact the results of operations or financial condition of Branded Cards, Retail Services or Citi as a whole, including as a result of loss of revenues, increased expenses, higher cost of credit, impairment of purchased credit card relationships and contract-related intangibles or other losses (see Note 17 for information on Citis credit card-related intangibles generally).The Application of U.S. Resolution Plan Requirements May Pose a Greater Risk of Loss to Citis Debt and Equity Securities Holders, and Citis Inability in Its Resolution Plan Submissions to Address Any Shortcomings or Deficiencies or Guidance Could Subject Citi to More Stringent Capital, Leverage or Liquidity Requirements, or Restrictions on Its Growth, Activities or Operations, and Could Eventually Require Citi to Divest Assets or Operations.Every two years, Title I of the Dodd-Frank Act requires Citi to prepare and submit a plan to the FRB and the FDIC for the orderly resolution of Citigroup (the bank holding company) and its significant legal entities under the U.S. Bankruptcy Code in the event of future material financial distress or failure. Under Citis preferred single point of entry resolution plan strategy, only Citigroup, the parent holding company, would enter into bankruptcy, while Citigroups material legal entities (as defined in the public section of its 2025 resolution plan, which can be found on the FRBs and FDICs websites) would remain operational outside of any resolution or insolvency proceedings. As a result, Citigroups losses and any losses incurred by its material legal entity subsidiaries would be imposed first on holders of Citigroups equity securities and thereafter on its unsecured creditors, including holders of eligible long-term debt and other debt securities. In addition, a wholly owned, direct subsidiary of Citigroup serves as a resolution funding vehicle (the intermediate holding company, or IHC) to which Citigroup has transferred, and has agreed to transfer on an ongoing basis, certain assets. The obligations of Citigroup and of the IHC, respectively, under the amended and restated secured support agreement, are secured on a senior basis by the assets of Citigroup (other than shares in subsidiaries of the parent company and certain other assets), and the assets of the IHC, as applicable. As a result, claims of the operating material legal entities against the assets of Citigroup with respect to such secured assets are effectively senior to unsecured obligations of Citigroup. Citis single point of entry resolution plan strategy and the obligations under the amended and restated secured support agreement may result in the recapitalization of and/or provision of liquidity to Citis operating material legal entities, and the commencement of bankruptcy proceedings by Citigroup at an earlier stage of 52 financial stress than might otherwise occur without such mechanisms in place.In line with the FRBs total loss-absorbing capacity (TLAC) rule, Citigroups shareholders and unsecured creditorsincluding its unsecured long-term debt holderswould bear any losses resulting from Citigroups bankruptcy. Accordingly, any value realized by holders of its unsecured long-term debt may not be sufficient to repay the amounts owed to such debt holders in the event of a bankruptcy or other resolution proceeding of Citigroup. For additional information on Citis single point of entry resolution plan strategy and the IHC and secured support agreement, see Managing Global RiskLiquidity Risk below.On November 22, 2022, the FRB and FDIC issued feedback on the resolution plans filed on July 1, 2021 by the eight U.S. GSIBs, including Citigroup. The FRB and FDIC jointly identified one shortcoming in Citigroups 2021 resolution plan. The shortcoming related to data integrity and data quality management issues, specifically, weaknesses in Citis processes and practices for producing certain data that could materially impact its resolution capabilities. On June 20, 2024, the FRB and FDIC issued feedback on the resolution plans filed on July 1, 2023 by the eight U.S. GSIBs, including Citigroup. The FRB and FDIC jointly identified one shortcoming in Citigroups 2023 resolution plan regarding Citis derivatives unwind capabilities. If a shortcoming is not satisfactorily explained or addressed before, or in, the submission of the next resolution plan, the shortcoming may be found to be a deficiency in the next resolution plan (see discussion below). Citi submitted a targeted resolution plan on July 1, 2025.Under Title I, if the FRB and the FDIC jointly determine that Citis resolution plan is not credible (which, although not defined, is generally understood to mean the regulators do not believe the plan is feasible or would otherwise allow Citi to be resolved in a way that protects systemically important functions without severe systemic disruption), or would not facilitate an orderly resolution of Citi under the U.S. Bankruptcy Code, and Citi fails to resubmit a resolution plan that remedies any identified deficiencies, Citi could be subjected to more stringent capital, leverage or liquidity requirements, or restrictions on its growth, activities or operations. If within two years from the imposition of any such requirements or restrictions Citi has still not remediated any identified deficiencies, then Citi could eventually be required to divest certain assets or operations. Any such restrictions or actions would negatively impact Citis reputation, market and investor perception, operations and strategy.Citis Performance Could Be Negatively Impacted if It Is Not Able to Hire and Retain Qualified Employees.Citis performance and the performance of its individual businesses largely depend on the talents and efforts of its highly qualified employees. Specifically, Citis continued ability to compete in each of its lines of business, grow and manage its businesses effectively, as well as to execute its strategic priorities, depends on its ability to hire new employees and to retain and motivate its existing employees. If Citi is unable to continue to hire, retain and motivate highly qualified employees, Citis performance, including its competitive position, the achievement of its priorities and its results of operations could be negatively impacted.Citis ability to attract, retain and motivate employees depends on numerous factors, some of which are outside of Citis control. For example, the competition for talent continues to be particularly intense due to various factors, such as changes in worker expectations, concerns and preferences. Also, the banking industry generally is subject to more comprehensive regulation of employee compensation than other industries, including deferral and clawback requirements for incentive compensation, which can make it unusually challenging for Citi to compete in labor markets against businesses, including, for example, technology companies, that are not subject to such regulation. Other factors that could impact Citis ability to attract, retain and motivate employees include, among other things, Citis presence in a particular market or region, the professional and development opportunities it offers and its reputation. For information on Citis employee and workforce management, see Human Capital Resources and Management below.Citi Faces Potential Disruptions from an EvolvingBusiness Environment, Including Competitive Challenges and Emerging Technologies.Citi operates in an increasingly evolving and competitive business environment, which includes both financial and non-financial services firms, such as banks and private credit, financial technology and digital asset companies, among others.Certain competitors may be subject to different and, in some cases, less stringent legal, regulatory and supervisory requirements, whether due to size, jurisdiction, entity type or other factors, placing Citi at a competitive disadvantage. To the extent that Citi is not able to compete effectively with other financial services companies, including private credit, financial technology and digital asset companies, and non-financial services firms, or adequately assess the competitive landscape, Citi could be placed at a competitive disadvantage, which could result in loss of customers and market share, and its businesses, results of operations and financial condition could suffer. For additional information on Citis competitive risks, see the co-branding and private label credit cards and qualified employees risk factors above and the AI risk factor and Supervision, Regulation and OtherCompetition below. Citi competes with other financial services companies in the U.S. and globally that have grown rapidly over the last several years or have introduced new products and services. Mergers and acquisitions involving traditional financial services companies, such as regional banks or credit card issuers, as well as networks and merchant acquirers, may also increase competition. Non-traditional financial services firms, such as private credit, financial technology and digital asset companies, are less regulated and supervised and continue to expand their offerings of services traditionally provided by financial institutions. 53 Additionally, emerging technologies have the potential to accelerate disruption and intensify competition in the financial services industry. These emerging technologies, such as artificial intelligence (AI) and digital assets (including tokenized deposits, cryptocurrencies, stablecoins and other assets and products that use distributed ledger or blockchain technology) and changes in the payments space (e.g., instant and 24/7 payments) are accelerating, and, as a result, certain of Citis products and services could become less competitive (see the AI risk factor below). Increased competition and emerging technologies could require Citi to change or adapt its products and services, as well as invest in and develop related infrastructure, to attract and retain customers or clients. The U.S. administration and Congress have beensupportive of the growth and use of digital assets, includingpassing legislation such as the GENIUS Act and pursuing amore favorable regulatory approach, although the legal andregulatory landscape remains highly uncertain. As digitalassets continue to evolve, customer demand for enhancedofferings may increase. Failure to strategically adopt emergingtechnologies may result in a competitive disadvantage to Citi.Citi also may not be able to provide the same or similarproducts and services for legal or regulatory reasons, whichmay be exacerbated by rapidly evolving and conflictingregulatory requirements.Moreover, as Citi develops new products and services leveraging emerging technologies, new risks may emerge that, if not designed and governed adequately, may result in control gaps and in Citi operating outside of its risk appetite. For example, the use or development of emerging technologies, such as AI or digital assets, without sufficient controls, governance and risk management may result in increased risks across various risk categories (for additional information, see the AI, operational processes and systems and cybersecurity risk factors below). As another example, instant and 24/7 payments products could be accompanied by challenges to forecasting and managing liquidity, as well as increased operational and compliance risks. Citi relies on third parties to support certain of its product and service offerings, which may put Citi at a disadvantage to competitors who may directly offer a broader array of products and services. Citis businesses, results of operations and reputation may suffer if any third party is unable to provide adequate support for such product and service offerings, whether due to operational incidents or otherwise (see the operational processes and systems and cybersecurity risk factors below).The Development and Use of AI by Citi and Others Present Risks to Citis Businesses.Citi has used AI and machine learning tools for many years and has more recently begun to broadly deploy Generative AI, including within its technology platforms and services. In the future, Citi expects to more broadly integrate Generative AI tools within its systems, businesses and functions, including advanced AI capabilities, such as autonomous agents and sophisticated user interactions, which if improperly managed, could result in increased risks and costs. While Citi has policies that govern the use of emerging technologies, including in model risk management, ineffective, inadequate or faulty Generative AI development or deployment practices by Citi or third parties, including insufficient testing and monitoring, poorly structured or manipulated prompts or insufficient or inadequate human oversight, could result in adverse consequences, such as AI algorithms that produce inaccurate or incomplete output or output based on biased, incomplete and/or inaccurate datasets, infringe on intellectual property rights of others, involve data exfiltration risks, including release of confidential or proprietary information, or cause other issues, concerns or deficiencies. The complexity of AI models, particularly Generative AI models, can make it challenging to understand why particular outputs are generated, which can increase the risk of erroneous and/or biased output and complying with regulations requiring documentation, explainability or auditability on the basis of AI-influenced decisions. Citi may also rely on AI models developed by third parties and be exposed to risks arising from their development and training methods, including potential inclusion of unauthorized material in the training data or limitations in their risk mitigation strategies, over which Citi may have limited visibility or control (see also the operational processes and systems risk factor below). While Citi may provide restrictions on use of certain data in third-party AI applications or models, a third party could breach those terms, which could expose Citi to legal and reputations risks. Citi is also exposed to risks related to the use of AI technologies by counterparties, clients and vendors, where interconnected AI systems could amplify failures and threats of cyber infiltration, as well as cause widespread disruptions. Moreover, the use of increasingly sophisticated AI technologies by malicious actors and others has increased the risk of fraud, including identity theft and bypassing of verification controls, and exposure to cyberattacks (see the cybersecurity risk factor below), as well as disinformation and market manipulation campaigns, and failure to effectively manage such risks could result in misappropriation of funds, unauthorized transactions, exposure of sensitive client or Company information, reputational harm and increased litigation and regulatory risk. Citi also faces competition risks to the extent that competitors may be faster and more successful in developing and deploying AI technologies to improve processes, productivity, efficiency, products and services, and thereby gain competitive advantages over Citi (see the competition risk factor above). In addition, compliance with new or changing laws, regulations or industry standards relating to AI may impose additional operational risks and costs. Failure to sufficiently manage these risks could expose Citi to adverse legal, regulatory or reputational consequences.54 OPERATIONAL RISKSA Disruption or Failure of Citis Operational Processes or Systems Could Negatively Impact Its Reputation, Customers, Clients, Businesses or Results of Operations and Financial Condition.Citis global operations rely heavily on its technology systems and infrastructure, including the accurate, complete, timely and secure processing, management, storage and transmission of data, including confidential transactions, and other information, as well as the monitoring of a substantial amount of data and complex transactions in real time. Citi obtains and stores an extensive amount of personal and client-specific information for its consumer and institutional customers and clients, and must accurately record and reflect their account transactions. With the proliferation of emerging technologies, including AI and digital assets, and the use of the internet, mobile devices and cloud services to conduct financial transactions, and customers and clients increasing use of online banking and trading systems and other platforms, large global financial institutions such as Citi have been, and will continue to be, subject to an ever-increasing risk of operational loss, failure or disruption. For example, Citis involvement in digital assets,including custody, asset tokenization and facilitation of clients digital assets activities, exposes Citi to increased operational risks due to the unique technological requirements for securing these assets.Although Citi has continued to upgrade its technology, including systems to automate processes and gain efficiencies, operational incidents are unpredictable and can arise from numerous sources, not all of which are fully within Citis control. These include, among others, operational or execution failures or deficiencies by third parties that provide products or services to Citi (e.g., cloud service providers), including such third parties downstream service providers, as well as other Citi counterparties and market participants, which could be exacerbated by the concentration of third-party providers across the financial services industry; deficiencies in processes or controls; inadequate management of data governance practices, data controls and monitoring mechanisms that may adversely impact internal or external reporting and decision-making; cyber or information security incidents (see the cybersecurity risk factor below); human error, such as manual transaction processing errors (e.g., erroneous payments to lenders or manual errors by traders that cause system and market disruptions or losses), which can be exacerbated by staffing challenges and processing backlogs; fraud or malice on the part of employees or third parties; insufficient (or limited) straight-through processing between legacy or bespoke systems and any failure to design and effectively operate controls that mitigate operational risks associated with those legacy or bespoke systems, leading to potential risk of errors and operating losses; accidental system or technological failure; electrical or telecommunication outages; failures of or cyber incidents involving computer servers or infrastructure, including software updates and cloud services; or other similar losses or damage to Citis property or assets (see also the climate change risk factor above). Additionally, Citis ability to effectively maintain and upgrade systems and infrastructure can become more challenging as the speed, frequency, volume, interconnectivity and complexity of transactions continue to increase.For example, operational incidents can arise due to failures by third parties with which Citi does business, such as failures by internet, mobile technology and cloud service providers or other vendors to adequately follow procedures or processes, safeguard their systems or prevent system disruptions or cyberattacks. Failure by Citi to develop, implement and operate a third-party risk management program commensurate with the level of risk, complexity and nature of its third-party relationships can also result in operational incidents. In addition, Citi has experienced and could experience further losses associated with manual transaction processing errors, including erroneous payments to lenders or manual errors by Citi traders that cause system and market disruptions and losses for Citi and its clients. Irrespective of the sophistication of the technology utilized by Citi, there will always be a risk of human and other errors. In view of the large transactions in which Citi engages, such errors have in the past resulted, and could result, in significant losses. While Citi has change management processes in place to appropriately upgrade its operational processes and systems to ensure that any changes introduced do not adversely impact security and operational continuity, such change management can fail or be ineffective. Furthermore, when Citi introduces new products, systems or processes, new operational risks that may arise from those changes may not be identified, or adequate controls to mitigate the identified risks may not be appropriately implemented or operate as designed. Incidents that impact information security, technology operations or other operational processes may cause disruptions and/or malfunctions within Citis businesses (e.g., the temporary loss of availability of Citis online banking system or mobile banking platform), as well as the operations of its clients, customers or other third parties. In addition, operational incidents could involve the failure or ineffectiveness of internal processes or controls. Given Citis global footprint and the high volume of transactions processed by Citi, certain failures, errors or actions may be repeated or compounded before they are discovered and rectified, which would further increase the consequences and costs. Operational incidents could result in financial losses and other costs as well as misappropriation, corruption or loss of confidential and other information or assets, which could significantly negatively impact Citis reputation, customers, clients, employees, businesses or results of operations and financial condition, or the potential for systemic disruption due to interconnected systems and dependencies. Additionally, any unavailability or failure of backup systems could impact business continuity in the event of an operational incident. Cyber-related and other operational incidents can also result in legal and regulatory actions or proceedings, fines and other costs (see the legal and regulatory proceedings risk factor below).Failure by Citi to continue to increase its operational resilience, and ensure that important business services and their impact tolerance time and severity scales are clearly defined, could expose Citi to service disruptions, leading to 55 harms to Citi clients, market integrity, Citis reputation, financial stability or safety and soundness. For information on Citis management of operational risk, see Managing Global RiskOperational Risk below.Citis and Third Parties Computer Systems and Networks Continue to Be Susceptible to an Increasing Risk of Evolving, Sophisticated Cybersecurity Incidents That Could Result in the Theft, Loss, Non-Availability, Alteration, Misuse or Disclosure of Confidential Information, Damage to Citis Reputation, Regulatory Penalties, Legal Exposure and Financial Losses. Citis computer systems, software and networks are subject to ongoing attempted cyberattacks, as attempts to effectuate unauthorized access to, theft or destruction of data (including confidential client information), account takeovers, and disruptions of service, using techniques including phishing, malware, ransomware, computer viruses or other malicious code, exploitation of vulnerabilities, and others. These threats can arise from external parties, including cyber criminals, cyber terrorists, hacktivists and nation-state actors, as well as insiders who knowingly or unknowingly engage in or enable malicious cyber activities. For example, nation-state actors have recently targeted critical U.S. infrastructure with cyberattacks. Some cyber and information security incidents may also occur as a result of unintentional conduct on the part of employees, customers or suppliers.Citi develops its own software and relies on third-party applications and software, which are susceptible to vulnerability exploitations. Software leveraged in financial services and other industries continues to be impacted by an increasing number of zero-day vulnerabilities, thus increasing inherent cyber risk to Citi. The increasing use of cloud and new and emerging technologies (such as AI and digital assets), as well as connectivity solutions to facilitate remote working for Citis employees, all increase Citis exposure to cybersecurity risks. Citi is also susceptible to cyberattacks given, among other factors, its size and scale, high-profile brand, global footprint and prominent role in the financial system. Additionally, Citi continues to operate in multiple jurisdictions in the midst of geopolitical unrest or uncertainties, including, among others, those affected by the RussiaUkraine war and the conflicts in the Middle East, which could expose Citi to heightened risk of insider threat, cyber threats from nation-state actors, hacktivism or other cyber incidents. Citi continues to experience increased exposure to cyberattacks through third parties. Third parties with which Citi does business, as well as retailers and other third parties with which Citis customers do business, and any such third parties downstream service providers, also pose cybersecurity risks, particularly where activities of customers are beyond Citis security and control systems. For example, Citi outsources certain functions, such as processing customer credit card transactions, uploading content on customer-facing websites and developing software for new products and services. These relationships allow for the storage and processing of customer information by third-party hosting of, or access to, Citi websites. This could lead to compromise or the potential to introduce vulnerable or malicious code, resulting in security breaches or business disruptions impacting Citi customers, employees or operations. While many of Citis agreements with third parties include indemnification provisions, Citi may not be able to recover sufficiently under these provisions, or at all, to adequately offset any losses and other adverse impacts Citi may incur from third-party cyber incidents. Citi and some of its third-party partners have been subjected to attempted and sometimes successful cyberattacks over the last several years, including the following:denial of service attacks, which attempt to interrupt service to clients and customershacking and malicious software installations intended to gain unauthorized access to information systems or to disrupt those systems and/or impact availability or privacy of confidential data, with objectives including, but not limited to, extortion payments or causing reputational damagedata breaches due to unauthorized access to customer accounts or other datamalicious software attacks on client systems, in attempts to gain unauthorized access to Citi systems or client data under the guise of normal client transactions While Citis cyber and information security program has historically generally succeeded in detecting, thwarting and/or responding to attacks targeting its systems before they become significant, certain past incidents resulted in limited losses, as well as increases in expenditures to monitor against the threat of similar future cyber incidents. There can be no assurance that such cyber incidents will not occur again, and they could occur more frequently, via novel tactics, including leveraging of tools made possible by emerging technologies, and on a more significant scale. Because the techniques used to initiate cyberattacks change frequently or, in some cases, are not recognized until deployed, Citi may be unable to implement effective preventive measures or otherwise proactively address these risks. In addition, cyber threats and cyberattack techniques change, develop and evolve rapidly, including from emerging technologies such as AI and quantum computing. Given the frequency and sophistication of cyberattacks, the determination of the severity and potential impact of a cyber incident may not become apparent for a substantial period of time following detection of the incident. Also, while Citi strives to implement measures to reduce the exposure resulting from outsourcing risks, such as performing security control assessments of third-party vendors and limiting third-party access to the least privileged level necessary to perform service functions, these measures cannot prevent all third-party-related cyberattacks or data breaches. Cyber incidents can result in the disclosure of personal, confidential or proprietary customer, client or employee information; damage to Citis reputation with its clients, other counterparties and the market; customer dissatisfaction; and additional costs to Citi, including expenses such as repairing or replacing systems, replacing customer payment cards, credit monitoring or adding new personnel or protection technologies. Cyber incidents can also result in regulatory 56 penalties, loss of revenues, deposit outflows, exposure to litigation and regulatory action and other financial losses, including loss of funds to both Citi and its clients and customers, and disruption to Citis operational systems (see the operational processes and systems risk factor above). Moreover, the increasing risk of cyber incidents has resulted in increased legislative and regulatory action on cybersecurity, including, among other things, scrutiny of firms cybersecurity programs, laws and regulations to enhance protection of consumers personal data and mandated disclosure on cybersecurity matters and of certain cybersecurity incidents.While Citi maintains insurance coverage that may, subject to policy terms and conditions including significant self-insured deductibles, transfer certain aspects of cyber risks, such insurance coverage may be insufficient to cover all losses and may not take into account reputational harm, the costs of which are impossible to quantify.For additional information about Citis management of cybersecurity risk, see Managing Global RiskOperational RiskCybersecurity Risk below. Changes in or Incorrect Accounting Assumptions, Judgments or Estimates, or the Application of Certain Accounting Principles, Could Result in Significant Losses or Other Adverse Impacts.U.S. GAAP requires Citi to use certain assumptions, judgments and estimates in preparing its financial statements, including, among other items, the estimate of the ACL; reserves related to litigation, regulatory and tax matters; valuation of DTAs; the fair values of certain assets and liabilities; and the assessment of goodwill and other assets for impairment. These assumptions, judgments and estimates are inherently limited because they involve techniques, including the use of historical data, that cannot anticipate or model every economic and financial outcome in the markets in which Citi operates, nor can they anticipate the specific impact and timing of such outcomes. For example, many models used by Citi include assumptions about correlation or lack thereof among prices of various asset classes or other market indicators that may not hold in times of market stress, limited liquidity or other unforeseen circumstances. If Citis assumptions, judgments or estimates underlying its financial statements are incorrect or differ from actual or subsequent events, Citi could experience unexpected losses or other adverse impacts, some of which could be significant. Citi could also experience declines in its stock price, be subject to legal and regulatory proceedings and incur fines and other losses. For additional information on the key areas for which assumptions and estimates are used in preparing Citis financial statements, see Significant Accounting Policies and Significant Estimates below and Notes 1 and 16. For example, the CECL methodology requires that Citi provide reserves for a current estimate of lifetime expected credit losses for its loan portfolios and other financial assets at the time those assets are originated or acquired. This estimate is adjusted each period for changes in expected lifetime credit losses. Citis ACL estimate is subject to judgments and depends upon its CECL models and assumptions, including forecasted macroeconomic conditions, which can be more challenging to forecast during times of significant market volatility and uncertainty. These model assumptions and forecasted macroeconomic conditions will change over time, resulting in variability in Citis ACL and, thus, impact its results of operations and financial condition, as well as regulatory capital (see the capital return risk factor above). For additional information on Citis ACL, see Significant Accounting Policies and Significant Estimates below and Notes 1 (Allowance for Credit Losses (ACL)) and 16.Moreover, Citi has incurred losses related to its foreign operations that are reported in the CTA components of Accumulated other comprehensive income (loss) (AOCI). In accordance with U.S. GAAP, a sale or other deconsolidation event of any foreign operation that results in a substantially complete liquidation of an investment in a foreign entity, such as those related to Citis remaining divestitures or legacy businesses, would result in reclassification of any CTA component of AOCI related to that entity, including amounts associated with related hedges and taxes, into Citis earnings. For example, during the quarter in which a deconsolidation of Banamex occurs, Citi would incur a CTA loss of approximately ($9) billion, attributable to Banamex and its consolidated subsidiaries as of December 31, 2025, recognized through earnings, although the cumulative impact of the CTA would be regulatory capital neutral (for additional information, see All Other above). For additional information on Citis accounting policy for foreign currency translation and its foreign CTA components of AOCI, see Notes 1 (Foreign Currency Translation) and 21. Changes to Financial Accounting and Reporting Standards or Interpretations Could Have a Material Impact on How Citi Records and Reports Its Financial Condition and Results of Operations.Changes to financial accounting or reporting standards or interpretations, whether promulgated or required by the Financial Accounting Standards Board (FASB), the SEC, U.S. banking regulators or others, could present operational challenges and could require Citi to change certain of the assumptions or estimates it previously used in preparing its financial statements, which could negatively impact how it records and reports its financial condition and results of operations generally and/or with respect to particular businesses. For example, the FASB issues financial accounting and reporting standards that govern key aspects of Citis financial statements or interpretations thereof when those standards become effective, including those areas where Citi is required to make assumptions or estimates. See Significant Accounting Policies and Significant Estimates below and Note 1 for additional information on Citis accounting policies (Summary of Significant Accounting Policies) and changes in accounting (Accounting Changes), including the expected impacts on Citis results of operations and financial condition.57 If Citis Risk Management and Other Processes or Strategies Are Deficient or Ineffective, Citi May Incur Significant Losses and Its Regulatory Capital and Capital Ratios Could Be Negatively Impacted.Citi utilizes a broad and diversified set of risk management and other processes and strategies, including the use of models, in analyzing and monitoring the various risks Citi assumes in conducting its activities. Citi also relies on data to assess and manage various risk exposures. Unexpected losses can result from untimely, inaccurate or incomplete risk management processes and data. In addition, Citis risk management and other processes and strategies, including models, are inherently limited because they involve techniques, including the use of historical data in many circumstances, assumptions and judgments that cannot anticipate every economic and financial outcome in the markets in which Citi operates, particularly given various macroeconomic, geopolitical and other challenges and uncertainties (see the macroeconomic challenges and uncertainties risk factor above), nor can they anticipate the specifics and timing of such outcomes. For example, many models used by Citi include assumptions about correlation or lack thereof among prices of various asset classes or other market indicators that may not necessarily hold in times of market stress, limited liquidity or other unforeseen circumstances, or identify changes in markets or client behaviors not yet inherent in historical data. Citi could incur significant losses, receive negative regulatory evaluation or examination findings or be subject to additional enforcement actions, and its regulatory capital, capital ratios and ability to return capital could be negatively impacted, if Citis risk management and other processes, including its ability to manage and aggregate data in a timely and accurate manner, strategies or models are deficient or ineffective (for additional information, see the capital return risk factor above and the regulatory scrutiny and changes and the legal and regulatory proceedings risk factors below). Such deficiencies or ineffectiveness could also result in inaccurate financial, regulatory or risk reporting.Moreover, Citis Basel III regulatory capital models, including its credit, market and operational risk models, are subject to ongoing regulatory review and approval, which may result in refinements, modifications or enhancements (required or otherwise) to these models. Modifications or requirements resulting from these ongoing reviews, as well as any future changes or guidance provided by the U.S. banking regulators regarding the U.S. regulatory capital framework applicable to Citi, including, but not limited to, potential revisions to the U.S. Basel III rules (see the capital return risk factor and Capital ResourcesRegulatory Capital Standards and Developments above), have resulted, and could continue to result, in significant changes to Citis risk-weighted assets. These changes can impact Citis capital ratios and its ability to meet its regulatory capital requirements. CREDIT RISKSCredit Risk and Concentrations of Risk Can Increase the Potential for Citi to Incur Significant Losses.Citi has credit exposures to consumer, corporate and public sector borrowers and other counterparties in the U.S. and various countries and jurisdictions globally, including:end-of-period consumer loans of $409 billionend-of-period corporate loans of $344 billion at December 31, 2025A default by or a significant downgrade in the credit ratings of a consumer or corporate borrower or other counterparty, or a decline in the credit quality or value of any underlying collateral, exposes Citi to credit risk. Additionally, despite Citis target client strategy, various macroeconomic, geopolitical, market and other factors, among other things, can increase Citis consumer and corporate credit risk and credit costs, particularly for vulnerable sectors, industries or countries (see the macroeconomic challenges and uncertainties and co-branding and private label credit cards risk factors above and the emerging markets risk factor below). For example, a weakening of economic conditions, including increases in unemployment rates, can adversely affect borrowers ability to repay their obligations, as well as result in Citis inability to liquidate the collateral it holds or forced to liquidate the collateral at prices that do not cover the full amount owed to Citi. For additional information on Citis corporate and consumer loan portfolios, see Managing Global RiskCorporate Credit and Consumer Credit below. For information on Citis credit and country risk, see also each respective businesss results of operations above andManaging Global RiskOther RisksCountry Risk belowand Notes 15 and 16.Citi is also a member of various central clearing counterparties and could incur financial losses as a result of defaults by other clearing members due to the requirements of clearing members to share losses. Additionally, systemic risks, including from leveraged finance, non-bank financial institutions, private credit and AI, could increase Citis credit costs.While Citi provides reserves for expected losses for its credit exposures, as applicable, such reserves are subject to judgments and estimates that could be incorrect or differ from actual future events. For additional information, including on the CECL methodology, see the changes in or incorrect assumptions risk factor above. Concentrations and/or high correlation of risk to clients or counterparties engaged in the same or related industries or doing business in a particular geography, or to a particular product or asset class, especially credit and market risks, can also increase Citis risk of significant losses. For example, due to the interconnectedness among financial institutions, concerns about the creditworthiness of or defaults by a financial institution could spread to other financial market participants and result in market-wide losses and disruption. Citi also routinely executes a high volume of securities, trading, derivative and foreign exchange transactions with 58 non-U.S. sovereigns and with counterparties in the financial services industry, including banks, insurance companies, investment banks, governments, central banks and other financial institutions. Moreover, Citi has indemnification obligations in connection with various transactions that expose it to concentrations of risk, including credit risk from hedging or reinsurance arrangements related to those obligations (see Note 28). A rapid deterioration of a large borrower or other counterparty or within a sector or country in which Citi has large exposures or indemnifications or unexpected market dislocations could lead to concerns about the creditworthiness of other borrowers or counterparties in a certain geography and in related or dependent industries, and such conditions could cause Citi to incur significant losses.LIQUIDITY RISKSCitis Businesses, Results of Operations and Financial Condition Could Be Negatively Impacted if It Does Not Effectively Manage Its Liquidity. As a large, global financial institution, adequate liquidity and sources of funding are essential to Citi. Citis liquidity, sources of funding and costs of funding can be significantly and negatively impacted by factors it cannot control, such as general disruptions in the financial markets; changes in fiscal and monetary policies; regulatory requirements, including changes in regulations; negative investor or counterparty perceptions of Citis creditworthiness; deposit outflows or unfavorable changes in deposit mix; unexpected increases in cash or collateral requirements; credit ratings; and the consequent inability to monetize available liquidity resources. Additionally, Citi competes with other banks and non-bank financial institutions for both institutional and consumer deposits, which represent Citis most stable and lowest cost source of long-term funding. The competition for deposits has continued to increase in recent years, including as a result of fixed income alternatives for customer funds.Citis costs to obtain and access wholesale funding are directly related to changes in interest and currency exchange rates and its credit spreads. Changes in Citis credit spreads are driven by both external market factors and factors specific to Citi, such as negative views by investors of the financial services industry or Citis financial prospects, and can be highly volatile. For additional information on Citis primary sources of funding, see Managing Global RiskLiquidity Risk below. Citis ability to obtain funding may be impaired and its cost of funding could also increase if other market participants are seeking to access the markets at the same time or to a greater extent than expected, or if market appetite for corporate debt securities declines, as is likely to occur in a liquidity stress event or other market crisis. In such circumstances, Citis ability to sell assets may also be impaired if other market participants are seeking to sell similar assets at the same time or a liquid market does not exist for such assets. Additionally, unexpected changes in client needs due to idiosyncratic events or market conditions could result in greater than expected drawdowns from off-balance sheet committed facilities. A sudden drop in market liquidity could also cause a temporary or protracted dislocation of capital markets activity. In addition, clearing organizations, central banks, clients and financial institutions with which Citi interacts may exercise the right to require additional collateral during challenging market conditions, which could further impair Citis liquidity. If Citi fails to effectively manage its liquidity, its businesses, results of operations and financial condition could be negatively impacted.Limitations on the payments that Citigroup Inc. receives from its subsidiaries could also impact its liquidity. As a holding company, Citigroup Inc. relies on interest, dividends, distributions and other payments from its subsidiaries to fund dividends as well as to satisfy its debt and other obligations. Several of Citis U.S. and non-U.S. subsidiaries are or may be subject to capital adequacy or other liquidity, regulatory or contractual restrictions on their ability to provide such payments, including any local regulatory stress test requirements and inter-affiliate arrangements entered into in connection with Citigroup Inc.s resolution plan. Citigroup Inc.s broker-dealer and bank subsidiaries are subject to restrictions on their ability to lend or transact with affiliates, as well as restrictions on their ability to use funds deposited with them in brokerage or bank accounts to fund their businesses. A bank holding company is also required by law to act as a source of financial and managerial strength for its subsidiary banks. As a result, the FRB may require Citigroup Inc. to commit resources to its subsidiary banks even if doing so is not otherwise in the interests of Citigroup Inc. or its shareholders or creditors, reducing the amount of funds available to meet its obligations.A Ratings Downgrade Could Adversely Impact Citis Funding and Liquidity.The credit rating agencies, such as Fitch Ratings, Moodys Ratings and S&P Global Ratings, continuously evaluate Citi and certain of its subsidiaries. Their ratings of Citi and its rated subsidiaries long-term debt and short-term obligations are based on firm-specific factors, including the financial strength of Citi and such subsidiaries, as well as factors that are not entirely within the control of Citi and its subsidiaries, such as the agencies proprietary rating methodologies and assumptions, potential impact from negative actions on U.S. sovereign ratings and conditions affecting the financial services industry and markets generally.A ratings downgrade could result from, among other factors, declines in profitability, reductions in regulatory capitalization levels, deterioration in Citis funding structure or liquidity, significant increases in risk appetite, delays or missteps in Citis transformation efforts, public statements by Citis management or regulators or control failures. A ratings downgrade could negatively impact Citi and its rated subsidiaries ability to access the capital markets and other sources of funds as well as increase credit spreads and the costs of those funds. A ratings downgrade could also have a negative impact on Citi and its rated subsidiaries ability to obtain funding and liquidity due to reduced funding capacity and the impact from derivative triggers, which could require Citi and its rated subsidiaries to meet cash obligations and collateral requirements or permit counterparties to terminate certain contracts. In addition, a ratings downgrade could have a negative impact on other funding sources such as secured 59 financing and other margined transactions for which there may be no explicit triggers. Furthermore, a credit ratings downgrade could have impacts that may not be currently known to Citi or are not possible to quantify. Some of Citis counterparties and clients could have ratings limitations on their permissible counterparties, of which Citi may or may not be aware. Certain of Citis corporate customers and trading counterparties, among other clients, could re-evaluate their business relationships with Citi and limit the trading of certain market instruments, and limit or withdraw deposits placed with Citi in response to ratings downgrades. Changes in customer and counterparty behavior could impact not only Citis funding and liquidity but also the results of operations of certain Citi businesses. For additional information on the potential impact of a reduction in Citis or Citibanks credit ratings, see Managing Global RiskLiquidity RiskPotential Impacts of Ratings Downgrades below.COMPLIANCE RISKSRegulatory Expectations and Scrutiny in the U.S. and Globally as well as Ongoing Interpretation and Implementation of Regulatory and Legislative Requirements and Changes Subject Citi to Significant Compliance, Regulatory and Other Risks and Costs.Large financial institutions, such as Citi, face significant regulatory and supervisory expectations and scrutiny in the U.S. and globally, including with respect to, among other things, infrastructure, data and risk management practices and controls. These regulatory and supervisory expectations extend to employees and agents and also include, among other things, those related to anti-money laundering; increasingly complex sanctions regimes; customer and client protection; market practices; and various disclosure and regulatory reporting requirements. Citi is also continually required to interpret and implement extensive and frequently changing regulatory and legislative requirements within the U.S. and in other jurisdictions in which it does business, which may overlap or conflict across jurisdictions, resulting in substantial compliance, regulatory and other risks and costs. A failure to comply with regulatory requirements or expectations, even if inadvertent, or resolve any identified deficiencies in a timely and sufficiently satisfactory manner to regulators, could result in increased regulatory oversight; material restrictions, including, among others, imposition of additional capital buffers and limitations on capital distributions; enforcement proceedings; penalties; and fines (see the capital return risk factor above and legal and regulatory proceedings risk factor below). Moreover, over the past several years, Citi has been required to implement a large number of regulatory, supervisory and legislative changes, including new regulatory, supervisory or legislative requirements or regimes, across its businesses and functions, and these changes continue. The changes themselves may be complex and subject to interpretation, and result in changes to Citis businesses. In addition, the changes require continued substantial technology and other investments. In some cases, Citis implementation of a regulatory or legislative requirement is occurring simultaneously with changing or conflicting regulatory guidance from multiple jurisdictions (including various U.S. states) and regulators, legal challenges or legislative action to modify or repeal existing rules or enact new rules. Examples of regulatory or legislative changes that have resulted in increased compliance risks and costs include (i) the U.S. regulatory capital framework and requirements, which have continued to evolve (see the capital return risk factor and Capital Resources above); and (ii) various laws relating to the limitation of cross-border data movement and/or collection and use of customer information, including data localization and protection and privacy laws, which also can conflict with or increase compliance complexity with respect to other laws, including anti-money laundering laws. Citi Is Subject to Extensive Legal and Regulatory Proceedings, Examinations, Investigations, Consent Orders and Related Compliance Efforts and Other Inquiries That Have in the Past and Could in the Future Result in Large Monetary Penalties, Supervisory or Enforcement Orders, Business Restrictions, Limitations on Dividends, Changes to Directors and/or Officers and Collateral Consequences Arising from Such Outcomes.Citis regulators have broad powers and discretion under their prudential and supervisory authority, and have pursued active inspection and investigatory oversight. At any given time, Citi is a party to a significant number of legal and regulatory proceedings and is subject to numerous governmental and regulatory examinations. Additionally, Citi remains subject to governmental and regulatory investigations, consent orders (see discussion below) and related compliance efforts, and other inquiries. Citi could also be subject to enforcement proceedings and negative regulatory evaluation or examination findings not only because of violations of laws and regulations, but also due to failures, as determined by its regulators, to remedy deficiencies on a timely basis (see also the capital return and resolution plan risk factors above). Under U.S. banking law, Citi is prohibited from disclosing confidential supervisory information, and may therefore be unable to disclose even potentially material regulatory or supervisory matters. Citi could face further scrutiny and consequences from regulators for failing to timely resolve open regulatory issues or having repeat regulatory issues. As previously disclosed, the 2020 FRB Consent Order and the 2020 OCC Consent Order require Citigroup and Citibank, respectively, to implement extensive targeted action plans and submit quarterly progress reports on a timely and sufficient basis detailing the results and status of improvements relating principally to various aspects of enterprise-wide risk management, compliance, data quality management related to governance, and internal controls. These improvements will require continued significant investments by Citi during 2026 and beyond, as an essential part of Citis broader transformation efforts (see the simplification, transformation and enhanced business performance priorities risk factor above). Further, in 2024, the FRB entered into a Civil Money Penalty Consent Order with Citigroup, and the OCC entered into a Civil Money Penalty Consent Order with Citibank. The FRB found that Citigroup 60 had ongoing deficiencies related to its data quality management program and had inadequate measures for managing and controlling its data quality risks. The OCC found that Citibank had failed to make sufficient and sustainable progress toward achieving compliance with its 2020 Consent Order. There can be no assurance that efforts by Citi to address the deficiencies and resolve the OCC and FRB Consent Orders will occur in a manner satisfactory, in both timing and sufficiency, to the FRB and OCC. (For additional information, see Citis Multiyear Transformation above.)Although there are no restrictions on Citis ability to serve its clients, the OCC Consent Order requires Citibank to obtain prior approval of any significant new acquisition, including any portfolio or business acquisition, excluding ordinary course transactions.Moreover, the OCC Consent Order provides that the OCC has the right to assess future civil money penalties or take other supervisory and/or enforcement actions. Such actions by the OCC could include imposing business restrictions, including possible additional limitations on the declaration or payment of dividends by Citibank and changes in directors and/or senior executive officers. More generally, the OCC and/or the FRB could again take enforcement or other actions if the regulatory agency believes that Citi has not met regulatory expectations regarding compliance with the consent orders. Large financial institutions face a challenging global judicial, regulatory and political environment. The complexity of the federal and state regulatory and enforcement regimes in the U.S., coupled with the global scope of Citis operations, also means that a single event or issue may give rise to a large number of overlapping investigations and regulatory proceedings, either by multiple federal and state agencies and authorities in the U.S. or by multiple regulators and other governmental entities in foreign jurisdictions, as well as multiple civil litigation claims in multiple jurisdictions. Violations of law by other financial institutions may also result in regulatory scrutiny of Citi. Responding to regulatory inquiries and proceedings can be time consuming and costly, and divert management attention from Citis businesses. U.S. and non-U.S. regulators have focused on the culture of financial services firms, including Citi, as well as conduct risk, a term used to describe the risks associated with behavior by employees and agents, including third parties, that could harm clients, customers, employees or the integrity of the markets, such as improperly creating, selling, marketing or managing products and services, failures to safeguard a partys personal information or failures to identify and manage conflicts of interest.Scrutiny and expectations from regulators could lead to investigations and other inquiries, as well as remediation requirements, regulatory restrictions, structural changes, more regulatory or other enforcement proceedings, civil litigation and higher compliance and other risks and costs. For additional information, see the capital return and regulatory scrutiny and changes risk factors above. Further, while Citi takes numerous steps to prevent and detect conduct by employees and agents that could potentially harm clients, customers, employees or the integrity of the markets, such behavior may not always be deterred or prevented. Moreover, the severity of the remedies sought in legal and regulatory proceedings to which Citi is subject has remained elevated. Citi may be required to accept or be subject to remedies, consent orders, sanctions, substantial fines and penalties, remediation and other financial costs or other requirements in the future, including for matters or practices not yet known to Citi, any of which could materially and negatively affect Citis businesses, business practices, financial condition or results of operations, require material changes in Citis operations or cause Citi substantial reputational harm. Additionally, many large claimsboth private civil and regulatoryasserted against Citi are highly complex, slow to develop and may involve novel or untested legal theories. The outcome of such proceedings is difficult to predict or estimate until late in the proceedings. Although Citi establishes accruals for its legal and regulatory matters according to accounting requirements, Citis estimates of, and changes to, these accruals involve significant judgment and may be subject to significant uncertainty, and the amount of loss ultimately incurred in relation to those matters may be substantially higher than the amounts accrued (see the changes in or incorrect assumptions risk factor above). In addition, certain settlements are subject to court approval and may not be approved. Furthermore, regulators may be more likely to pursue investigations or proceedings against financial institutions, such as Citi, that have previously been the subject of other regulatory actions.For further information on Citis legal and regulatory proceedings, see Note 30.OTHER RISKSCitis Emerging Markets Presence Subjects It to Various Risks as well as Increased Compliance and Regulatory Risks and Costs.During 2025, emerging markets revenues accounted for approximately 25% of Citis total revenues. Citis presence in the emerging markets subjects it to various risks.Citis emerging markets risks include, among others, limitations or unavailability of hedges on foreign investments; foreign currency volatility, including devaluations; central bank interest rate and other monetary policies; macroeconomic, geopolitical and domestic political challenges, uncertainties and volatilities; foreign exchange controls, including an inability to access indirect foreign exchange mechanisms; cyberattacks; restrictions arising from retaliatory laws and regulations; sanctions or asset freezes; sovereign debt volatility; fluctuations in commodity prices; limitations on foreign investment; sociopolitical instability; nationalization or loss of licenses; potential criminal charges; closure of branches or subsidiaries; and confiscation of assets; and these risks can be exacerbated in the event of a deterioration in the relationship between the U.S. and an emerging market country. For example, Citi operates in several countries that have strict capital controls, currency controls and/or sanctions that limit its ability to convert local currency into U.S. dollars and/or transfer funds outside of those countries. As a result, Citi might need to record additional translation losses due to these 61 or other currency controls. Moreover, Citi could be required to adjust its reserves for expected losses for its credit exposures based on the transfer risk associated with exposures outside the U.S., driven by safety and soundness considerations under U.S. banking law (see Significant Accounting Policies and Significant Estimates below and Note 1).Moreover, the RussiaUkraine war could have further negative impacts on macroeconomic conditions, financial markets and commodities prices, adversely impacting Citi and its customers, clients or employees. For additional information about these Russia-related risks, see the macroeconomic challenges and uncertainties and cybersecurity risk factors above.Emerging markets risks may adversely impact Citis businesses, results of operations and financial condition in those countries where Citi operates and have required, and may continue to require, management time and attention and other resources. SUSTAINABILITYCiti and its clients face escalating global environmental and social challenges, including climate change and the energy transition. Citis net zero approach and sustainable finance activity include the Companys work to support clients in financing their transition to low-carbon business models, as well as broader energy security priorities, including access to affordable energy in emerging markets. Citi recognizes that energy transition, energy security and economic growth are not mutually exclusive and must be addressed simultaneously. The Citi Climate Report provides additional information on Citis continued progress to manage climate risk and its net zero approach, including information on financed and facilitated emissions and 2030 interim emissions reduction targets. Citis Sustainability Report provides information on its $1 Trillion Sustainable Finance Goal, including sustainable finance products and services that Citi provides to its clients to support their sustainability objectives. For additional information on Citis environmental and social policies and priorities, click on Our Impact on Citis website at www.citigroup.com. Climate and sustainability reporting and any other environmental and social governance-related reports and information included elsewhere on Citis website are not incorporated by reference into, and do not form any part of, this Form 10-K. For information regarding Citis management of climate risk, see Managing Global RiskStrategic RiskClimate Risk below. HUMAN CAPITAL RESOURCES AND MANAGEMENTAt December 31, 2025, Citi had approximately 226,000 full-time employees, compared to approximately 229,000 at December 31, 2024. Citi has employees in over 90 countries, across all of its segments. Approximately 31% are based in the U.S.Attracting and retaining highly qualified and motivated employees is a strategic priority. Citi seeks to enhance the competitive strength of its workforce through:continuously innovating its efforts to recruit, train, develop, compensate, promote and engage employeesactively seeking and listening to diverse perspectives at all levels of the organizationproviding compensation programs that are competitive in the market and aligned to strategic objectivesCiti values pay transparency and has introduced market-based salary structures and bonus opportunity guidelines in various countries worldwide, and posts salary ranges on all external U.S. job postings, which align with Citis commitment to pay equity and transparency. In addition, Citi has focused on measuring and addressing pay equity within the organization. Citis annual pay equity analysis for 2025 determined that on an adjusted basis, global gender and U.S. racial base pay gaps are in each case less than 1%. The raw pay gap analysis determined that the median base pay for women globally is 81% of the median for men globally and the U.S. racial base pay gap is less than 1%. The adjusted pay gap is a true measure of pay equity, or like for like, that compares the compensation of women to men and U.S. minorities to non-minorities when adjusting for factors such as job function, title/level and geography.Citi employs numerous initiatives in managing its workforce to drive a culture of excellence and accountability, reinforce its values, encourage career growth, foster pay transparency and equity and provide a wide range of benefits that support its employees mental, social, physical and financial well-being.62 Managing Global RiskTable of Contents
| |
| MANAGING GLOBAL RISK | 64 | |
| CREDIT RISK(1) | 68 | |
| Average Loans | 68 | |
| Corporate Credit | 69 | |
| Consumer Credit | 76 | |
| Additional Consumer and Corporate Credit Details | 83 | |
| Loans Outstanding | 83 | |
| Details of Credit Loss Experience | 84 | |
| Allowance for Credit Losses on Loans (ACLL) | 86 | |
| Non-Accrual Loans and Assets | 88 | |
| LIQUIDITY RISK | 91 | |
| Liquidity Monitoring and Measurement | 91 | |
| High-Quality Liquid Assets (HQLA) | 92 | |
| Liquidity Coverage Ratio (LCR) | 92 | |
| Deposits | 93 | |
| Long-Term Debt (LTD) | 93 | |
| Secured Funding Transactions and Short-Term Borrowings | 96 | |
| Credit Ratings | 97 | |
| MARKET RISK(1) | 98 | |
| Market Risk of Non-Trading Portfolios | 98 | |
| Banking Book Interest Rate Risk | 98 | |
| Interest Rate Risk of Investment PortfoliosImpact on AOCI | 99 | |
| Changes in Foreign Exchange RatesImpacts on AOCI and Capital | 101 | |
| Interest Income/Expense and Net Interest Margin (NIM) | 102 | |
| Additional Interest Rate Details | 104 | |
| Market Risk of Trading Portfolios | 108 | |
| Factor Sensitivities | 109 | |
| Value at Risk (VaR) | 109 | |
| Stress Testing | 112 | |
| OPERATIONAL RISK | 112 | |
| Cybersecurity Risk | 113 | |
| COMPLIANCE RISK | 115 | |
| REPUTATION RISK | 115 | |
| STRATEGIC RISK | 116 | |
| Climate Risk | 116 | |
| OTHER RISKS | 117 | |
| Country Risk | 117 | |
| Top 25 Country Exposures | 118 | |
| Russia | 119 | |
| Ukraine | 120 | |
| Argentina | 120 | |
(1)For additional information regarding certain credit risk, market risk and other quantitative and qualitative information, refer to 
Citis Pillar 3 Basel III Advanced Approaches Disclosures, as required by the U.S. Basel III disclosure requirements, on Citis 
Investor Relations website. These Pillar 3 disclosures are not incorporated by reference into, and do not form any part of, this 
Form 10-K.
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MANAGING GLOBAL RISK
Overview
For Citi, effective risk management is of primary importance to its overall operations. Accordingly, Citi has established an Enterprise Risk Management (ERM) Framework to ensure that Citis risks are managed appropriately and consistently across the Company and at an aggregate, enterprise-wide level. Citis culture drives a strong risk and control environment and is at the heart of the ERM Framework, underpinning the way Citi conducts business. The activities that Citi engages in, and the risks those activities generate, must be consistent with Citis Mission and Value Proposition (see below) and the key Leadership Principles that support it, as well as Citis risk appetite. As discussed above, Citi also continues its efforts to comply with the 2020 FRB and OCC Consent Orders, relating principally to various aspects of risk management, compliance, data quality management related to governance, and internal controls (see Citis Multiyear
TransformationFRB and OCC Consent Orders
Compliance and Risk FactorsCompliance Risks above).
Under Citis Mission and Value Proposition, which was developed by its senior leadership and distributed throughout the Company, Citi strives to serve its clients as a trusted partner by responsibly providing financial services that enable growth and economic progress while earning and maintaining the publics trust by constantly adhering to the highest ethical standards. As such, Citi asks all employees to ensure that their decisions pass three tests: they are in Citis clients best interests, create economic value and are always systemically responsible. 
Citi has designed Leadership Principles that represent the qualities, behaviors and expectations all employees must exhibit to deliver on Citis mission of enabling growth and economic progress. The Leadership Principles inform Citis ERM Framework and contribute to creating a culture that drives client, control and operational excellence. Citi employees share a common responsibility to uphold these Leadership Principles and hold themselves to the highest standards of ethics and professional behavior in dealing with Citis clients, business colleagues, shareholders, communities and each other.
Citis ERM Framework details the principles used to support effective enterprise-wide risk management across the end-to-end risk management lifecycle. The underlying pillars of the framework encompass:
Culturethe core principles and behaviors that underpin a strong culture of risk awareness, in line with Citis Mission and Value Proposition, and Leadership Principles;
Governancethe committee structure and reporting arrangements that support the appropriate oversight of risk management activities at the Board and Executive Management Team levels and Citis Lines of Defense model;
Risk Managementthe end-to-end risk management cycle including the identification, measurement, monitoring, controlling and reporting of all material risks; and
Enterprise Programsthe key risk management programs performed across the risk management lifecycle for all risk categories.
Each of these pillars is underpinned by supporting capabilities covering people, infrastructure and tools that are in place to enable the execution of the ERM Framework. Controls are established to mitigate the risks associated with the execution of these pillars and supporting capabilities.
Citis approach to risk management requires that its risk-taking be consistent with its risk appetite. Risk appetite is the aggregate level of risk that Citi is willing to tolerate in order to achieve its strategic objectives and business plan. Risk limits and thresholds represent allocations of Citis risk appetite to businesses and risk categories. Concentration risks are controlled through a subset of these limits and thresholds.
Citis risks are generally categorized and summarized as follows:
Credit risk is the risk of loss resulting from the decline in credit quality (or downgrade risk) or failure of a borrower, counterparty, third party or issuer to honor its financial or contractual obligations.
Liquidity risk is the risk that Citi will not be able to efficiently meet its financial obligations as they become due without adversely impacting its daily operations or overall financial condition. This risk can be exacerbated by the Companys inability to access necessary funding sources or to monetize assets in a timely and orderly manner.
Market risk (trading and non-trading): Market risk of trading portfolios is the risk of economic or trading loss arising from changes in the value of Citis assets and liabilities resulting from changes in market variables, such as interest rates, equity and commodity prices, foreign exchange rates or credit spreads. Market risk of non-trading portfolios is the impact of adverse changes in market variables such as interest rates, foreign exchange rates, credit spreads and equity prices on positions accounted for as part of Citis net interest income, economic value of equity or AOCI.
Operational risk is the risk of loss resulting from inadequate or failed internal processes, people and systems, or from external events. Operational risk includes legal risk, but excludes strategic and reputation risks (see below). 
Compliance risk is the risk to current or projected financial conditions and resilience arising from violations of laws, rules or regulations, or from non-conformance with prescribed practices, internal policies and procedures or ethical standards. 
Reputation risk is the risk to current or projected financial conditions and resilience from negative opinion held by stakeholders. This risk may impair Citis competitiveness by affecting its ability to establish new relationships or services or continue servicing existing relationships.
Strategic risk is the risk of a sustained impact to Citis core strategic objectives as measured by impacts on anticipated earnings, market capitalization or capital, arising from the external factors affecting the Companys 
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operating environment, as well as the risks associated with defining and executing the strategy.
Additionally, Citi categorizes and summarizes risks that span the above risk categories, such as concentration risk, country risk and climate risk.
Citi uses a lines of defense model as a key component of its ERM Framework to manage its risks. As discussed below, the lines of defense model brings together risk-taking, risk oversight and risk assurance under one umbrella and provides an avenue for risk accountability of the first line of defense, a construct for effective challenge by the second line of defense (Independent Risk Management and Independent Compliance Risk Management), and empowers independent risk assurance by the third line of defense (Internal Audit). In addition, the lines of defense model includes organizational units tasked with supporting a strong control environment (enterprise support functions). 
First Line of Defense
Citis first line of defense owns the risks and associated controls inherent in, or arising from, the execution of its business activities and is responsible for identifying, measuring, monitoring, controlling and reporting those risks consistent with Citis strategy, Mission and Value Proposition, Leadership Principles and risk appetite. 
The first line of defense is composed of Citis operating segments (i.e., Services, Markets, Banking, Wealth, U.S. Personal Banking as of December 31, 2025), as well as International, North America and All Other (including certain corporate functions (i.e., Chief Operating Office, Enterprise Services and Public Affairs, Finance, Technology and Business Enablement). First line of defense may also contain organizations that are enterprise support functionssee Enterprise Support Functions below.
Second Line of Defense
The second line of defense is independent of the first line of defense. It is responsible for overseeing the risk-taking activities of the first line of defense and challenging the first line of defense in the execution of its risk management responsibilities. It is also responsible for independently identifying, measuring, monitoring, controlling and reporting aggregate risks and for setting standards for the management and oversight of risk. The second line of defense is composed of Independent Risk Management (IRM) and Independent Compliance Risk Management (ICRM), which are led by the Group Chief Risk Officer (CRO) and Group Chief Compliance Officer (CCO), respectively, who have unrestricted access to the Board and its Risk Management Committee to facilitate the ability to execute their specific responsibilities pertaining to escalation to the Board.
Independent Risk Management
The IRM organization sets risk and control standards for the first line of defense and actively manages and oversees aggregate credit, market (trading and non-trading), liquidity, strategic, operational and reputation risks across Citi, including risks that span categories, such as concentration risk, country risk and climate risk. The CRO reports directly to both 
the Boards Risk Management Committee and the Citigroup CEO. 
Independent Compliance Risk Management 
The ICRM organization actively oversees compliance risk across Citi, sets compliance standards for the first line of defense to manage compliance risk and promotes business conduct and activity that is consistent with Citis Mission and Value Proposition and the compliance risk appetite, and is committed to maintaining an enterprise-wide compliance risk
management framework across Citi. The CCO reports to Citis Chief Legal Officer, and ICRM is organizationally part of Global Legal Affairs and Compliance. In addition, the CCO has matrix reporting into the CRO.
Third Line of Defense
Internal Audit is independent of the first line, second line and enterprise support functions. The role of Internal Audit is to provide independent, objective, reliable, valued and timely assurance to the Board, its Audit Committee, Citi senior management and regulators over the effectiveness of governance, risk management and controls that mitigate current and evolving risks and enhance the control culture within Citi. The Citi Chief Auditor manages Internal Audit and reports functionally to the Chair of the Citi Audit Committee and administratively to Citis CEO. The Citi Chief Auditor has unrestricted access to the Board and the Board Audit Committee. 
Enterprise Support Functions
Enterprise support functions engage in activities that support safety and soundness across Citi. These functions provide advisory services and/or design, implement, maintain and oversee Company-wide programs that support Citi in maintaining an effective control environment. 
Enterprise support functions are composed of Human Resources and Global Legal Affairs and Compliance (exclusive of ICRM, which is part of the second line of defense). Organizations noted under the first line of defense may also contain enterprise support functions (e.g., the Controllers Group within Finance). 
Enterprise support functions are subject to the relevant Company-wide independent oversight processes specific to the risks for which they are accountable (e.g., operational risk and compliance risk).
Risk Governance
Citis ERM Framework encompasses risk management processes to address risks undertaken by Citi through identification, measurement, monitoring, controlling and reporting of all risks. The ERM Framework integrates these processes with appropriate governance to complement Citis commitment to maintaining strong and consistent risk management practices.
Board Oversight
The Board is responsible for oversight of Citi and holds the Executive Management Team accountable for implementing the ERM Framework and meeting strategic objectives within Citis risk appetite.
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Executive Management Team
The Citigroup CEO directs and oversees the day-to-day management of Citi as delegated by the Board of Directors. The CEO leads the Company through the Executive Management Team and provides oversight of group activities, both directly and through authority delegated to committees established to oversee the management of risk, to ensure continued alignment with Citis risk strategy.
Board and Executive Management Governance Committees
The Board executes its responsibilities either directly or through its committees. The Board has delegated authority to the following Board standing committees to help fulfill its oversight and risk management responsibilities:
Audit Committee (Board Audit Committee) provides oversight of financial statement integrity, internal controls, audits and regulatory compliance. Its responsibilities include holding management accountable for the effectiveness of Citigroups control environment and corrective actions, approving independent auditor selection/compensation, key policies and 10-K filings. It also has responsibilities regarding the approval, replacement and compensation of the Chief Auditor.
Compensation, Performance Management and Culture Committee provides oversight of employee compensation, corporate culture and compliance with bank regulatory guidance governing Citis incentive compensation. Its responsibilities include reviewing Citis management resources, assessing the performance of senior management, determining the compensation of Citigroups CEO and approving executive compensation and incentive compensation structures.
Nomination, Governance and Public Affairs Committee provides oversight of corporate governance, Board effectiveness and public affairs, including sustainability matters, and nominates directors for the Board and its committees. Its responsibilities include leading the annual review of the Boards performance, reviewing the adequacy of Board committee charters and reviewing relationships with external constituencies and issues that impact Citis reputation, as well as advising management on the foregoing matters.
Risk Management Committee (Board RMC) provides oversight of Citigroups risk management framework and risk culture, including significant policies and practices for risk management and capital management, and oversees the performance of Citis Credit Risk Review function. This Committee reviews Citigroups aggregate risk profile and ensures the adequacy of the Companys risk management functions. Its responsibilities include approving the Enterprise Risk Management Framework (ERMF) and key risk policies, reviewing the risk appetite statement and recommending it to the Board. Additionally, this Committee has responsibilities regarding the approval, replacement and compensation of the Chief Risk Officer.
Technology Committee provides oversight of Citigroups technology strategy, operating model, architecture and technology-based risk management (including cyber 
security), technology resource and talent planning, and technology third-party management policies. Its responsibilities include reviewing and assessing significant technology investments and expenditures, overseeing and reviewing information from management regarding Citis approach to Generative AI and reviewing reports on technology and data quality-related matters.
In addition to the above, the Board has established the following ad hoc committee: 
Transformation Oversight Committee provides oversight of the actions of Citis management to develop and execute a transformation of Citis risk and control environment pursuant to the FRB and OCC Consent Orders (see Citis Multiyear TransformationFRB and OCC Consent Orders Compliance above).
The Citigroup CEO has established four standing Executive Management Governance Committees that cover the primary risks to which Citi is exposed. These consist of the following:
Citigroup Asset and Liability Committee (ALCO) oversees liquidity risk and market risk on the accrual book, and monitors and influences the balance sheet, investment securities and capital management activities of Citigroup. Its responsibilities include approving relevant policies and
programs and reviewing balance sheet trends, liquidity levels, capital metrics, interest rate risk, foreign exchange risk and significant risk management concerns.
Business Risk and Control Committee oversees operational and compliance risks and the overall control environment. Its responsibilities include approving operational and compliance risk-related initiatives, and monitoring Issues, Managers Control Assessment, Operational Risk Events and Escalations.
Reputation Risk Committee oversees Citigroups reputation risk program. It governs the processes by which material reputation risks are managed, in line with Company-wide strategic objectives, risk appetite and regulatory expectations, while promoting a culture of risk awareness. Its responsibilities include reviewing, challenging and resolving, as needed, reputation risk matters.
Risk Management Committee oversees the execution of the Enterprise Risk Management Framework and monitors Citis risk profile against approved risk appetite. Its responsibilities include discussing and providing review and challenge of risk matters, including material and emerging risks facing Citi. It also provides comprehensive coverage of credit risk, market risk (trading) and strategic risk.
In addition to the Executive Management Governance Committees listed above, management may establish ad-hoc committees in response to regulatory feedback or to manage additional activities when deemed necessary.
66 
The figure below illustrates the reporting lines between the Board and Executive Management Governance Committees:
67 
CREDIT RISK
Overview
Credit risk is the risk of loss resulting from the decline in credit quality of a client, customer or counterparty (or downgrade risk) or the failure of a borrower, counterparty, third party or issuer to honor its financial or contractual obligations. For example, credit risk can arise from a deterioration in (i) the operating and financial performance of a borrower or (ii) a decline in the quality or value of any underlying collateral, both of which may also be impacted by adverse changes in macroeconomic, geopolitical, market and other factors. Credit risk is one of the most significant risks Citi faces as an institution (see Risk FactorsCredit Risks above). Credit risk arises in many of Citigroups business activities, including:
consumer, commercial and corporate lending; 
capital markets derivative transactions; 
structured finance; and 
securities financing transactions (margin loans, repurchase and reverse repurchase agreements and securities loaned and borrowed).
Credit risk also arises from clearing and settlement activities, when Citi transfers an asset in advance of receiving its counter-value or advances funds to settle a transaction on behalf of a client, as well as through its investment securities portfolio and cash placed with banks. Concentration risk, within credit risk, is the risk associated with having credit exposure concentrated within a specific client, industry, region or other category.
Citi has an established framework in place for managing credit risk across all businesses that includes a defined risk appetite, credit limits and credit policies. Citis credit risk management framework also includes policies and procedures to manage problem exposures.
To manage concentration risk, Citi has in place a framework consisting of industry limits, single-name concentrations for each business and across Citigroup and a specialized product limit framework.
Credit exposures are generally reported in notional terms for accrual loans, reflecting the value at which the loans as well as other off-balance sheet commitments are carried on the Consolidated Balance Sheet. Credit exposure arising from capital markets activities is generally expressed as the current mark-to-market, net of margin, reflecting the net value owed to Citi by a given counterparty. 
Citis loans are reported in two categories: corporate and consumer. These categories are classified primarily according to the operating segment, reporting unit and component that manage the loans in addition to the nature of the obligor, with corporate loans generally made for corporate institutional and public sector clients around the world and consumer loans to retail and small business customers.
The credit risk associated with Citis credit exposures is a function of the idiosyncratic creditworthiness of the obligor, as well as the terms and conditions of the specific obligation. Citi assesses the credit risk associated with its credit exposures not carried at fair value on a regular basis through its allowance 
for credit losses (ACL) process (see Significant Accounting Policies and Significant EstimatesAllowance for Credit Losses below and Notes 1 (Allowance for Credit Losses (ACL)) and 16), as well as through regular stress testing at the company, business, geography and product levels. These stress-testing processes typically estimate potential incremental credit costs that would occur as a result of either downgrades in the credit quality or defaults of the obligors or counterparties. See Notes 15 and 16 for additional information on Citis credit risk management. 
Average Loans
The table below details average loans, by segment and All Other, and the total Citigroup end-of-period loans for each of the periods indicated:
| |
| In billions of dollars | 4Q25 | 3Q25 | 4Q24 | |
| Services | $ | 96 | $ | 94 | $ | 87 | |
| Markets | 152 | 147 | 122 | |
| Banking | 79 | 81 | 84 | |
| Wealth | 149 | 151 | 148 | |
| USPB | |
| Branded Cards | $ | 122 | $ | 120 | $ | 117 | |
| Retail Services | 50 | 50 | 52 | |
| Retail Banking | 54 | 50 | 47 | |
| Total USPB | $ | 226 | $ | 220 | $ | 216 | |
| All Other | $ | 35 | $ | 32 | $ | 31 | |
| Total Citigroup loans (AVG) | $ | 737 | $ | 725 | $ | 688 | |
| Total Citigroup loans (EOP) | $ | 752 | $ | 734 | $ | 694 | |
Average loans increased 7% year-over-year and 2% sequentially. The year-over-year increase was primarily driven by growth in Markets, USPB and Services, partially offset by declines in Banking.Year-over-year average loans for: Services increased 10%, driven by demand in TTS for working capital loans as well as export and agency finance. Markets increased 25%, primarily driven by asset-backed financing and commercial warehouse lending in Spread Products.Banking decreased 6%, due to lower aggregate customer demand for funded loans.Wealth increased 1%, with growth in margin lending primarily offset by the transfers of certain relationships and associated mortgage loans to USPB from Wealth.USPB increased 5%, driven by growth in Retail Banking, largely due to transfers of certain relationships and associated mortgage loans to USPB from Wealth, as well as growth in Branded Cards.All Other increased 13%, driven by growth in Mexico Consumer/SBMM (including the impact of Mexican peso appreciation), partially offset by the continued wind-downs in Asia Consumer within Legacy Franchises (including the impact of moving HFS loans to Other assets).68 CORPORATE CREDITConsistent with its overall strategy, Citis corporate clients are typically corporations that value the depth and breadth of Citis global network. Citi aims to establish relationships with these clients whose needs encompass multiple products, including cash management and trade services, foreign exchange, lending, capital markets and M&A advisory.Corporate Credit PortfolioThe following table details Citis corporate credit portfolio across Services, Markets, Banking and the Mexico SBMM portion of All OtherLegacy Franchises, and before consideration of collateral or hedges, by remaining tenor or expiration for the periods indicated:
| |
| | December 31, 2025 | September 30, 2025 | December 31, 2024 | |
| In billions of dollars | Duewithin1year | Greaterthan 1yearbut within5years | Greaterthan5years | Totalexposure | Duewithin1year | Greaterthan 1yearbut within5years | Greaterthan5years | Totalexposure | Duewithin1year | Greaterthan 1yearbut within5years | Greaterthan5years | Totalexposure | |
| Direct outstandings (on-balance sheet)(1)(2) | $ | 151 | $ | 136 | $ | 50 | $ | 337 | $ | 145 | $ | 132 | $ | 50 | $ | 327 | $ | 133 | $ | 122 | $ | 39 | $ | 294 | |
| Unfunded lending commitments (off-balance sheet)(3)(4) | 141 | 311 | 28 | 480 | 147 | 307 | 27 | 481 | 131 | 274 | 24 | 429 | |
| Total exposure | $ | 292 | $ | 447 | $ | 78 | $ | 817 | $ | 292 | $ | 439 | $ | 77 | $ | 808 | $ | 264 | $ | 396 | $ | 63 | $ | 723 | |
(1)Includes drawn loans, overdrafts, bankers acceptances and leases. (2)Excludes loans carried at fair value of $6.8 billion and HFS of $5.2 billion as of December31, 2025. (3)Includes unused commitments to lend, letters of credit and financial guarantees.(4)Includes lending-related commitments carried at fair value and HFS as of December31, 2025.Portfolio MixGeography and CounterpartyCitis corporate credit portfolio is diverse across geographies and types of counterparties. The following table presents the percentages of this portfolio across North America and the clusters within International based on the country of risk of the obligor (for additional information on Citis international exposures, see Other RisksCountry RiskTop 25 Country Exposures below):
| |
| December 31,2025 | September 30,2025 | December 31,2024 | |
| North America | 58 | % | 57 | % | 56 | % | |
| International | 42 | 43 | 44 | |
| |
| |
| |
| Total | 100 | % | 100 | % | 100 | % | |
| International by cluster | (percentages are based on total Citi) | |
| Europe | 16 | % | 17 | % | 16 | % | |
| LATAM | 7 | 7 | 7 | |
| United Kingdom | 6 | 6 | 6 | |
| Japan, Asia North and Australia (JANA) | 6 | 6 | 6 | |
| Asia South | 4 | 4 | 5 | |
| Middle East, Africa and Russia (MEA) | 3 | 3 | 4 | |
The maintenance of accurate and consistent risk ratings across the corporate credit portfolio facilitates the comparison of credit exposure across all lines of business, geographies and products. Counterparty risk ratings reflect an estimated probability of default for a counterparty, and internal risk ratings are derived by leveraging validated statistical models and scorecards in combination with consideration of factors specific to the obligor or market, such as management experience, competitive position, regulatory environment and commodity prices. Facility risk ratings are assigned that reflect the probability of default of the obligor and factors that affect the loss given default of the facility, such as parental support or collateral. Internal ratings that generally correspond to BBB and above are considered investment grade, while those below are considered non-investment grade.The following table presents the corporate credit portfolio by facility risk rating as a percentage of the total corporate credit portfolio:
| |
| | Total exposure | |
| | December 31,2025 | September 30,2025 | December 31,2024 | |
| AAA/AA/A | 49 | % | 48 | % | 49 | % | |
| BBB | 29 | 29 | 30 | |
| BB/B | 20 | 21 | 19 | |
| CCC or below | 2 | 2 | 2 | |
| |
| Total | 100 | % | 100 | % | 100 | % | |
Note: Total exposure includes direct outstandings and unfunded lending commitments. 
69 
In addition to the obligor and facility risk ratings assigned to all exposures, Citi may classify exposures in the corporate credit portfolio. These classifications are consistent with Citis interpretation of the U.S. banking regulators definition of criticized exposures, which may categorize exposures as special mention, substandard, doubtful or loss.
Risk ratings and classifications are reviewed regularly and adjusted as appropriate. The credit review process incorporates quantitative and qualitative factors, including financial and non-financial disclosures or metrics, idiosyncratic events or changes to the competitive, regulatory or macroeconomic environment.
Citi believes the corporate credit portfolio to be appropriately rated and classified as of December31, 2025. Citi has applied management judgment to adjust internal ratings and classifications of exposures as both the macroeconomic environment and obligor-specific factors have changed, particularly where additional stress has been observed. 
Obligor risk ratings may be downgraded, reflecting the increase in the probability of default. Downgrades of obligor risk ratings tend to result in a higher provision for credit losses. In addition, appetite per obligor is reduced consistent with the ratings, and downgrades may result in the purchase of additional credit derivatives or other risk/structural mitigants to hedge the incremental credit risk, or may result in Citi seeking to reduce exposure to an obligor or an industry sector. Citi will continue to review exposures to ensure that the appropriate probability of default is incorporated into all risk assessments.
See Note 15 for additional information on Citis corporate credit portfolio.
Portfolio MixIndustry
Citis corporate credit portfolio is diversified by industry. The industry classifications are generally based on the clients primary business activity. The following table details the allocation of Citis total corporate credit portfolio by industry:
| |
| | Total exposure | |
| | December 31,2025 | September 30,2025 | December 31,2024 | |
| Transportation and industrials | 19 | % | 19 | % | 20 | % | |
| Technology, media and telecom | 14 | 15 | 12 | |
| Banks and finance companies(1) | 13 | 13 | 12 | |
| Real estate | 11 | 10 | 11 | |
| Commercial | 8 | 8 | 8 | |
| Residential | 3 | 2 | 3 | |
| Consumer retail | 10 | 10 | 11 | |
| Power, chemicals, metals and mining | 8 | 9 | 9 | |
| Energy and commodities | 6 | 6 | 6 | |
| Healthcare | 5 | 5 | 5 | |
| Public sector | 4 | 4 | 4 | |
| Insurance | 3 | 3 | 4 | |
| Asset managers and funds | 3 | 3 | 3 | |
| Financial markets infrastructure | 3 | 3 | 2 | |
| |
| Other industries | 1 | | 1 | |
| Total | 100 | % | 100 | % | 100 | % | |
(1)As of the periods in the table, Citi had less than 1% exposure to securities firms. See corporate credit portfolio by industry, below.
70 
The following table details Citis corporate credit portfolio by industry as of December31, 2025:
| |
| Non-investment grade | Selected metrics | |
| In millions of dollars | Total credit exposure(1)(8) | Funded(2) | Unfunded(3) | Investment grade | Non-criticized | Criticized performing | Criticized non-performing(4) | 30 days or more past due and accruing | Net credit losses (recoveries) | Credit derivative hedges(5) | |
| Transportation and industrials | $ | 153,721 | $ | 58,014 | $ | 95,707 | $ | 114,560 | $ | 33,086 | $ | 5,652 | $ | 423 | $ | 115 | $ | 24 | $ | (7,882) | |
| Autos(6) | 51,344 | 22,265 | 29,079 | 41,389 | 8,336 | 1,609 | 10 | 4 | 7 | (2,504) | |
| Transportation | 30,298 | 13,512 | 16,786 | 21,518 | 7,892 | 729 | 159 | 33 | 2 | (1,166) | |
| Industrials | 72,079 | 22,237 | 49,842 | 51,653 | 16,858 | 3,314 | 254 | 78 | 15 | (4,212) | |
| Technology, media and telecom | 115,075 | 34,144 | 80,931 | 73,946 | 37,367 | 3,417 | 345 | 49 | 6 | (7,701) | |
| Banks and finance companies | 106,266 | 73,206 | 33,060 | 95,515 | 9,614 | 1,057 | 80 | 4 | 151 | (691) | |
| Real estate | 90,677 | 62,776 | 27,901 | 76,691 | 9,881 | 3,454 | 651 | 32 | 11 | (917) | |
| Commercial | 69,548 | 44,387 | 25,161 | 55,769 | 9,674 | 3,454 | 651 | 31 | 11 | (917) | |
| Residential | 21,129 | 18,389 | 2,740 | 20,922 | 207 | | | 1 | | | |
| Consumer retail | 82,879 | 34,119 | 48,760 | 58,111 | 20,751 | 3,841 | 176 | 23 | 77 | (5,614) | |
| Power, chemicals, metals and mining | 61,347 | 18,695 | 42,652 | 43,453 | 12,408 | 5,058 | 428 | 28 | 5 | (5,860) | |
| Power | 27,099 | 6,319 | 20,780 | 22,201 | 4,485 | 386 | 27 | 2 | 8 | (2,829) | |
| Chemicals | 21,048 | 6,956 | 14,092 | 12,688 | 4,651 | 3,387 | 322 | 24 | 1 | (2,128) | |
| Metals and mining | 13,200 | 5,420 | 7,780 | 8,564 | 3,272 | 1,285 | 79 | 2 | (4) | (903) | |
| Energy and commodities(7) | 46,282 | 12,686 | 33,596 | 37,864 | 7,453 | 790 | 175 | 7 | 77 | (3,176) | |
| Healthcare | 43,520 | 8,076 | 35,444 | 34,162 | 7,779 | 1,555 | 24 | 25 | 3 | (3,520) | |
| Public sector | 31,498 | 17,063 | 14,435 | 28,321 | 2,649 | 515 | 13 | 47 | 3 | (595) | |
| Asset managers and funds | 27,725 | 10,642 | 17,083 | 20,957 | 6,611 | 153 | 4 | 3 | | (117) | |
| Insurance | 27,620 | 3,657 | 23,963 | 25,585 | 1,967 | 68 | | 1 | | (4,494) | |
| Financial markets infrastructure | 23,360 | 151 | 23,209 | 23,227 | 133 | | | | | (14) | |
| Securities firms | 1,286 | 154 | 1,132 | 1,074 | 211 | 1 | | | | (19) | |
| Other industries(6) | 5,995 | 3,510 | 2,485 | 4,254 | 1,614 | 116 | 11 | 39 | 8 | (2) | |
| Total | $ | 817,251 | $ | 336,893 | $ | 480,358 | $ | 637,720 | $ | 151,524 | $ | 25,677 | $ | 2,330 | $ | 373 | $ | 365 | $ | (40,602) | |
(1)Represents gross credit exposures excluding any purchased credit protection. (2)Funded excludes loans carried at fair value of $6.8 billion and HFS of $5.2 billion as of December31, 2025. (3)Unfunded includes lending-related commitments carried at fair value and HFS as of December31, 2025.(4)Includes non-accrual loan exposures and related criticized unfunded exposures. (5)Represents the amount of purchased credit protection in the form of derivatives to economically hedge funded and unfunded exposures. Of the $40.6 billion of purchased credit protection, $37.5 billion represents the total notional amount of purchased credit derivatives on individual reference entities. The remaining $3.1 billion represents the first loss tranche of portfolios of purchased credit derivatives with a total notional amount of $27.3 billion, where the protection seller absorbs the first loss on the referenced loan portfolios. (6)Autos total credit exposure includes securitization financing facilities secured by auto loans and leases, extended mainly to the finance company subsidiaries of global auto manufacturers, bank subsidiaries and independent auto finance companies, of approximately $19.2 billion ($10.6 billion of which was funded exposure with 100% rated investment grade) as of December31, 2025.(7)In addition to this exposure, Citi has energy-related exposure within the public sector (e.g., energy-related state-owned entities) and the transportation and industrials sector (e.g., offshore drilling entities) included in the table above. As of December31, 2025, Citis total exposure to these energy-related entities was approximately $4.4 billion, of which approximately $1.7 billion consisted of direct outstanding funded loans. (8)Includes $0.7 billion and $0.1 billion of funded and unfunded exposure at December31, 2025, respectively, primarily related to commercial credit card delinquency-managed loans. Exposure to Commercial Real EstateAs of December31, 2025 and 2024, Citis total credit exposure to commercial real estate (CRE) was $78.4 billion and $65 billion, including $6.3 billion and $6 billion of exposure related to office buildings, respectively. This total CRE exposure consisted of approximately $69.5 billion and $56 billion, respectively, related to corporate clients, included in the real estate category in the tables above and below. Total CRE exposure also includes approximately $8.9 billion and $9 billion, respectively, related to Wealth clients, not included in the tables above as they are not considered corporate exposures.In addition, as of December31, 2025, approximately 81% of Citis total CRE exposure was rated investment grade and more than 77% was to borrowers in the U.S. (compared to approximately 78% rated investment grade and more than 75% to borrowers in the U.S. as of December31, 2024).As of December31, 2025, the percentage of the ACLL attributed to the total funded CRE exposure (including Wealth) was approximately 1.4%, and there were $659 million of non-accrual CRE loans. As of December31, 2024, the percentage of the ACLL attributed to the total funded CRE exposure (including Wealth) was approximately 1.6%, and there were $574 million of non-accrual CRE loans.71 The following table details Citis corporate credit portfolio by industry as of December31, 2024:
| |
| Non-investment grade | Selected metrics | |
| In millions of dollars | Total credit exposure(1)(8) | Funded(2) | Unfunded(3) | Investment grade | Non-criticized | Criticized performing | Criticized non-performing(4) | 30 days or more past due and accruing | Net credit losses (recoveries) | Credit derivative hedges(5) | |
| Transportation and industrials | $ | 144,381 | $ | 57,166 | $ | 87,215 | $ | 106,336 | $ | 32,849 | $ | 4,944 | $ | 252 | $ | 73 | $ | 19 | $ | (7,643) | |
| Autos(6) | 50,266 | 23,427 | 26,839 | 40,758 | 8,591 | 909 | 8 | 3 | 4 | (2,420) | |
| Transportation | 26,138 | 11,416 | 14,722 | 19,460 | 5,792 | 795 | 91 | 3 | (7) | (1,165) | |
| Industrials | 67,977 | 22,323 | 45,654 | 46,118 | 18,466 | 3,240 | 153 | 67 | 22 | (4,058) | |
| Technology, media and telecom | 88,797 | 29,534 | 59,263 | 68,615 | 16,776 | 3,217 | 189 | 68 | 55 | (6,720) | |
| Banks and finance companies | 86,500 | 56,716 | 29,784 | 76,754 | 8,625 | 882 | 239 | 7 | 5 | (560) | |
| Consumer retail | 80,871 | 32,212 | 48,659 | 57,425 | 19,579 | 3,676 | 191 | 30 | 43 | (5,423) | |
| Real estate | 74,481 | 53,186 | 21,295 | 61,430 | 8,976 | 3,545 | 530 | 6 | 173 | (813) | |
| Commercial | 55,810 | 36,200 | 19,610 | 42,960 | 8,782 | 3,545 | 523 | 6 | 156 | (813) | |
| Residential | 18,671 | 16,986 | 1,685 | 18,470 | 194 | | 7 | | 17 | | |
| Power, chemicals, metals and mining | 66,669 | 18,504 | 48,165 | 49,383 | 12,653 | 4,416 | 217 | 35 | 75 | (5,267) | |
| Power | 32,185 | 5,092 | 27,093 | 27,204 | 4,414 | 417 | 150 | 1 | 48 | (2,406) | |
| Chemicals | 20,618 | 7,529 | 13,089 | 12,747 | 5,034 | 2,779 | 58 | 33 | 28 | (2,064) | |
| Metals and mining | 13,866 | 5,883 | 7,983 | 9,432 | 3,205 | 1,220 | 9 | 1 | (1) | (797) | |
| Energy and commodities(7) | 41,919 | 11,686 | 30,233 | 33,899 | 7,266 | 555 | 199 | 3 | (5) | (3,153) | |
| Healthcare | 39,028 | 8,537 | 30,491 | 29,579 | 8,018 | 1,411 | 20 | 19 | 13 | (3,267) | |
| Insurance | 28,317 | 2,115 | 26,202 | 26,734 | 1,560 | 17 | 6 | 2 | | (4,089) | |
| Public sector | 26,022 | 13,209 | 12,813 | 23,344 | 2,308 | 360 | 10 | 28 | 7 | (678) | |
| Asset managers and funds | 19,648 | 5,258 | 14,390 | 17,679 | 1,788 | 181 | | | (4) | (97) | |
| Financial markets infrastructure | 17,368 | 181 | 17,187 | 17,238 | 130 | | | | | (29) | |
| Securities firms | 1,876 | 590 | 1,286 | 1,407 | 468 | 1 | | | | (20) | |
| Other industries | 7,213 | 4,733 | 2,480 | 4,979 | 2,099 | 114 | 21 | 42 | 16 | (51) | |
| Total | $ | 723,090 | $ | 293,627 | $ | 429,463 | $ | 574,802 | $ | 123,095 | $ | 23,319 | $ | 1,874 | $ | 313 | $ | 397 | $ | (37,810) | |
(1)Represents gross credit exposures excluding any purchased credit protection. (2)Funded excludes loans carried at fair value of $7.8 billion and HFS of $3.6 billion as of December31, 2024. (3)Unfunded includes lending-related commitments carried at fair value and HFS as of December31, 2024.(4)Includes non-accrual loan exposures and related criticized unfunded exposures.(5)Represents the amount of purchased credit protection in the form of derivatives to economically hedge funded and unfunded exposures. Of the $37.8 billion of purchased credit protection, $34.8 billion represents the total notional amount of purchased credit derivatives on individual reference entities. The remaining $3 billion represents the first loss tranche of portfolios of purchased credit derivatives with a total notional amount of $22.9 billion, where the protection seller absorbs the first loss on the referenced loan portfolios.(6)Autos total credit exposure includes securitization financing facilities secured by auto loans and leases, extended mainly to the finance company subsidiaries of global auto manufacturers, bank subsidiaries and independent auto finance companies, of approximately $17.5 billion ($10.5 billion of which was funded exposure with 100% rated investment grade) as of December31, 2024.(7)In addition to this exposure, Citi has energy-related exposure within the public sector (e.g., energy-related state-owned entities) and the transportation and industrials sector (e.g., offshore drilling entities) included in the table above. As of December31, 2024, Citis total exposure to these energy-related entities was approximately $4.4 billion, of which approximately $2.1 billion consisted of direct outstanding funded loans. (8)Includes $0.6 billion and $0.1 billion of funded and unfunded exposure at December31, 2024, respectively, primarily related to commercial credit card delinquency-managed loans. 72 Credit Risk MitigationAs part of its overall risk management activities, Citi uses credit derivatives, both partial and full term, and other risk mitigants to economically hedge portions of the credit risk in its corporate credit portfolio, in addition to outright asset sales. In advance of the expiration of partial-term economic hedges, Citi will determine, among other factors, the economic feasibility of hedging the remaining life of the instrument. The results of the mark-to-market and any realized gains or losses on credit derivatives are reflected primarily in Principal transactions in the Consolidated Statement of Income in Banking.At December31, 2025, September30, 2025 and December31, 2024, Banking had economic hedges on the corporate credit portfolio of $40.6 billion, $39.5 billion and $37.8billion, respectively. Citis expected credit loss model used in the calculation of its ACL does not include the favorable impact of credit derivatives and other mitigants that are marked-to-market. In addition, the reported amounts of direct outstandings and unfunded lending commitments in the tables above do not reflect the impact of these hedging transactions. The purchased credit protection was economically hedging underlying Banking corporate credit portfolio exposures with the following risk rating distribution: Rating of Hedged Exposure
| |
| December 31,2025 | September 30,2025 | December 31,2024 | |
| AAA/AA/A | 47 | % | 47 | % | 44 | % | |
| BBB | 41 | 41 | 45 | |
| BB/B | 11 | 11 | 10 | |
| CCC or below | 1 | 1 | 1 | |
| Total | 100 | % | 100 | % | 100 | % | |
73 
Loan Maturities and Fixed/Variable Pricing of Corporate Loans
| |
| In millions of dollars at December31, 2025 | Due within1 year | Over 1 yearbut within5 years | Over 5 yearsbut within15 years | Over 15 years | Total | |
| Corporate loans | |
| In North America offices(1) | |
| Commercial and industrial | $ | 28,028 | $ | 26,696 | $ | 2,020 | $ | 662 | $ | 57,406 | |
| Financial institutions | 26,423 | 36,309 | 9,205 | 217 | 72,154 | |
| Mortgage and real estate(2) | 7,366 | 5,265 | 4,351 | 949 | 17,931 | |
| Installment and other | 5,522 | 14,047 | 3,260 | 275 | 23,104 | |
| Lease financing | 16 | 56 | | | 72 | |
| Total | $ | 67,355 | $ | 82,373 | $ | 18,836 | $ | 2,103 | $ | 170,667 | |
| In offices outside North America(1) | |
| Commercial and industrial | $ | 64,031 | $ | 22,279 | $ | 10,501 | $ | 75 | $ | 96,886 | |
| Financial institutions | 14,440 | 8,473 | 4,063 | 78 | 27,054 | |
| Mortgage and real estate(2) | 3,907 | 5,111 | 777 | 61 | 9,856 | |
| Installment and other | 5,703 | 18,897 | 7,600 | 1,900 | 34,100 | |
| Lease financing | 3 | 31 | 13 | | 47 | |
| Governments and official institutions | 662 | 1,226 | 2,069 | 1,113 | 5,070 | |
| Total | $ | 88,746 | $ | 56,017 | $ | 25,023 | $ | 3,227 | $ | 173,013 | |
| Corporate loans, net of unearned income(3)(4) | $ | 156,101 | $ | 138,390 | $ | 43,859 | $ | 5,330 | $ | 343,680 | |
| Loans at fixed interest rates(5) | |
| Commercial and industrial | $ | 4,180 | $ | 851 | $ | 4 | |
| Financial institutions | 1,584 | 755 | 213 | |
| Mortgage and real estate(2) | 1,024 | 4,118 | 949 | |
| Other(6) | 3,088 | 372 | 294 | |
| Lease financing | 76 | | | |
| Total | $ | 9,952 | $ | 6,096 | $ | 1,460 | |
| Loans at floating or adjustable interest rates(4) | |
| Commercial and industrial | $ | 44,795 | $ | 11,670 | $ | 733 | |
| Financial institutions | 43,198 | 12,513 | 82 | |
| Mortgage and real estate(2) | 9,352 | 1,010 | 61 | |
| Other(6) | 31,082 | 12,557 | 2,994 | |
| Lease financing | 11 | 23 | | |
| Total | $ | 128,438 | $ | 37,773 | $ | 3,870 | |
| Total fixed/variable pricing of corporate loans with maturities due after one year, net of unearned income(3)(4) | $ | 138,390 | $ | 43,869 | $ | 5,330 | |
(1)North America includes the U.S., Canada and Puerto Rico. Mexico is included in offices outside North America. The classification between offices in North America and outside North America is based on the domicile of the booking unit. The differences between the domicile of the booking unit and the domicile of the managing unit are not material.(2)Loans secured primarily by real estate.(3)Corporate loans are net of unearned income of $(1.1) billion. Unearned income on corporate loans primarily represents loan origination fees, net of certain direct origination costs, that are deferred and recognized as Interest income over the lives of the related loans. (4)Excludes $17 million of unallocated portfolio-layer cumulative basis adjustments at December31, 2025.(5)Based on contractual terms. Repricing characteristics may effectively be modified from time to time using derivative contracts. See Note 24.(6)Other includes installment and other and loans to government and official institutions. 74 This page intentionally left blank.75 CONSUMER CREDITCiti's consumer credit risk management framework is designed for a variety of environments. Underwriting and portfolio management policies are calibrated based on risk-return trade-offs by product and segment and changes are made based on performance against benchmarks as well as environmental stress. As warranted, Citi adjusts underwriting criteria to address consumer credit risks and macroeconomic challenges and uncertainties.As of December 31, 2025, USPB provided credit cards, consumer mortgages, personal loans, small business banking and other retail lending, and Wealth provided consumer mortgages, margin lending, credit cards and other lending products to customer segments that range from the affluent to ultra-high net worth through the Private Bank, Citigold and Wealth at Work. USPBs retail banking products included a generally prime portfolio built through well-defined lending parameters within Citis risk appetite framework. All OtherLegacy Franchises also provides such products in its remaining markets through Mexico Consumer and Asia Consumer (Poland and Korea).Consumer Credit PortfolioThe following table presents Citis quarterly end-of-period consumer loans(1):
| |
| In billions of dollars | 4Q24 | 1Q25 | 2Q25 | 3Q25 | 4Q25 | |
| Wealth(2)(3) | |
| Mortgages(4) | $ | 89.0 | $ | 87.9 | $ | 88.6 | $ | 89.1 | $ | 86.4 | |
| Margin lending | 29.4 | 31.5 | 31.3 | 32.0 | 33.4 | |
| Personal, small business and other | 24.1 | 23.1 | 25.9 | 25.5 | 25.3 | |
| Cards | 5.0 | 4.8 | 4.9 | 4.8 | 4.9 | |
| Total | $ | 147.5 | $ | 147.3 | $ | 150.7 | $ | 151.4 | $ | 150.0 | |
| USPB(4) | |
| Branded Cards(5) | $ | 121.1 | $ | 116.3 | $ | 120.2 | $ | 121.2 | $ | 125.3 | |
| Credit cards | 117.3 | 112.6 | 116.6 | 117.4 | 121.5 | |
| Personal installment loans(5) | 3.8 | 3.7 | 3.6 | 3.8 | 3.8 | |
| Retail Services | 53.8 | 50.2 | 50.7 | 50.1 | 52.2 | |
| Retail Banking(5) | 46.8 | 48.2 | 49.3 | 50.3 | 54.3 | |
| Mortgages | 45.5 | 47.0 | 48.1 | 49.2 | 53.1 | |
| Personal, small business and other | 1.3 | 1.2 | 1.2 | 1.1 | 1.2 | |
| Total | $ | 221.7 | $ | 214.7 | $ | 220.2 | $ | 221.6 | $ | 231.8 | |
| All OtherLegacy Franchises | |
| Mexico Consumer | $ | 17.2 | $ | 17.9 | $ | 20.0 | $ | 21.2 | $ | 22.5 | |
| Asia Consumer(6) | 4.7 | 4.5 | 3.0 | 2.7 | 2.5 | |
| Legacy Holdings Assets(7) | 2.0 | 1.9 | 1.9 | 1.7 | 1.7 | |
| Total | $ | 23.9 | $ | 24.3 | $ | 24.9 | $ | 25.6 | $ | 26.7 | |
| Total consumer loans | $ | 393.1 | $ | 386.3 | $ | 395.8 | $ | 398.6 | $ | 408.5 | |
(1)End-of-period loans include interest and fees on credit cards.(2)Consists of $95.9 billion, $97.9 billion, $98.0 billion, $96.7 billion and $98.0 billion of loans in North America as of December31, 2025, September30, 2025, June30, 2025, March31, 2025 and December31, 2024, respectively. For additional information on the credit quality of the Wealth portfolio, see Note 15. (3)Consists of $54.1 billion, $53.5 billion, $52.7 billion, $50.6 billion and $49.5 billion of loans outside North America as of December31, 2025, September30, 2025, June30, 2025, March31, 2025 and December31, 2024, respectively.(4)See Note 15 for details on loan-to-value ratios for the mortgage portfolios and FICO scores for the U.S. portfolio.(5)Effective January 1, 2025, USPB changed its reporting for certain installment lending products that were transferred from Retail Banking to Branded Cards to reflect where these products are managed. Prior periods were conformed to reflect this change.(6)Asia Consumer loan balances, reported within All OtherLegacy Franchises, include the three remaining Asia Consumer loan portfoliosKorea, Poland (through the first quarter of 2025) and Russia until the completion of its consumer loan portfolio wind-down in the second quarter of 2025. Asia Consumer loan balances exclude approximately $2 billion of loans ($1 billion of retail banking loans and $1 billion of credit card loan balances) for the second, third and fourth quarters of 2025. These loans were reclassified to held-for-sale (HFS) (Other assets on the Consolidated Balance Sheet) as a result of Citis agreement to sell its Poland consumer banking business (expected to close by mid-2026). See Agreement to Sell Poland Consumer Banking Business in Note 2. (7)Consists of certain North America consumer mortgages.For information on changes to Citis consumer loans, see Credit RiskLoans above. 76 Consumer Credit Trends
| |
| U.S. Personal Banking | |
USPB includes Branded Cards, Retail Services and Retail Banking. Branded Cards includes proprietary credit card portfolios (Value, Rewards and Cash), co-branded card portfolios (including Costco and American Airlines) and personal installment loans. Retail Services includes co-brand and private label relationships (including, among others, The Home Depot, Best Buy and Macys). Retail Banking includes traditional banking services, including deposits, mortgages and other lending products, to retail and small business customers concentrated in six key U.S. metropolitan areas. Retail Banking also provides mortgages through correspondent channels.
As of December 31, 2025, approximately 75% of USPB EOP loans consisted of Branded Cards and Retail Services credit card loans, of which 70% represented Branded Cards loans and 30% represented Retail Services loans. Branded Cards and Retail Services credit card loans generally drive the overall credit performance of USPB, as Branded Cards and Retail Services card net credit losses represented approximately 94% of USPBs total net credit losses for the fourth quarter of 2025.
As presented in the chart above, the fourth quarter of 2025 net credit loss rate for USPB decreased quarter-over-quarter, primarily driven by seasonality, and decreased year-over-year, reflecting improvements in portfolio performance (see Branded CardsCredit Cards and Retail Services below).
The 90+ days past due delinquency rate was broadly stable quarter-over-quarter, and decreased year-over-year, reflecting improvements in portfolio performance in cards.
| |
| Branded CardsCredit Cards | |
USPBs Branded Cards portfolio consists of both proprietary Citi branded cards portfolios (Value, Rewards and Cash) and co-branded cards portfolios (including Costco and American Airlines) and personal installment loans. Citis Branded Cards portfolio has a diverse combination of credit card products.
As presented in the chart above, the fourth quarter of 2025 net credit loss rate for Branded Cards credit cards decreased quarter-over-quarter, primarily driven by seasonality, and decreased year-over-year, reflecting improvements in portfolio performance.
The 90+ days past due delinquency rate increased quarter-over-quarter, driven by seasonality, and was broadly stable year-over-year.
| |
| Retail Services | |
USPBs Retail Services partners with more than 20 retailers and dealers to offer private label and co-brand cards. Retail Services target market focuses on select industry segments such as home improvement, specialty retail, consumer electronics and fuel.
As presented in the chart above, the fourth quarter of 2025 net credit loss rate for Retail Services increased quarter-over-quarter, driven by seasonality, and decreased year-over-year, reflecting improvements in portfolio performance.
The 90+ days past due delinquency rate was broadly stable quarter-over-quarter, and decreased year-over-year, reflecting improvements in portfolio performance.
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For additional details on provisions for credit losses, loan delinquency and other information for Citis cards portfolios, see USPBs results of operations above and Note 15.
| |
| Retail Banking | |
USPBs Retail Banking portfolio consists primarily of consumer mortgages (including home equity) and unsecured lending products, such as small business loans and revolving products. The portfolio is generally delinquency managed, where Citi evaluates credit risk based on FICO scores, delinquencies and the value of underlying collateral. The consumer mortgages in this portfolio have historically been extended to high credit quality customers, generally with loan-to-value ratios that are less than or equal to 80% on first and second mortgages. For additional information, see Loan-to-Value (LTV) Ratios in Note 15.
As presented in the chart above, the fourth quarter of 2025 net credit loss rate for Retail Banking increased quarter-over-quarter, driven by consumer overdraft losses, and was broadly stable year-over-year.
The 90+ days past due delinquency rate decreased quarter-over-quarter, driven by the transfer of certain relationships and associated mortgage loans to Retail Banking from Wealth, and increased year-over-year, driven by consumer mortgages enrolled in forbearance programs related to the California wildfires.
| |
| Wealth | |
As of December 31, 2025, Wealth provided consumer mortgages, margin lending, credit cards and other lending products to customer segments that range from affluent to ultra-high net worth through the Private Bank, Citigold and Wealth at Work businesses. These customer segments represent a target market that is characterized by historically low default rates and delinquencies and includes loans that are delinquency managed or classifiably managed. The delinquency-managed portfolio consists primarily of mortgages and credit cards.
As of December 31, 2025, approximately $48 billion, or 32%, of the portfolios were classifiably managed and primarily consisted of margin loans, commercial real estate loans, personal and small business loans and other lending programs. These classifiably managed loans are primarily evaluated for credit risk based on their internal risk rating, of which 69% were rated investment grade. The 90+ days past due delinquency rates shown in the chart above were calculated only for the delinquency-managed portfolio, while the net credit loss rates were calculated using net credit losses for both the delinquency and classifiably managed portfolios.
As presented in the chart above, the fourth quarter of 2025 net credit loss rate in Wealth decreased quarter-over-quarter, primarily driven by write-downs of mortgage loans to their collateral value due to the impact of the California wildfires in the previous quarter, and was broadly stable year-over-year. 
The 90+ days past due delinquency rate decreased quarter-over-quarter, largely driven by the resumption of payments on consumer mortgages exiting forbearance programs related to the California wildfires. The 90+ days past due delinquency rate increased year-over-year, driven by consumer mortgages that enrolled in forbearance programs related to the California wildfires. The low net credit loss and 90+ days past due delinquency rates continued to reflect the strong credit profiles of the portfolios.
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| |
| Mexico Consumer | |
Mexico Consumer provides credit cards, consumer mortgages and small business and personal loans. Mexico Consumer serves a mass-market segment in Mexico and focuses on developing multiproduct relationships with customers.
As of December 31, 2025, approximately 40% of Mexico Consumers EOP loans consisted of credit card loans, which largely drives the overall credit performance of the Mexico Consumer portfolios, as the cards net credit losses represented approximately 60% of total Mexico Consumer net credit losses for the fourth quarter of 2025.
As presented in the chart above, the fourth quarter of 2025 net credit loss rate in Mexico Consumer increased quarter-over-quarter and year-over-year, driven by the ongoing normalization of loss and delinquency rates from post-pandemic lows. 
The 90+ days past due delinquency rate increased quarter-over-quarter, largely driven by seasonality and the ongoing normalization of loss and delinquency rates from post-pandemic lows. The 90+ days past due delinquency rate increased year-over-year, primarily driven by the ongoing normalization of loss and delinquency rates from post-pandemic lows.
For additional details on provisions, loan delinquency and other information for Citis consumer loan portfolios, see the results of operations for USPB, Wealth and All Other above and Note 15.
U.S. Cards FICO Distribution
The following tables present the current FICO score distributions for Citis Branded Cards and Retail Services portfolios based on end-of-period receivables. FICO scores are updated as they become available.
Branded Cards
| |
| FICO distribution(1) | Dec. 31, 2025 | Sep. 30, 2025 | Dec. 31, 2024 | |
| 740 | 55 | % | 55 | % | 56 | % | |
| 660739 | 33 | 34 | 33 | |
| < 660 | 12 | 11 | 11 | |
| Total | 100 | % | 100 | % | 100 | % | |
Retail Services
| |
| FICO distribution(1) | Dec. 31, 2025 | Sep. 30, 2025 | Dec. 31, 2024 | |
| 740 | 37 | % | 36 | % | 36 | % | |
| 660739 | 41 | 41 | 41 | |
| < 660 | 22 | 23 | 23 | |
| Total | 100 | % | 100 | % | 100 | % | |
(1)Excludes immaterial balances for Canada and for customers for which no FICO scores are available. 
The FICO distribution of both Branded Cards and Retail Services portfolios remained largely unchanged quarter-over-quarter and year-over-year. The FICO distribution continued to reflect the strong underlying credit quality of the portfolios. See Note 15 for additional information on FICO scores.
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Additional Consumer Credit Details
Consumer Loan Delinquencies Amounts and Ratios
| |
| | EOPloans(1) | 90+ days past due(2) | 3089days past due(2) | |
| December 31, | December 31, | December 31, | |
| In millions of dollars, except EOP loan amounts in billions | 2025 | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | |
| Wealth delinquency-managed loans(3) | $ | 101.7 | $ | 329 | $ | 260 | $ | 191 | $ | 247 | $ | 242 | $ | 312 | |
| Ratio | 0.32 | % | 0.25 | % | 0.18 | % | 0.24 | % | 0.23 | % | 0.30 | % | |
| Wealth classifiably managed loans(4) | $ | 48.3 | N/A | N/A | N/A | N/A | N/A | N/A | |
| USPB(5)(6) | |
| Total | $ | 231.8 | $ | 2,763 | $ | 2,871 | $ | 2,635 | $ | 2,673 | $ | 2,604 | $ | 2,563 | |
| Ratio | 1.19 | % | 1.30 | % | 1.26 | % | 1.16 | % | 1.18 | % | 1.23 | % | |
| Credit cards and personal installment loans total (d+b) | 177.5 | 2,567 | 2,726 | 2,475 | 2,424 | 2,384 | 2,336 | |
| Ratio | 1.45 | % | 1.56 | % | 1.47 | % | 1.37 | % | 1.36 | % | 1.39 | % | |
| Credit cards total (a+c) = (d)(6) | $ | 173.7 | $ | 2,545 | $ | 2,705 | $ | 2,461 | $ | 2,373 | $ | 2,333 | $ | 2,293 | |
| Ratio | 1.47 | % | 1.58 | % | 1.49 | % | 1.37 | % | 1.36 | % | 1.39 | % | |
| Branded Cards (a+b) | $ | 125.3 | $ | 1,418 | $ | 1,404 | $ | 1,208 | $ | 1,378 | $ | 1,261 | $ | 1,186 | |
| Ratio | 1.13 | % | 1.16 | % | 1.06 | % | 1.10 | % | 1.04 | % | 1.04 | % | |
| Credit cards (a) | 121.5 | 1,396 | 1,383 | 1,194 | 1,327 | 1,210 | 1,143 | |
| Ratio | 1.15 | % | 1.18 | % | 1.07 | % | 1.09 | % | 1.03 | % | 1.03 | % | |
| Personal installment loans (b) | 3.8 | 22 | 21 | 14 | 51 | 51 | 43 | |
| Ratio | 0.58 | % | 0.55 | % | 0.42 | % | 1.34 | % | 1.34 | % | 1.30 | % | |
| Retail Services (c) | $ | 52.2 | $ | 1,149 | $ | 1,322 | $ | 1,267 | $ | 1,046 | $ | 1,123 | $ | 1,150 | |
| Ratio | 2.20 | % | 2.46 | % | 2.36 | % | 2.00 | % | 2.09 | % | 2.15 | % | |
| Retail Banking(5) | $ | 54.3 | $ | 196 | $ | 145 | $ | 160 | $ | 249 | $ | 220 | $ | 227 | |
| Ratio | 0.36 | % | 0.31 | % | 0.39 | % | 0.46 | % | 0.48 | % | 0.56 | % | |
| All Other | |
| Total | $ | 26.7 | $ | 448 | $ | 341 | $ | 407 | $ | 420 | $ | 329 | $ | 384 | |
| Ratio | 1.69 | % | 1.44 | % | 1.43 | % | 1.58 | % | 1.39 | % | 1.35 | % | |
| Mexico Consumer | 22.5 | 387 | 246 | 252 | 358 | 242 | 252 | |
| Ratio | 1.72 | % | 1.43 | % | 1.35 | % | 1.59 | % | 1.41 | % | 1.35 | % | |
| Asia Consumer(7) | 2.5 | 14 | 23 | 51 | 15 | 27 | 59 | |
| Ratio | 0.56 | % | 0.49 | % | 0.69 | % | 0.60 | % | 0.57 | % | 0.80 | % | |
| Legacy Holdings Assets (consumer)(8) | 1.7 | 47 | 72 | 104 | 47 | 60 | 73 | |
| Ratio | 3.13 | % | 4.00 | % | 4.33 | % | 3.13 | % | 3.33 | % | 3.04 | % | |
| Total Citigroup consumer | $ | 408.5 | $ | 3,540 | $ | 3,472 | $ | 3,233 | $ | 3,340 | $ | 3,175 | $ | 3,259 | |
| Ratio | 0.98 | % | 0.99 | % | 0.94 | % | 0.93 | % | 0.91 | % | 0.95 | % | |
(1)End-of-period (EOP) loans include interest and fees on credit cards.
(2)The ratios of 90+ days past due and 3089days past due are calculated based on EOP loans, net of unearned income.
(3)Excludes EOP classifiably managed Private Bank loans. These loans are not included in the delinquency numerator, denominator and ratios.
(4)These loans are evaluated for non-accrual status and write-off primarily based on their internal risk classification and not solely on their delinquency status, and, therefore, delinquency metrics are excluded from this table. As of December 31, 2025, 2024 and 2023, 69%, 72% and 85% of Wealth classifiably managed loans were rated investment grade. For additional information on the credit quality of the Wealth portfolio, including classifiably managed portfolios, see Consumer Credit Trends above.
(5)The 90+ days past due and 3089days past due and related ratios for Retail Banking exclude loans guaranteed by U.S. government-sponsored agencies since the potential risk of loss predominantly resides with the U.S. government-sponsored agencies. The amounts excluded for loans 90+ days past due and (EOP loans) were $61 million ($0.4 billion), $69 million ($0.5 billion) and $63 million ($0.5 billion) at December 31, 2025, 2024 and 2023, respectively. The amounts excluded for loans 3089days past due (the 3089 days past due EOP loans have the same adjustments as the 90+ days past due EOP loans) were $60 million, $66 million and $73million at December 31, 2025, 2024 and 2023, respectively. The EOP loans in the table include the guaranteed loans.
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(6)The 90+ days past due balances for Branded Cards and Retail Services are generally still accruing interest. Citis policy is generally to accrue interest on credit card loans until 180days past due, unless notification of bankruptcy filing has been received earlier.
(7)Asia Consumer loan balances and the related delinquencies, reported within All OtherLegacy Franchises, include the three remaining Asia Consumer loan portfolios: Korea, Poland (through the first quarter of 2025) and Russia until the completion of its consumer loan portfolio wind-down in the second quarter of 2025. During the second quarter of 2025, Citis Poland consumer banking business was classified as HFS as a result of Citis agreement to sell the business. Accordingly, the Poland consumer loans are recorded in Other assets on the Consolidated Balance Sheet. As a result, the Poland consumer loans and related delinquencies are not included in this table for 2025. See Agreement to Sell Poland Consumer Banking Business in Note 2. 
(8)The 90+ days past due and 3089 days past due and related ratios exclude U.S. mortgage loans that are primarily related to U.S. mortgages guaranteed by U.S. government-sponsored agencies since the potential risk of loss predominantly resides with the U.S. agencies. The amounts excluded for 90+ days past due and (EOP loans) were $65 million ($0.2 billion), $66 million ($0.2 billion) and $67 million ($0.2billion) at December 31, 2025, 2024 and 2023, respectively. The amounts excluded for loans 3089days past due (the 3089 days past due EOP loans have the same adjustments as the 90+ days past due EOP loans) were $29 million, $34 million and $36million at December 31, 2025, 2024 and 2023, respectively. The EOP loans in the table include the guaranteed loans.
N/ANot applicable
Consumer Loan Net Credit Losses (NCLs) and Ratios
| |
| | Average loans(1) | Net credit losses(2) | |
| In millions of dollars, except average loan amounts in billions | 2025 | 2025 | 2024 | 2023 | |
| Wealth | $ | 148.8 | $ | 170 | $ | 121 | $ | 98 | |
| Ratio | 0.11 | % | 0.08 | % | 0.07 | % | |
| USPB | |
| Total | $ | 219.8 | $ | 7,431 | $ | 7,579 | $ | 5,234 | |
| Ratio | 3.38 | % | 3.62 | % | 2.72 | % | |
| Credit cards and personal installment loans total (d+b) | 169.8 | 7,290 | 7,457 | 5,124 | |
| Ratio | 4.29 | % | 4.51 | % | 3.32 | % | |
| Credit cards total (a+c) = (d) | $ | 166.0 | $ | 7,057 | $ | 7,245 | $ | 4,981 | |
| Ratio | 4.25 | % | 4.48 | % | 3.29 | % | |
| Branded Cards (a+b) | $ | 119.2 | $ | 4,392 | $ | 4,227 | $ | 2,807 | |
| Ratio | 3.68 | % | 3.71 | % | 2.68 | % | |
| Credit cards (a) | 115.4 | 4,159 | 4,015 | 2,664 | |
| Ratio | 3.60 | % | 3.64 | % | 2.62 | % | |
| Personal installment loans (b) | 3.8 | 233 | 212 | 143 | |
| Ratio | 6.13 | % | 5.89 | % | 4.93 | % | |
| Retail Services (c) | $ | 50.6 | $ | 2,898 | $ | 3,230 | $ | 2,317 | |
| Ratio | 5.73 | % | 6.27 | % | 4.64 | % | |
| Retail Banking | $ | 50.0 | $ | 141 | $ | 122 | $ | 110 | |
| Ratio | 0.28 | % | 0.28 | % | 0.29 | % | |
| All OtherLegacy Franchises (managed basis)(3) | |
| Total | $ | 25.1 | $ | 1,131 | $ | 896 | $ | 861 | |
| Ratio | 4.51 | % | 3.41 | % | 2.94 | % | |
| Mexico Consumer | 19.7 | 1,095 | 828 | 682 | |
| Ratio | 5.56 | % | 4.52 | % | 4.01 | % | |
| Asia Consumer (managed basis)(3)(4) | 3.5 | 49 | 67 | 198 | |
| Ratio | 1.40 | % | 1.14 | % | 2.08 | % | |
| Legacy Holdings Assets (consumer) | 1.9 | (13) | 1 | (19) | |
| Ratio | (0.68) | % | 0.05 | % | (0.68) | % | |
| Reconciling Items(3) | $ | | $ | 7 | $ | (6) | |
| Total Citigroup | $ | 393.7 | $ | 8,732 | $ | 8,603 | $ | 6,187 | |
| Ratio | 2.22 | % | 2.24 | % | 1.66 | % | |
(1)Average loans include interest and fees on credit cards.(2)The ratios of net credit losses are calculated based on average loans, net of unearned income.(3)All Other (managed basis) excludes divestiture-related impacts (Reconciling Items) related to (i) Citis divestitures of its Asia Consumer businesses and (ii) theongoing divestiture of Banamex, within Legacy Franchises. The Reconciling Items are reflected in Citis Consolidated Statement of Income. See All OtherDivestiture-Related Impacts (Reconciling Items) above.(4)Asia Consumer NCLs and average loan balances, reported within All OtherLegacy Franchises, include the three remaining Asia Consumer loan portfolios: Korea, Poland (through the first quarter of 2025) and Russia until the completion of its consumer loan portfolio wind-down in the second quarter of 2025. Citis Poland consumer banking business was classified as HFS during the second quarter of 2025 as a result of Citis agreement to sell the business. In accordance with 81 HFS accounting treatment, the Poland consumer average loans of approximately $1 billion in 2025 are recorded in Other assets on the Consolidated Balance Sheet, and the related NCLs of approximately $1 million in 2025 are recorded as a reduction to Other revenue. Other Asia Consumer businesses classified as HFS in Other assets and Other liabilities on the Consolidated Balance Sheet include approximately $0 million and $25 million in NCLs recorded as reductions to Other revenue in 2024 and 2023, respectively. Accordingly, these NCLs are not included in this table. See Note 2.Loan Maturities and Fixed/Variable Pricing of Consumer LoansLoan Maturities
| |
| In millions of dollars at December31, 2025 | Due within1 year | Greater than 1 yearbut within5 years | Greater than 5 years but within 15 years | Greater than 15 years | Total | |
| In North America offices | |
| Residential first mortgages | $ | 7 | $ | 277 | $ | 2,544 | $ | 116,561 | $ | 119,389 | |
| Home equity loans | 3 | 8 | 1,034 | 1,827 | 2,872 | |
| Credit cards(1) | 170,896 | 2,760 | | | 173,656 | |
| Personal, small business and other | 17,005 | 14,928 | 1,108 | 170 | 33,211 | |
| Total | $ | 187,911 | $ | 17,973 | $ | 4,686 | $ | 118,558 | $ | 329,128 | |
| In offices outside North America | |
| Residential mortgages | $ | 263 | $ | 418 | $ | 4,207 | $ | 19,153 | $ | 24,041 | |
| Credit cards(1) | 14,666 | 35 | | | 14,701 | |
| Personal, small business and other | 31,880 | 7,270 | 174 | 996 | 40,320 | |
| Total | $ | 46,809 | $ | 7,723 | $ | 4,381 | $ | 20,149 | $ | 79,062 | |
| Total Consumer | $ | 234,720 | $ | 25,696 | $ | 9,067 | $ | 138,707 | $ | 408,190 | |
(1)Credit card loans with maturities greater than one year represent loan modifications to borrowers experiencing financial difficulty and are at fixed interest rates.Fixed/Variable Pricing
| |
| In millions of dollars at December31, 2025 | Greater than 1 yearbut within5 years | Greater than 5 years but within 15 years | Greater than 15 years | |
| Loans at fixed interest rates | |
| Residential first mortgages | $ | 346 | $ | 3,982 | $ | 69,374 | |
| Home equity loans | 4 | 187 | 22 | |
| Credit cards(1) | 2,795 | | | |
| Personal, small business and other | 8,605 | 323 | 150 | |
| Total | $ | 11,750 | $ | 4,492 | $ | 69,546 | |
| Loans at floating or adjustable interest rates | |
| Residential first mortgages | $ | 349 | $ | 2,769 | $ | 66,340 | |
| Home equity loans | 4 | 847 | 1,805 | |
| |
| Personal, small business and other | 13,593 | 959 | 1,016 | |
| Total | $ | 13,946 | $ | 4,575 | $ | 69,161 | |
| Total Consumer | $ | 25,696 | $ | 9,067 | $ | 138,707 | |
(1)Credit card loans with maturities greater than one year represent loan modifications to borrowers experiencing financial difficulty and are at fixed interest rates.82 ADDITIONAL CONSUMER AND CORPORATE CREDIT DETAILSLoans Outstanding 
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | 2023 | 2022 | 2021 | |
| Consumer loans | |
| In North America offices(1) | |
| Residential first mortgages(2) | $ | 119,389 | $ | 114,593 | $ | 108,711 | $ | 96,039 | $ | 83,361 | |
| Home equity loans(2) | 2,872 | 3,141 | 3,592 | 4,580 | 5,745 | |
| Credit cards | 173,656 | 171,059 | 164,720 | 150,643 | 133,868 | |
| Personal, small business and other | 33,211 | 33,155 | 36,135 | 37,752 | 40,713 | |
| Total | $ | 329,128 | $ | 321,948 | $ | 313,158 | $ | 289,014 | $ | 263,687 | |
| In offices outside North America(1) | |
| Residential mortgages(2) | $ | 24,041 | $ | 24,456 | $ | 26,426 | $ | 28,114 | $ | 37,889 | |
| Credit cards | 14,701 | 12,927 | 14,233 | 12,955 | 17,808 | |
| Personal, small business and other | 40,320 | 33,995 | 35,380 | 37,984 | 57,150 | |
| Total | $ | 79,062 | $ | 71,378 | $ | 76,039 | $ | 79,053 | $ | 112,847 | |
| Consumer loans, net of unearned income, excluding portfolio-layer cumulative basis adjustments(3) | $ | 408,190 | $ | 393,326 | $ | 389,197 | $ | 368,067 | $ | 376,534 | |
| Unallocated portfolio-layer cumulative basis adjustments | $ | 343 | $ | (224) | $ | | $ | | $ | | |
| Consumer loans, net of unearned income(3) | $ | 408,533 | $ | 393,102 | $ | 389,197 | $ | 368,067 | $ | 376,534 | |
| Corporate loans | |
| In North America offices(1) | |
| Commercial and industrial | $ | 57,406 | $ | 57,730 | $ | 61,008 | $ | 56,176 | $ | 48,364 | |
| Financial institutions | 72,154 | 41,815 | 39,393 | 43,399 | 49,804 | |
| Mortgage and real estate(2) | 17,931 | 18,411 | 17,813 | 17,829 | 15,965 | |
| Installment and other(4) | 23,104 | 25,529 | 23,335 | 23,767 | 20,143 | |
| Lease financing | 72 | 235 | 227 | 308 | 415 | |
| Total | $ | 170,667 | $ | 143,720 | $ | 141,776 | $ | 141,479 | $ | 134,691 | |
| In offices outside North America(1) | |
| Commercial and industrial | $ | 96,886 | $ | 92,856 | $ | 93,402 | $ | 93,967 | $ | 102,735 | |
| Financial institutions | 27,054 | 27,276 | 26,143 | 21,931 | 22,158 | |
| Mortgage and real estate(2) | 9,856 | 8,136 | 7,197 | 4,179 | 4,374 | |
| Installment and other(4) | 34,100 | 25,800 | 27,907 | 23,347 | 22,812 | |
| Lease financing | 47 | 40 | 48 | 46 | 40 | |
| Governments and official institutions | 5,070 | 3,630 | 3,599 | 4,205 | 4,423 | |
| Total | $ | 173,013 | $ | 157,738 | $ | 158,296 | $ | 147,675 | $ | 156,542 | |
| Corporate loans, net of unearned income, excluding portfolio-layer cumulative basis adjustments(5) | $ | 343,680 | $ | 301,458 | $ | 300,072 | $ | 289,154 | $ | 291,233 | |
| Unallocated portfolio-layer cumulative basis adjustments | $ | 17 | $ | (72) | $ | 93 | $ | | $ | | |
| Corporate loans, net of unearned income(5) | $ | 343,697 | $ | 301,386 | $ | 300,165 | $ | 289,154 | $ | 291,233 | |
| Total loansnet of unearned income | $ | 752,230 | $ | 694,488 | $ | 689,362 | $ | 657,221 | $ | 667,767 | |
| Allowance for credit losses on loans (ACLL) | (19,247) | (18,574) | (18,145) | (16,974) | (16,455) | |
| Totalloansnetofunearnedincome andACLL | $ | 732,983 | $ | 675,914 | $ | 671,217 | $ | 640,247 | $ | 651,312 | |
| ACLL as a percentage of total loansnet of unearned income(6) | 2.58 | % | 2.71 | % | 2.66 | % | 2.60 | % | 2.49 | % | |
| ACLL for consumer loan losses as a percentage of total consumer loansnet of unearned income(6) | 3.96 | % | 4.08 | % | 3.97 | % | 3.84 | % | 3.73 | % | |
| ACLL for corporate loan losses as a percentage of total corporate loansnet of unearned income(6) | 0.91 | % | 0.87 | % | 0.93 | % | 1.01 | % | 0.85 | % | |
83 
(1)North America includes the U.S., Canada and Puerto Rico. Mexico is included in offices outside North America. The classification of corporate loans between offices in North America and outside North America is based on the domicile of the booking unit. The difference between the domicile of the booking unit and the risk-based country view is not material for the purposes of classification of corporate loans between offices in North America and outside North America.
(2)Loans secured primarily by real estate.
(3)Consumer loans are net of unearned income of $971 million, $889 million, $802 million, $712 million and $629 million at December 31, 2025, 2024, 2023, 2022 and 2021, respectively. Unearned income on consumer loans primarily represents loan origination fees, net of certain direct origination costs, that are deferred and recognized as Interest income over the lives of the related loans, except for credit cards (see Note 5).
(4)Installment and other includes loans to SPEs and TTS commercial cards.
(5)Corporate loans include Mexico SBMM loans and are net of unearned income of $(1.1) billion, $(969) million, $(917) million, $(797) million and $(770) million at December 31, 2025, 2024, 2023, 2022 and 2021, respectively. Unearned income on corporate loans primarily represents loan origination fees, net of certain direct origination costs, that are deferred and recognized as Interest income over the lives of the related loans. 
(6)Because loans carried at fair value do not have an ACLL, they are excluded from the ACLL ratio calculation.
Details of Credit Loss Experience
| |
| In millions of dollars | 2025 | 2024 | 2023 | 2022 | 2021 | |
| Allowance for credit losses on loans (ACLL) at beginning of year | $ | 18,574 | $ | 18,145 | $ | 16,974 | $ | 16,455 | $ | 24,956 | |
| Adjustments to opening balance: | |
| Financial instrumentsTDRs and vintage disclosures(1) | | | (352) | | | |
| |
| |
| Adjusted ACLL at beginning of year | $ | 18,574 | $ | 18,145 | $ | 16,622 | $ | 16,455 | $ | 24,956 | |
| Provision for credit losses on loans (PCLL) | |
| Consumer | $ | 8,690 | $ | 9,459 | $ | 7,665 | $ | 4,128 | $ | (1,159) | |
| Corporate | 807 | 267 | 121 | 617 | (1,944) | |
| Total | $ | 9,497 | $ | 9,726 | $ | 7,786 | $ | 4,745 | $ | (3,103) | |
| Gross credit losses on loans | |
| Consumer | |
| In U.S. offices | $ | 9,203 | $ | 8,989 | $ | 6,339 | $ | 3,944 | $ | 4,076 | |
| In offices outside the U.S. | 1,454 | 1,212 | 1,214 | 934 | 2,144 | |
| Corporate | |
| Commercial and industrial, and other | |
| In U.S. offices | 125 | 149 | 129 | 110 | 228 | |
| In offices outside the U.S. | 286 | 170 | 119 | 81 | 259 | |
| Loans to financial institutions | |
| In U.S. offices | | | 4 | | 1 | |
| In offices outside the U.S. | 9 | 10 | 36 | 80 | 1 | |
| Mortgage and real estate | |
| In U.S. offices | 8 | 144 | 31 | | 10 | |
| In offices outside the U.S. | 14 | 20 | 9 | 7 | 1 | |
| Total | $ | 11,099 | $ | 10,694 | $ | 7,881 | $ | 5,156 | $ | 6,720 | |
| Gross recoveries on loans | |
| Consumer | |
| In U.S. offices | $ | 1,752 | $ | 1,406 | $ | 1,124 | $ | 1,045 | $ | 1,215 | |
| In offices outside the U.S. | 173 | 192 | 242 | 222 | 496 | |
| Corporate | |
| Commercial and industrial, and other | |
| In U.S. offices | 37 | 51 | 38 | 44 | 57 | |
| In offices outside the U.S. | 36 | 35 | 37 | 46 | 54 | |
| Loans to financial institutions | |
| In U.S. offices | | 5 | | 6 | 2 | |
| In offices outside the U.S. | 4 | 4 | | 3 | 1 | |
| Mortgage and real estate | |
| In U.S. offices | | | | | | |
| In offices outside the U.S. | | 1 | 3 | 1 | | |
| Total | $ | 2,002 | $ | 1,694 | $ | 1,444 | $ | 1,367 | $ | 1,825 | |
84 
| |
| Net credit losses on loans (NCLs) | |
| In U.S. offices | $ | 7,547 | $ | 7,820 | $ | 5,341 | $ | 2,959 | $ | 3,041 | |
| In offices outside the U.S. | 1,550 | 1,180 | 1,096 | 830 | 1,854 | |
| Total | $ | 9,097 | $ | 9,000 | $ | 6,437 | $ | 3,789 | $ | 4,895 | |
| Othernet(2)(3)(4)(5)(6)(7) | $ | 273 | $ | (297) | $ | 174 | $ | (437) | $ | (503) | |
| Allowance for credit losses on loans (ACLL) at end of year | $ | 19,247 | $ | 18,574 | $ | 18,145 | $ | 16,974 | $ | 16,455 | |
| ACLL as a percentage of EOP loans(8) | 2.58 | % | 2.71 | % | 2.66 | % | 2.60 | % | 2.49 | % | |
| Allowance for credit losses on unfunded lending commitments (ACLUC)(9) | $ | 1,833 | $ | 1,601 | $ | 1,728 | $ | 2,151 | $ | 1,871 | |
| Total ACLL and ACLUC | $ | 21,080 | $ | 20,175 | $ | 19,873 | $ | 19,125 | $ | 18,326 | |
| Net consumer credit losses on loans | $ | 8,732 | $ | 8,603 | $ | 6,187 | $ | 3,611 | $ | 4,509 | |
| As a percentage of average consumer loans | 2.22 | % | 2.24 | % | 1.66 | % | 1.02 | % | 1.20 | % | |
| Net corporate credit losses on loans | $ | 365 | $ | 397 | $ | 250 | $ | 178 | $ | 386 | |
| As a percentage of average corporate loans | 0.11 | % | 0.13 | % | 0.09 | % | 0.06 | % | 0.13 | % | |
| ACLL by type at end of year(10) | |
| Consumer | $ | 16,194 | $ | 16,018 | $ | 15,431 | $ | 14,119 | $ | 14,040 | |
| Corporate | 3,053 | 2,556 | 2,714 | 2,855 | 2,415 | |
| Total | $ | 19,247 | $ | 18,574 | $ | 18,145 | $ | 16,974 | $ | 16,455 | |
(1)On January 1, 2023, Citi adopted Accounting Standards Update (ASU) 2022-02, Financial InstrumentsCredit Losses (Topic 326): TDRs and Vintage Disclosures. The ASU eliminated the accounting and disclosure requirements for TDRs, including the requirement to measure the ACLL for TDRs using a discounted cash flow (DCF) approach. On January 1, 2023, Citi recorded a $352 million decrease in the Allowance for loan losses, along with a $290 million after-tax increase to Retained earnings. See Accounting Changes in Note 1.(2)Includes all adjustments to the allowance for credit losses, such as changes in the allowance from acquisitions, dispositions, securitizations, FX translation, purchase accounting adjustments, etc.(3)2025 includes an approximate $29 million reclass related to Citis agreement to sell its Poland consumer banking business. That ACLL was transferred to Other assets. 2025 also includes an increase of approximately $273 million related to FX translation.(4)2024 includes an approximate $300 million decrease related to FX translation, as well as an initial allowance for credit losses on newly purchased credit-deteriorated assets during the year.(5)2023 includes an approximate $175 million increase related to FX translation.(6)2022 includes an approximate $350 million reclass related to the announced sales of Citis consumer banking businesses in Thailand, India, Malaysia, Taiwan, Indonesia, Bahrain and Vietnam. Also includes a decrease of approximately $100 million related to FX translation.(7)2021 includes an approximate $280 million reclass related to Citis agreement to sell its Australia consumer banking business and an approximate $90 million reclass related to Citis agreement to sell its Philippines consumer banking business. Those ACLL were reclassified to Other assets during 2021. 2021 also includes a decrease of approximately $134 million related to FX translation.(8)December 31, 2025, 2024, 2023, 2022 and 2021 exclude $6.9 billion, $8.0 billion, $7.6 billion, $5.4 billion and $6.1 billion, respectively, of loans that are carried at fair value.(9)Represents additional credit reserves recorded as Other liabilities on the Consolidated Balance Sheet.(10)The ACLL represents managements estimate of expected credit losses in the portfolio and troubled debt restructurings. See Significant Accounting Policies and Significant Estimates below. Attribution of the allowance is made for analytical purposes only and is available to absorb probable credit losses inherent in the overall portfolio. 85 Allowance for Credit Losses on Loans (ACLL)The following tables detail information on Citis ACLL, loans and coverage ratios: 
| |
| | December 31, 2025 | |
| In billions of dollars | ACLL | EOP loans, net ofunearned income | ACLL as a% of EOP loans(1) | |
| Consumer | |
| North America cards(2) | $ | 13.3 | $ | 173.7 | 7.7 | % | |
| North America personal installment loans | 0.4 | 3.8 | 10.5 | |
| North America mortgages(3) | 0.1 | 122.6 | 0.1 | |
| North America other(3) | 0.2 | 29.4 | 0.7 | |
| International cards | 1.2 | 14.7 | 8.2 | |
| International other(3) | 0.9 | 64.3 | 1.4 | |
| Total(1) | $ | 16.1 | $ | 408.5 | 4.0 | % | |
| Corporate(4) | |
| Commercial and industrial | $ | 1.8 | $ | 151.8 | 1.2 | % | |
| Financial institutions | 0.3 | 98.9 | 0.3 | |
| Mortgage and real estate(4) | 0.7 | 27.8 | 2.5 | |
| Installment and other | 0.3 | 58.4 | 0.5 | |
| Total(1) | $ | 3.1 | $ | 336.9 | 0.9 | % | |
| Loans at fair value(1) | N/A | $ | 6.9 | N/A | |
| Total Citigroup | $ | 19.2 | $ | 752.2 | 2.6 | % | |
| |
| | December 31, 2024 | |
| In billions of dollars | ACLL | EOP loans, net ofunearned income | ACLL as a% of EOP loans(1) | |
| Consumer | |
| North America cards(2) | $ | 13.6 | $ | 171.1 | 7.9 | % | |
| North America personal installment loans | 0.4 | 3.8 | 10.5 | |
| North America mortgages(3) | 0.1 | 117.2 | 0.1 | |
| North America other(3) | 0.3 | 29.4 | 1.0 | |
| International cards | 0.9 | 12.9 | 7.0 | |
| International other(3) | 0.7 | 58.4 | 1.2 | |
| Total(1) | $ | 16.0 | $ | 392.8 | 4.1 | % | |
| Corporate(4) | |
| Commercial and industrial | $ | 1.3 | $ | 148.7 | 0.9 | % | |
| Financial institutions | 0.4 | 68.4 | 0.6 | |
| Mortgage and real estate(4) | 0.7 | 26.4 | 2.7 | |
| Installment and other | 0.2 | 50.1 | 0.4 | |
| Total(1) | $ | 2.6 | $ | 293.6 | 0.9 | % | |
| Loans at fair value(1) | N/A | $ | 8.0 | N/A | |
| Total Citigroup | $ | 18.6 | $ | 694.5 | 2.7 | % | |
(1)Excludes loans carried at fair value, since they do not have an ACLL and are excluded from the ACLL ratio calculation. 
(2)Includes both Branded Cards and Retail Services. As of December31, 2025, the $13.3 billion of ACLL represented approximately 24months of coincident net credit loss coverage (based on fourth quarter of 2025 NCLs). As of December31, 2025, Branded Cards ACLL as a percentage of EOP loans was 6.3% and Retail Services ACLL as a percentage of EOP loans was 10.8%. As of December31, 2024, the $13.6 billionof ACLL represented approximately 22months of coincident net credit loss coverage (based on fourth quarter of 2024 NCLs). As of December31, 2024, Branded Cards ACLL as a percentage of EOP loans was 6.4% and Retail Services ACLL as a percentage of EOP loans was 11.3%.
(3)Includes residential mortgages, retail loans and personal, small business and other loans, including those extended through the Private Bank network.
(4)The above corporate loan classifications are broadly based on the loans collateral, purpose and type of borrower, which may be different from the following industry table. For example, commercial and industrial, financial institutions, and installment and other loan classifications include various forms of loans to borrowers across multiple industries, whereas mortgage and real estate includes loans secured primarily by real estate.
N/A Not applicable
86 
The following table details Citis corporate credit ACLL by industry exposure:
| |
| |
| | December 31, 2025 | |
| In millions of dollars, except percentages | Funded exposure(1)(3) | ACLL | ACLL as a % of funded exposure | |
| Banks and finance companies | $ | 73,206 | $ | 257 | 0.4 | % | |
| Real estate(2) | 62,776 | 709 | 1.1 | |
| Commercial | 44,387 | 682 | 1.5 | |
| Residential | 18,389 | 26 | 0.1 | |
| Transportation and industrials | 58,014 | 614 | 1.1 | |
| Technology, media and telecom | 34,144 | 354 | 1.0 | |
| Consumer retail | 34,119 | 298 | 0.9 | |
| Power, chemicals, metals and mining | 18,695 | 381 | 2.0 | |
| Public sector | 17,063 | 67 | 0.4 | |
| Energy and commodities | 12,686 | 171 | 1.3 | |
| Asset managers and funds | 10,642 | 42 | 0.4 | |
| Healthcare | 8,076 | 102 | 1.3 | |
| Insurance | 3,657 | 15 | 0.4 | |
| Securities firms | 154 | 3 | 1.9 | |
| Financial markets infrastructure | 151 | | | |
| Other industries(4) | 3,510 | 40 | 1.1 | |
| Total(5) | $ | 336,893 | $ | 3,053 | 0.9 | % | |
(1)Funded exposure excludes loans carried at fair value of $6.8 billion that are not subject to the ACLL.
(2)As of December31, 2025, the portion of the ACLL attributed to the total funded CRE exposure (including the Private Bank) was approximately 1.4%.
(3)Includes $0.7 billion of funded exposure at December31, 2025, primarily related to commercial credit card delinquency-managed loans. 
(4)Includes the impact of FX translation on the ACLL that is not allocated to individual industries. 
(5)As of December31, 2025, the ACLL above reflects coverage of 0.3% of funded investment-grade exposure and 2.6% of funded non-investment-grade exposure.
The following table details Citis corporate credit ACLL by industry exposure: 
| |
| |
| | December 31, 2024 | |
| In millions of dollars, except percentages | Funded exposure(1)(3) | ACLL | ACLL as a % of funded exposure | |
| Transportation and industrials | $ | 57,166 | $ | 460 | 0.8 | % | |
| Banks and finance companies | 56,716 | 307 | 0.5 | |
| Real estate(2) | 53,186 | 717 | 1.3 | |
| Commercial | 36,200 | 645 | 1.8 | |
| Residential | 16,986 | 72 | 0.4 | |
| Consumer retail | 32,212 | 258 | 0.8 | |
| Technology, media and telecom | 29,534 | 238 | 0.8 | |
| Power, chemicals, metals and mining | 18,504 | 257 | 1.4 | |
| Public sector | 13,209 | 47 | 0.4 | |
| Energy and commodities | 11,686 | 136 | 1.2 | |
| Healthcare | 8,537 | 77 | 0.9 | |
| Asset managers and funds | 5,258 | 28 | 0.5 | |
| Insurance | 2,115 | 8 | 0.4 | |
| Securities firms | 590 | 9 | 1.5 | |
| Financial markets infrastructure | 181 | 1 | 0.6 | |
| Other industries(4) | 4,733 | 13 | 0.3 | |
| Total(5) | $ | 293,627 | $ | 2,556 | 0.9 | % | |
(1)Funded exposure excludes loans carried at fair value of $7.8 billion that are not subject to the ACLL.
(2)As of December31, 2024, the portion of the ACLL attributed to the total funded CRE exposure (including the Private Bank) was approximately 1.6%.
(3)Includes $0.6 billion of funded exposure at December31, 2024, primarily related to commercial credit card delinquency-managed loans. 
(4)Includes the impact of FX translation on the ACLL that is not allocated to individual industries. 
(5)As of December31, 2024, the ACLL above reflects coverage of 0.4% of funded investment-grade exposure and 2% of funded non-investment-grade exposure.
87 
Non-Accrual Loans and Assets
There is a certain amount of overlap among non-accrual loans and assets. The following summary provides a general description of non-accrual loans and assets:
Corporate and consumer (including commercial banking) non-accrual status is based on the determination that payment of interest or principal is doubtful.
A corporate loan may be classified as non-accrual and still be current on principal and interest payments under the terms of the loan structure. 
Consumer non-accrual status is generally based on aging, i.e.,the borrower has fallen behind on payments, including borrowers who have enrolled in forbearance programs.
Consumer mortgage loans, other than Federal Housing Administration (FHA)insured loans, are classified as non-accrual within 60 days of notification that the borrower has filed for bankruptcy. Uninsured consumer mortgage loans are classified as non-accrual if the loan is 90 days or more past due. In addition, home equity loans are classified as non-accrual if the related residential first mortgage loan is 90 days or more past due.
With the exception of certain international portfolios, credit card loans are not included because, under industry standards, they accrue interest until such loans are charged off, which typically occurs at 180days of contractual delinquency.
88 
Non-Accrual Loans
The table below summarizes Citigroups non-accrual loans (NAL) as of the periods indicated. Non-accrual loans may still be current on interest payments. In situations where Citi reasonably expects that none or only a portion of the principal owed will ultimately be collected, all payments received are reflected as a reduction of principal and not as interest income. For all other non-accrual loans, cash interest receipts are generally recorded as revenue.
The increase in corporate non-accrual loans at December31, 2025 was driven by idiosyncratic credit downgrades. The increase in consumer non-accrual loans at December31, 2025 was driven by residential mortgage loans impacted by the California wildfires and higher loan balances and the impact of FX translation in Mexico Consumer.
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | 2023 | 2022 | 2021 | |
| Corporate non-accrual loans by region(1)(2)(3) | |
| North America | $ | 1,145 | $ | 757 | $ | 978 | $ | 138 | $ | 510 | |
| International | 856 | 620 | 904 | 984 | 1,043 | |
| Total | $ | 2,001 | $ | 1,377 | $ | 1,882 | $ | 1,122 | $ | 1,553 | |
| International NAL by cluster | |
| United Kingdom | $ | 127 | $ | 190 | $ | 268 | $ | 288 | $ | 227 | |
| Japan, Asia North and Australia (JANA) | 9 | 22 | 70 | 50 | 82 | |
| LATAM | 576 | 301 | 367 | 429 | 568 | |
| Asia South | 29 | 17 | 35 | 3 | 26 | |
| Europe | 100 | 58 | 139 | 117 | 88 | |
| Middle East, Africa and Russia (MEA) | 15 | 32 | 25 | 97 | 52 | |
| Corporate non-accrual loans(1)(2)(3) | |
| Banking | $ | 919 | $ | 498 | $ | 799 | $ | 757 | $ | 1,166 | |
| Services | 337 | 65 | 103 | 153 | 70 | |
| Markets | 622 | 715 | 791 | 3 | 71 | |
| Mexico SBMM and AFG | 123 | 99 | 189 | 209 | 246 | |
| Total | $ | 2,001 | $ | 1,377 | $ | 1,882 | $ | 1,122 | $ | 1,553 | |
| Consumer non-accrual loans(1) | |
| Wealth | $ | 526 | $ | 404 | $ | 288 | $ | 259 | $ | 336 | |
| USPB | 343 | 290 | 291 | 282 | 344 | |
| Mexico Consumer | 585 | 411 | 479 | 457 | 524 | |
| Asia Consumer(4) | 15 | 19 | 22 | 30 | 209 | |
| Legacy Holdings Assets (consumer) | 149 | 186 | 235 | 289 | 413 | |
| Total | $ | 1,618 | $ | 1,310 | $ | 1,315 | $ | 1,317 | $ | 1,826 | |
| Total non-accrual loans | $ | 3,619 | $ | 2,687 | $ | 3,197 | $ | 2,439 | $ | 3,379 | |
(1)Corporate loans are placed on non-accrual status based on a review by Citigroups risk officers. Corporate non-accrual loans may still be current on interest payments. With limited exceptions, the following practices are applied for consumer loans: consumer loans, excluding credit cards and mortgages, are placed on non-accrual status at 90 days past due and are charged off at 120 days past due; residential mortgage loans are placed on non-accrual status at 90 days past due and written down to net realizable value at 180 days past due. Consistent with industry conventions, Citigroup generally accrues interest on credit card loans until such loans are charged off, which typically occurs at 180 days contractual delinquency. As such, the non-accrual loan disclosures do not include credit card loans, with the exception of certain international portfolios. The balances above represent non-accrual loans within Corporate loans and Consumer loans on the Consolidated Balance Sheet.(2)Approximately 70%, 61%, 50%, 50% and 56% of Citis corporate non-accrual loans remain current on interest and principal payments at December31, 2025, 2024, 2023, 2022 and 2021, respectively.(3)The December31, 2025 total corporate non-accrual loans represented 0.58% of total corporate loans. (4)Asia Consumer includes the three remaining consumer loan portfolios: Korea, Poland (through the first quarter of 2025) and Russia until the completion of its consumer loan portfolio wind-down in the second quarter of 2025. 89 The changes in Citigroups non-accrual loans were as follows: 
| |
| Year ended | Year ended | |
| December 31, 2025 | December 31, 2024 | |
| Inmillionsofdollars | Corporate | Consumer | Total | Corporate | Consumer | Total | |
| Non-accrual loans at beginning of year | $ | 1,377 | $ | 1,310 | $ | 2,687 | $ | 1,882 | $ | 1,315 | $ | 3,197 | |
| Additions | 2,425 | 2,599 | 5,024 | 1,517 | 1,966 | 3,483 | |
| Sales and transfers to HFS | (124) | (17) | (141) | (443) | (14) | (457) | |
| Returned to performing | | (378) | (378) | (269) | (206) | (475) | |
| Paydowns/settlements | (1,277) | (553) | (1,830) | (934) | (531) | (1,465) | |
| Charge-offs | (400) | (1,414) | (1,814) | (372) | (951) | (1,323) | |
| Other | | 71 | 71 | (4) | (269) | (273) | |
| Ending balance | $ | 2,001 | $ | 1,618 | $ | 3,619 | $ | 1,377 | $ | 1,310 | $ | 2,687 | |
The table below summarizes Citigroups other real estate owned (OREO) assets. OREO is recorded on the Consolidated Balance Sheet within Other assets. This represents the carrying value of all real estate property acquired by foreclosure or other legal proceedings when Citi has taken possession of the collateral:
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | 2023 | 2022 | 2021 | |
| OREO | |
| North America | $ | 14 | $ | 9 | $ | 17 | $ | 10 | $ | 15 | |
| International(1) | 8 | 9 | 19 | 5 | 12 | |
| Total OREO | $ | 22 | $ | 18 | $ | 36 | $ | 15 | $ | 27 | |
| |
| Non-accrual assets | |
| Corporate non-accrual loans | $ | 2,001 | $ | 1,377 | $ | 1,882 | $ | 1,122 | $ | 1,553 | |
| Consumer non-accrual loans | 1,618 | 1,310 | 1,315 | 1,317 | 1,826 | |
| Non-accrual loans (NAL) | $ | 3,619 | $ | 2,687 | $ | 3,197 | $ | 2,439 | $ | 3,379 | |
| OREO | 22 | 18 | 36 | 15 | 27 | |
| Non-accrual assets (NAA) | $ | 3,641 | $ | 2,705 | $ | 3,233 | $ | 2,454 | $ | 3,406 | |
| NAL as a percentage of total loans | 0.48 | % | 0.39 | % | 0.46 | % | 0.37 | % | 0.51 | % | |
| NAA as a percentage of total assets | 0.14 | 0.11 | 0.13 | 0.10 | 0.15 | |
| ACLL as a percentage of NAL(2) | 532 | 691 | 568 | 696 | 487 | |
(1)The International OREO details by cluster are not provided due to the immateriality of such amounts.(2)The ACLL includes the allowance for Citis credit card portfolios and purchased credit-deteriorated loans, while the non-accrual loans exclude credit card balances (with the exception of certain international portfolios). 90 LIQUIDITY RISKOverviewAdequate and diverse sources of funding and liquidity are essential to Citis businesses. Funding and liquidity risks arise from several factors, many of which are largely outside of Citis control, such as disruptions in the financial markets, changes in key funding sources, credit spreads, changes in Citis credit ratings and macroeconomic, geopolitical and other conditions. For additional information, see Risk FactorsLiquidity Risks above.Citis funding and liquidity management objectives are aimed at:funding its existing asset base;growing its core businesses;maintaining sufficient liquidity, structured appropriately, so that Citi can operate under a variety of adverse circumstances, including potential Company-specific and/or market liquidity events in varying durations and severity; and satisfying regulatory requirements, including, but not limited to, those related to resolution planning (see Resolution Plan and Total Loss-Absorbing Capacity (TLAC) below). Citigroups primary liquidity objectives are established by entity, and in aggregate, across two major categories:Citibank (including Citibank Europe plc, Citibank Singapore Ltd. and Citibank (Hong Kong) Ltd.); andCitis non-bank and other entities, including the parent holding company (Citigroup Inc.), Citis primary intermediate holding company (Citicorp LLC), Citis broker-dealer subsidiaries (including Citigroup Global Markets Inc., Citigroup Global Markets Limited and Citigroup Global Markets Japan Inc.) and other bank and non-bank subsidiaries that are consolidated into Citigroup (including Banamex).At an aggregate Citigroup level, Citis goal is to maintain sufficient funding in amount and tenor to fully fund customer assets and to provide an appropriate amount of cash and high-quality liquid assets (as discussed below), even in times of stress, in order to meet its payment obligations as they come due. Citis liquidity risk management framework provides that, in addition to the aggregate requirements, certain entities be self-sufficient or net providers of liquidity, including in conditions established under their designated stress tests.Citis primary funding sources include the following:corporate and consumer deposits via Citis bank subsidiaries, including Citibank, N.A. (Citibank)long-term debt (primarily senior and subordinated debt) mainly issued by Citigroup Inc., as the parent, and Citibankstockholders equityThese sources are supplemented by short-term borrowings, primarily in the form of secured funding transactions.Citis funding and liquidity framework, working in concert with overall asset/liability management, helps ensure that there is sufficient liquidity and tenor in the overall liability structure (including funding products) of the Company relative to the liquidity and tenor of Citis assets. This reduces the risk that liabilities will become due before assets mature or are monetized. The Company holds excess liquidity, primarily in the form of high-quality liquid assets (HQLA), as presented in the table below. Citis liquidity is managed centrally by Corporate Treasury, reported within Corporate/Other in All Other, in conjunction with cluster and in-country treasurers with oversight provided by Independent Risk Management and various Asset and Liability Committees (ALCOs) and Country Coordinating Committee at the individual entity, cluster, country and business levels. Pursuant to this approach, Citis HQLA are managed with emphasis on asset/liability management and entity-level liquidity adequacy throughout Citi.Citis CRO and CFO co-chair Citigroups ALCO, which includes Citis Treasurer and other senior executives. The ALCO sets the strategy of the liquidity portfolio and monitors portfolio performance (see Risk GovernanceBoard and Executive Management Committees above). Significant changes to portfolio asset allocations are approved by the ALCO. Citi also has other ALCOs, which are established at various organizational levels to ensure appropriate oversight for individual entities, countries, franchise businesses and regions, serving as the primary governance committees for managing Citis balance sheet and liquidity.As a supplement to Citigroups ALCO, Citis Funding and Liquidity Risk Committee (FLRC) is focused on funding and liquidity risk matters. The FLRC reviews and discusses the funding and liquidity risk profile of, as well as risk management practices for, Citigroup and Citibank and reports its findings and recommendations to each relevant ALCO as appropriate. Liquidity Monitoring and Measurement Stress Testing Liquidity stress testing is performed for each of Citis major entities, operating subsidiaries and countries. Stress testing and scenario analyses are intended to quantify the potential impact of an adverse liquidity event on the balance sheet and liquidity position, in order to have sufficient liquidity on hand to manage through such an event. These scenarios include assumptions about significant changes in key funding sources, market triggers (such as credit ratings), potential uses of funding and macroeconomic, geopolitical and other conditions. These conditions include expected and stressed market conditions as well as Company-specific events.Liquidity stress tests are performed to ascertain potential mismatches between liquidity sources and uses over a variety of time horizons and over different stressed conditions. To monitor the liquidity of an entity, these stress tests and potential mismatches are calculated on a daily basis. Given the range of potential stresses, Citi maintains contingency funding plans on a consolidated basis and for individual entities. These plans specify a wide range of readily available actions for a variety of adverse market conditions or idiosyncratic stresses.91 High-Quality Liquid Assets (HQLA) 
| |
| Citibank | Citi non-bank and other entities | Total | |
| In billions of dollars | Dec. 31, 2025 | Sep. 30, 2025 | Dec. 31, 2024 | Dec. 31, 2025 | Sep. 30, 2025 | Dec. 31, 2024 | Dec. 31, 2025 | Sep. 30, 2025 | Dec. 31, 2024 | |
| Available cash | $ | 267.2 | $ | 270.1 | $ | 227.1 | $ | 7.3 | $ | 8.6 | $ | 7.7 | $ | 274.5 | $ | 278.7 | $ | 234.8 | |
| U.S. sovereign | 179.9 | 161.3 | 191.2 | 52.3 | 50.5 | 46.8 | 232.2 | 211.8 | 238.0 | |
| U.S. agency/agency MBS | 32.7 | 32.2 | 26.6 | 1.6 | 1.8 | 2.1 | 34.3 | 34.0 | 28.7 | |
| Foreign government debt(1) | 49.7 | 53.0 | 44.2 | 16.5 | 10.9 | 12.6 | 66.2 | 63.9 | 56.8 | |
| Other investment grade | | | | | | 0.1 | | | 0.1 | |
| Total HQLA (AVG) | $ | 529.5 | $ | 516.6 | $ | 489.1 | $ | 77.7 | $ | 71.8 | $ | 69.3 | $ | 607.2 | $ | 588.4 | $ | 558.4 | |
(1) Foreign government debt includes securities issued or guaranteed by foreign sovereigns, agencies and multilateral development banks. Foreign government debt securities are held largely to support local liquidity requirements and Citis local franchises and principally include government bonds from Japan, Mexico, Korea, the United Kingdom and China.The table above includes average amounts of HQLA held at Citigroups operating entities that are eligible for inclusion in the calculation of Citigroups consolidated LCR, pursuant to the U.S. LCR rules. These amounts include the HQLA needed to meet the minimum requirements at these entities as well as any amounts in excess of these minimums that are available to be transferred to other entities within Citigroup. Citigroups average HQLA increased quarter-over-quarter as of the fourth quarter of 2025, primarily driven by an increase in average deposits in Services. As of December31, 2025, Citigroup had approximately $1.0 trillion of available liquidity resources to support client and business needs, including end-of-period HQLA ($610 billion) included in Citis LCR calculation; additional unencumbered HQLA, including excess liquidity held at bank entities that is non-transferable to other entities within Citigroup ($275 billion); and unused borrowing capacity from available assets not already accounted for within Citis HQLA to support additional advances from the Federal Home Loan Bank (FHLB) and the Federal Reserve Bank discount window ($164 billion).Short-Term Liquidity Measurement: Liquidity Coverage Ratio (LCR)Citi monitors its liquidity by reference to the LCR in addition to internal 30-day liquidity stress testing performed for Citis major entities, operating subsidiaries and countries.The LCR is calculated by dividing HQLA by estimated net outflows assuming a stressed 30-day period, with the net outflows determined by standardized stress outflow and inflow rates prescribed in the LCR rule. The outflows are partially offset by contractual inflows from assets maturing within 30 days. Similar to outflows, the inflows are calculated based on prescribed factors to various asset categories, such as retail loans as well as unsecured and secured wholesale lending. The minimum LCR requirement is 100%.The table below details the components of Citis LCR calculation and HQLA in excess of net outflows for the periods indicated:
| |
| In billions of dollars | Dec. 31, 2025 | Sep. 30, 2025 | Dec. 31, 2024 | |
| HQLA | $ | 607.2 | $ | 588.4 | $ | 558.4 | |
| Net outflows | 529.3 | 510.5 | 480.8 | |
| LCR | 115 | % | 115 | % | 116 | % | |
| HQLA in excess of net outflows | $ | 77.9 | $ | 77.9 | $ | 77.6 | |
Note: The amounts are presented on an average basis.As of December31, 2025, Citigroups average LCR remained unchanged from the quarter ended September30, 2025. The increase in average HQLA was offset by an increase in net outflows from unsecured and secured wholesale funding.Long-Term Liquidity Measurement: Net Stable Funding Ratio (NSFR) The NSFR measures the availability of an institutions stable funding against the required stable funding in accordance with U.S. NSFR rules. The ratio of available stable funding to required stable funding must be greater than 100%.In general, an institutions available stable funding includes portions of equity, deposits and long-term debt, while its required stable funding is based on the liquidity characteristics of its assets, derivatives and commitments. Standardized weightings are required to be applied to the various asset and liability classes. For the quarter ended December31, 2025, Citigroups consolidated NSFR was compliant with the 100% minimum requirement of the rule. (For additional information, see the Consolidated Citigroup NSFR Disclosure for the quarterly periods ended December 31, 2025 and September 30, 2025, on Citis Investor Relations website. The Consolidated Citigroup NSFR Disclosure on Citis Investor Relations website is not incorporated by reference into, and does not form any part of, this Form 10-K).92 Deposits The table below details average deposits, by segment and/or business, and the total Citigroup end-of-period deposits for each of the periods indicated:
| |
| In billions of dollars | 4Q25 | 3Q25 | 4Q24 | |
| Services | $ | 935 | $ | 893 | $ | 839 | |
| TTS | 780 | 744 | 704 | |
| Securities Services | 155 | 149 | 135 | |
| Markets | 20 | 20 | 15 | |
| Banking | 1 | 1 | 1 | |
| Wealth | 319 | 315 | 315 | |
| USPB | 88 | 90 | 86 | |
| All OtherLegacy Franchises | 42 | 40 | 42 | |
| All OtherCorporate/Other | 17 | 23 | 22 | |
| Total Citigroup deposits (AVG) | $ | 1,422 | $ | 1,382 | $ | 1,320 | |
| Total Citigroup deposits (EOP) | $ | 1,404 | $ | 1,384 | $ | 1,284 | |
On an average basis, total deposits increased 8% year-over-year and 3% sequentially, both driven by corporate deposits. Year-over-year, average deposits for: Services increased 11%, driven by both TTS and Securities Services, reflecting growth in International and North America, largely driven by an increase in operational deposits.Wealth increased 1%, driven by client transfers from USPB and net new deposits, largely offset by outflows, including a shift from deposits to higher-yielding investments. USPB increased 2%, as net new deposits growth was primarily offset by the transfer of certain relationships and the associated deposits to Wealth.All Other decreased 8%, reflecting a decrease in corporate certificates of deposit in Corporate/Other, as continued wind-downs in Asia Consumer within Legacy Franchises (including the impact of moving HFS deposits to Other liabilities) were offset by growth in Legacy Franchises Mexico deposits (including the impact of Mexican peso appreciation).The majority of Citis $1.4 trillion of end-of-period deposits are institutional (approximately $934 billion) and span approximately 90 countries. A large majority of these institutional deposits are within TTS, and of these, over 70% are from clients that use all three TTS integrated services: payments and collections, liquidity management and working capital solutions. In addition, approximately 80% of TTS deposits are from clients that have a longer than 15-year relationship with Citi. Citi also has a strong consumer and wealth deposit base, with $413 billion of USPB and Wealth end-of-period deposits, which are diversified across the Private Bank, Citigold and Wealth at Work within Wealth, as well as Retail Banking within USPB. As of year end, approximately 65% of Wealths U.S. Citigold clients have been with Citi for more than 10 years and approximately 38% of Private Bank ultra-high net worth clients have been with Citi for more than 10 years. In addition, USPBs Retail Banking deposits are spread across six key metropolitan areas in the U.S.Long-Term Debt (LTD)LTD (generally defined as debt with original maturities of one year or more) represents the most significant component of Citis funding for the Citigroup parent company and Citis non-bank subsidiaries and is a supplementary source of funding for the bank entities. The following table presents Citis end-of-period total LTD outstanding for each of the dates indicated:
| |
| In billions of dollars | Dec. 31, 2025 | Sep. 30, 2025 | Dec. 31, 2024 | |
| Non-bank(1) | |
| Benchmark debt: | |
| Senior debt | $ | 117.5 | $ | 115.0 | $ | 107.4 | |
| Subordinated debt | 28.7 | 28.7 | 28.7 | |
| Trust preferred | 1.6 | 1.6 | 1.6 | |
| Customer-related debt(2) | 116.7 | 116.4 | 103.3 | |
| Local country and other(3) | 14.8 | 13.6 | 9.6 | |
| Total non-bank | $ | 279.3 | $ | 275.3 | $ | 250.6 | |
| Bank | |
| FHLB borrowings | $ | 3.0 | $ | 6.0 | $ | 8.5 | |
| Securitizations(4) | 5.2 | 6.7 | 5.1 | |
| Citibank benchmark senior debt | 23.5 | 23.5 | 19.4 | |
| Customer-related debt(2) | 2.7 | 2.8 | 1.2 | |
| Local country and other(3) | 2.1 | 1.5 | 2.5 | |
| Total bank | $ | 36.5 | $ | 40.5 | $ | 36.7 | |
| Total LTD | $ | 315.8 | $ | 315.8 | $ | 287.3 | |
Note: Amounts represent the current value of LTD on Citis Consolidated Balance Sheet that, for certain debt instruments, includes consideration of fair value, hedging impacts and unamortized discounts and premiums.(1)Non-bank includes LTD issued to third parties by the parent holding company (Citigroup) and Citis non-bank subsidiaries (including broker-dealer subsidiaries) that are consolidated into Citigroup. As of December31, 2025, non-bank included $101.5 billion of LTD issued by Citis broker-dealer and other subsidiaries that are consolidated into Citigroup. Certain Citigroup consolidated hedging activities are also included in this line.(2)Primarily structured notes, which contain an embedded derivative component that adjusts each securitys risk-return profile. See Note 27 for the fair value component of these issuances.(3)Local country and other includes debt issued by Citis affiliates in support of their local operations. Within non-bank, certain secured financing is also included.(4)Predominantly credit card securitizations, primarily backed by Branded Cards receivables.For information about changes in Citis end-of-period long-term debt, see Balance Sheet Overview above.As part of its liability management, Citi has considered, and may continue to consider, opportunities to redeem or repurchase its LTD pursuant to open market purchases, tender offers or other means. Such redemptions and repurchases help reduce Citis overall funding costs. During 2025, Citi redeemed or repurchased an aggregate of $63.3 billion of its outstanding LTD. 93 LTD Issuances and Maturities The table below details Citis LTD issuances and maturities (including repurchases and redemptions) during the periods presented:
| |
| | 2025 | 2024 | 2023 | |
| In billions of dollars | Maturities | Issuances | Maturities | Issuances | Maturities | Issuances | |
| Non-bank | |
| Benchmark debt: | |
| Senior debt | $ | 19.7 | $ | 25.1 | $ | 13.9 | $ | 11.7 | $ | 10.2 | $ | | |
| Subordinated debt | 5.8 | 5.2 | 1.0 | 4.9 | 1.3 | 3.2 | |
| Trust preferred | | | | | | | |
| Customer-related debt | 61.8 | 70.9 | 59.2 | 56.7 | 42.1 | 40.1 | |
| Local country and other | 2.8 | 6.9 | 6.1 | 8.8 | 3.1 | 3.9 | |
| Total non-bank | $ | 90.1 | $ | 108.1 | $ | 80.2 | $ | 82.1 | $ | 56.7 | $ | 47.2 | |
| Bank | |
| FHLB borrowings | $ | 6.5 | $ | 1.0 | $ | 7.0 | $ | 4.0 | $ | 4.3 | $ | 8.5 | |
| Securitizations | 1.9 | 2.0 | 1.7 | | 2.4 | 1.5 | |
| Citibank benchmark senior debt | 2.5 | 6.5 | 2.7 | 12.0 | | 7.5 | |
| Customer-related debt | 1.1 | 2.6 | 0.5 | 0.2 | 0.2 | 0.1 | |
| Local country and other | 1.2 | 1.8 | 0.9 | 0.8 | 1.4 | 1.0 | |
| Total bank | $ | 13.2 | $ | 13.9 | $ | 12.8 | $ | 17.0 | $ | 8.3 | $ | 18.6 | |
| Total | $ | 103.3 | $ | 122.0 | $ | 93.0 | $ | 99.1 | $ | 65.0 | $ | 65.8 | |
The table below details Citis aggregate LTD maturities (including repurchases and redemptions) in 2025, as well as its aggregate remaining LTD maturities by year as of December31, 2025:
| |
| | Maturities | |
| In billions of dollars | 2025 | 2026 | 2027 | 2028 | 2029 | 2030 | Thereafter | Total | |
| Non-bank | |
| Benchmark debt: | |
| Senior debt | $ | 19.7 | $ | 9.9 | $ | 7.6 | $ | 20.5 | $ | 7.9 | $ | 12.2 | $ | 59.4 | $ | 117.5 | |
| Subordinated debt | 5.8 | 2.5 | 3.8 | 2.0 | | | 20.4 | 28.7 | |
| Trust preferred | | | | | | | 1.6 | 1.6 | |
| Customer-related debt | 61.8 | 18.5 | 14.5 | 12.7 | 9.4 | 10.1 | 51.5 | 116.7 | |
| Local country and other | 2.8 | 4.0 | 2.2 | 0.8 | 1.2 | 1.3 | 5.3 | 14.8 | |
| Total non-bank | $ | 90.1 | $ | 34.9 | $ | 28.1 | $ | 36.0 | $ | 18.5 | $ | 23.6 | $ | 138.2 | $ | 279.3 | |
| Bank | |
| FHLB borrowings | $ | 6.5 | $ | 3.0 | $ | | $ | | $ | | $ | | $ | | $ | 3.0 | |
| Securitizations | 1.9 | 0.8 | | | 0.8 | 2.2 | 1.4 | 5.2 | |
| Citibank benchmark senior debt | 2.5 | 8.0 | 6.5 | 2.5 | 1.5 | 3.0 | 2.0 | 23.5 | |
| Customer-related debt | 1.1 | | | | 0.4 | 0.8 | 1.5 | 2.7 | |
| Local country and other | 1.2 | 0.2 | 0.7 | 0.9 | 0.1 | | 0.2 | 2.1 | |
| Total bank | $ | 13.2 | $ | 12.0 | $ | 7.2 | $ | 3.4 | $ | 2.8 | $ | 6.0 | $ | 5.1 | $ | 36.5 | |
| Total LTD | $ | 103.3 | $ | 46.9 | $ | 35.3 | $ | 39.4 | $ | 21.3 | $ | 29.6 | $ | 143.3 | $ | 315.8 | |
94 Resolution PlanCitigroup is required under Title I of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (Dodd-Frank Act) and the rules promulgated by the FDIC and FRB to periodically submit a plan for Citis rapid and orderly resolution under the U.S. Bankruptcy Code in the event of material financial distress or failure. For additional information on risks related to the application of resolution plan requirements, see Risk FactorsStrategic Risks above. Citigroup alternates between submitting a full resolution plan and a targeted resolution plan on a biennial cycle.Under Citis preferred single point of entry resolution plan strategy, only Citigroup, the parent holding company, would enter into bankruptcy, while Citigroups material legal entities (as defined in the public section of its 2025 resolution plan, which can be found on the FRBs and FDICs websites) would remain operational outside of any resolution or insolvency proceedings. Citigroups resolution plan has been designed to minimize the risk of systemic impact to the U.S. and global financial systems, while maximizing the value of the bankruptcy estate for the benefit of Citigroups creditors, including its unsecured LTD holders. In addition, in line with the FRBs total loss-absorbing capacity (TLAC) rule, Citigroups shareholders and unsecured creditorsincluding its unsecured LTD holdersbear any losses resulting from Citigroups bankruptcy. Accordingly, any value realized by holders of its unsecured LTD may not be sufficient to repay the amounts owed to such debt holders in the event of a bankruptcy or other resolution proceeding of Citigroup.The FDIC has also indicated that it was developing a single point of entry strategy to implement the Orderly Liquidation Authority under Title II of the Dodd-Frank Act, which provides the FDIC with the ability to resolve a firm when it is determined that bankruptcy would have serious adverse effects on financial stability in the U.S.As previously disclosed, in response to feedback received from the FRB and FDIC, Citigroup took the following actions:Citicorp LLC (Citicorp), an existing wholly owned subsidiary of Citigroup, was established as an intermediate holding company (an IHC) for certain of Citigroups operating material legal entities.Citigroup executed an inter-affiliate agreement with Citicorp, Citigroups operating material legal entities and certain other affiliated entities pursuant to which Citicorp is required to provide liquidity and capital support to Citigroups operating material legal entities in the event that Citigroup were to enter bankruptcy proceedings (Citi Support Agreement). pursuant to the Citi Support Agreement:Citigroup made an initial contribution of assets, including certain high-quality liquid assets and inter-affiliate loans (Contributable Assets), to Citicorp, and Citicorp became the business-as-usual funding vehicle for Citigroups operating material legal entities;Citigroup will be obligated to continue to transfer Contributable Assets to Citicorp over time, subject to certain amounts retained by Citigroup to, among other things, meet Citigroups near-term cash needs; andin the event of a Citigroup bankruptcy, Citigroup will be required to contribute most of its remaining assets to Citicorp.The obligations of both Citigroup and Citicorp under the Citi Support Agreement, as well as the Contributable Assets, are secured pursuant to a security agreement.Total Loss-Absorbing Capacity (TLAC)As a U.S. GSIB, Citi is required to maintain minimum levels of TLAC and eligible LTD, each set by reference to the GSIBs consolidated risk-weighted assets (RWA) and total leverage exposure. The intended purpose of the requirements is to facilitate the orderly resolution of U.S. GSIBs under the U.S. Bankruptcy Code and Title II of the Dodd-Frank Act. For additional information, including Citis TLAC and LTD amounts and ratios, see Capital ResourcesCurrent Regulatory Capital Standards above. 95 SECURED FUNDING TRANSACTIONS AND SHORT-TERM BORROWINGS Citi supplements its primary sources of funding with short-term financings that generally include:secured funding transactions consisting of securities loaned or sold under agreements to repurchase, i.e., reposshort-term borrowings consisting of commercial paper issuances and borrowings from the FHLB and other market participants Secured Funding TransactionsSecured funding is primarily accessed through Citis broker-dealer subsidiaries, with a smaller portion executed through Citis bank entities to efficiently fund both (i) secured lending activity and (ii) a portion of the securities inventory held in the context of market making and customer activities. Secured funding transactions are predominantly collateralized by government debt securities. Generally, changes in the level of Citis secured funding are primarily due to fluctuations in secured lending activity in the matched book (as described below), and changes in securities inventory and eligible counterparty balance sheet netting. In order to maintain reliable funding under a wide range of market conditions, Citi manages risks related to its secured funding by establishing secured funding limits and conducting daily stress tests that account for risks related to capacity, tenor, haircut, collateral type, counterparty and client actions. As of the quarter ended December31, 2025, secured funding on an average basis was $385 billion. Forinformation about changes in Citis end-of-period securitiesloaned and sold under agreements to repurchase, see Balance Sheet Overview above.The portion of secured funding in the broker-dealer subsidiaries that funds secured lending is commonly referred to as matched book activity and is primarily secured by high-quality liquid securities such as U.S. Treasury securities, U.S. agency securities and foreign government debt securities. Other matched book activity is secured by less liquid securities, including equity securities, corporate bonds and asset-backed securities, the tenor of which is generally equal to or longer than the tenor of the corresponding assets. As indicated above, the remaining portion of secured funding is used to fund securities inventory held in the context of market making and customer activities.Short-Term BorrowingsSee Note 19 for further information on Citigroups and its affiliates outstanding short-term borrowings.96 CREDIT RATINGSCitigroups funding and liquidity, funding capacity, ability to access capital markets and other sources of funds, the cost of these funds and its ability to maintain certain deposits are partially dependent on its credit ratings. The table below presents the ratings for Citigroup and Citibank as of December31, 2025. While not included in the table below, the current long-term and short-term ratings of Citigroup Global Markets Holdings Inc. (CGMHI) were A+/F1 at Fitch Ratings, A2/P-1 at Moodys Ratings and A/A-1 at S&P Global Ratings as of December31, 2025.Ratings as of December31, 2025
| |
| | CitigroupInc. | Citibank, N.A. | |
| Long-term | Short-term | Outlook | Long-term | Short-term | Outlook | |
| Fitch Ratings (Fitch) | A | F1 | Stable | A+ | F1 | Stable | |
| Moodys Ratings (Moodys) | A3 | P-2 | Stable | Aa3 | P-1 | Stable | |
| S&P Global Ratings (S&P) | BBB+ | A-2 | Stable | A+ | A-1 | Stable | |
Potential Impacts of Ratings Downgrades
Ratings downgrades by Fitch, Moodys or S&P could negatively impact Citigroups and/or Citibanks funding and liquidity due to reduced funding capacity, including derivative triggers, which could take the form of cash obligations and collateral requirements.
The following information is provided for the purpose of analyzing the potential funding and liquidity impact to Citigroup and Citibank of a hypothetical simultaneous ratings downgrade across all three major rating agencies. This analysis is subject to certain estimates, estimation methodologies, judgments and uncertainties. Uncertainties include potential ratings limitations that certain entities may have with respect to permissible counterparties, as well as general subjective counterparty behavior. For example, certain corporate customers and markets counterparties could re-evaluate their business relationships with Citi and limit transactions in certain contracts or market instruments with Citi. Changes in counterparty behavior could impact Citis funding and liquidity, as well as the results of operations of certain of its businesses. The actual impact to Citigroup or Citibank is unpredictable and may differ materially from the potential funding and liquidity impacts described below. For additional information on the impact of credit rating changes on Citi and its applicable subsidiaries, see Risk FactorsLiquidity Risks above.
Citigroup Inc. and CitibankPotential Derivative Triggers
As of December31, 2025, Citi estimates that a hypothetical one-notch downgrade of the senior debt/long-term rating across all three major rating agencies could impact funding and liquidity due to derivative triggers by approximately $0.1 billion, unchanged from September30, 2025, for Citigroup Inc., and $0.1 billion, unchanged from September30, 2025, for Citibank. Other funding sources, such as secured financing transactions and other margin requirements, for which there are no explicit triggers, could also be adversely affected.
In total, as of December31, 2025, Citi estimates that a one-notch downgrade of Citigroup Inc. and Citibank across all three major rating agencies could result in increased aggregate cash obligations and collateral requirements of approximately $0.2 billion, unchanged from September30, 2025. As detailed under High-Quality Liquid Assets (HQLA) above, Citigroup has various liquidity resources available to its bank and non-bank entities in part as a contingency for the potential events described above.
In addition, a broad range of mitigating actions are currently included in Citigroups and Citibanks contingency funding plans. For Citigroup, these mitigating factors include, but are not limited to, accessing surplus funding capacity from existing clients, tailoring levels of secured lending and adjusting the size of select trading books and collateralized borrowings at certain Citibank subsidiaries. Mitigating actions available to Citibank include, but are not limited to, selling or financing highly liquid government securities, tailoring levels of secured lending, adjusting the size of select trading assets, reducing loan originations and renewals, raising additional deposits or borrowing from the FHLB or central banks. Citi believes these mitigating actions could substantially reduce the funding and liquidity risk, if any, of the potential downgrades described above.
CitibankAdditional Potential Impacts 
In addition to the above derivative triggers, Citi believes that a potential downgrade of Citibanks senior debt/long-term rating across any of the three major rating agencies could also have an adverse impact on the commercial paper/short-term rating of Citibank. Citibank has provided liquidity commitments to consolidated asset-backed commercial paper (ABCP) conduits, primarily in the form of asset purchase agreements. As of December31, 2025, Citibank had liquidity commitments of approximately $10.0 billion to ABCP conduits (compared to $15.0 billion at December31, 2024) (see Note 23).
97 
In addition to the above-referenced liquidity resources of certain Citibank entities, Citibank could reduce the funding and liquidity risk, if any, of the potential downgrades described above through mitigating actions, including repricing certain commitments to commercial paper conduits. In the event of the potential downgrades described above, Citi believes that certain corporate customers could reduce borrowing through these conduits, which would result in a reduced amount of ABCP issuance. 
MARKET RISK
Overview
Market risk is the potential for losses arising from changes in the value of Citis assets and liabilities resulting from changes in market variables such as interest rates, foreign exchange rates, equity prices, commodity prices and credit spreads, as well as their implied volatilities. Market risk arises from both Citis trading and non-trading portfolios. For additional information on market risk and market risk management at Citi, see Risk Factors above. 
Each business is required to establish, with approval from Citis market risk management, a market risk limit framework for identified risk factors that clearly defines approved risk profiles and is within the parameters of Citis overall risk appetite. These limits are monitored by the Risk organization, including various regional, legal entity and business Risk Management committees, Citis country and business Asset and Liability Committees and the Citigroup Risk Management and Asset and Liability Committees. In all cases, the businesses are ultimately responsible for the market risks taken and for remaining within their defined limits.
MARKET RISK OF NON-TRADING PORTFOLIOS 
Market risk from non-trading portfolios stems predominantly from the potential impact of changes in interest rates and foreign exchange rates on Citis net interest income and on Citis Accumulated other comprehensive income (loss) (AOCI) from its investment securities portfolios. Market risk from non-trading portfolios also includes the potential impact of changes in foreign exchange rates on Citis capital invested in foreign currencies.
Banking Book Interest Rate Risk 
For interest rate risk purposes, Citis non-trading portfolios are referred to as the Banking Book. Management of interest rate risk in the Banking Book is governed by Citis Non-Trading Market Risk Policy. Citigroups Asset and Liability Committee (ALCO) establishes Citis risk appetite and related limits for interest rate risk in the Banking Book, which are subject to approval by Citigroups Board of Directors. 
Corporate Treasury is responsible for the day-to-day management of Citis Banking Book interest rate risk as well as periodically reviewing it with the ALCO. Citis Banking Book interest rate risk management is also subject to independent oversight from the second line of defense team reporting to the Chief Risk Officer.
Changes in interest rates impact Citis net income, AOCI and CET1. These changes primarily affect Citis Banking Book through net interest income, due to a variety of risk factors, including:
differences in timing and amounts of the maturity or repricing of assets, liabilities and off-balance sheet instruments;
changes in the level and/or shape of interest rate curves;
client behavior in response to changes in interest rates (e.g., mortgage prepayments, deposit betas); and
changes in the maturity of instruments resulting from changes in the interest rate environment.
As part of their ongoing activities, Citis businesses generate interest rate-sensitive positions from their client-facing products, such as loans and deposits. Interest rate risk is transferred via Citis funds transfer-pricing process to Treasury. Treasury uses various tools to manage the total interest rate risk position within the established risk appetite and target Citis desired risk profile, including its investment securities portfolio, company-issued debt and interest rate derivatives.
In addition, Citi uses multiple metrics to measure its Banking Book interest rate risk. Interest Rate Exposure (IRE) is a key metric that analyzes the impact of a range of scenarios on Citis Banking Book net interest income versus a base case. IRE does not represent a forecast of Citis net interest income.
The scenarios, methodologies and assumptions used in Citis IRE analysis are periodically evaluated and enhanced in response to changes in the market environment, changes in Citis balance sheet composition, enhancements in Citis modeling and other factors.
Citi utilizes the most recent quarter-end balance sheet, assuming no changes to its composition and size over the forecasted horizon (holding the balance sheet static). The forecasts incorporate expectations and assumptions of deposit pricing, loan spreads and mortgage prepayment behavior implied by the interest rate curves in each scenario. The base case scenario reflects the market-implied forward interest rates, and sensitivity scenarios assume instantaneous shocks to the base case. The forecasts do not assume Citi takes any risk-mitigating actions in response to changes in the interest rate environment. Certain interest rates are subject to flooring assumptions in downward rate scenarios. Deposit pricing sensitivities (i.e., deposit betas) are informed by historical and expected behavior. Actual deposit pricing could differ from the assumptions used in these forecasts.
Citis IRE analysis primarily reflects the impacts from the following Banking Book assets and liabilities: loans, client deposits, Citis deposits with other banks, investment securities, LTD, any related interest rate hedges and the funds transfer pricing of positions in total trading and credit portfolio value at risk (VaR). It excludes impacts from any positions that are included in total trading and credit portfolio VaR.
In addition to IRE, Citi analyzes economic value sensitivity (EVS) as a longer-term interest rate risk metric. EVS is a net present value (NPV)based measure of the lifetime cash flows of Citis Banking Book. It estimates the interest rate sensitivity of the Banking Books economic value 
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from longer-term assets being potentially funded with shorter-term liabilities, or vice versa. Citi manages EVS within risk limits approved by Citigroups Board of Directors that are aligned with Citis risk appetite.
Interest Rate Risk of Investment PortfoliosImpact on AOCI
Citi measures the potential impacts of changes in interest rates on the value of its AOCI, which can in turn impact Citis common equity and tangible common equity. This will impact Citis CET1 and other regulatory capital ratios. Citi seeks to manage its exposure to changes in the market level of interest rates, while limiting the potential impact on its AOCI and regulatory capital position.
AOCI at risk is managed as part of the Company-wide interest rate risk position. AOCI at risk considers potential changes in AOCI (and the corresponding impact on the CET1 Capital ratio) relative to Citis capital generation capacity.
Citi uses 100 basis point (bps) shocks in each scenario to reflect its net interest income sensitivity to unanticipated changes in market interest rates, as potential monetary policy decisions and changes in economic conditions may be reflected in current market-implied forward rates.
The following table presents the 12-month estimated impact to Citis net interest income, AOCI and the CET1 Capital ratio, each assuming an unanticipated parallel instantaneous 100 bps increase in interest rates:
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| In millions of dollars, except as otherwise noted | Dec. 31, 2025 | Sep. 30, 2025 | Dec. 31, 2024 | |
| Parallel interest rate shock +100 bps | |
| Interest rate exposure(1)(2) | |
| U.S. dollar | $ | (33) | $ | (252) | $ | (93) | |
| All other currencies | 1,402 | 1,529 | 1,068 | |
| Total net interest income | $ | 1,369 | $ | 1,277 | $ | 975 | |
| As a percentage of average interest-earning assets | 0.05 | % | 0.05 | % | 0.04 | % | |
| Estimated initial negative impact to AOCI (after-tax)(2) | $ | (2,597) | $ | (2,381) | $ | (1,111) | |
| Estimated initial impact on CET1 Capital ratio (bps) from AOCI scenario(3) | (19) | (18) | (13) | |
(1)Excludes trading book and fair value option banking book portfolios and replaces them with the associated transfer pricing.(2)Includes the effect of changes in interest rates on AOCI related to investment securities, cash flow hedges and pension plans.(3)Excludes the effect of changes in interest rates on AOCI related to cash flow hedges, as those changes are excluded from CET1 Capital.As presented in the table above, Citis balance sheet is asset sensitive (assets reprice faster than liabilities), resulting in higher net interest income in increasing interest rate scenarios. The estimated impact to Citis net interest income in a 100 bps upward and downward rate shock scenario as of December 31, 2025 remained relatively stable year-over-year. At progressively higher interest rate levels, the marginal net interest income benefit is lower, as Citi assumes it will pass on a larger share of rate changes to depositors (i.e., higher betas), reducing Citis IRE sensitivity. At current rate levels Citi assumes it will be unable to pass on a larger share of initial rate declines to depositors, increasing Citis IRE sensitivity to a 100 bps downward shock. Currency-specific interest rate changes and balance sheet factors may drive quarter-to-quarter volatility in Citis estimated IRE for a 100 bps upward rate shock.In a 100 bps upward rate shock scenario, Citi expects that the approximate $2.6 billion initial negative impact to AOCI could potentially be offset in shareholders equity through the forecasted interest income and paydowns from Citis investment portfolio over a period of approximately 14 months. 99 Scenario AnalysisThe following table presents the estimated impact to Citis net interest income and AOCI under eight different interest rate scenarios for the U.S. dollar and all other currencies as of December31, 2025. The 100 bps and 200 bps downward rate scenarios potentially may be impacted by the low level of interest rates in several countries and the assumption that market interest rates, as well as rates paid to depositors and charged to borrowers, do not fall below zero (i.e., the flooring assumption). The interest rate scenarios are also impacted by convexity related to mortgage products and deposit pricing. These scenarios include the following:a parallel shift involving changes to both short-term and long-term rates by an equal amount a steeper yield curve involving holding short-term rates constant and increasing long-term rates or holding long-term rates constant and decreasing short term ratesa flatter yield curve involving increasing short-term rates and holding long-term rates constant or holding short-term rates constant and decreasing long-term rates
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| In millions of dollars, except as otherwise noted | Parallel shift(1) | Short-end flattener | Long-end steepener | Long-end flattener | Short-end steepener | Parallel shift | Parallel shift | Parallel shift | |
| Overnight rate change (bps) | 100 | 100 | | | (100) | (100) | 200 | (200) | |
| 10-year rate change (bps) | 100 | | 100 | (100) | | (100) | 200 | (200) | |
| Interest rate exposure | |
| U.S. dollar | $ | (33) | $ | (176) | $ | 217 | $ | (145) | $ | (317) | $ | (509) | $ | (324) | $ | (1,113) | |
| All other currencies(1) | 1,402 | 1,187 | 217 | (197) | (1,021) | (1,209) | 2,779 | (2,422) | |
| Total | $ | 1,369 | $ | 1,011 | $ | 434 | $ | (342) | $ | (1,338) | $ | (1,718) | $ | 2,455 | $ | (3,535) | |
| Estimated initial impact to AOCI (after-tax)(2) | $ | (2,597) | $ | (2,116) | $ | (524) | $ | 142 | $ | 2,142 | $ | 2,290 | $ | (5,349) | $ | 4,043 | |
Note: Each scenario assumes that the rate change will occur instantaneously. Changes in interest rates for maturities between the overnight rate and the 10-year rate are interpolated. The interest rate exposure in the table above assumes no change in deposit size or mix from the baseline forecast included in the different interest rate scenarios presented. As a result, in higher interest rate scenarios, customer activity resulting in a shift from non-interest-bearing and low interest rate deposit products to higher-yielding deposits would reduce the expected benefit to net interest income. Conversely, in lower interest rate scenarios, customer activity resulting in a shift from higher-yielding deposits to non-interest-bearing and low interest rate deposit products would reduce the expected decrease to net interest income.(1)The parallel shift impact of $1,402 million consists of the following top five non-U.S. dollar currencies as of December31, 2025 by absolute size: approximately $(0.4) billion from the euro, approximately $0.2 billion each from the British pound sterling and Swiss franc and $0.1 billion each from the Singapore dollar and Hong Kong dollar. The remaining balance is spread across more than 30 additional currencies.(2)Includes the effect of changes in interest rates on AOCI related to investment securities, cash flow hedges and pension plans.As presented in the table above, the estimated impact to Citis net interest income is larger in the short end compared to the long end as Citis Banking Book has relatively higher interest rate exposure to the short end of the yield curve. For the U.S. dollar, exposure to downward rate shocks is larger in magnitude than to upward rate shocks. This is because of the lower benefit to net interest income from Citis deposit base at higher rate levels, as well as the prepayment effects on mortgage loans and mortgage-backed securities.The magnitude of the impact to AOCI is greater in the short end compared to the long end. This is because Citis investment portfolio is more sensitive to shorter-term rates and pension liabilities are more sensitive at intermediate-term maturities.100 Changes in Foreign Exchange RatesImpacts on AOCI and CapitalAs of December31, 2025, Citi estimates that a parallel instantaneous 5% appreciation of the U.S. dollar against all of the other currencies in which Citi has invested capital could reduce Citis tangible common equity (TCE) by approximately $1.7 billion, or 1.0%, as a result of changes to Citis CTA in AOCI, net of hedges. This reduction in the TCE would be primarily driven by depreciation of the euro, Mexican peso and Singapore dollar.This reduction in the TCE does not reflect any mitigating actions Citi may take, including ongoing management of its foreign currency translation exposure. TCE is used as a simplified metric to manage CET1 capital ratio volatility. Specifically, as currency movements change the value of Citis net investments in foreign currency-denominated capital, these movements also change the value of Citis RWA denominated in those same currencies. This, coupled with Citis foreign currency hedging strategies, such as foreign currency borrowings, foreign currency forwards and other currency hedging instruments, lessens the impact of foreign currency movements on Citis CET1 Capital ratio. Changes in these hedging strategies, as well as hedging costs, divestitures and tax impacts, can further affect the actual impact of changes in foreign exchange rates on Citis capital compared to an unanticipated parallel shock, as described above.The effect of Citis ongoing management strategies with respect to quarterly changes in foreign exchange rates (versus the U.S. dollar), and the quarterly impact of these changes on Citis TCE and CET1 Capital ratio, are presented in the table below. See Note 21 for additional information on the changes in AOCI.
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| For the quarter ended | |
| In millions of dollars | Dec. 31, 2025 | Sep. 30, 2025 | Dec. 31, 2024 | |
| Change in FX spot rate(1) | 0.3 | % | (0.1) | % | 6.1 | % | |
| Change in TCE due to FX translation, net of hedges(2) | $ | 2,107 | $ | 156 | $ | (2,465) | |
| As a percentage of TCE | 1.2 | % | 0.1 | % | (1.5) | % | |
(1) FX spot rate change is a weighted average based on Citis quarterly average GAAP capital exposure to foreign countries. A negative change in FX spot rate represents foreign currency depreciation versus the U.S. dollar.
(2)Includes $2,243 million related to the Banamex equity interest sale. See Sale of 25% Equity Stake in Banamex in Note 2.
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Interest Income/Expense and Net Interest Margin (NIM)
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| In millions of dollars, except as otherwise noted | 2025 | | 2024 | | 2023 | Change2025 vs. 2024 | Change2024 vs. 2023 | |
| Interest income(1) | $ | 142,970 | | $ | 143,807 | | $ | 133,359 | (1) | % | 8 | % | |
| Interest expense(2) | 83,072 | | 89,618 | | 78,358 | (7) | 14 | |
| Net interest income, taxable equivalent basis(1) | $ | 59,898 | | $ | 54,189 | | $ | 55,001 | 11 | % | (1) | % | |
| Interest incomeaverage rate(3) | 5.89 | % | 6.36 | % | 5.97 | % | (47) | bps | 39 | bps | |
| Interest expenseaverage rate | 4.19 | 4.90 | 4.35 | (71) | bps | 55 | bps | |
| Net interest margin(3)(4) | 2.47 | 2.40 | 2.46 | 7 | bps | (6) | bps | |
| Interest rate benchmarks | | | | | |
| Two-yearU.S.Treasurynoteaveragerate | 3.81 | % | 4.37 | % | 4.58 | % | (56) | bps | (21) | bps | |
| 10-year U.S. Treasury noteaverage rate | 4.29 | | 4.21 | 3.96 | 8 | bps | 25 | bps | |
| 10-year vs. two-year spread | 48 | bps | (16) | bps | (62) | bps | | | |
(1)Interest income and Net interest income include the taxable equivalent gross-up adjustments (TEGU) primarily related to the tax-exempt bond portfolio and certain tax-advantaged loan programs of $106 million, $94 million and $101 million for 2025, 2024 and 2023, respectively. (2)Interest expense associated with certain hybrid financial instruments, which are classified as Long-term debt and accounted for at fair value, is reported together with any changes in fair value as part of Principal transactions in the Consolidated Statement of Income and is therefore not reflected in Interest expense in the table above.(3)The average rate on interest income and NIM reflects TEGU. See footnote 1 above.(4)Citis NIM is calculated by dividing net interest income (including TEGU) by average interest-earning assets.102 Non-Markets Net Interest Income 
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| In millions of dollars | 2025 | 2024 | 2023 | |
| Total Citi net interest incometaxable equivalent basis(1) per above | $ | 59,898 | $ | 54,189 | $ | 55,001 | |
| Less: | |
| Markets net interest incometaxable equivalent basis(1) | 10,115 | 7,099 | 7,334 | |
| Total Citi non-Markets net interest incometaxable equivalent basis(1) | $ | 49,783 | $ | 47,090 | $ | 47,667 | |
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(1)Interest income and Net interest income include TEGU discussed in the table above.Citis net interest income in the fourth quarter of 2025 was $15.7 billion, on both a reported and taxable equivalent basis, an increase of 14%, or $1.9 billion, from the prior-year period. The growth was due to a 53%, or $1.0 billion, increase in Markets net interest income and an 8%, or $0.9 billion, increase in non-Markets net interest income.Citis Markets business is primarily evaluated on a total revenue basis. See Markets above for additional information.The increase in non-Markets net interest income was largely driven by:higher average deposit balances and deposit spreads in Services and Wealth; andhigher loan spreads and higher interest-earning balances in Branded Cards in USPB, as well as higher deposit spreads and average deposit balances in Retail Banking in USPB;partially offset by:lower interest-earning loan balances and spreads in Retail Services in USPB,lower mortgage spreads in Wealth, anda lower benefit from cash and securities reinvestment in All OtherCorporate/Other, driven by actions taken over the last few quarters to reduce Citis asset sensitivity in a declining interest rate environment.Citis net interest margin was 2.49% on a taxable equivalent basis in the fourth quarter of 2025, an increase of nine basis points from the prior quarter, largely driven by higher Markets net interest income and a favorable asset mix-shift in balances.Citis net interest income for 2025 increased 11%, or $5.7 billion, to $59.8 billion ($59.9 billion on a taxable equivalent basis) versus 2024. The increase was driven by a 43%, or $3.0 billion, increase in Markets net interest income and a 6%, or $2.7 billion, increase in non-Markets net interest income.The increase in non-Markets net interest income was largely driven by:higher average deposit balances and spreads in Services;higher loan spreads and interest-earning balances in Branded Cards, as well as higher deposit spreads in Retail Banking; andhigher deposit spreads in Wealth;partially offset by:lower interest-earning loan balances and spreads in Retail Services,lower mortgage spreads and lower average deposit balances in Wealth, anda lower benefit from cash and securities reinvestment in All OtherCorporate/Other, driven by actions taken over the last few quarters to reduce Citis asset sensitivity in a declining interest rate environment.In 2025, Citis net interest margin increased to 2.47% on a taxable equivalent basis, compared to 2.40% in 2024, driven by higher Markets net interest income and a favorable asset mix-shift due to higher interest-earning balances in cards, partially offset by the impact of FX translation.103 Additional Interest Rate Details Average Balances and Interest RatesAssets(1)(2)(3)Taxable Equivalent Basis
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| Assets | Average balance | Interest income | % Average rate | |
| In millions of dollars, except rates | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | |
| Deposits with banks(4) | $ | 311,204 | $ | 263,236 | $ | 287,518 | $ | 12,669 | $ | 11,417 | $ | 11,238 | 4.07 | % | 4.34 | % | 3.91 | % | |
| Securities borrowed and purchased under agreements to resell(5) | |
| In U.S. offices | $ | 188,943 | $ | 149,521 | $ | 171,307 | $ | 15,730 | $ | 13,492 | $ | 13,194 | 8.33 | % | 9.02 | % | 7.70 | % | |
| In offices outside the U.S.(4) | 175,933 | 194,417 | 189,548 | 11,232 | 15,681 | 13,693 | 6.38 | 8.07 | 7.22 | |
| Total | $ | 364,876 | $ | 343,938 | $ | 360,855 | $ | 26,962 | $ | 29,173 | $ | 26,887 | 7.39 | % | 8.48 | % | 7.45 | % | |
| Trading account assets(6)(7) | |
| In U.S. offices | $ | 278,378 | $ | 233,698 | $ | 187,318 | $ | 11,875 | $ | 11,103 | $ | 8,808 | 4.27 | % | 4.75 | % | 4.70 | % | |
| In offices outside the U.S.(4) | 219,442 | 162,227 | 144,684 | 8,922 | 6,473 | 5,652 | 4.07 | 3.99 | 3.91 | |
| Total | $ | 497,820 | $ | 395,925 | $ | 332,002 | $ | 20,797 | $ | 17,576 | $ | 14,460 | 4.18 | % | 4.44 | % | 4.36 | % | |
| Investments | |
| In U.S. offices | |
| Taxable | $ | 241,967 | $ | 307,066 | $ | 335,975 | $ | 6,236 | $ | 7,952 | $ | 8,903 | 2.58 | % | 2.59 | % | 2.65 | % | |
| Exempt from U.S. income tax | 10,611 | 11,170 | 11,502 | 409 | 441 | 454 | 3.85 | 3.95 | 3.95 | |
| In offices outside the U.S.(4) | 199,141 | 184,536 | 164,923 | 10,114 | 10,299 | 8,978 | 5.08 | 5.58 | 5.44 | |
| Total | $ | 451,719 | $ | 502,772 | $ | 512,400 | $ | 16,759 | $ | 18,692 | $ | 18,335 | 3.71 | % | 3.72 | % | 3.58 | % | |
| Consumer loans(8) | |
| In U.S. offices | $ | 317,149 | $ | 309,668 | $ | 293,476 | $ | 33,313 | $ | 32,684 | $ | 30,127 | 10.50 | % | 10.55 | % | 10.27 | % | |
| In offices outside the U.S.(4) | 76,557 | 75,215 | 78,420 | 6,487 | 6,858 | 6,737 | 8.47 | 9.12 | 8.59 | |
| Total | $ | 393,706 | $ | 384,883 | $ | 371,896 | $ | 39,800 | $ | 39,542 | $ | 36,864 | 10.11 | % | 10.27 | % | 9.91 | % | |
| Corporate loans(8) | |
| In U.S. offices | $ | 153,040 | $ | 137,047 | $ | 136,065 | $ | 8,967 | $ | 8,944 | $ | 7,561 | 5.86 | % | 6.53 | % | 5.56 | % | |
| In offices outside the U.S.(4) | 169,416 | 161,294 | 153,111 | 11,779 | 13,682 | 13,507 | 6.95 | 8.48 | 8.82 | |
| Total | $ | 322,456 | $ | 298,341 | $ | 289,176 | $ | 20,746 | $ | 22,626 | $ | 21,068 | 6.43 | % | 7.58 | % | 7.29 | % | |
| Total loans(8) | |
| In U.S. offices | $ | 470,189 | $ | 446,715 | $ | 429,541 | $ | 42,280 | $ | 41,628 | $ | 37,688 | 8.99 | % | 9.32 | % | 8.77 | % | |
| In offices outside the U.S.(4) | 245,973 | 236,509 | 231,531 | 18,266 | 20,540 | 20,244 | 7.43 | 8.68 | 8.74 | |
| Total | $ | 716,162 | $ | 683,224 | $ | 661,072 | $ | 60,546 | $ | 62,168 | $ | 57,932 | 8.45 | % | 9.10 | % | 8.76 | % | |
| Other interest-earning assets(9) | $ | 84,970 | $ | 73,418 | $ | 81,431 | $ | 5,237 | $ | 4,781 | $ | 4,507 | 6.16 | % | 6.51 | % | 5.53 | % | |
| Total interest-earning assets | $ | 2,426,751 | $ | 2,262,513 | $ | 2,235,278 | $ | 142,970 | $ | 143,807 | $ | 133,359 | 5.89 | % | 6.36 | % | 5.97 | % | |
| Non-interest-earningassets(6) | $ | 217,318 | $ | 205,918 | $ | 206,955 | |
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| Total assets | $ | 2,644,069 | $ | 2,468,431 | $ | 2,442,233 | |
(1)Interest income and Net interest income include TEGU of $106 million, $94 million and $101 million for 2025, 2024 and 2023, respectively.(2)Interest rates and amounts include the effects of risk management activities associated with the respective asset categories.(3)Monthly or quarterly averages have been used by certain subsidiaries where daily averages are unavailable.(4)Average rates reflect prevailing local interest rates, including inflationary effects and monetary corrections in certain countries.(5)Average volumes of securities borrowed or purchased under agreements to resell are reported net pursuant to ASC210-20-45. However, Interest income excludes the impact of ASC 210-20-45.(6)The fair value carrying amounts of derivative contracts are reported net, pursuant to ASC 815-10-45, in Non-interest-earning assets and Other non-interest-bearing liabilities.(7)Interest expense on Trading account liabilities of Services, Markets and Banking is reported as a reduction of Interest income. Interest income and Interest expense on cash collateral positions are reported in interest on Trading account assets and Trading account liabilities, respectively.(8)Net of unearned income. Includes cash-basis loans.(9)Includes Brokerage receivables.104 Average Balances and Interest RatesLiabilities and Equity, and Net Interest Income(1)(2)(3) Taxable Equivalent Basis
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| Liabilities | Average balance | Interest expense | % Average rate | |
| In millions of dollars, except rates | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | |
| Deposits | | | | | |
| In U.S. offices(4) | $ | 585,511 | $ | 570,048 | $ | 594,588 | $ | 19,670 | $ | 22,720 | $ | 20,602 | 3.36 | % | 3.99 | % | 3.46 | % | |
| In offices outside the U.S.(5) | 574,835 | 546,583 | 536,749 | 15,296 | 17,606 | 15,698 | 2.66 | 3.22 | 2.92 | |
| Total | $ | 1,160,346 | $ | 1,116,631 | $ | 1,131,337 | $ | 34,966 | $ | 40,326 | $ | 36,300 | 3.01 | % | 3.61 | % | 3.21 | % | |
| Securities loaned and sold under agreements to repurchase(6) | |
| In U.S. offices | $ | 280,330 | $ | 237,486 | $ | 168,319 | $ | 19,624 | $ | 18,130 | $ | 13,152 | 7.00 | % | 7.63 | % | 7.81 | % | |
| In offices outside the U.S.(5) | 114,699 | 88,272 | 93,962 | 8,027 | 9,754 | 8,287 | 7.00 | 11.05 | 8.82 | |
| Total | $ | 395,029 | $ | 325,758 | $ | 262,281 | $ | 27,651 | $ | 27,884 | $ | 21,439 | 7.00 | % | 8.56 | % | 8.17 | % | |
| Trading account liabilities(7)(8) | |
| In U.S. offices | $ | 40,239 | $ | 39,926 | $ | 47,394 | $ | 1,668 | $ | 1,858 | $ | 1,806 | 4.15 | % | 4.65 | % | 3.81 | % | |
| In offices outside the U.S.(5) | 61,499 | 58,892 | 71,476 | 1,345 | 1,492 | 1,621 | 2.19 | 2.53 | 2.27 | |
| Total | $ | 101,738 | $ | 98,818 | $ | 118,870 | $ | 3,013 | $ | 3,350 | $ | 3,427 | 2.96 | % | 3.39 | % | 2.88 | % | |
| Short-term borrowings and other interest-bearing liabilities(9) | |
| In U.S. offices | $ | 95,114 | $ | 81,533 | $ | 90,000 | $ | 6,326 | $ | 6,568 | $ | 6,661 | 6.65 | % | 8.06 | % | 7.40 | % | |
| In offices outside the U.S.(5) | 48,236 | 33,751 | 36,061 | 1,040 | 1,135 | 777 | 2.16 | 3.36 | 2.15 | |
| Total | $ | 143,350 | $ | 115,284 | $ | 126,061 | $ | 7,366 | $ | 7,703 | $ | 7,438 | 5.14 | % | 6.68 | % | 5.90 | % | |
| Long-term debt(10) | |
| In U.S. offices | $ | 181,235 | $ | 170,556 | $ | 161,650 | $ | 9,909 | $ | 10,181 | $ | 9,544 | 5.47 | % | 5.97 | % | 5.90 | % | |
| In offices outside the U.S.(5) | 1,768 | 2,228 | 2,524 | 167 | 174 | 210 | 9.45 | 7.81 | 8.32 | |
| Total | $ | 183,003 | $ | 172,784 | $ | 164,174 | $ | 10,076 | $ | 10,355 | $ | 9,754 | 5.51 | % | 5.99 | % | 5.94 | % | |
| Total interest-bearing liabilities | $ | 1,983,466 | $ | 1,829,275 | $ | 1,802,723 | $ | 83,072 | $ | 89,618 | $ | 78,358 | 4.19 | % | 4.90 | % | 4.35 | % | |
| Non-interest-bearing deposits(11) | $ | 202,705 | $ | 200,319 | $ | 202,736 | |
| Other non-interest-bearing liabilities(7) | 244,505 | 230,757 | 228,887 | |
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| Total liabilities | $ | 2,430,676 | $ | 2,260,351 | $ | 2,234,346 | |
| Citigroup stockholders equity | $ | 212,421 | $ | 207,292 | $ | 207,207 | |
| Noncontrolling interests | 972 | 788 | 680 | |
| Total equity | $ | 213,393 | $ | 208,080 | $ | 207,887 | |
| Total liabilities and stockholders equity | $ | 2,644,069 | $ | 2,468,431 | $ | 2,442,233 | |
| Net interest income as a percentage of average interest-earning assets(12) | |
| In U.S. offices | $ | 1,404,674 | $ | 1,303,259 | $ | 1,314,455 | $ | 30,588 | $ | 24,520 | $ | 27,222 | 2.18 | % | 1.88 | % | 2.07 | % | |
| In offices outside the U.S.(6) | 1,022,077 | 959,254 | 920,823 | 29,310 | 29,669 | 27,779 | 2.87 | 3.09 | 3.02 | |
| Total | $ | 2,426,751 | $ | 2,262,513 | $ | 2,235,278 | $ | 59,898 | $ | 54,189 | $ | 55,001 | 2.47 | % | 2.40 | % | 2.46 | % | |
(1)Interest income and Net interest income include TEGU discussed in the table above.
(2)Interest rates and amounts include the effects of risk management activities associated with the respective liability categories.
(3)Monthly or quarterly averages have been used by certain subsidiaries where daily averages are unavailable.
(4)Consists of other time deposits and savings deposits. Savings deposits are composed of insured money market accounts and other savings deposits. 
(5)Average rates reflect prevailing local interest rates, including inflationary effects and monetary corrections in certain countries.
(6)Average volumes of securities sold under agreements to repurchase are reported net pursuant to ASC 210-20-45. However, Interest expense excludes the impact of ASC 210-20-45.
(7)The fair value carrying amounts of derivative contracts are reported net, pursuant to ASC 815-10-45, in Non-interest-earning assets and Other non-interest-bearing liabilities.
(8)Interest expense on Trading account liabilities of Services, Markets and Banking is reported as a reduction of Interest income. Interest income and Interest expense on cash collateral positions are reported in interest on Trading account assets and Trading account liabilities, respectively.
(9)Includes Brokerage payables.
105 
(10)Excludes hybrid financial instruments and beneficial interests in consolidated VIEs that are classified as Long-term debt, as the changes in fair value for these obligations are recorded in Principal transactions.
(11)Includes non-interest-bearing deposits in both the U.S. and outside of the U.S.
(12)Includes allocations for capital and funding costs based on the location of the asset.
Analysis of Changes in Interest Revenue(1)(2)(3) 
| |
| | 2025 vs. 2024 | 2024 vs. 2023 | |
| | Increase (decrease)due to change in: | Increase (decrease)due to change in: | |
| In millions of dollars | Averagebalance | Averagerate | Netchange | Averagebalance | Averagerate | Netchange | |
| Deposits with banks(3) | $ | 1,985 | $ | (733) | $ | 1,252 | $ | (994) | $ | 1,173 | $ | 179 | |
| Securities borrowed and purchased under agreements to resell | |
| In U.S. offices | $ | 3,344 | $ | (1,106) | $ | 2,238 | $ | (1,800) | $ | 2,098 | $ | 298 | |
| In offices outside the U.S.(3) | (1,394) | (3,055) | (4,449) | 359 | 1,629 | 1,988 | |
| Total | $ | 1,950 | $ | (4,161) | $ | (2,211) | $ | (1,441) | $ | 3,727 | $ | 2,286 | |
| Trading account assets(4) | |
| In U.S. offices | $ | 1,981 | $ | (1,209) | $ | 772 | $ | 2,203 | $ | 92 | $ | 2,295 | |
| In offices outside the U.S.(3) | 2,324 | 125 | 2,449 | 698 | 123 | 821 | |
| Total | $ | 4,305 | $ | (1,084) | $ | 3,221 | $ | 2,901 | $ | 215 | $ | 3,116 | |
| Investments(1) | |
| In U.S. offices | $ | (1,727) | $ | (21) | $ | (1,748) | $ | (774) | $ | (190) | $ | (964) | |
| In offices outside the U.S.(3) | 781 | (966) | (185) | 1,090 | 231 | 1,321 | |
| Total | $ | (946) | $ | (987) | $ | (1,933) | $ | 316 | $ | 41 | $ | 357 | |
| Consumer loans (net of unearned income)(5) | |
| In U.S. offices | $ | 786 | $ | (157) | $ | 629 | $ | 1,693 | $ | 864 | $ | 2,557 | |
| In offices outside the U.S.(3) | 121 | (492) | (371) | (282) | 403 | 121 | |
| Total | $ | 907 | $ | (649) | $ | 258 | $ | 1,411 | $ | 1,267 | $ | 2,678 | |
| Corporate loans (net of unearned income)(5) | |
| In U.S. offices | $ | 987 | $ | (964) | $ | 23 | $ | 55 | $ | 1,328 | $ | 1,383 | |
| In offices outside the U.S.(3) | 662 | (2,565) | (1,903) | 706 | (531) | 175 | |
| Total | $ | 1,649 | $ | (3,529) | $ | (1,880) | $ | 761 | $ | 797 | $ | 1,558 | |
| Loans (net of unearned income)(5) | |
| In U.S. offices | $ | 1,773 | $ | (1,121) | $ | 652 | $ | 1,748 | $ | 2,192 | $ | 3,940 | |
| In offices outside the U.S.(3) | 783 | (3,057) | (2,274) | 424 | (128) | 296 | |
| Total | $ | 2,556 | $ | (4,178) | $ | (1,622) | $ | 2,172 | $ | 2,064 | $ | 4,236 | |
| Other interest-earning assets(6) | $ | 722 | $ | (266) | $ | 456 | $ | (472) | $ | 746 | $ | 274 | |
| Total interest income | $ | 10,572 | $ | (11,409) | $ | (837) | $ | 2,482 | $ | 7,966 | $ | 10,448 | |
(1)Interest income and Net interest income include the taxable equivalent adjustments discussed in the table above.(2)Rate/volume variance is allocated based on the percentage relationship of changes in volume and changes in rate to the total net change.(3)Changes in average rates reflect changes in prevailing local interest rates, including inflationary effects and monetary corrections in certain countries.(4)Interest expense on Trading account liabilities of Services, Markets and Banking is reported as a reduction of Interest income. Interest income and Interest expense on cash collateral positions are reported in interest on Trading account assets and Trading account liabilities, respectively.(5)Includes cash-basis loans.(6)Includes Brokerage receivables.106 Analysis of Changes in Interest Expense and Net Interest Income(1)(2)(3) 
| |
| | 2025 vs. 2024 | 2024 vs. 2023 | |
| | Increase (decrease)due to change in: | Increase (decrease)due to change in: | |
| In millions of dollars | Averagebalance | Averagerate | Netchange | Averagebalance | Averagerate | Netchange | |
| Deposits | |
| In U.S. offices | $ | 602 | $ | (3,652) | $ | (3,050) | $ | (878) | $ | 2,996 | $ | 2,118 | |
| In offices outside the U.S.(3) | 874 | (3,184) | (2,310) | 292 | 1,616 | 1,908 | |
| Total | $ | 1,476 | $ | (6,836) | $ | (5,360) | $ | (586) | $ | 4,612 | $ | 4,026 | |
| Securities loaned and sold under agreements to repurchase | |
| In U.S. offices | $ | 3,085 | $ | (1,591) | $ | 1,494 | $ | 5,287 | $ | (309) | $ | 4,978 | |
| In offices outside the U.S.(3) | 2,439 | (4,166) | (1,727) | (526) | 1,993 | 1,467 | |
| Total | $ | 5,524 | $ | (5,757) | $ | (233) | $ | 4,761 | $ | 1,684 | $ | 6,445 | |
| Trading account liabilities(4) | |
| In U.S. offices | $ | 14 | $ | (204) | $ | (190) | $ | (311) | $ | 363 | $ | 52 | |
| In offices outside the U.S.(3) | 64 | (211) | (147) | (305) | 176 | (129) | |
| Total | $ | 78 | $ | (415) | $ | (337) | $ | (616) | $ | 539 | $ | (77) | |
| Short-term borrowings and other interest-bearing liabilities(5) | |
| In U.S. offices | $ | 1,001 | $ | (1,243) | $ | (242) | $ | (655) | $ | 562 | $ | (93) | |
| In offices outside the U.S.(3) | 392 | (487) | (95) | (53) | 411 | 358 | |
| Total | $ | 1,393 | $ | (1,730) | $ | (337) | $ | (708) | $ | 973 | $ | 265 | |
| Long-term debt | |
| In U.S. offices | $ | 615 | $ | (887) | $ | (272) | $ | 531 | $ | 106 | $ | 637 | |
| In offices outside the U.S.(3) | (40) | 33 | (7) | (24) | (12) | (36) | |
| Total | $ | 575 | $ | (854) | $ | (279) | $ | 507 | $ | 94 | $ | 601 | |
| Total interest expense | $ | 9,046 | $ | (15,592) | $ | (6,546) | $ | 3,358 | $ | 7,902 | $ | 11,260 | |
| Net interest income | $ | 1,525 | $ | 4,184 | $ | 5,709 | $ | (876) | $ | 64 | $ | (812) | |
(1)Interest income and Net interest income include the taxable equivalent adjustments discussed in the table above.(2)Rate/volume variance is allocated based on the percentage relationship of changes in volume and changes in rate to the total net change.(3)Changes in average rates reflect changes in prevailing local interest rates, including inflationary effects and monetary corrections in certain countries.(4)Interest expense on Trading account liabilities of Services, Markets and Banking is reported as a reduction of Interest income. Interest income and Interest expense on cash collateral positions are reported in interest on Trading account assets and Trading account liabilities, respectively.(5)Includes Brokerage payables.107 MARKET RISK OF TRADING PORTFOLIOSTrading portfolios include the following:positions resulting from market-making activitieshedges of certain available-for-sale (AFS) debt securitiesthe CVA relating to derivative counterparties and all associated hedgesfair value option loanshedges of the loan portfolio within capital markets originationManagement of the market risk of Citis trading portfolio is governed by the Mark-to-Market Risk Policy and the Markets Risk Management Committee.The market risk of Citis trading portfolios is monitored using a combination of quantitative and qualitative measures, including, but not limited to, factor sensitivities, value at risk (VaR) and stress testing. Each trading portfolio across Citis businesses has its own market risk limit framework encompassing these measures and other controls, including trading mandates, new product approval, permitted product lists and pre-trade approval for larger, more complex and less liquid transactions. These controls enable the monitoring and management of Citis top market risks.The following chart of total daily trading-related revenue (loss) captures trading volatility and shows the number of days in which revenues for Citis trading businesses fell within particular ranges. Trading-related revenue includes trading, net interest and other revenue associated with Citis trading businesses. It excludes DVA, FVA and CVA adjustments incurred due to changes in the credit quality of counterparties, as well as any associated hedges of that CVA. In addition, it excludes fees and other revenue associated with capital markets origination activities. Trading-related revenues are driven by both customer flows and the changes in valuation of the trading inventory. As presented in the chart below, Citi achieved positive trading-related revenue for 98.9% of the trading days in 2025.
| |
| Daily Trading-Related Revenue (Loss)(1)12 Months Ended December 31, 2025 | |
| In millions of dollars | |
(1) Reflects the effects of asymmetrical accounting for economic hedges of certain AFS debt securities. Specifically, the change in the fair value of hedging derivatives is included in trading-related revenue, while the offsetting change in the fair value of hedged AFS debt securities is included in AOCI and not reflected above.108 Factor SensitivitiesWhen managing market risk for its trading portfolios, Citi uses factor sensitivities to measure the change in value of a position for a defined change in a market risk factor, such as a change in the value of a U.S. Treasury bond for a one-basis-point change in interest rates. Citis Global Market Risk function, within the Independent Risk Management organization, works to ensure that factor sensitivities are calculated, monitored and limited for all material risks taken in the trading portfolios.Value at Risk (VaR)VaR estimates, at a 99% confidence level, the potential decline in the value of a position or a portfolio under normal market conditions assuming a one-day holding period. VaR statistics, which are based on historical data, can be materially different across firms due to differences in portfolio composition, VaR methodologies and model parameters. As a result, Citi believes VaR statistics can be used more effectively as indicators of trends in risk-taking within a firm, rather than as a basis for inferring differences in risk-taking across firms.Citi uses a single, independently approved Monte Carlo simulation VaR model (see VaR Model Review and Validation below), which has been designed to capture material risk sensitivities (such as first- and second-order sensitivities of positions to changes in market prices) of various asset classes/risk types (such as interest rate, credit spread, foreign exchange, equity and commodity risks).Citi uses the VaR model to create views of risk for internal purposes (Risk Management VaR), which may differ from the Regulatory VaR definition (described in VaR Model Review and Validation below) used for regulatory capital requirements. Trading VaR includes positions that are measured at fair value or mark-to-market and does not include investment securities classified as AFS, HTM or other accrual positions. See Note14 for information on these securities. Trading and Credit VaR additionally includes mark-to-market positions associated with non-trading business units plus the CVA relating to derivative counterparties, all associated CVA hedges and market-sensitive FVA hedges.Citi believes its VaR model is conservatively calibrated to incorporate fat-tail scaling and the greater of short-term (approximately the most recent month) and long-term (18 months for commodities and three years for others) market volatility. The Monte Carlo simulation involves approximately 550,000 market factors, making use of approximately 480,000 time series, with sensitivities updated daily, volatility parameters updated intra-monthly and correlation parameters updated monthly. As of December31, 2025, Citi estimates that the conservative features of the VaR calibration contribute an approximate 14% add-on to what would be a VaR estimated under the assumption of normally distributed markets. As presented in the table below, Citis average trading VaR decreased $6 million from 2024 to 2025 due to inventory changes and volatility updates. Citis average trading and credit portfolio VaR decreased $7 million, in line with the decline in average trading VaR.Total CitiYear-end and Average Trading VaR and Trading and Credit Portfolio VaR
| |
| In millions of dollars | December 31, 2025 | 2025 Average | December 31, 2024 | 2024 Average | |
| Interest rate | $ | 95 | $ | 96 | $ | 96 | $ | 95 | |
| Credit spread | 68 | 74 | 77 | 67 | |
| Covariance adjustment(1) | (52) | (60) | (49) | (52) | |
| Fully diversified interest rate and credit spread(2) | $ | 111 | $ | 110 | $ | 124 | $ | 110 | |
| Foreign exchange | 65 | 57 | 56 | 54 | |
| Equity | 31 | 24 | 29 | 31 | |
| Commodity | 42 | 33 | 25 | 22 | |
| Covariance adjustment(1) | (128) | (105) | (108) | (92) | |
| Total trading VaRall market risk factors, including general and specific risk (excluding credit portfolios)(2) | $ | 121 | $ | 119 | $ | 126 | $ | 125 | |
| Specific risk-only component(3) | $ | (4) | $ | (2) | $ | 11 | $ | (3) | |
| Total trading VaRgeneral market risk factors only (excluding credit portfolios) | $ | 125 | $ | 121 | $ | 115 | $ | 128 | |
| Incremental impact of the credit portfolio(4) | $ | 2 | $ | 7 | $ | 4 | $ | 8 | |
| Total trading and credit portfolio VaR | $ | 123 | $ | 126 | $ | 130 | $ | 133 | |
(1)Covariance adjustment (also known as diversification benefit) equals the difference between the total VaR and the sum of the VaRs tied to each risk type. The benefit reflects the fact that the risks within individual and across risk types are not perfectly correlated and, consequently, the total VaR on a given day will be lower than the sum of the VaRs relating to each risk type. The determination of the primary drivers of changes to the covariance adjustment is made by an examination of the impact of both model parameter and position changes.(2)The total trading VaR includes mark-to-market and certain fair value option trading positions with the exception of hedges of the loan portfolio, fair value option loans and all CVA exposures. Available-for-sale and accrual exposures are not included.(3) The specific risk-only component represents the level of equity and fixed income issuer-specific risk embedded in VaR. (4) The credit portfolio is composed of mark-to-market positions associated with non-trading business units, with the CVA relating to derivative counterparties, all associated CVA hedges and market sensitivity FVA hedges. FVA and DVA are not included. The credit portfolio also includes hedges of the loan portfolio, fair value option loans and hedges of the leveraged finance pipeline within capital markets origination.109 The table below provides the range of market factor VaRs associated with total Citi trading VaR, inclusive of specific risk:
| |
| 2025 | 2024 | |
| In millions of dollars | Low | High | Low | High | |
| Interest rate | $ | 76 | $ | 118 | $ | 62 | $ | 132 | |
| Credit spread | 57 | 94 | 55 | 83 | |
| |
| Fully diversified interest rate and credit spread | $ | 87 | $ | 133 | $ | 77 | $ | 145 | |
| Foreign exchange | 34 | 94 | 31 | 111 | |
| Equity | 13 | 51 | 13 | 84 | |
| Commodity | 19 | 79 | 14 | 32 | |
| |
| Total trading | $ | 100 | $ | 141 | $ | 82 | $ | 185 | |
| Total trading and credit portfolio | 101 | 152 | 91 | 196 | |
Note: No covariance adjustment can be inferred from the above table as the high and low for each market factor will be from different close-of-business dates.The following table provides the VaR only for Markets, excluding the CVA relating to derivative counterparties, hedges of CVA, fair value option loans and hedges of the loan portfolio:Markets VaR
| |
| In millions of dollars | December 31, 2025 | |
| Totalall market risk factors, including general and specific risk | |
| Averageduring year | $ | 115 | |
| Highduring year | 141 | |
| Lowduring year | 94 | |
VaR Model Review and ValidationGenerally, Citis VaR review and model validation process entails reviewing the model framework, major assumptions and implementation of the mathematical algorithm. In addition, product-specific back-testing on portfolios is periodically completed as part of the ongoing model performance monitoring process and reviewed with Citis U.S. banking regulators. Furthermore, Regulatory VaR back-testing (as described below) is performed against buy-and-hold profit and loss on a monthly basis for multiple sub-portfolios across the organization (trading desk level and total Citigroup) and the results are shared with U.S. banking regulators.Material VaR model and assumption changes must be independently validated within Citis Independent Risk Management organization. All model changes, including those for the VaR model, are validated by the model validation group within Citis Model Risk Management. In the event of significant model changes, parallel model runs are undertaken prior to implementation. In addition, significant model and assumption changes are subject to the periodic reviews and approval by Citis U.S. banking regulators.Citi uses the same independently validated VaR model for both Regulatory VaR and Risk Management VaR and, as such, the model review and validation process for both purposes is as described above.Regulatory VaR, which is calculated in accordance with Basel III, differs from Risk Management VaR because certain positions included in Risk Management VaR are not eligible for market risk treatment in Regulatory VaR. The composition of Risk Management VaR is discussed under Value at Risk above. The applicability of the VaR model for positions eligible for market risk treatment under U.S. regulatory capital rules is periodically reviewed and approved by Citis U.S. banking regulators.In accordance with Basel III, Regulatory VaR includes all trading book-covered positions and all foreign exchange and commodity exposures. Pursuant to Basel III, Regulatory VaR excludes positions that fail to meet the intent and ability to trade requirements and are therefore classified as non-trading book and categories of exposures that are specifically excluded as covered positions. Regulatory VaR excludes CVA on derivative instruments and DVA on Citis own fair value option liabilities. CVA hedges are excluded from Regulatory VaR and included in credit risk-weighted assets as computed under the Advanced Approaches for determining risk-weighted assets.Regulatory VaR Back-TestingIn accordance with Basel III, Citi is required to perform back-testing to evaluate the effectiveness of its Regulatory VaR model. Regulatory VaR back-testing is the process in which the daily one-day VaR, at a 99% confidence interval, is compared to the buy-and-hold profit and loss (i.e., the profit and loss impact if the portfolio is held constant at the end of the day and re-priced the following day). Clean buy-and-hold profit and loss represents the daily mark-to-market profit and loss attributable to price movements in covered positions from the close of the previous business day. Buy-and-hold profit and loss excludes realized trading revenue, net interest, fees and commissions, intra-day trading profit and loss and changes in reserves.Based on a 99% confidence level, Citi would expect two to three days in any one year where buy-and-hold losses exceed the Regulatory VaR. Given the conservative calibration of Citis VaR model (as a result of taking the greater of short- and long-term volatilities and fat-tail scaling of volatilities), Citi would expect fewer exceptions under normal and stable market conditions. Periods of unstable market conditions could increase the number of back-testing exceptions.110 The following graph presents the daily buy-and-hold profit and loss associated with Citis covered positions compared to Citis one-day Regulatory VaR during 2025. During 2025, no back-testing exceptions were observed at the Citigroup level.The difference between the 67.6% of days with buy-and-hold gains for Regulatory VaR back-testing and the 98.9% of days with trading, net interest and other revenue associated with Citis trading businesses, presented in the histogram of daily trading-related revenue, reflects, among other things, that a significant portion of Citis trading-related revenue is not generated from daily price movements on these positions and exposures, as well as differences in the portfolio composition of Regulatory VaR and Risk Management VaR.
| |
| Regulatory Trading VaR and Associated Buy-and-Hold Profit and Loss(1)12 Months Ended December 31, 2025 | |
| In millions of dollars | |
(1) Buy-and-hold profit and loss, as defined by the banking regulators under Basel III, represents the daily mark-to-market revenue movement attributable to the trading position from the close of the previous business day. Buy-and-hold profit and loss excludes realized trading revenue and net interest intra-day trading profit and loss on new and terminated trades, as well as changes in reserves. Therefore, it is not comparable to the trading-related revenue presented in the chart of daily trading-related revenue above.111 Stress TestingCiti uses a comprehensive Enterprise Stress Testing framework in its risk management, capital adequacy assessment and strategic planning processes to assess the potential impact of various adverse economic and financial market events on the Companys financial condition. The results of these tests are a critical input for evaluating Citis risk profile and capital adequacy, and for informing the Companys risk appetite and strategic business decisions.Citis market risk stress testing program includes routine stress loss assessments, as well as ad-hoc analyses of emerging risks and market events. The scenarios used within this framework are designed to be severe and relevant to Citis trading portfolios and vulnerabilities, and include a combination of historical market crises and hypothetical events. These scenarios are applied to the portfolios to calculate the potential profit and loss impact under stressed conditions. The outputs of the stress tests are reviewed by senior management and relevant risk committees. The results directly inform risk management actions, including the setting and monitoring of the Companys risk limits, the approval process for certain transactions and ongoing capital and strategic planning. This ensures that the insights gained from stress testing are actively used to manage risk and maintain financial resilience.OPERATIONAL RISK OverviewOperational risk is the risk of loss resulting from inadequate or failed internal processes, human error or systems errors, or external events. As discussed further below, operational risk includes cybersecurity risk. It also includes legal risk, which is the risk of loss (including litigation costs, settlements and regulatory fines) resulting from the failure of Citi to comply with laws, regulations, prudent ethical standards and contractual obligations in any aspect of its businesses, but excludes strategic and reputation risks. Citi also recognizes the impact of operational risk on the reputation risk associated with Citis business activities. Operational risk is inherent in Citis global business activities, as well as related support functions, and can result in losses. Citi maintains a comprehensive Company-wide risk taxonomy to classify operational risks that it faces using standardized definitions across Citis Operational Risk Management Framework (see discussion below). This taxonomy also supports regulatory requirements and expectations inclusive of those related to U.S. Basel III, Comprehensive Capital Analysis and Review (CCAR), Heightened Standards for Large Financial Institutions and Dodd-Frank Act Stress Testing (DFAST). Citi manages operational risk consistent with the overall framework described in Managing Global RiskOverview above. Citis goal is to keep operational risk at appropriate levels relative to the characteristics of its businesses, the markets in which it operates, its capital and liquidity and the competitive, economic and regulatory environment. This includes effectively managing operational risk and maintaining or reducing operational risk exposures within Citis operational risk appetite.Citis Operational Risk Management group has established a global Operational Risk Management Framework with policies and practices for identification, measurement, monitoring, controlling and reporting operational risks and the overall operating effectiveness of the internal control environment. As part of this framework, Citi has defined its operational risk appetite and established the minimum requirements of the Managers Control Assessment (MCA) process managed by the first line of defense for self-identification of significant operational risks, assessment of the performance of key controls and mitigation of residual risk above acceptable levels. Each Citi operating segment must implement operational risk management processes consistent with the requirements of this framework. This includes:understanding and assessing the operational risks they are exposed to;designing, executing and testing controls that mitigate identified risks;establishing key indicators;monitoring and reporting whether the operational risk exposures are in or out of their operational risk appetite;having processes in place to bring operational risk exposures within acceptable levels; periodically estimating and aggregating the operational risks they are exposed to; andensuring that sufficient resources are available to actively improve the operational risk environment and mitigate emerging risks.Citi considers operational risks that result from the introduction of new or changes to existing products, or result from significant changes in its organizational structures, systems, processes and personnel. Citi has a governance structure for the oversight of operational risk exposures through Business Risk and Controls Committees (BRCCs), which are focused at the group, business or function level. BRCCs provide channels to inform and escalate to senior management about operational risk exposures, control issues and operational risk events, and allow them to take and document decisions around the mitigation, remediation or acceptance of operational risk exposures.In addition, Independent Risk Management, including the Operational Risk Management group, works proactively with Citis businesses and functions to drive a strong and embedded operational risk management culture and framework across Citi. The Operational Risk Management group actively challenges business and functions implementation of the Operational Risk Management Framework requirements and the quality of operational risk management practices and outcomes.Information about businesses key operational risks, historical operational risk losses and the control environment is reported by each major business segment and functional area at relevant governance forums. Citis operational risk profile and related information is summarized and reported to 112 senior management, as well as to the Audit and Risk Committees of Citigroups Board of Directors by the Head of Operational Risk Management.Operational risk is measured through Operational Risk Capital and Operational Risk Regulatory Capital for the Advanced Approaches under Basel III. Projected operational risk losses under stress scenarios are estimated as a required part of the FRBs CCAR process. For additional information on Citis operational risks, see Risk FactorsOperational Risks above.Cybersecurity Risk OverviewCybersecurity risk is the operational risk associated with the threat posed by a cyberattack, cyber breach or the failure to protect Citis most vital business information assets or operations, resulting in a financial or reputational loss (see the operational processes and systems and cybersecurity risk factors in Risk FactorsOperational Risks above). With an evolving threat landscape, ever-increasing sophistication of threat actor tactics, techniques and procedures, ongoing and emerging geopolitical conflicts, and the availability of new technologies, including those enabled by artificial intelligence and machine learning capabilities, to conduct financial transactions, Citi and its clients, customers and third parties (and fourth parties, etc.) continue to be at risk from cyberattacks and information security incidents. Citi leverages a threat-focused, industry-standard-aligned, defense-in-depth strategy that ensures that multiple controls work in tandem against various threats to increase the likelihood that malicious activity will be prevented, detected and mitigated.Citi has a mature and comprehensive cybersecurity threat identification and management program that relies on an industry-aligned, risk-based, defense-in-depth approach, including an internal cybersecurity intelligence center, participation in industry and government information-sharing programs, vulnerability assessment and scanning tools, intrusion detection and prevention systems, security incident and event management systems, defensive architecture, penetration testing, adversary emulation exercises, data management (including classification, encryption, and identity and access management), multi-factor authentication requirements and other logical, physical and technical controls designed to prevent, deter, mitigate and respond to cybersecurity threats. Citis cyber and information security program is supported by comprehensive governance, including policies, standards and procedures that dictate requirements and best practices around various program aspects, including, but not limited to, third-party risk management, data management, asset management, information security practices, security incident management and regulatory compliance. Citis Chief Information Security Organizations risks and controls are measured against its Cybersecurity Risk Appetite Statement, which was initially approved by the Risk Management Committee of the Board of Directors and is reapproved annually by Citis Risk Committee, chaired by Citis Chief Risk Officer. Citis Cybersecurity Risk Appetite Statement leverages key risk indicators to establish enterprise risk tolerance and define risk management strategy with respect to cyber and information security. Further, Citi actively participates in financial industry, government and cross-sector knowledge-sharing groups to enhance individual and collective cybersecurity preparedness and resilience.Cybersecurity Risk Management and GovernanceCitis technology and cybersecurity risk management program is built on Citis three lines of defense, each of which is integrated into Citis overall risk management systems and processes. Citis Chief Information Security Organization, which is led by Citis Head of Foundational Services and Chief Information Security Officer (CISO), serves as the first line of defense. This office provides frontline business, operational and technical controls and capabilities to (i) protect against cybersecurity risks, and (ii) respond to cyber incidents, including data breaches. Citi manages cybersecurity threats through its state-of-the-art fusion centers, which serve as central commands for monitoring and coordinating responses to cyber threats. Citis Chief Information Security Organization is responsible for application and infrastructure defense and security controls, performing vulnerability assessments and third-party information security assessments (including cybersecurity risk assessments associated with Citis use of products and services from vendors and other third-party providers), employee awareness and training programs, and security incident management. In each case, the enterprise information security team works in coordination with a network of information security officers who are embedded within Citis global businesses and functions, consistent with Citis philosophy that all Citi stakeholders have a responsibility in managing cyber and information security risks. Citis Technology and Cyber Compliance and Operational Risk Office (TCCORO) serves as the second line of defense. This office independently evaluates and challenges Citis risk mitigation practices and capabilities, from a fused operational risk and compliance lens. It functions as a joint second line of defense and in accordance with Citis Cybersecurity Risk Appetite Statement. TCCORO also advises first line partners in CISO, supporting enterprise-wide efforts to proactively identify and remediate cybersecurity risks before they materialize as incidents that negatively affect business operations.To address evolving cybersecurity risks and corresponding regulations, TCCORO monitors cybersecurity legal and regulatory requirements, identifies and defines emerging risks, executes strategic cybersecurity threat assessments, performs new product and initiative reviews, performs data management risk oversight and conducts cybersecurity risk assurance reviews (inclusive of third-party assessments). In addition, this office oversees and challenges metrics related to cybersecurity and technology and ensures they remain aligned with Citis overall operational risk management framework to effectively track, identify and manage risk. TCCORO presents an independent viewpoint on enterprise cybersecurity risk posture, and oversees CISOs 113 cybersecurity risk identification, measurement and enterprise-wide governance of cybersecurity risk.Internal Audit serves as Citis third line of defense and provides independent assurance to the Audit Committee of the Board on the effectiveness of controls operated by the first and second lines of defense to manage cybersecurity risk. Citi recognizes the risks associated with outsourcing services to, sharing data with, and/or technologically interacting with third parties. Citi has built a robust third-party information security risk management program that governs third-party engagements from selection, to the establishment of legal agreements that govern the relationship, to ongoing monitoring through the duration of the relationship. Third-party risk management includes reliance on contractual requirements around, among other things, data and cybersecurity, vulnerability assessments, third-party information security assessments performed at intervals determined by risk level, governance to manage end-of-life and end-of-vendor-support risks, and third-party incident response protocols. Management GovernanceCitis Head of Technology and Business Enablement, who reports directly to Citis CEO, has overall responsibility for Citis first line of defense cyber and information security and technology programs. Citis Head of Technology and Business Enablement has over 30 years of experience in the financial services industry. For additional information, see Corporate InformationExecutive Officers below.Citis Head of Foundational Services and CISO, who reports directly to Citis Head of Technology and Business Enablement, has primary responsibility to assess and manage Citis material risks from cybersecurity threats. Citis CISO has decades of experience in managing cybersecurity risks from prior financial services industry and government roles. The CISO is supported by a team of subject matter experts in security operations, network architecture, cyber and information security governance and cybersecurity operations. Citi employs approximately 3,400 individuals to manage its cybersecurity program. Citis Chief Technology Officer (CTO) and Head of Emerging Technology and Strategic Partnerships, who also reports to Citis Chief Technology Officer, has primary responsibility for technology policy, innovation enablement and strategy. Citis CTO has held senior roles at Citi in technology, including engineering and architecture since 2012, and previously worked in equity linked technology in the financial services industry. Multiple management committees and functions also support Citis cyber and information security management. The Chief Information Officer Committee (CIOC), which consists of, among others, the Head of Technology and Business Enablement, Citis Chief Information Officers (who report to the Head of Technology and Business Enablement), the CISO, and the Head of TCCORO (who reports both to Citis Head of Operational Risk within the Risk organization and its Head of Global Functions Compliance within the Global Legal and Compliance organization), serves as an escalation forum for items requiring the attention of technology senior management, including approval of policies, and reports items requiring further escalation to the Technology Committee of the Board of Directors, as appropriate. The Information Security Risk Operating Committee (ISROC) is chaired by the CISO and comprises senior members of the Chief Information Security Office and representatives from partner organizations. This committee sets the direction and prioritization for the implementation of the cyber and information security program across Citi. The committee reports and escalates to the CIOC, including for intermediary review and approval of policies escalated from the Information Technology Policy Council (see below). The Security Architecture Council, which reports to the ISROC, is an oversight and decision-making body focused on ensuring that the target level of security architectural maturity is attained. This council is co-chaired by two representatives from the security architecture and cybersecurity services organizations. Citis Information Technology Policy Council provides a centralized review to oversee consistency in the formation of information technology policies and standards. This council maintains oversight of policy document requirements to ensure that information technology policy documents meet Citis objectives as established internally and are in line with laws and regulations as identified and communicated by ICRM. In addition, Citi regularly engages third parties globally to assess, audit and/or exercise Citis cyber and information security program, which is ISO-27001 certified. ISO-27001 is an international standard for information security management systems. Citi is regulated by bodies across the globe that also regularly examine and audit Citis cyber and information security program against local laws, regulations and industry best practices. Board GovernanceCitigroups Board of Directors and its committees provide oversight of senior managements efforts to mitigate cybersecurity risk and respond to cybersecurity incidents. Citis Board includes members with cybersecurity expertise and experience.Citigroups full Board is briefed annually on cybersecurity risks and receives updates as needed on Citis cyber and information security program, including changes to the threat landscape and a roadmap for progress around addressing related risks. Additionally, Citigroups Board participates in cybersecurity exercises to improve preparedness to address cybersecurity incidents.The Boards Technology Committee receives quarterly updates from the Chief Information Security Office on the cybersecurity threat landscape, regulatory landscape, posture, and strategy and engages in discussions throughout the year with senior management and subject matter experts on the effectiveness of Citis overall cybersecurity program. The Boards Risk Management Committee (RMC) approved a standalone Cybersecurity Risk Appetite Statement against which Citis performance is measured quarterly. In addition, the RMC oversees Citis risk profile, which includes cybersecurity risk, and monitors whether Citi is operating within its cybersecurity risk appetite under its mandate to 114 review key operational risks, including steps taken by management to control such risks.In the event of a potentially material cybersecurity incident impacting Citi, the Board would be made aware of such incident via lines of communication that run from the Chief Information Security Office to senior management and also to the Board. This contemporaneous reporting on significant cyber events includes information and discussion around incident response, legal obligations (including disclosure), and outreach and notification to regulators and customers when needed. For additional information on the Boards oversight of cybersecurity risk management, see Citis upcoming 2026 Annual Meeting Proxy Statement to be filed with the SEC in April 2026. COMPLIANCE RISKCompliance risk is the risk to current or projected financial condition and resilience arising from violations of laws, rules or regulations, or from non-conformance with prescribed practices, internal policies and procedures or ethical standards. Compliance risk exposes Citi to fines, civil money penalties, payment of damages and the voiding of contracts. Compliance risk can result in diminished reputation, harm to Citis customers, limited business opportunities and lessened expansion potential. It encompasses the risk of noncompliance with all laws and regulations, as well as prudent ethical standards and some contractual obligations. It could also include exposure to litigation (known as legal risk) from all aspects of traditional and non-traditional banking.Citi seeks to operate with integrity, maintain strong ethical standards and adhere to applicable policies and regulatory and legal requirements. Citi must maintain and execute a proactive Compliance Risk Management (CRM) Framework (as set forth in the CRM Policy) that is designed to manage compliance risk effectively across Citi, with a view to fundamentally strengthen the compliance risk management culture across the lines of defense taking into account Citis risk governance framework and regulatory requirements. Independent Compliance Risk Managements (ICRM) primary objectives are to:drive and embed a culture of compliance and control throughout Citi;maintain and oversee an integrated CRM Framework that facilitates enterprise-wide compliance with local, national or cross-border laws, rules or regulations, Citis internal policies, standards and procedures and relevant standards of conduct;assess compliance risks and issues across product lines, functions and geographies, supported by globally consistent systems and compliance risk management processes; andprovide compliance risk data aggregation and reporting capabilities.Citi carries out its objectives and fulfills its responsibilities through the CRM Framework, which is composed of the following integrated key activities, to holistically manage compliance risk: management of Citis compliance with laws, rules and regulations by identifying and analyzing changes, assessing the impact and implementing appropriate policies, processes and controlsdeveloping and providing compliance training to ensure employees are aware of and understand the key laws, rules and regulationsmonitoring the Compliance Risk Appetite, which is articulated through qualitative compliance risk statements describing Citis appetite for certain types of risk and quantitative measures to monitor the Companys compliance risk exposureexecuting Compliance Risk Assessments, the results of which inform Compliance Risk Monitoring and testing of compliance risks and controls in assessing conformance with laws, rules, regulations and internal policiesissue identification, escalation and remediation to drive accountability, including measurement and reporting of compliance risk metrics against established thresholds in support of the CRM Policy and Compliance Risk AppetiteTo anticipate, control and mitigate compliance risk, Citi has established the CRM Policy to achieve standardization and centralization of methodologies and processes, and to enable more consistent and comprehensive execution of compliance risk management. Citi has a commitment, as well as an obligation, to identify, assess and mitigate compliance risks associated with its businesses and functions. ICRM is responsible for oversight of Citis CRM Policy, while all businesses and global control functions are responsible for managing their compliance risks and operating within the Compliance Risk Appetite. As discussed above, Citi is working to address the FRB and OCC Consent Orders, which include improvements to Citis CRM Framework and its enterprise-wide application (see Citis Multiyear TransformationFRB and OCC Consent Orders Compliance above).REPUTATION RISK Citis reputation is a vital asset in building trust, and Citi is diligent in enhancing and protecting its reputation with its key stakeholders. To support this, Citi has developed a reputation risk framework. Under this framework, Citigroup and Citibank, N.A. have implemented a risk appetite statement and related key indicators to monitor corporate activities and operations relative to Citis risk appetite. The framework also requires that business segments escalate potential material reputation risks that require review or mitigation through the applicable business Management Forum or Group Reputation Risk Committee. The Group Reputation Risk Committee and Management Forums, which are composed of Citis senior executives, govern the process by which material reputation risks are identified, measured, monitored, controlled, escalated and reported. The Group Reputation Risk Committee and Management Forums determine the appropriate actions to be taken in line with risk appetite and regulatory expectations, while promoting a culture of risk awareness and high standards of integrity and ethical behavior across the 115 Company, consistent with Citis Mission and Value Proposition. The Group Reputation Risk Committee may escalate reputation risks to the Nomination, Governance and Public Affairs Committee or other appropriate committee of the Citigroup Board of Directors. Every Citi employee is responsible for safeguarding Citis reputation, guided by Citis Code of Conduct. Employees are expected to exercise sound judgment and common sense in decisions and actions. They are also expected to promptly escalate all issues that present material reputation risk in line with policy.STRATEGIC RISKAs discussed above, strategic risk is the risk of a sustained impact (not episodic impact) to Citis core strategic objectives as measured by impacts on anticipated earnings, market capitalization or capital, arising from external factors affecting the Companys operating environment, as well as the risks associated with defining and executing the strategy, which are identified, measured and managed as part of the Strategic Risk Framework at the enterprise level. In this context, external factors affecting Citis operating environment are the economic environment, geopolitical/political landscape, industry/competitive landscape, environmental, customer/client behavior, regulatory/legislative environment and trends related to investors/shareholders. Material strategic risks that Citi is monitoring include the impacts of adverse changes in inflation and interest rates in the U.S., as well as macroeconomic uncertainties driven by weak global growth, tariffs, geopolitical issues and changing regulatory requirements. AI has added competitive pressure while productivity assumptions tied to AI-driven operation model changes may materialize more slowly than expected or require additional unforeseen upfront investment. In addition to external factors affecting Citis operating environment, Citi also monitors risks related to the execution of its strategy, with heightened focus on delivering the transformation of its risk and control environment pursuant to the 2020 FRB and OCC Consent Orders.Citis Executive Management Team is responsible for the development and execution of Citis strategy. This strategy is translated into forward-looking plans (collectively Citis Strategic Plan) that are then cascaded across the organization. Citis Strategic Plan is presented to the Board on an annual basis, and is aligned with risk appetite thresholds and includes a risk assessment as required by internal frameworks. It is also aligned with limit requirements for capital allocation. Governance and oversight of strategic risk is facilitated by internal committees on a group-wide basis.Citi works to ensure that strategic risks are adequately considered and addressed across its various risk management activities, and that strategic risks are assessed in the context of Citis risk appetite. Citi conducts a top-down, bottom-up risk identification process to identify risks, including strategic risks. Business segments undertake a quarterly risk identification process to systematically identify and document all material risks faced by Citi. Independent Risk Management oversees the risk identification process through regular reviews and coordinates identification and monitoring of top risks. In addition, Citi performs a quarterly Risk Assessment of the Plan (RAOP) and continuously monitors risks associated with its execution of strategy. Independent Risk Management also manages strategic risk by monitoring risk appetite thresholds in conjunction with its Global Strategic Risk Committee, which is part of the governance structure that Citi has in place to manage its strategic risks.For additional information on Citis strategic risks, see Risk FactorsStrategic Risks above.Climate RiskClimate change presents both immediate and long-term risks to Citi, with the risks expected to increase over time. Climate risk can arise from both physical risks and transition risks.Climate risk is an overarching risk that can act as a driver of other categories of risk, such as credit risk from obligors exposed to high climate risk, strategic risks if Citi fails to consider transition risk in client selection, reputational risk from increased stakeholder concerns about financing or failing to finance high-carbon industries and operational risk from physical risks to Citis facilities. Citi continues to make progress toward embedding climate-related considerations into its overarching risk management approach, driven by the materiality of the financial and strategic risk considerations. For additional information on climate risk, see Risk FactorsStrategic Risks above. Citi continues to develop globally consistent principles and approaches for managing climate risk across the Company through its Climate Risk Management Framework (Climate RMF). The Climate RMF provides information on the governance, roles and responsibilities, and principles to support the identification, measurement, monitoring, controlling and reporting of climate risks. Citi continues to enhance its methodologies for quantifying how climate risks could impact the individual credit profiles of its clients across various sectors. Citi has developed and embedded climate risk assessments in its credit underwriting process for certain sectors that have been identified as higher climate risk. Such climate risk assessments are designed to incorporate publicly available client disclosures and data from third-party providers and facilitate conversations with clients on their most material climate risks and management plans for adaptation and mitigation. These assessments help Citi to better understand its clients businesses and climate-related risks, and support their financial needs.Furthermore, Citi conducts internal scenario analysis to measure and assess potential financial risks from climate change across a range of scenarios. Citi also continues to engage with regulators on climate risk developments.Citi reviews factors related to climate risk associated with financed projects and clients in certain sectors under its Environmental and Social Risk Management (ESRM) Policy. Citis ESRM Policy describes sector approaches to certain high-carbon sectors, including thermal coal mining and power. For additional information about sustainability at Citi, see Sustainability above. 116 OTHER RISKSCountry RiskCountry risk is the risk of loss from economic, financial, political, legal or social conditions in the various countries and jurisdictions that Citi is exposed to. Country risk may impair the value of Citis franchise within a country or jurisdiction or adversely affect Citis ability to enforce the obligations of its obligors. Citi is exposed to country risk through its business activities such as lending, payments, investing and market-making activities, whether cross-border or locally funded, and including activities with corporations, governments and other institutions in a country or jurisdiction.Citi manages country risk through a comprehensive risk framework supported by governance committees and councils that oversee country risk exposures, including but not limited to relevant limits, concentrations, metrics and frameworks, stress testing, significant country developments and risk mitigation actions. This is supported by tools and processes designed to facilitate the objective, consistent and ongoing assessments of individual countries and jurisdictions and the risks that may arise from Citis business activities within them.117 Top 25 Country ExposuresThe following table presents Citis top 25 exposures by country (excluding the U.S.) as of December31, 2025. (Citis combined top 25 exposures by country together with the U.S. represent 93% of Citis exposure to all countries as of December31, 2025.) Citis top 25 exposures by country may change from period to period due to a variety of factors, including client activity, market flows, FX fluctuations and Citis liquidity management activities.For purposes of the table, amounts are reflected based on the country of risk of the obligor. Additionally, the table does not include cumulative currency translation adjustment (CTA) gains and losses. The country of risk will generally be the same as the country of incorporation of the obligor, except in certain situations, such as where the source of repayment is concentrated in a different country or jurisdiction or where the obligor is guaranteed by a parent entity incorporated in a different country or jurisdiction (e.g., a Swiss-incorporated subsidiary that is guaranteed by a Chinese-incorporated parent would be reflected as China risk).Investment securities and trading account assets are generally categorized based on the domicile of the issuer of the security of the underlying reference entity.
| |
| In billions of dollars | Services, Markets, Banking and Wealth loans | Legacy Franchises loans | Other funded(1) | Unfunded(2) | Net MTM on derivatives/repos(3) | Total hedges (on loans and CVA) | Investment securities(4) | Trading account assets(5) | Total as of 4Q25 | Total as of 4Q24 | Total as a % of Citi as of 4Q25 | |
| Mexico | $ | 9.1 | $ | 30.0 | $ | 0.4 | $ | 9.6 | $ | 6.7 | $ | (1.2) | $ | 23.5 | $ | 2.7 | $ | 80.8 | $ | 69.4 | 4.4 | % | |
| United Kingdom | 23.7 | | 1.3 | 25.7 | 12.7 | (4.7) | 7.9 | 6.5 | 73.1 | 75.6 | 4.0 | |
| Singapore | 20.8 | | 0.2 | 5.4 | 1.8 | (0.8) | 9.2 | 1.0 | 37.6 | 34.4 | 2.0 | |
| Hong Kong | 22.3 | | 0.1 | 2.0 | 1.2 | (0.4) | 11.3 | 0.1 | 36.6 | 36.2 | 2.0 | |
| India | 12.4 | | 0.4 | 3.5 | 1.3 | (0.3) | 9.3 | 3.1 | 29.7 | 27.7 | 1.6 | |
| Brazil | 14.4 | | 0.2 | 2.2 | 4.9 | (0.9) | 6.5 | 1.9 | 29.2 | 25.9 | 1.6 | |
| Germany | 3.8 | | | 13.7 | 5.3 | (4.3) | 6.1 | 3.3 | 27.9 | 19.9 | 1.5 | |
| South Korea | 8.6 | 2.5 | | 1.6 | 0.8 | (0.5) | 5.8 | 4.6 | 23.4 | 22.7 | 1.3 | |
| Canada | 5.1 | | 0.1 | 7.5 | 1.9 | (1.3) | 3.6 | 5.6 | 22.5 | 21.1 | 1.2 | |
| Luxembourg | 9.6 | | 0.4 | 6.7 | 1.0 | (0.7) | 3.5 | 0.1 | 20.6 | 16.0 | 1.1 | |
| Poland | 4.3 | 1.7 | | 3.4 | 0.4 | (0.1) | 7.8 | 2.7 | 20.2 | 16.4 | 1.1 | |
| France | 3.7 | | 0.1 | 12.5 | 4.3 | (5.1) | 2.0 | 2.3 | 19.8 | 26.1 | 1.1 | |
| China | 5.6 | | 0.4 | 1.9 | 1.9 | (0.7) | 11.9 | (1.3) | 19.7 | 19.0 | 1.1 | |
| Australia | 8.6 | | | 6.0 | 1.4 | (1.2) | 1.7 | 2.3 | 18.8 | 16.7 | 1.0 | |
| Japan | 2.1 | | | 3.6 | 3.4 | (1.0) | 6.6 | 3.3 | 18.0 | 12.2 | 1.0 | |
| Ireland | 9.5 | | | 7.4 | 1.0 | (0.7) | | 0.5 | 17.7 | 9.9 | 1.0 | |
| United Arab Emirates | 7.3 | | 0.1 | 3.2 | 1.0 | (0.3) | 6.1 | (0.1) | 17.3 | 14.1 | 0.9 | |
| Netherlands | 4.9 | | 0.8 | 10.6 | 1.9 | (2.0) | 1.3 | (1.6) | 15.9 | 15.0 | 0.9 | |
| Cayman Islands | 4.9 | | 0.2 | 4.6 | 1.4 | (0.1) | | 0.6 | 11.6 | 7.3 | 0.6 | |
| Switzerland | 3.9 | | 0.1 | 7.5 | 2.4 | (2.0) | | (2.1) | 9.8 | 9.5 | 0.5 | |
| Spain | 2.9 | | | 3.4 | 0.8 | (1.2) | | 1.9 | 7.8 | 6.2 | 0.4 | |
| Belgium | 0.4 | 0.1 | | 1.9 | 0.1 | (0.5) | 5.7 | 0.1 | 7.8 | 5.5 | 0.4 | |
| Virgin Islands (British) | 5.8 | | 0.1 | 0.3 | 0.3 | | | | 6.5 | 3.6 | 0.4 | |
| Sweden | 1.4 | | | 3.5 | 1.3 | (0.6) | | 0.8 | 6.4 | 4.7 | 0.3 | |
| Malaysia | 1.3 | | 0.1 | 0.9 | 0.1 | | 3.8 | 0.2 | 6.4 | 5.2 | 0.3 | |
| Total as a % of Citis total exposure | 31.7 | % | |
| Total as a % of Citis non-U.S. total exposure | 81.6 | % | |
(1)Other funded includes other direct exposures such as loans HFS, other loans in Corporate/Other and investments accounted for under the equity method. 
(2)Unfunded commitments include unfunded corporate lending commitments, letters of credit and other contingencies, including clearing house guarantee funds. 
(3)Net counterparty exposure includes mark-to-market (MTM) exposures on OTC derivatives, carrying amounts of securities lending/borrowing transactions (repos) and margin loan balances. This exposure is also net of collateral and inclusive of CVA.
(4)Investment securities include AFS debt securities, recorded at fair market value, and HTM debt securities, recorded at amortized cost.
(5)Trading account assets are represented on a net basis and include issuer risk on both long and short debt and equity securities and derivative exposure.
118 
Russia
Sale of AO Citibank
Financial Impacts in 2025
On December 29, 2025, Citis Board of Directors approved a plan to sell AO Citibank, which conducted Citis remaining operations in Russia. As a result of this approval:
Citi reported its remaining businesses in Russia as held-for-sale (HFS) as of the fourth quarter of 2025.
The HFS accounting treatment resulted in a pretax loss on sale for the fourth quarter of 2025 of approximately $1.2 billion ($1.1 billion after-tax), recognized as a reduction in Other revenue through a valuation allowance. See the Loss on Sale by Segment and All Other table below.
The loss on sale consisted of:
approximately $1.6 billion related to the currency translation adjustment (CTA) losses that will also remain in Accumulated other comprehensive income (AOCI) until closing; 
partially offset by:
an approximate $0.2 billion of expected benefit from the 2026 derecognition of its fully reserved investment, and 
an approximate $0.2 billion of expected proceeds of the 2026 sale.
Loss on Sale by Segment and All Other
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| All Other | |
| In millions of dollars | Total Citi | Services | Markets | Banking | Legacy Franchises | Corporate/Other | |
| Detailed NIR impact | $ | (1,173) | $ | 356 | $ | 19 | $ | 40 | $ | (1,556) | $ | (32) | |
| Income tax benefit | 50 | | | | 50 | | |
| Net income impact | $ | (1,123) | $ | 356 | $ | 19 | $ | 40 | $ | (1,506) | $ | (32) | |
Financial Impacts in 2026On February 18, 2026, Citi signed and closed the sale of AO Citibank to Renaissance Capital (RenCap):At the close of the sale, Citis direct Russia-related exposures were fully extinguished. Citis clients Russia-related exposures ($12.5 billion as of December 31, 2025) were assumed by RenCap. Of this $12.5 billion, approximately $1.5 billion is owed to Citi by RenCap based on the December 31, 2025 amounts. These amounts, in turn, are owed by Citi to its clients and are subject to further changes based on corporate dividends received by RenCap and owed to Citi. Citis clients exposures consist of corporate dividends that cannot be remitted due to restrictions imposed by the Russian government.The divestiture of the remaining business operations is expected to provide an estimated benefit to Citis CET1 capital in the first quarter of 2026 of approximately $4.0 billion, primarily driven by the deconsolidation of associated risk-weighted assets, a reduction in disallowed DTAs and the release of associated CTA loss. While a benefit in the first quarter of 2026, the cumulative impact of the $1.6 billion CTA loss is regulatory capital neutral to Citi.119 UkraineCiti has continued to operate in Ukraine throughout the war through its Services, Markets and Banking businesses, serving the local subsidiaries of multinationals, along with local financial institutions and the public sector. Citi employs approximately 215 people in Ukraine and their safety is Citis top priority. All of Citis domestic operations in Ukraine are conducted through a subsidiary of Citibank, which uses the Ukrainian hryvnia as its functional currency. As of December31, 2025, Citi had $1.9 billion of direct exposures related to Ukraine (compared to $1.7 billion at September30, 2025). ArgentinaCiti operates in Argentina through its Services, Markets and Banking businesses. As of December 31, 2025, Citis net investment in its Argentine operations, inclusive of associated reserves, was approximately $1.3 billion (compared to $1.4 billion at September 30, 2025). Citi uses the U.S. dollar (USD) as the functional currency for its operations in countries such as Argentina that are deemed highly inflationary in accordance with GAAP. Citi uses Argentinas official market exchange rate to remeasure its net Argentine peso (ARS)denominated assets into USD, with the impact of exchange rate fluctuations recorded directly in earnings. As of December 31, 2025, the official ARS exchange rate was 1455, which devalued by 5.4% against the USD during the fourth quarter of 2025.The Central Bank of Argentina (BCRA) has generally maintained certain capital and currency controls that have broadly restricted Citis ability to access USD in Argentina and remit earnings from its Argentine operations.During the second quarter of 2025, Citi subscribed to approximately $340 million of par value of the latest series of certain USD-denominated bonds (BOPREALs) issued by the BCRA, which provided a mechanism for Argentine companies to pay dividends by selling the bonds and remitting the proceeds. Citi completed the sale of the BOPREALs during2025 and remitted the total proceeds of approximately $262million from its Argentine operations, thereby reducing its netinvestment in the country.Of the $1.3 billion net investment in Argentina as of December 31, 2025, Citis net ARS exposure (net of the associated reserves) was approximately $0.9 billion (compared to $0.8 billion at September 30, 2025). As of December 31, 2025, Citi hedged approximately $0.4 billion of its ARS exposure through offshore hedges and was unable to hedge its remaining exposure, due to illiquidity in the offshore derivatives market. Given the historical capital and currency controls, certain indirect foreign exchange mechanisms continue to exist that some Argentine entities may use to obtain USD, often at rates higher than the official exchange rate. Citibank Argentina is generally precluded from accessing these alternative mechanisms, and under U.S. GAAP, these exchange mechanisms cannot be used to remeasure Citis net monetary assets into USD. If Argentinas official exchange rate further converges with the approximate rate implied by the indirect foreign exchange mechanisms, Citi could incur additional translation losses on its net investment in Argentina. To the extent that Citi is unable to hedge its ARS exposure in the future, Citi may incur additional translation losses on its net investment in Argentina.For additional information on Citis emerging markets risks, including those related to its Argentina exposures, see Risk FactorsOther Risks above.Citi continually evaluates its economic exposure to its Argentine counterparties and reserves for changes in credit risk and records mark-to-market adjustments for relevant market risks associated with its Argentine assets. Citi believes it has established an appropriate ACL on its Argentine loans, and appropriate fair value adjustments on Argentine assets and liabilities measured at fair value, for credit and sovereign risks under U.S. GAAP as of December 31, 2025. For additional information on Citis emerging markets risks, including those related to its Argentine exposures, see Risk FactorsStrategic Risks above.120 SIGNIFICANT ACCOUNTING POLICIES AND SIGNIFICANT ESTIMATESThis section contains a summary of Citis most significant accounting policies. Note 1 contains a summary of all of Citigroups significant accounting policies. These policies, as well as estimates made by management, are integral to the presentation of Citis results of operations and financial condition. While all of these policies require a certain level of management judgment and estimates, this section highlights and discusses the significant accounting policies that require management to make highly difficult, complex or subjective judgments and estimates at times regarding matters that are inherently uncertain and susceptible to change (see also Risk FactorsOperational Risks above). Management has discussed each of these significant accounting policies, the related estimates and its judgments with the Audit Committee of the Citigroup Board of Directors.Valuations of Financial InstrumentsCitigroup holds debt and equity securities, derivatives, retained interests in securitizations, investments in private equity and other financial instruments. A portion of these assets and liabilities is reflected at fair value on Citis Consolidated Balance Sheet as Trading account assets, Available-for-sale securities and Trading account liabilities.Citi purchases securities under agreements to resell (reverse repos or resale agreements) and sells securities under agreements to repurchase (repos), a substantial portion of which is carried at fair value. In addition, certain loans, short-term borrowings, long-term debt and deposits, as well as certain securities borrowed and loaned positions that are collateralized with cash, are carried at fair value. Citigroup holds its investments, trading assets and liabilities, and resale and repurchase agreements on Citis Consolidated Balance Sheet to meet customer needs and to manage liquidity needs, interest rate risks and private equity investing.When available, Citi generally uses quoted market prices to determine fair value and classifies such items within Level 1 of the fair value hierarchy established under ASC 820-10, Fair Value Measurement. If quoted market prices are not available, fair value is based on internally developed valuation models that use, where possible, current market-based or independently sourced market parameters, such as interest rates, currency rates and option volatilities. Such models are often based on a discounted cash flow analysis. In addition, items valued using such internally generated valuation techniques are classified according to the lowest level input or value driver that is significant to the valuation. Thus, an item may be classified under the fair value hierarchy as Level 2 if the significant inputs are observable or Level 3 if there are some significant inputs that are not readily observable.Citi is required to exercise subjective judgments relating to the applicability and functionality of internal valuation models, the significance of inputs or drivers to the valuation of an instrument and the degree of illiquidity and subsequent lack of observability in certain markets. The fair value of these instruments is reported on Citis Consolidated Balance Sheet with the changes in fair value recognized in either the Consolidated Statement of Income or in AOCI. Losses on available-for-sale securities whose fair values are less than the amortized cost, where Citi intends to sell the security or could more-likely-than-not be required to sell the security prior to recovery, are recognized in earnings. Where Citi does not intend to sell the security nor could more-likely-than-not be required to sell the security, any portion of the loss that is attributable to credit is recognized as an allowance for credit losses with a corresponding provision for credit losses, and the remainder of the unrealized loss is recognized in AOCI. Such credit losses are capped at the difference between the fair value and amortized cost of the security.For equity securities carried at cost or under the measurement alternative, decreases in fair value below the carrying value are recognized as impairment in the Consolidated Statement of Income. Moreover, for certain equity method investments, decreases in fair value are only recognized in earnings in the Consolidated Statement of Income if such decreases are judged to be an other-than-temporary impairment (OTTI). Assessing if the fair value impairment is temporary is also inherently judgmental.The fair value of financial instruments incorporates the effects of Citis own credit risk and the market view of counterparty credit risk, the quantification of which is also complex and judgmental. For additional information on Citis fair value analysis, see Notes 1 (Fair Value and Fair Value Hedges), 6, 26 and 27.121 Citis Allowance for Credit Losses (ACL) The table below presents Citis allowance for credit losses on loans (ACLL) and total ACL as of December31, 2025 and 2024, as well as builds and releases during 2025. For information on the drivers of Citis ACL net build in the fourth quarter of 2025, see below. See Note 1 for additional information on Citis accounting policy on accounting for credit losses under Topic 326.
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| | ACL | |
| In millions of dollars | Balance Dec. 31, 2024 | Build (release) | 2025 FX/Other | Balance Dec. 31, 2025 | ACLL/EOP loans Dec. 31, 2025 | |
| 1Q25 | 2Q25 | 3Q25 | 4Q25 | 2025 | |
| Services | $ | 264 | $ | 24 | $ | 53 | $ | (4) | $ | (18) | $ | 55 | $ | 8 | $ | 327 | |
| Markets | 1,030 | 48 | 53 | (44) | (73) | (16) | 13 | 1,027 | |
| Banking | 1,167 | 78 | 137 | 38 | 136 | 389 | 22 | 1,578 | |
| Legacy Franchises corporate (Mexico SBMM and AFG)(1) | 95 | 4 | 16 | (12) | 6 | 14 | 12 | 121 | |
| Total corporate ACLL | $ | 2,556 | $ | 154 | $ | 259 | $ | (22) | $ | 51 | $ | 442 | $ | 55 | $ | 3,053 | 0.91 | % | |
| U.S. cards(2)(3) | $ | 13,560 | $ | (169) | $ | (12) | $ | 44 | $ | (102) | $ | (239) | $ | 3 | $ | 13,324 | 7.67 | % | |
| Installment loans(3) | 425 | (5) | 7 | 11 | (15) | (2) | (1) | 422 | |
| Retail Banking(3) | 144 | 3 | (1) | 9 | 4 | 15 | | 159 | |
| Total USPB | $ | 14,129 | $ | (171) | $ | (6) | $ | 64 | $ | (113) | $ | (226) | $ | 2 | $ | 13,905 | |
| Wealth | 529 | 61 | (64) | (25) | 2 | (26) | 7 | 510 | |
| All Other consumermanaged basis(4) | 1,360 | 69 | 54 | 28 | 69 | 220 | 199 | 1,779 | |
| Reconciling Items(4) | | (11) | | | 1 | (10) | 10 | | |
| Total consumer ACLL | $ | 16,018 | $ | (52) | $ | (16) | $ | 67 | $ | (41) | $ | (42) | $ | 218 | $ | 16,194 | 3.96 | % | |
| Total ACLL | $ | 18,574 | $ | 102 | $ | 243 | $ | 45 | $ | 10 | $ | 400 | $ | 273 | $ | 19,247 | 2.58 | % | |
| Allowance for credit losses on unfunded lending commitments (ACLUC) | $ | 1,601 | $ | 108 | $ | (19) | $ | 100 | $ | 13 | $ | 202 | $ | 30 | $ | 1,833 | |
| Total ACLL and ACLUC | $ | 20,175 | $ | 210 | $ | 224 | $ | 145 | $ | 23 | $ | 602 | $ | 303 | $ | 21,080 | |
| Other(5) | 2,002 | 34 | 388 | 74 | (17) | 479 | (2,188) | 293 | |
| Total ACL | $ | 22,177 | $ | 244 | $ | 612 | $ | 219 | $ | 6 | $ | 1,081 | $ | (1,885) | $ | 21,373 | |
(1)Includes Legacy Franchises corporate loans activity related to Mexico SBMM and the Assets Finance Group (AFG), as well as other Legacy Holdings Assets corporate loans. (2)As of December31, 2025, in USPB, Branded Cards ACLL/EOP loans was 6.3% and Retail Services ACLL/EOP loans was 10.8%. (3)See footnote 4 in U.S. Personal Banking above for the description of a change in reporting.(4)All Other (managed basis) excludes divestiture-related impacts (Reconciling Items) related to (i) Citis divestitures of its Asia Consumer businesses and (ii) the ongoing divestiture of Banamex, within Legacy Franchises. The Reconciling Items are reflected in Citis Consolidated Statement of Income. See All OtherDivestiture-Related Impacts (Reconciling Items) above.(5)Includes ACL on Other assets, primarily related to transfer risk associated with exposures outside the U.S. and Held-to-maturity debt securities. As of December 31, 2025, the reduction in the Other ACL was driven by the reclassification of AO Citibank to held-for-sale, including the related ACL, resulting from Citis planned sale of AO Citibank (which was sold on February 18, 2026), partially offset by ACL builds and changes in FX during the year. See Sale of AO Citibank in Note 2.Citis reserves for expected credit losses on funded loans and for unfunded lending commitments, standby letters of credit and financial guarantees are reflected on the Consolidated Balance Sheet in the Allowance for credit losses on loans (ACLL) and Other liabilities (for Allowance for credit losses on unfunded lending commitments (ACLUC)), respectively. In addition, Citis reserves for expected credit losses on other financial assets carried at amortized cost, including held-to-maturity securities, reverse repurchase agreements, securities borrowed, deposits with banks and other financial receivables, are reflected in Other assets, including transfer risk associated with exposures outside the U.S. These reserves, together with the ACLL and ACLUC, are referred to as the ACL. Changes in the ACL are reflected in Provision for credit losses in the Consolidated Statement of Income for each reporting period. Citis ability to estimate expected credit losses is based on the ability to forecast economic activity over a reasonable and supportable (R&S) timeframe. The R&S forecast period is eight quarters.The ACL is composed of quantitative and qualitative management adjustment components. The quantitative component uses three forward-looking macroeconomic forecast scenariosbase, upside and downside. The qualitative management adjustment component includes risks that are not fully captured in the quantitative component. Both the quantitative and qualitative components are further discussed below.122 Quantitative ComponentCiti estimates expected credit losses for its quantitative component using the following:its comprehensive internal data on loss and default historyinternal credit risk ratingsexternal credit bureau and rating agencies informationR&S forecasts of macroeconomic conditionsFor its consumer and corporate portfolios, Citis expected credit losses are determined primarily by utilizing models that consider the borrowers probability of default (PD), loss given default (LGD) and exposure at default (EAD). The loss likelihood and severity models used for estimating expected credit losses are sensitive to changes in macroeconomic variables, including unemployment rate, real GDP and housing prices, and cover a wide range of geographic, industry, product and business segments.In addition, Citis models determine expected credit losses based on portfolio characteristics, including loan delinquencies, changes in portfolio size, default frequency, risk ratings and loss recovery rates, as well as other credit trends. Qualitative ComponentThe qualitative management adjustment component includes risks that are not fully captured in the quantitative component. These may include but are not limited to portfolio characteristics, idiosyncratic events, factors not within historical loss data or the economic forecast, uncertainty in the credit environment and other factors as required by banking supervisory guidance for the ACL. The primary examples of risks that are not fully captured in the quantitative component are the following:potential impacts on vulnerable industries and regions due to emerging macroeconomic risks and uncertainties, including those related to a potential global recession, inflation, interest rates and commodity pricestransfer risk associated with exposures outside the U.S.As of the fourth quarter of 2025, Citis qualitative component of the ACL decreased quarter-over-quarter, driven by the reclassification of AO Citibank to held-for-sale, including the related ACL, resulting from Citis planned sale of AO Citibank (which was sold on February 18, 2026). Macroeconomic VariablesAs further discussed below, Citi considers various global macroeconomic variables for the base, upside and downside probability-weighted macroeconomic scenario forecasts it uses to estimate the quantitative component of the ACL. The forecasts of the U.S. unemployment rate and U.S. real GDP growth rate represent the key macroeconomic variables that most significantly affect its estimate of the ACL. The tables below present the forecasted quarterly average U.S. unemployment rate and year-over-year U.S. real GDP growth rate used in determining the base macroeconomic forecast for Citis ACL at each quarterly reporting period from the fourth quarter of 2024 to the fourth quarter of 2025:
| |
| Quarterly average | |
| U.S. unemployment | 1Q26 | 3Q26 | 1Q27 | 8-quarter average(1) | |
| Forecast at 4Q24 | 4.1 | % | 4.1 | % | 4.1 | % | 4.2 | % | |
| Forecast at 1Q25 | 4.3 | 4.3 | 4.2 | 4.3 | |
| Forecast at 2Q25 | 4.7 | 4.7 | 4.4 | 4.6 | |
| Forecast at 3Q25 | 4.6 | 4.6 | 4.3 | 4.4 | |
| Forecast at 4Q25 | 4.5 | 4.5 | 4.4 | 4.5 | |
(1)Represents the average unemployment rate for the rolling, forward-looking eight quarters in the forecast horizon.
| |
| Year-over-year growth rate(1) | |
| Full year | |
| U.S. real GDP | 2025 | 2026 | 2027 | |
| Forecast at 4Q24 | 2.2 | % | 2.1 | % | 2.2 | % | |
| Forecast at 1Q25 | 2.0 | 1.9 | 2.0 | |
| Forecast at 2Q25 | 1.4 | 1.4 | 2.0 | |
| Forecast at 3Q25 | 1.7 | 1.5 | 2.0 | |
| Forecast at 4Q25 | 2.0 | 1.9 | 2.0 | |
(1)The year-over-year growth rate is the percentage change in the real (inflation adjusted) GDP level. Scenario WeightingCitis ACL is estimated using three probability-weighted macroeconomic scenariosbase, upside and downside. The macroeconomic scenario weights are estimated using a statistical model, which, among other factors, takes into consideration (i) key macroeconomic drivers of the ACL, (ii) the severity of the scenario and (iii) other sources of macroeconomic uncertainties and risks. Citi evaluates scenario weights on a quarterly basis.Citis downside scenario incorporates more adverse macroeconomic assumptions than the weighted scenario assumptions or the base scenario. For example, compared to the base scenario, Citis downside scenario reflects a recession, including an elevated average U.S. unemployment rate of 6.9% over the eight-quarter R&S period, with a peak difference of 3.5% in the second quarter of 2027. The weighted-average U.S. unemployment rate that considers all three probability-weighted scenarios is 5.2%. The downside scenario also reflects a year-over-year U.S. real GDP contraction in 2026 of 1.8%, with a peak quarter-over-quarter difference to the base scenario of 1.2%.123 Citis ACL is sensitive to the various macroeconomic scenarios that drive the quantitative component of expected credit losses. Citis downside scenario incorporates more adverse macroeconomic assumptions than the weighted scenario assumptions. To demonstrate this sensitivity, if Citi applied 100% weight to the downside scenario as of December31, 2025 to reflect the most severe economic deterioration forecast in the macroeconomic scenarios, there would have been a hypothetical incremental increase in the ACL of approximately $5.0 billion related to lending exposures, except for loans individually evaluated for credit losses and other financial assets carried at amortized cost.This analysis does not incorporate any impacts or changes to the qualitative component of the ACL, which could change the outcome of the sensitivity analysis based on historical experience and current conditions at the time of the assessment. Given the uncertainty inherent in macroeconomic forecasting, Citi continues to believe that its ACL estimate based on a three probability-weighted macroeconomic scenario approach combined with the qualitative component remains appropriate as of December31, 2025.4Q25 Changes in the ACLAs further discussed below, Citis ending ACL balance for the fourth quarter of 2025 was $21.4 billion, a decrease of $2.4 billion from September30, 2025, driven by the reclassification of AO Citibank to held-for-sale, including the related ACL, resulting from Citis planned sale of AO Citibank (which was sold on February 18, 2026). Citi believes its analysis of the ACL reflects the forward view of the economic environment as of December31, 2025. See Notes 2 (Sale of AO Citibank) and 16 for additional information.Consumer Allowance for Credit Losses on LoansCitis consumer ACLL is primarily driven by U.S. cards (Branded Cards and Retail Services) in USPB. Citis total consumer ACLL net release was less than $0.1 billion in the fourth quarter of 2025 compared to the prior quarter, driven by changes in credit quality including seasonal improvement, offset by higher volume and changes in the macroeconomic outlook. This resulted in a December31, 2025 ACLL balance of $16.2 billion, or 3.96% of total funded consumer loans. For U.S. cards, the level of reserves relative to total funded loans decreased to 7.67% at December31, 2025, compared to 8.01% at September30, 2025. For the remaining consumer exposures, the level of reserves relative to total funded loans was 1.22% at December31, 2025, compared to 1.20% at September30, 2025.Corporate Allowance for Credit Losses on LoansCiti had a corporate ACLL net build of $0.1 billion in the fourth quarter of 2025 compared to the prior quarter, driven by changes in credit quality in Banking, largely offset by a refinement of loss assumptions for certain portfolios in Spread Products in Markets. This resulted in a December31, 2025 ACLL balance of $3.1 billion, or 0.91% of total funded corporate loans.ACLUCCitis ACLUC balance, included in Other liabilities, was $1.8 billion at December31, 2025, unchanged from September30, 2025.ACL on Other Financial AssetsCiti had an ACL release of less than $0.1 billion on other financial assets carried at amortized cost for the fourth quarter of 2025 compared to the prior quarter. The Other ACL reserve balance decreased by $2.5 billion to $0.3 billion at December31, 2025 from September30, 2025, driven by the reclassification of AO Citibank to held-for-sale, including the related ACL, resulting from Citis planned sale of AO Citibank (which was sold on February 18, 2026). See Notes 2 (Sale of AO Citibank) and 16 for additional information.Regulatory Capital ImpactCiti elected the modified CECL transition provision for regulatory capital purposes provided by the U.S. banking agencies final rule. Accordingly, the Day One regulatory capital effects resulting from the adoption of CECL, as well as the ongoing adjustments for 25% of the change in CECL-based allowances in each quarter between January 1, 2020 and December 31, 2021, started to be phased in on January 1, 2022 and were fully reflected in Citis regulatory capital as of January 1, 2025.See Notes 1 (Allowance for Credit Losses (ACL)) and 16 for further descriptions of the ACL and related accounts.GoodwillCiti tests for goodwill impairment annually as of October 1 (the annual test) and conducts interim assessments between annual tests if an event occurs or circumstances change that would more-likely-than-not reduce the fair value of a reporting unit below its carrying amount. These events or circumstances include, among other things, a significant adverse change in the business climate, a decision to sell or dispose of all or a significant portion of a reporting unit or a sustained decrease in Citis stock price.Citigroups activities were conducted through the reportable operating segments: Services, Markets, Banking, Wealth and USPB, with the remaining operations recorded in All Other, which includes activities not assigned to a specific operating segment as well as discontinued operations.Goodwill impairment testing is performed at the level below the operating segment (referred to as a reporting unit).During the third quarter of 2025, Citi performed an interim goodwill impairment test, in connection with the agreed-upon bid received for Banamex. The test resulted in an impairment of $726 million ($714 million after-tax) to the Mexico Consumer/SBMM reporting unit within All OtherLegacy Franchises. The remaining goodwill within All OtherLegacy Franchises is attributable to the Mexico Consumer/SBMM reporting unit, which was not deemed to be impaired. No other events or circumstances were identified to indicate that the fair values of Citis other reporting units were more-likely-than-not reduced below their respective carrying amounts, and no further impairment was recognized as of September 30, 2025.124 During the fourth quarter of 2025, Citi performed its annual goodwill impairment test, which resulted in no further impairment to any of Citis reporting units goodwill. No additional triggering events were identified and no goodwill was impaired during the fourth quarter of 2025. For each of the Companys reporting units, except for the Mexico Consumer/SBMM reporting unit, the fair value exceeded carrying value by at least 10%.Reporting units used for goodwill assessment at the Citigroup consolidated level may differ from the reporting units of its subsidiaries.Citi utilizes allocated tangible common equity as a proxy for the carrying value of its reporting units for purposes of goodwill impairment testing. The allocated equity in the reporting units is determined based on the capital the business would require if it were operating as a standalone entity, incorporating sufficient capital to be in compliance with both current and expected regulatory capital requirements, including capital for specifically identified goodwill and intangible assets. The capital allocated to the reporting units is incorporated into the annual budget process, which is approved by Citigroups Board of Directors.Goodwill impairment testing involves management judgment, requiring an assessment of whether the carrying value of a reporting unit can be supported by its fair value using widely accepted valuation techniques, such as the market approach (earnings multiples and/or transaction multiples) and/or the income approach (discounted cash flow (DCF) method). In applying these methodologies, Citi utilizes a number of factors, including actual operating results, future business plans, economic projections and market data.Citi estimates fair value of the reporting units based on a balanced weighting of fair values estimated using both an income approach and a market approach, which are intended to reflect Company performance and expectations as well as external market conditions. The income approach employs a capital asset pricing model in estimating the discount rate and utilized discount rates that Citi believes adequately reflected the risk and uncertainty in the financial markets in the internally generated cash flow projections. The market approach utilizes observable market data from comparable publicly traded companies, such as price-to-earnings or price- to-tangible book value ratios, to estimate a reporting units fair value. Management uses judgment in the selection of comparable companies and includes those with the most similar business activities.Since none of the Companys reporting units are publicly traded, individual reporting unit fair value determinations cannot be directly correlated to Citigroups common stock price. The aggregate fair value of Citis reporting units exceeded Citis market capitalization as of October 1, 2025. In evaluating this comparison, the factors contributing to the differences include the following:control premiumsexecution risk present at the Citigroup level, but not at the reporting unit levelmarket volatility and other factors that do not directly affect the value of individual reporting unitsUnanticipated declines in business performance, increases in credit losses, increases in capital requirements and adverse regulatory or legislative changes, as well as deterioration in economic or market conditions, as well as circumstances related to Citis strategic refresh, are factors that could result in a material impairment loss to earnings in a future period related to some portion of the associated goodwill. See Notes 1 (Goodwill) and 17 for additional information on goodwill, including the changes in the goodwill balance year-over-year and the segments and All Others goodwill balances as of December31, 2025.Litigation AccrualsSee the discussion in Note 30 for Citis policies on establishing accruals for litigation and regulatory contingencies.Income Taxes OverviewCiti is subject to the income tax laws of the U.S., its states and local municipalities and the non-U.S. jurisdictions in which Citi operates. These tax laws are complex and are subject to differing interpretations by the taxpayer and the relevant governmental taxing authorities. Disputes over interpretations of the tax laws may be subject to review and adjudication by the court systems of the various tax jurisdictions or may be settled with the taxing authority upon audit.In establishing a provision for income tax expense, Citi must make judgments and interpretations about the application of these inherently complex tax laws. Citi must also make estimates about when in the future certain items will affect taxable income in the various tax jurisdictions, both domestic and foreign. Deferred taxes are recorded for the future consequences of events that have been recognized in the financial statements or tax returns, based on enacted tax laws and rates. Deferred tax assets (DTAs) are recognized subject to managements judgment that realization is more-likely-than-not. For example, if it is more-likely-than-not that a carry-forward would expire unused, Citi would set up a valuation allowance against that DTA. Citi has established valuation allowances as described below.Citi is taxed on income generated by its U.S. operations at a federal tax rate of 21%. Citis income from U.S. operations is also taxed by U.S. state and local governments at an average marginal rate of approximately 3%.Citis non-U.S. branches and subsidiaries are subject to tax at their local tax rates. Non-U.S. branches also continue to be subject to U.S. taxation. The impact of this on Citis earnings depends on the level of branch pretax income, the local branch tax rate, and allocations of overall domestic loss (ODL) and expenses for U.S. tax purposes to branch earnings. Citi expects no residual U.S. tax on such earnings. With respect to non-U.S. subsidiaries, dividends from these subsidiaries will be excluded from U.S. taxation. While the majority of Citis non-U.S. subsidiary earnings are classified as global intangible low-taxed income (GILTI), Citis non-U.S. subsidiaries local tax rates exceed, on average, the effective 13.125% GILTI tax rate. As a result, Citi expects to owe limited residual U.S. tax on non-U.S. subsidiary earnings, 125 resulting entirely from the allocation of expenses for U.S. tax purposes to such earnings (which is no longer required starting in 2026see discussion of OBBBA below).The OECD Pillar 2 framework, first published in 2021, contemplates a 15% global minimum tax with respect to earnings in each country. The majority of EU member states and many other non-U.S. countries have adopted the OECD Pillar 2 rules. Under these rules, Citi will be required to pay a top-up tax to the extent that Citis effective tax rate in any given country is below 15%. In 2024, countries that adopted the OECD Pillar 2 rules were able to collect the top-up tax only with respect to earnings of entities in their jurisdiction or subsidiaries of such entities. In 2025, all countries that adopted the OECD Pillar 2 rules were able to collect a share of the top-up tax owed with respect to any member of the Pillar 2 multinational group. In early 2026, the OECD announced an agreement recognizing that the U.S. tax system will exist side by side with the Pillar 2 framework, and subsidiaries and branches of U.S. multinationals will only be subject to the top-up tax in countries that have adopted the OECD Pillar 2 rules (effectively returning to the 2024 approach). This agreement has not yet been fully implemented in all of the relevant countries. While Citi does not currently expect the OECD Pillar 2 rules to have a material impact on its earnings, many aspects of the application of the rules and their implementation remain uncertain and the scope and applicability of the rules are still evolving. Citi is closely monitoring developments relating to the Pillar 2 rules to determine their potential impact.On July 4, 2025, the U.S. fiscal year 2025 budget reconciliation legislation (commonly known as the One Big Beautiful Bill Act (OBBBA)) was signed into law, containing a number of tax law changes, most of which are effective starting in 2026. The OBBBA removed the requirement to allocate expenses to non-U.S. subsidiary earnings, which is expected to eliminate Citis residual U.S. tax on these earnings. The Act also limited deductibility of corporate charitable contributions that do not exceed 1% of total taxable income, which is expected to make all of Citis charitable giving non-deductible. Finally, the OBBBA made prospective changes to the transferability of certain clean energy tax credits, which may impact Citis investments in these credits going forward. The OBBBAs effect on Citis state tax rate is dependent upon how and when the individual states that have not yet addressed the federal tax law changes choose to conform to the various new provisions of the U.S. Internal Revenue Code.Deferred Tax Assets and Valuation Allowances (VA)At December31, 2025, Citi had net DTAs of $29.5 billion. In the fourth quarter of 2025, Citis DTAs decreased by $0.0 billion, primarily due to improvement in U.S. pretax earnings offset by an increase in withholding/other taxes related to Citis geographical footprint. On a full-year basis, Citis DTAs decreased by $0.3 billion from $29.8 billion at December31, 2024.Of Citis total net DTAs of $29.5 billion as of December31, 2025, $13.1 billion, primarily related to tax carry-forwards, was deducted in calculating Citis regulatory capital. Net DTAs arising from temporary differences are also deducted from regulatory capital if in excess of the 10%/15% limitations (see Capital Resources above). For the quarter and year ended December31, 2025, Citi had $3.1 billion of disallowed temporary difference DTAs (included in the $13.1 billion above). The remaining $16.4 billion of net DTAs as of December31, 2025 was not deducted in calculating regulatory capital pursuant to Basel III standards and was appropriately risk weighted under those rules. Citis total VA at December31, 2025 was $5.0 billion, an increase of $0.7 billion from $4.3 billion at December31, 2024. The increase was primarily driven by the reduction of U.S. residual DTL related to its non-U.S. branches, partially offset by the reduction in prior-year FTCs in the branch basket. Citis VA of $5.0 billion is composed of $2.3 billion on its FTC branch basket carry-forwards, $1.6 billion on its U.S. residual DTA related to its non-U.S. branches, $0.6 billion on federal and state DTA related to business exits, $0.4 billion on local non-U.S. DTAs and $0.1 billion on state net operating loss carry-forwards.As stated above with regard to the impact of non-U.S. branches on Citis earnings, the level of branch pretax income, the local branch tax rate and the allocations of ODL and expenses for U.S. tax purposes to the branch basket are the main factors in determining the branch VA. Additional ODL was created in 2025 due to domestic losses. Recognized FTC carry-forwards in the general basket comprised approximately $0.3 billion of Citis DTAs as of December31, 2025, compared to approximately $0.7 billion as of December31, 2024. The decrease in FTCs year-over-year was primarily due to current-year usage. The FTC carry-forward period represents the most time-sensitive component of Citis DTAs.Citi had an ODL of approximately $10.3 billion at December31, 2025, which allows Citi to elect a percentage between 50% and 100% of future years domestic source income to be reclassified as foreign source income. (See Note 10 for a description of the ODL.)The majority of Citis U.S. federal net operating loss carry-forward and all of its New York State and City net operating loss carry-forwards are subject to a carry-forward period of 20 years. This provides enough time to fully utilize the net DTAs pertaining to these existing net operating loss carry-forwards. This is due to Citis forecast of sufficient U.S. taxable income and the continued taxation of Citis non-U.S. income by New York State and City.Although realization is not assured, Citi believes that the realization of its recognized net DTAs of $29.5 billion at December31, 2025 is more-likely-than-not, based on managements expectations as to future taxable income in the jurisdictions in which the DTAs arise, as well as available tax planning strategies (as defined in ASC Topic 740, Income Taxes). Citi has concluded that it has the necessary positive evidence to support the realization of its net DTAs after taking its VAs into consideration.126 See Note 10 for additional information on Citis income taxes, including its income tax provision, tax assets and liabilities and a tabular summary of Citis net DTAs balance as of December31, 2025 (including the FTCs and applicable expiration dates of the FTCs). For information on Citis ability to use its DTAs, see Risk FactorsStrategic Risks above and Note 10.Accounting ChangesSee Accounting Changes in Note 1 for a discussion of changes in accounting standards. DISCLOSURE CONTROLS AND PROCEDURESCitis disclosure controls and procedures are designed to ensure that information required to be disclosed under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported within the time periods specified in the SECs rules and forms, including without limitation that information required to be disclosed by Citi in its SEC filings is accumulated and communicated to management, including the Chief Executive Officer (CEO) and Chief Financial Officer (CFO), as appropriate, to allow for timely decisions regarding required disclosure.Citis Disclosure Committee assists the CEO and CFO in their responsibilities to design, establish, maintain and evaluate the effectiveness of Citis disclosure controls and procedures. The Disclosure Committee is responsible for, among other things, the oversight, maintenance and implementation of the disclosure controls and procedures, subject to the supervision and oversight of the CEO and CFO.Citis management, with the participation of its CEO and CFO, has evaluated the effectiveness of Citigroups disclosure controls and procedures (as defined in Rule13a-15(e) under the Securities Exchange Act of 1934) as of December31, 2025. Based on that evaluation, the CEO and CFO have concluded that at that date Citigroups disclosure controls and procedures were effective.127 MANAGEMENTS ANNUAL REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING Citis management is responsible for establishing and maintaining adequate internal control over financial reporting. Citis internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of its financial reporting and the preparation of financial statements for external reporting purposes in accordance with U.S. generally accepted accounting principles. Citis internal control over financial reporting includes those policies and procedures that:pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of Citis assets;provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles and that Citis receipts and expenditures are made only in accordance with authorizations of Citis management and directors; andprovide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of Citis assets that could have a material effect on its financial statements.Because of its inherent limitations, internal control over financial reporting may not prevent or detect all misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions or that the degree of compliance with the policies or procedures may deteriorate.Citis management assessed the effectiveness of Citigroups internal control over financial reporting as of December31, 2025 based on the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) in Internal ControlIntegrated Framework (2013). Based on this assessment, management has concluded that, as of December31, 2025, Citis internal control over financial reporting was effective. In addition, there were no changes in Citis internal control over financial reporting during the fiscal quarter ended December31, 2025 that materially affected, or are reasonably likely to materially affect, Citis internal control over financial reporting.The effectiveness of Citis internal control over financial reporting as of December31, 2025 has been audited by KPMG LLP, Citis independent registered public accounting firm, as stated in their report below, which expressed an unqualified opinion on the effectiveness of Citis internal control over financial reporting as of December31, 2025.128 FORWARD-LOOKING STATEMENTSCertain statements in this report, including but not limited to statements included within the Managements Discussion and Analysis of Financial Condition and Results of Operations, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. In addition, Citigroup may make forward-looking statements in its other documents filed or furnished with the SEC, and its management may make forward-looking statements orally to analysts, investors, representatives of the media and others.Generally, forward-looking statements are not based on historical facts but instead represent Citigroups and its managements beliefs regarding future events. Such statements may be identified by words such as believe, expect, anticipate, intend, estimate, may increase, may fluctuate, target, outlook, guidance and illustrative, and similar expressions or future or conditional verbs such as will, should, would and could. Such statements are based on managements current expectations and are subject to risks, uncertainties and changes in circumstances. Actual results of operations and financial conditions, including capital and liquidity, may differ materially from those included in these statements due to a variety of factors, including without limitation (i) the precautionary statements included within the Executive Summary, Citis Multiyear Transformation and each businesss discussion and analysis of its results of operations and (ii) the factors described under Risk Factors above. Any forward-looking statements made by or on behalf of Citigroup speak only as to the date they are made, and Citi does not undertake to update forward-looking statements to reflect the impact of circumstances or events that arise after the date that the forward-looking statements were made. 129 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Stockholders and Board of Directors Citigroup Inc.:Opinions on the Consolidated Financial Statements and Internal Control Over Financial ReportingWe have audited the accompanying consolidated balance sheets of Citigroup Inc. and subsidiaries (the Company) as of December 31, 2025 and 2024, the related consolidated statements of income, comprehensive income, changes in stockholders equity, and cash flows for each of the years in the three-year period ended December 31, 2025, and the related notes (collectively, the consolidated financial statements). We also have audited the Companys internal control over financial reporting as of December 31, 2025, based on criteria established in Internal ControlIntegrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the years in the three-year period ended December 31, 2025, in conformity with U.S. generally accepted accounting principles. Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025 based on criteria established in Internal ControlIntegrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.Basis for OpinionsThe Companys management is responsible for these consolidated financial statements, for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying managements annual report on internal control over financial reporting. Our responsibility is to express an opinion on the Companys consolidated financial statements and an opinion on the Companys internal control over financial reporting based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement, whether due to error or fraud, and whether effective internal control over financial reporting was maintained in all material respects.Our audits of the consolidated financial statements included performing procedures to assess the risks of material misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions.Definition and Limitations of Internal Control Over Financial ReportingA companys internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companys internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companys assets that could have a material effect on the financial statements.Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.Critical Audit MattersThe critical audit matters communicated below are matters arising from the current period audit of the consolidated financial statements that were communicated or required to be communicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the consolidated 130 financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matters below, providing separate opinions on the critical audit matters or on the accounts or disclosures to which they relate.Assessment of the fair value of certain Level 3 assets and liabilities measured on a recurring basisAs described in Notes 1 and 26 to the consolidated financial statements, the Companys assets and liabilities recorded at fair value on a recurring basis were $1,015,148 million, net and $524,227 million, net, respectively, at December 31, 2025. The Company estimated the fair value of Level 3 assets and liabilities measured on a recurring basis ($10,529 million and $35,172 million, respectively, at December 31, 2025) utilizing various valuation techniques with one or more significant inputs or significant value drivers being unobservable including, but not limited to, complex internal valuation models, alternative pricing procedures or comparables analysis and discounted cash flows.We identified the assessment of the measurement of fair value for certain Level 3 assets and liabilities recorded at fair value on a recurring basis as a critical audit matter. A high degree of effort, including specialized skills and knowledge, and subjective and complex auditor judgment was involved in the assessment of the Level 3 fair values due to measurement uncertainty. Specifically, the assessment encompassed the evaluation of the fair value methodology, including methods, models and significant assumptions used to estimate fair value. Significant assumptions include the use of proxy information, the extrapolation and interpolation of proxy information, and the use of historic pricing information as well as certain model assumptions. The assessment also included an evaluation of the conceptual soundness and performance of the valuation models. The following are the primary procedures we performed to address this critical audit matter. We involved valuation professionals with specialized skills and knowledge who assisted in evaluating the design and testing the operating effectiveness of certain internal controls related to the Companys Level 3 fair value measurements including controls over:valuation methodologies, including significant inputs and assumptionsindependent price verificationevaluation that significant model assumptions reflected those which a market participant would use to determine an exit price in the current market environmentmathematical accuracy and appropriateness of valuation models used to value the financial instruments andrelevant information used within the Companys models for fair value determination.We evaluated the Companys methodology for compliance with U.S. generally accepted accounting principles. We involved valuation professionals with specialized skills and knowledge who assisted in developing an independent fair value estimate for a selection of certain Level 3 assets and liabilities recorded at fair value on a recurring basis based on independently developed valuation models and assumptions, as applicable, using market data sources we determined to be relevant and reliable and compared our independent expectation to the Companys fair value measurements.Assessment of the allowance for credit losses collectively evaluated for impairmentAs described in Notes 1 and 16 to the consolidated financial statements, the Companys total allowance for credit losses on loans, leases and unfunded lending commitments was $21,080 million as of December 31, 2025, which includes the allowance related to loans and unfunded lending commitments collectively evaluated for impairment (the Collective ACLL). The expected credit losses for the quantitative component of the Collective ACLL is the product of multiplying the probability of default (PD), loss given default (LGD), and exposure at default (EAD), which are determined utilizing models, for consumer and corporate loans. The PD, LGD, and EAD assumptions are determined based on three macroeconomic scenarios (base, downside and upside) multiplied by their respective scenario weights. The macroeconomic scenario weights are estimated based on a statistical model, which takes into consideration both internal and external forecasted macroeconomic variables over a reasonable and supportable period, after which mean reversion reflecting historical loss experience is used for the remaining life of the loan to estimate expected credit losses. The qualitative component considers, among other things, certain portfolio characteristics and idiosyncratic events. For consumer U.S. credit cards, the Company utilizes the payment rate approach to determine the payments needed to pay off the end-of-period balance in the estimation of the EAD. This approach incorporates payment rate curves and is used to estimate EAD. Reserves for unconditionally cancelable accounts are based on the expected life of the balance as of the evaluation date and do not include undrawn commitments that are unconditionally cancelable. In addition, the models for the delinquency-managed portfolios take into account leading credit indicators, including loan delinquencies and changes in portfolio size as well as economic trends, including current and future housing prices, unemployment, length of time in foreclosure, and costs to sell. The models for classifiably managed portfolios consider the credit quality as measured by risk ratings and economic factors.131 We identified the assessment of the Collective ACLL, specifically the quantitative component for certain consumer U.S. credit cards, which applies delinquency-managed models, and corporate loan portfolios, which applies the classifiably managed model, and the qualitative component for the corporate portfolios as a critical audit matter. A high degree of effort, including specialized skills and knowledge, and subjective and complex auditor judgment was involved in the assessment due to significant measurement uncertainty. Specifically, the assessment encompassed the evaluation of the various components of the Collective ACLL methodology, including the methods and models used to estimate the PD, LGD, and EAD and certain significant assumptions for the Companys quantitative and qualitative components. The significant assumptions for consumer U.S. credit card loans encompass expected life as well as the reasonable and supportable forecasts for significant macroeconomic variables. The significant macroeconomic variables include U.S. unemployment (UER) and U.S. housing prices (HPI), which are utilized by the models. The significant assumptions for corporate loans encompass risk ratings, credit conversion factor for unfunded lending commitments, and reasonable and supportable forecast for significant macroeconomic variables. The significant macroeconomic variables include U.S. real gross domestic product (GDP) and UER, which are utilized by the model. The significant assumptions for the qualitative component for corporate loan portfolios include potential impacts on vulnerable industries and regions due to emerging macroeconomic risks and uncertainties including those related to a potential global recession, inflation, interest rates, and commodity prices. The assessment also included an evaluation of the conceptual soundness and performance of the PD, LGD, and EAD models. In addition, auditor judgment was required to evaluate the sufficiency of audit evidence obtained.The following are the primary procedures we performed to address this critical audit matter. We evaluated the design and tested the operating effectiveness of certain internal controls related to the Companys measurement of the Collective ACLL estimate, including controls over the:approval of the Collective ACLL methodologies, including the PD, LGD, and EADdetermination of the significant assumptions used to estimate the quantitative and certain qualitative components of the Collective ACLLperformance monitoring of the PD, LGD, and EAD models.We evaluated the Companys process to develop the Collective ACLL estimate by testing certain sources of data and assumptions that the Company used and considered the relevance and reliability of such data and assumptions. In addition, we involved credit risk professionals with specialized skills and knowledge, who assisted in:evaluating the Companys Collective ACLL methodologies for compliance with U.S. generally accepted accounting principlescontinued assessment of the conceptual soundness and performance testing of the PD, LGD, and EAD models by inspecting the model documentation to determine whether the models are suitable for their intended useevaluating judgments made by the Company relative to the performance monitoring testing of the PD, LGD, and EAD models by comparing them to relevant Company-specific metricsassessing the macroeconomic forecast scenarios through comparison to publicly available forecaststesting corporate loan risk ratings for a selection of borrowers by evaluating the financial performance of the borrower, sources of repayment, and any relevant guarantees or underlying collateralevaluating the methodologies used to develop the qualitative component and their significant assumptions and the effect of that component on the Collective ACLL compared with relevant credit risk factors and consistency with credit trends.We also assessed the sufficiency of the audit evidence obtained related to the Collective ACLL by evaluating the:cumulative results of the audit proceduresqualitative aspects of the Companys accounting practicespotential bias in the accounting estimates./s/ KPMG LLPWe have served as the Companys auditor since 1969.New York, New York February 20, 2026132 FINANCIAL STATEMENTS AND NOTESTABLE OF CONTENTS
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| CONSOLIDATED FINANCIAL STATEMENTS | | |
| Consolidated Statement of IncomeFor the Years Ended December 31, 2025, 2024 and 2023 | 134 | |
| Consolidated Statement of Comprehensive IncomeFor the Years Ended December 31, 2025, 2024 and 2023 | 135 | |
| Consolidated Balance SheetDecember 31, 2025 and 2024 | 136 | |
| Consolidated Statement of Changes in Stockholders EquityFor the Years Ended December 31, 2025, 2024 and 2023 | 138 | |
| Consolidated Statement of Cash FlowsFor the Years Ended December 31, 2025, 2024 and 2023 | 140 | |
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| NOTES TO CONSOLIDATED FINANCIAL STATEMENTS | |
| Note 1Summary of Significant Accounting Policies | 142 | |
| Note 2Discontinued Operations, Significant Disposals and Other Business Exits | 158 | |
| Note 3Reportable Business Segments and All Other | 160 | |
| Note 4Interest Income and Expense | 165 | |
| Note 5Commissions and Fees; Administration and Other Fiduciary Fees | 166 | |
| Note 6Principal Transactions | 169 | |
| Note 7Incentive Plans | 170 | |
| Note 8Retirement Benefits | 173 | |
| Note 9Restructuring | 184 | |
| Note 10Income Taxes | 185 | |
| Note 11Earnings per Share | 190 | |
| Note 12Securities Borrowed, Loaned and Subject to Repurchase Agreements | 191 | |
| Note 13Brokerage Receivables and Brokerage Payables | 194 | |
| Note 14Investments | 195 | |
| Note 15Loans | 202 | |
| Note 16Allowance for Credit Losses | 220 | |
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| Note 17Goodwill and Intangible Assets | 224 | |
| Note 18Deposits | 226 | |
| Note 19Debt | 227 | |
| Note 20Regulatory Capital | 229 | |
| Note 21Changes in Accumulated Other Comprehensive Income (Loss) (AOCI) | 230 | |
| Note 22Preferred Stock | 233 | |
| Note 23Securitizations and Variable Interest Entities | 235 | |
| Note 24Derivatives | 246 | |
| Note 25Concentrations of Credit Risk | 257 | |
| Note 26Fair Value Measurement | 258 | |
| Note 27Fair Value Elections | 275 | |
| Note 28Pledged Assets, Restricted Cash, Collateral, Guarantees and Commitments | 279 | |
| Note 29Leases | 286 | |
| Note 30Contingencies | 287 | |
| Note 31Subsidiary Guarantees | 294 | |
| Note 32Condensed Parent Company Financial Statements | 295 | |
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133 CONSOLIDATED FINANCIAL STATEMENTSCONSOLIDATED STATEMENT OF INCOME CitigroupInc. and Subsidiaries
| |
| Years ended December 31, | |
| In millions of dollars, except per share amounts | 2025 | 2024 | 2023 | |
| Revenues(1) | | | | |
| Interest income | $ | 142,864 | $ | 143,713 | $ | 133,258 | |
| Interest expense | 83,072 | 89,618 | 78,358 | |
| Net interest income | $ | 59,792 | $ | 54,095 | $ | 54,900 | |
| Commissions and fees(1) | $ | 11,169 | $ | 10,236 | $ | 8,509 | |
| Principal transactions(2) | 10,235 | 11,109 | 8,281 | |
| Administration and other fiduciary fees | 4,414 | 4,134 | 3,781 | |
| Realized gains on sales of investments, net | 471 | 328 | 188 | |
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| |
| |
| Net impairment losses on investments recognized in earnings | (352) | (430) | (327) | |
| Other revenue(2) | $ | (504) | $ | 1,250 | $ | 2,734 | |
| Total non-interest revenues | $ | 25,433 | $ | 26,627 | $ | 23,166 | |
| Total revenues, net of interest expense(1) | $ | 85,225 | $ | 80,722 | $ | 78,066 | |
| Provisions for credit losses and for benefits and claims | | | | |
| Provision for credit losses on loans | $ | 9,497 | $ | 9,726 | $ | 7,786 | |
| Provision (release) for credit losses on HTM debt securities | 12 | 50 | (24) | |
| Provision for credit losses on other assets | 467 | 362 | 1,762 | |
| Policyholder benefits and claims | 87 | 90 | 87 | |
| Provision (release) for credit losses on unfunded lending commitments | 202 | (119) | (425) | |
| Total provisions for credit losses and for benefits and claims | $ | 10,265 | $ | 10,109 | $ | 9,186 | |
| Operating expenses(1) | | | | |
| Compensation and benefits | $ | 29,639 | $ | 28,542 | $ | 29,232 | |
| Technology/communication | 9,423 | 9,035 | 9,106 | |
| Transactional and product servicing(3) | 4,575 | 4,438 | 3,980 | |
| Premises and equipment | 2,477 | 2,438 | 2,508 | |
| Professional services | 2,073 | 2,016 | 2,078 | |
| Advertising and marketing | 1,097 | 1,113 | 1,393 | |
| Restructuring | (14) | 259 | 781 | |
| Other operating(1)(3) | 5,862 | 5,726 | 6,892 | |
| Total operating expenses | $ | 55,132 | $ | 53,567 | $ | 55,970 | |
| Income from continuing operations before income taxes | $ | 19,828 | $ | 17,046 | $ | 12,910 | |
| Provision for income taxes | 5,373 | 4,211 | 3,528 | |
| Income from continuing operations | $ | 14,455 | $ | 12,835 | $ | 9,382 | |
| Discontinued operations | | | | |
| Income (loss) from discontinued operations | $ | (3) | $ | (2) | $ | (1) | |
| |
| Benefit for income taxes | | | | |
| Income (loss) from discontinued operations, net of taxes | $ | (3) | $ | (2) | $ | (1) | |
| Net income before attribution to noncontrolling interests | $ | 14,452 | $ | 12,833 | $ | 9,381 | |
| Noncontrolling interests | 146 | 151 | 153 | |
| Citigroups net income | $ | 14,306 | $ | 12,682 | $ | 9,228 | |
| Basic earnings per share(4) | | | | |
| Income from continuing operations | $ | 7.11 | $ | 6.03 | $ | 4.07 | |
| Income from discontinued operations, net of taxes | | | | |
| Net income | $ | 7.11 | $ | 6.03 | $ | 4.07 | |
| Statement continues on the next page. | |
134 
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| Weighted-average common shares outstanding (in millions) | 1,832.0 | 1,901.4 | 1,930.1 | |
| Diluted earnings per share(4) | | | | |
| Income from continuing operations | $ | 6.99 | $ | 5.95 | $ | 4.04 | |
| Income (loss) from discontinued operations, net of taxes | | | | |
| Net income | $ | 6.99 | $ | 5.94 | $ | 4.04 | |
| Adjusted weighted-average diluted common shares outstanding (in millions) | 1,873.1 | 1,940.1 | 1,955.8 | |
(1)Effective January 1, 2025, certain transaction processing fees paid by Citi, primarily to credit card networks, which were previously presented within Other operating expenses, are presented as contra-revenue within Commissions and fees reported in Non-interest revenue. Prior periods were conformed to reflect this change in presentation.(2)Effective July 1, 2025, gains and losses on certain economic and qualifying hedging derivatives and foreign currency transaction gains and losses related to non-U.S. dollar debt and certain foreign operations in countries with highly inflationary economies with the U.S. dollar as their functional currency, which were previously presented within Other revenue, are presented within Principal transactions. Prior periods were conformed to reflect this change in presentation.(3)Effective July 1, 2025, certain expenses incurred in ongoing support of products and services that are predominantly variable costs, which were previously presented within Other operating expenses and Transactional and tax charges, are aggregated and presented within a new expenses category, Transactional and product servicing (see Glossary below for definition). Moreover, certain non-income tax charges incurred, which were previously presented within Transactional and tax charges and do not align with the redefined Transactional and product servicing, are presented within Other operating. Prior periods were conformed to reflect this change in presentation.(4)Due to rounding, earnings per share on continuing operations and discontinued operations may not sum to earnings per share on net income. The Notes to the Consolidated Financial Statements are an integral part of these Consolidated Financial Statements.
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| CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | CitigroupInc. and Subsidiaries | |
| |
| Years ended December 31, | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Citigroups net income | $ | 14,306 | $ | 12,682 | $ | 9,228 | |
| Net changes, net of taxes in Citigroups other comprehensive income (loss) | |
| Unrealized gains and losses on AFS debt securities(1) | $ | 1,631 | $ | 907 | $ | 2,254 | |
| Debt valuation adjustment (DVA) | (1,022) | (412) | (1,551) | |
| Cash flow hedges | 230 | 1,186 | 1,116 | |
| Benefit plans liability adjustment(1) | (91) | 423 | (295) | |
| Currency translation adjustment (CTA), net of hedges(1) | 2,788 | (5,162) | 752 | |
| Excluded component of fair value hedges(1) | 17 | (12) | (48) | |
| Long-duration insurance contracts(1) | (11) | 18 | 7 | |
| Citigroups total other comprehensive income (loss) | $ | 3,542 | $ | (3,052) | $ | 2,235 | |
| Citigroups total comprehensive income | $ | 17,848 | $ | 9,630 | $ | 11,463 | |
| Add: Other comprehensive income (loss) attributable to noncontrolling interests | $ | 125 | $ | (61) | $ | 84 | |
| Add: Net income (loss) attributable to noncontrolling interests | 146 | 151 | 153 | |
| Total comprehensive income | $ | 18,119 | $ | 9,720 | $ | 11,700 | |
(1)The changes below are exclusive of the impacts of the Banamex equity interest sale. See the Consolidated Statement of Changes in Stockholders Equity and Note 21.The Notes to the Consolidated Financial Statements are an integral part of these Consolidated Financial Statements. 135 
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| CONSOLIDATED BALANCE SHEET | CitigroupInc. and Subsidiaries | |
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Assets | | | |
| Cash and due from banks (including segregated cash and other deposits) | $ | 23,717 | $ | 22,782 | |
| Deposits with banks, net of allowance | 325,862 | 253,750 | |
| Securities borrowed and purchased under agreements to resell (including $206,110 and $140,855 as of December31, 2025 and 2024, respectively, at fair value), net of allowance | 356,195 | 274,062 | |
| Brokerage receivables, net of allowance | 62,679 | 50,841 | |
| Trading account assets (including $228,816 and $193,291 pledged to creditors as of December31, 2025 and 2024, respectively) | 537,139 | 442,747 | |
| Investments: | |
| Available-for-sale debt securities (including $4,931 and $5,389 pledged to creditors as of December31, 2025 and 2024, respectively) | 246,720 | 226,876 | |
| Held-to-maturity debt securities, net of allowance (fair value of which is $179,520 and $224,410 as of December31, 2025 and 2024, respectively) (includes $70 and $0 pledged to creditors as of December31, 2025 and 2024, respectively) | 189,831 | 242,382 | |
| Equity securities (including $921 and $578 as of December31, 2025 and 2024, respectively, at fair value) | 7,678 | 7,399 | |
| Total investments | $ | 444,229 | $ | 476,657 | |
| Loans: | | | |
| Consumer (including $51 and $281 as of December31, 2025 and 2024, respectively, at fair value) | 408,533 | 393,102 | |
| Corporate (including $6,804 and $7,759 as of December31, 2025 and 2024, respectively, at fair value) | 343,697 | 301,386 | |
| Loans, net of unearned income | $ | 752,230 | $ | 694,488 | |
| Allowance for credit losses on loans (ACLL) | (19,247) | (18,574) | |
| Total loans, net | $ | 732,983 | $ | 675,914 | |
| Goodwill | 19,098 | 19,300 | |
| Intangible assets (including MSRs of $759 and $760 as of December 31, 2025 and 2024, respectively) | 4,284 | 4,494 | |
| Premises and equipment, net of depreciation and amortization | 33,339 | 30,192 | |
| Other assets (including $15,840 and $13,703 as of December31, 2025 and 2024, respectively, at fair value), net of allowance | 117,677 | 102,206 | |
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| Total assets | $ | 2,657,202 | $ | 2,352,945 | |
Statement continues on the next page.136 CONSOLIDATED BALANCE SHEET Citigroup Inc. and Subsidiaries(Continued)
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| December 31, | |
| Inmillionsofdollars,exceptsharesandpar value pershareamounts | 2025 | 2024 | |
| Liabilities | | | |
| Deposits (including $4,222 and $3,608 as of December31, 2025 and 2024, respectively, at fair value) | $ | 1,403,573 | $ | 1,284,458 | |
| Securities loaned and sold under agreements to repurchase (including $199,422 and $49,154 as of December31, 2025 and 2024, respectively, at fair value) | 348,098 | 254,755 | |
| Brokerage payables (including $5,492 and $5,207 as of December31, 2025 and 2024, respectively, at fair value) | 74,836 | 66,601 | |
| Trading account liabilities | 162,798 | 133,846 | |
| Short-term borrowings (including $21,567 and $12,484 as of December31, 2025 and 2024, respectively, at fair value) | 51,878 | 48,505 | |
| Long-term debt (including $130,726 and $112,719 as of December31, 2025 and 2024, respectively, at fair value) | 315,827 | 287,300 | |
| Other liabilities, plus allowances | 86,370 | 68,114 | |
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| Total liabilities | $ | 2,443,380 | $ | 2,143,579 | |
| Stockholders equity | | | |
| Preferred stock ($1.00 par value; authorized shares: 30 million), issued shares: as of December 31, 2025802,000 and as of December31, 2024714,000, at aggregate liquidation value | $ | 20,050 | $ | 17,850 | |
| Common stock ($0.01 par value; authorized shares: 6 billion), issued shares: as of December 31, 20253,099,752,593 and as of December31, 20243,099,719,006 | 31 | 31 | |
| Additional paid-in capital | 108,452 | 109,117 | |
| Retained earnings | 215,128 | 206,294 | |
| Treasury stock, at cost: December31, 20251,352,205,592 shares and December31, 20241,222,647,540 shares | (89,473) | (76,842) | |
| Accumulated other comprehensive income (loss) (AOCI) | (41,897) | (47,852) | |
| Total Citigroup stockholders equity | $ | 212,291 | $ | 208,598 | |
| Noncontrolling interests | 1,531 | 768 | |
| Total equity | $ | 213,822 | $ | 209,366 | |
| Total liabilities and equity | $ | 2,657,202 | $ | 2,352,945 | |
The Notes to the Consolidated Financial Statements are an integral part of these Consolidated Financial Statements.137 
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| CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS EQUITY | CitigroupInc. and Subsidiaries | |
| |
| Years ended December 31, | |
| Amounts | Shares | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | |
| Preferred stock at aggregate liquidation value | | | | | | | |
| Balance, beginning of year | $ | 17,850 | $ | 17,600 | $ | 18,995 | 714 | 704 | 760 | |
| Issuance of new preferred stock | 7,200 | 5,300 | 2,750 | 288 | 212 | 110 | |
| Redemption of preferred stock | (5,000) | (5,050) | (4,145) | (200) | (202) | (166) | |
| Balance, end of year | $ | 20,050 | $ | 17,850 | $ | 17,600 | 802 | 714 | 704 | |
| Common stock and additional paid-in capital (APIC) | | | | | | |
| Balance, beginning of year | $ | 109,148 | $ | 108,986 | $ | 108,489 | 3,099,719 | 3,099,692 | 3,099,669 | |
| Employee benefit plans | 54 | 189 | 452 | 34 | 27 | 23 | |
| Net decrease due to Banamex equity interest sale | (724) | | | | | | |
| Other | 5 | (27) | 45 | | | | |
| Balance, end of year | $ | 108,483 | $ | 109,148 | $ | 108,986 | 3,099,753 | 3,099,719 | 3,099,692 | |
| Retained earnings | | | | | | |
| Balance, beginning of year | $ | 206,294 | $ | 198,905 | $ | 194,734 | |
| Adjustments to opening balance, net of taxes(1) | |
| Financial instrumentsTDRs and vintage disclosures | | | 290 | |
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| Adjusted balance, beginning of year | $ | 206,294 | $ | 198,905 | $ | 195,024 | | | | |
| Citigroups net income | 14,306 | 12,682 | 9,228 | | | | |
| Common dividends(2) | (4,340) | (4,218) | (4,076) | | | | |
| Preferred dividends | (1,114) | (1,054) | (1,198) | | | | |
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| Other (primarily reclassifications from APIC for preferred issuance costs on redemptions) | (18) | (21) | (73) | |
| Balance, end of year | $ | 215,128 | $ | 206,294 | $ | 198,905 | | | | |
| Treasury stock, at cost | | | | | | |
| Balance, beginning of year | $ | (76,842) | $ | (75,238) | $ | (73,967) | (1,222,648) | (1,196,578) | (1,162,683) | |
| Employee benefit plans(3) | 740 | 896 | 729 | 14,529 | 13,184 | 10,276 | |
| Treasury stock acquired | (13,250) | (2,500) | (2,000) | (144,087) | (39,254) | (44,171) | |
| Excise tax on share repurchases(4) | (121) | | | | | | |
| Balance, end of year | $ | (89,473) | $ | (76,842) | $ | (75,238) | (1,352,206) | (1,222,648) | (1,196,578) | |
| Citigroups accumulated other comprehensive income (loss) | | | | | | |
| Balance, beginning of year | $ | (47,852) | $ | (44,800) | $ | (47,062) | | | | |
| Adjustment to opening balance, net of taxes(1) | | | 27 | |
| Adjusted balance, beginning of year | $ | (47,852) | $ | (44,800) | $ | (47,035) | |
| Citigroups total other comprehensive income (loss) | 3,542 | (3,052) | 2,235 | | | | |
| Net increase due to Banamex equity interest sale | 2,413 | | | |
| Balance, end of year | $ | (41,897) | $ | (47,852) | $ | (44,800) | | | | |
| Total Citigroup common stockholders equity | $ | 192,241 | $ | 190,748 | $ | 187,853 | 1,747,547 | 1,877,071 | 1,903,114 | |
| Total Citigroup stockholders equity | $ | 212,291 | $ | 208,598 | $ | 205,453 | | |
| Noncontrolling interests | | | | | | |
| Balance, beginning of year | $ | 768 | $ | 798 | $ | 649 | | | | |
| |
| Transactions between Citigroup and the noncontrolling interests | (10) | (26) | (14) | | | | |
| Net income attributable to noncontrolling interests | 146 | 151 | 153 | | | | |
| Distributions paid to noncontrolling interests | (136) | (94) | (82) | | | | |
| Other comprehensive income (loss) attributable to noncontrolling interests | 125 | (61) | 84 | | | | |
| Net increase due to Banamex equity interest sale | 620 | | | |
| Other | 18 | | 8 | | | | |
| Net change in noncontrolling interests | $ | 763 | $ | (30) | $ | 149 | | | | |
| Balance, end of year | $ | 1,531 | $ | 768 | $ | 798 | | | | |
| Total equity | $ | 213,822 | $ | 209,366 | $ | 206,251 | |
138 (1)See Accounting Changes in Note 1.(2)Common dividends declared were $0.56 per share for each of 1Q25 and 2Q25, and $0.60 per share for each of 3Q25 and 4Q25; $0.53 per share for each of 1Q24 and 2Q24, and $0.56 for each of 3Q24 and 4Q24; and $0.51 per share for each of 1Q23 and 2Q23, and $0.53 for each of 3Q23 and 4Q23.(3)Includes treasury stock related to certain activity under Citis employee restricted or deferred stock programs where shares are withheld to satisfy employees tax requirements.(4)The 1% excise tax on the fair market value of common stock repurchased in the taxable year, reduced by the fair market value of any common stock issued during the same year.The Notes to the Consolidated Financial Statements are an integral part of these Consolidated Financial Statements.139 
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| CONSOLIDATED STATEMENT OF CASH FLOWS | CitigroupInc. and Subsidiaries | |
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| Years ended December 31, | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Cash flows from operating activities of continuing operations | | | | |
| Net income before attribution of noncontrolling interests | $ | 14,452 | $ | 12,833 | $ | 9,381 | |
| Net income attributable to noncontrolling interests | 146 | 151 | 153 | |
| Citigroups net income | $ | 14,306 | $ | 12,682 | $ | 9,228 | |
| Income (loss) from discontinued operations, net of taxes | (3) | (2) | (1) | |
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| Income from continuing operationsexcluding noncontrolling interests | $ | 14,309 | $ | 12,684 | $ | 9,229 | |
| Adjustments to reconcile net income to net cash provided by (used in) operating activities of continuing operations | | | |
| Net loss (gain) on sale of significant disposals(1) | 1,354 | | (1,462) | |
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| Depreciation and amortization | 4,373 | 4,311 | 4,560 | |
| Deferred income taxes | 452 | (1,896) | (2,416) | |
| Provisions for credit losses and for benefits and claims | 10,265 | 10,109 | 9,186 | |
| Realized gains from sales of investments | (471) | (328) | (188) | |
| Impairment losses on investments and other assets | 341 | 431 | 323 | |
| Goodwill impairment | 726 | | | |
| Change in trading account assets | (94,563) | (31,174) | (77,838) | |
| Change in trading account liabilities | 28,952 | (21,499) | (15,302) | |
| Change in brokerage receivables net of brokerage payables | (3,603) | 6,136 | (5,402) | |
| Change in loans held-for-sale (HFS) | (1,872) | (776) | 1,929 | |
| Change in other assets | (12,923) | (4,026) | (6,361) | |
| Change in other liabilities(2) | (863) | (7,692) | 3,587 | |
| Other, net | (14,109) | 14,051 | 6,739 | |
| Total adjustments | $ | (81,941) | $ | (32,353) | $ | (82,645) | |
| Net cash provided by (used in) operating activities of continuing operations | $ | (67,632) | $ | (19,669) | $ | (73,416) | |
| Cash flows from investing activities of continuing operations | | | | |
| Change in securities borrowed and purchased under agreements to resell | $ | (82,133) | $ | 71,638 | $ | 19,701 | |
| Change in loans | (76,038) | (20,455) | (44,525) | |
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| Purchase of portfolio of consumer loans | | (700) | | |
| Proceeds from sales and securitizations of loans | 5,460 | 5,316 | 4,801 | |
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| Net payment due to transfer of net liabilities associated with divestitures(1) | | | (1,393) | |
| Available-for-sale (AFS) debt securities | |
| Purchases of investments | (276,238) | (250,932) | (235,139) | |
| Proceeds from sales of investments | 89,237 | 57,526 | 41,886 | |
| Proceeds from maturities of investments | 183,143 | 216,386 | 200,437 | |
| Held-to-maturity (HTM) debt securities | |
| Purchases of investments | (5,283) | (16,492) | (1,373) | |
| Proceeds from maturities of investments | 57,861 | 27,729 | 12,838 | |
| Capital expenditures on premises and equipment and capitalized software | (6,520) | (6,500) | (6,583) | |
| Proceeds from sales of premises and equipment and repossessed assets | 62 | 222 | 56 | |
| Other, net | 2,167 | 2,512 | 835 | |
| Net cash provided by (used in) investing activities of continuing operations | $ | (108,282) | $ | 86,250 | $ | (8,459) | |
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| Statement continues on the next page. | |
140 
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| CONSOLIDATED STATEMENT OF CASH FLOWS (Continued) | CitigroupInc. and Subsidiaries | |
| Years ended December 31, | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Cash flows from financing activities of continuing operations | | | | |
| Dividends paid | $ | (5,372) | $ | (5,199) | $ | (5,212) | |
| Issuance of preferred stock | 7,186 | 5,282 | 2,739 | |
| Redemption of preferred stock | (5,000) | (5,050) | (4,145) | |
| Treasury stock acquired(3) | (13,250) | (2,474) | (1,977) | |
| Proceeds from divestitures(4) | 1,878 | | | |
| Stock tendered for payment of withholding taxes | (780) | (454) | (329) | |
| Change in securities loaned and sold under agreements to repurchase | 93,343 | (23,352) | 75,663 | |
| Issuance of long-term debt | 122,029 | 99,075 | 65,819 | |
| Payments and redemptions of long-term debt | (103,321) | (92,957) | (64,959) | |
| Change in deposits | 137,945 | (24,223) | (57,273) | |
| Change in short-term borrowings | 3,373 | 11,048 | (9,639) | |
| Net cash provided by (used in) financing activities of continuing operations | $ | 238,031 | $ | (38,304) | $ | 687 | |
| Effect of exchange rate changes on cash, due from banks and deposits with banks | $ | 10,930 | $ | (12,677) | $ | 95 | |
| Change in cash, due from banks and deposits with banks | 73,047 | 15,600 | (81,093) | |
| Cash, due from banks and deposits with banks at beginning of year | 276,532 | 260,932 | 342,025 | |
| Cash, due from banks and deposits with banks at end of year | $ | 349,579 | $ | 276,532 | $ | 260,932 | |
| Cash and due from banks (including segregated cash and other deposits) | $ | 23,717 | $ | 22,782 | $ | 27,342 | |
| Deposits with banks, net of allowance | 325,862 | 253,750 | 233,590 | |
| Cash, due from banks and deposits with banks at end of year | $ | 349,579 | $ | 276,532 | $ | 260,932 | |
| Supplemental disclosure of cash flow information for continuing operations | | | | |
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| Cash paid during the year for interest | $ | 80,983 | $ | 88,027 | $ | 72,989 | |
| Non-cash investing activities(1)(5)(6) | |
| Transfer of investment securities from HTM to AFS | $ | | $ | | $ | 3,324 | |
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| Decrease in net loans associated with divestitures reclassified to HFS | 1,680 | | | |
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| Transfers to loans HFS (Other assets) from loans HFI | 4,938 | 5,535 | 7,866 | |
| Transfers from loans HFS (Other assets) to loans HFI | | | 322 | |
| Non-cash financing activities(1)(6) | |
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| Decrease in deposits associated with divestitures reclassified to HFS | $ | 18,830 | $ | | $ | | |
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(1)See Significant Disposals in Note 2.(2)Includes balances related to the FDIC special assessment ($(238)million, $203million and $1,706million for 2025, 2024 and 2023, respectively) and restructuring charges (see Note 9).(3)Balances based on transaction date.(4)Relates to the Banamex equity interest sale. See Sale of 25% Equity Stake in Banamex in Note 2.(5)In January 2023, Citi adopted ASU 2022-01. Upon adoption, Citi transferred $3.3billion of mortgage-backed securities from HTM classification to AFS classification as allowed under the ASU. At the time of transfer, the securities were in an unrealized gain position of $0.1billion, which was recorded in AOCI upon transfer.(6)Operating and finance lease right-of-use assets and lease liabilities represent non-cash investing and financing activities, respectively, and are not included in the non-cash investing activities presented here. See Note 29 for more information and balances as of December31, 2025 and 2024.The Notes to the Consolidated Financial Statements are an integral part of these Consolidated Financial Statements.141 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESThroughout these Notes, Citigroup, Citi and the Company refer to Citigroup Inc. and its consolidated subsidiaries.Certain reclassifications and updates have been made to the prior periods financial statements and notes to conform to the current periods presentation.Principles of ConsolidationThe Consolidated Financial Statements include the accounts of Citigroup and its subsidiaries prepared in accordance with U.S. generally accepted accounting principles (GAAP). The Company consolidates subsidiaries in which it holds, directly or indirectly, more than 50% of the voting rights or where it exercises control. Entities in which the Company holds 20% to 50% of the voting rights and/or has the ability to exercise significant influence, other than investments of designated venture capital subsidiaries or investments accounted for at fair value under the fair value option, are accounted for under the equity method, and the pro rata share of their income (loss) is included in Other revenue. Income from investments in less-than-20%-owned companies is recognized when dividends are received. As discussed in more detail in Note 23, Citigroup also consolidates entities deemed to be variable interest entities when Citigroup is determined to be the primary beneficiary. Gains and losses on the disposition of branches, subsidiaries, affiliates, buildings and other investments are included in Other revenue.CitibankCitibank, N.A. (Citibank) is a commercial bank and indirect wholly owned subsidiary of Citigroup. Citibanks principal offerings include the following:investment bankingcommercial bankingcash managementtrade finance and e-commerceprivate banking products and servicesconsumer finance, credit cards and mortgage lendingretail banking products and servicesUses of Special Purpose EntitiesA special purpose entity (SPE) is an entity designed to fulfill a specific limited need of a sponsoring company. Citis principal uses of SPEs include securitizing certain of Citis financial assets, assisting clients in their securitizations of financial assets, creating investment products for clients, obtaining liquidity and optimizing capital efficiency through the transfer of financial assets to SPEs that issue beneficial interests. The holders of beneficial interests issued by an SPE usually only have recourse to the assets in the SPE, but SPEs may also be subject to other credit enhancements provided for the benefit of the beneficial interest holders, such as collateral accounts, lines of credit or liquidity facilities (e.g., a liquidity put option or asset purchase agreement). Such enhancements generally allow the beneficial interests issued by an SPE to receive a more favorable credit rating than the transferor could obtain for its own debt issuances, which results in lower financing costs. SPEs may be organized in various legal forms, including trusts, partnerships or corporations, and commonly qualify as variable interest entities.Variable Interest EntitiesAn entity is a variable interest entity (VIE) if it meets any of the criteria outlined in Accounting Standards Codification (ASC) Topic 810, Consolidation, which are:the entity does not have sufficient equity to permit the entity to finance its activities without additional subordinated financial support;the entitys at-risk equity investors, as a group, lack the characteristics of a controlling financial interest; orthe entity is structured with non-substantive voting rights.Variable interests are arrangements that absorb the variability generated by a VIE and include (but are not limited to) debt or equity interests, guarantees or liquidity arrangements, certain fee arrangements and certain derivative contracts. A holder of a variable interest that represents a controlling financial interest is deemed to be the primary beneficiary and must consolidate the VIE.A controlling financial interest provides the holder with the power to direct the activities that most significantly impact the VIEs economic performance and has the potential to absorb losses or receive benefits that could potentially be significant to the VIE, without consideration of probability.The Company generally does not consider the following arrangements to be variable interests:Acting as a derivative counterparty (e.g., interest rate swap, cross-currency swap or purchaser of credit protection under a credit default swap or total return swap where the Company pays the total return on certain assets to the SPE)Acting as underwriter or placement agentProviding administrative, trustee or other servicesMaking a market in debt securities or other instruments issued by VIEsVIEs are monitored on an ongoing basis to assess if any changes in facts or circumstances may indicate that the entitys VIE status should be reassessed or whether there may be a change in the party that is the primary beneficiary. Entities deemed not to be VIEs are evaluated for consolidation under other subtopics of ASC 810. See Note 23 for additional information.Transfers of Financial AssetsFor a transfer of financial assets to be considered a sale:the assets must be legally isolated from the Company, even in bankruptcy or other receivership;the purchaser must have the right to pledge or sell the assets transferred (or, if the purchaser is an entity whose 142 sole purpose is to engage in securitization and asset backed financing activities through the issuance of beneficial interests and that entity is constrained from pledging the assets it receives, each beneficial interest holder must have the right to sell or pledge their beneficial interests); andthe Company may not have an option or obligation to reacquire the transferred assets.If these requirements are met, the transferred assets are derecognized from the Companys Consolidated Balance Sheet. If the conditions are not met, the referenced assets are not derecognized from the Companys Consolidated Balance Sheet and the sale proceeds are recognized as a secured borrowing liability. For complex transactions or where the Company has continuing involvement with the transferred assets, a legal true sale opinion is commonly obtained to support the first criterion above. See Note 23 for further discussion.SecuritizationsIn a securitization, financial assets are transferred to an SPE that is generally a VIE. The entity issues beneficial interests that may be in the form of debt and equity instruments, certificates, commercial paper or other forms of indebtedness. Funds received from the sale of the beneficial interests allow the transferor of the assets to monetize all (or a portion) of the transferred assets before the cash would have been realized in the normal course of business. The beneficial interests are recorded as liabilities on the balance sheet of the SPE, which may or may not be consolidated onto the balance sheet of the transferor.Beneficial interests issued by a non-consolidated SPE may be retained and recorded on Citis Consolidated Balance Sheet in the form of interest-only strips, senior or subordinated tranches, spread accounts, servicing rights or other participating interests. Where Citi consolidates a securitization entity, such as the SPEs employed to securitize credit card receivables, the Companys Consolidated Balance Sheet continues to reflect the transferred financial assets and related secured borrowing liabilities and does not reflect any beneficial interests in those assets. Substantially all of the consumer loans securitized by Citigroup through non-consolidated SPEs are U.S. prime residential mortgage loans. Retained interests in non-consolidated mortgage securitization trusts are classified as Trading account assets, except for MSRs, which are included in Intangible assets on Citigroups Consolidated Balance Sheet. Foreign Currency TranslationAssets and liabilities of Citis foreign operations are translated from their respective functional currencies into U.S. dollars using period-end spot foreign exchange rates. Equity accounts are translated at the historical exchange rate. Revenues and expenses of Citis foreign operations are translated monthly from their respective functional currencies into U.S. dollars at amounts that approximate weighted-average exchange rates. The effects of those translation adjustments are reported in cumulative translation adjustment (CTA) within Accumulated other comprehensive income (loss) (AOCI), a component of stockholders equity, net of any related hedge and tax effects, until realized upon sale or substantial liquidation of the foreign entity, at which point such amounts are reclassified into earnings.For transactions that are denominated in a currency other than the functional currency, including transactions denominated in the local currencies of foreign operations that use the U.S. dollar as their functional currency, the effects of changes in exchange rates are included in Principal transactions, along with the related effects of any qualifying and economic hedges. Instruments used to hedge foreign currency exposures include foreign currency forward, option and swap contracts and, in certain instances, designated issues of non-U.S.-dollar debt.Fair ValueASC 820-10 specifies a hierarchy of inputs based on whether the inputs are observable or unobservable. Observable inputs are developed using market data and reflect market participant assumptions, while unobservable inputs reflect the Companys market assumptions. These two types of inputs have created the following fair value hierarchy:Level 1: Quoted prices for identical instruments in active markets.Level 2: Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-derived valuations in which all significant inputs and value drivers are observable in the market.Level 3: Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.As required under the fair value hierarchy, the Company considers relevant and observable market inputs in its valuations where possible.The fair value hierarchy classification approach typically utilizes rules-based and data-driven criteria to determine whether an instrument is classified as Level 1, Level 2 or Level 3:The determination of whether an instrument is quoted in an active market and therefore considered a Level 1 instrument is based on the frequency of observed transactions and the quality of independent market data available on the measurement date.A Level 2 classification is assigned where there is observability of prices/market inputs to models, or where any unobservable inputs are not significant to the valuation. The determination of whether an input is considered observable is based on the availability of independent market data and its corroboration, for example through observed transactions in the market.Otherwise, an instrument is classified as Level 3.143 Determination of Fair Value and Hierarchy LevelsFor assets and liabilities carried at fair value, the Company measures fair value using the procedures set out below, irrespective of whether the assets and liabilities are measured at fair value as a result of an election, a non-recurring lower- of-cost-or-market (LOCOM) adjustment, or because they are required to be measured at fair value.When available, the Company uses quoted market prices from active markets to determine fair value and classifies such items as Level 1. In some specific cases where a market price is available, the Company will apply practical expedients (such as matrix pricing) to calculate fair value, in which case the items may be classified as Level 2.The Company may also apply a price-based methodology that utilizes, where available, quoted prices or other market information obtained from recent trading activity in positions with the same or similar characteristics to the position being valued. If relevant and observable prices are available, those valuations may be classified as Level 2. However, when there are one or more significant unobservable price inputs, those valuations will be classified as Level 3. Furthermore, when a quoted price is considered stale, a significant adjustment to the price of a similar security is necessary to reflect differences in the terms of the actual security being valued, or alternatively, when prices from independent sources are insufficient to corroborate a valuation, the price inputs are considered unobservable and the fair value measurements are classified as Level 3.If quoted market prices are not available, fair value is based upon internally developed valuation techniques that use, where possible, current market-based parameters, such as interest rates, currency rates and option volatilities. Items valued using such internally generated valuation techniques are classified according to the lowest level input or value driver that is significant to the valuation. Thus, an item may be classified as Level 3 even though there may be some significant inputs that are readily observable.Investment SecuritiesInvestments include debt and equity securities. Debt securities include bonds, notes and redeemable preferred stocks, as well as certain loan-backed and structured securities that are subject to prepayment risk. Equity securities include common and nonredeemable preferred stock.Debt SecuritiesDebt securities classified as held-to-maturity (HTM) are securities that the Company has both the ability and the intent to hold until maturity and are carried at amortized cost. Debt securities classified as available-for-sale (AFS) are carried at fair value with changes in fair value reported in Accumulated other comprehensive income (loss) (AOCI), a component of stockholders equity, net of applicable income taxes and hedges. Interest income on HTM and AFS debt securities is included in Interest revenue. Accrued interest on these securities is subject to the Companys non-accrual policy, which results in the timely write-off of uncollectible accrued interest.Debt securities are subject to evaluation for impairment as described in Allowance for Credit Losses (ACL) below for HTM securities. Realized gains and losses on sales of investments are included in earnings, primarily on a specific identification basis.Evaluating Investments for ImpairmentAFS Debt SecuritiesThe Company conducts periodic reviews of all AFS debt securities with unrealized losses to evaluate whether the impairment resulted from expected credit losses or from other factors and to evaluate the Companys intent to sell such securities.An AFS debt security is impaired when the current fair value of an individual AFS debt security is less than its amortized cost basis.The Company recognizes the entire difference between amortized cost basis and fair value in earnings for impaired AFS debt securities that Citi has an intent to sell or for which Citi believes it will more-likely-than-not be required to sell prior to recovery of the amortized cost basis. However, for those AFS debt securities that the Company does not intend to sell and is not likely to be required to sell, only the credit-related impairment is recognized in earnings by recording an allowance for credit losses. Any remaining fair value decline for such securities is recorded in AOCI. The Company does not consider the length of time that the fair value of a security is below its amortized cost when determining if a credit loss exists.For AFS debt securities, credit losses exist where Citi does not expect to receive contractual principal and interest cash flows sufficient to recover the entire amortized cost basis of a security. The allowance for credit losses is limited to the amount by which the AFS debt securitys amortized cost basis exceeds its fair value. The allowance is increased or decreased if credit conditions subsequently worsen or improve. Reversals of credit losses are recognized in earnings.The Companys review for impairment of AFS debt securities generally entails:identification and evaluation of impaired investments;consideration of evidential matter, including an evaluation of factors or triggers that could cause individual positions to qualify as credit impaired and those that would not support credit impairment; anddocumentation of the results of these analyses, as required under business policies.The sections below describe the Companys process for identifying expected credit impairments for debt security types that typically have significant unrealized losses relative to their fair value.144 Agency Mortgage-Backed SecuritiesCiti records no allowances for credit losses on U.S. government-agency-guaranteed mortgage-backed securities, because the Company expects to incur no credit losses in the event of default due to a history of incurring no credit losses and due to the nature of the counterparties.State and Municipal SecuritiesThe process for estimating credit losses in Citigroups AFS state and municipal bonds is primarily based on a credit analysis that incorporates third-party credit ratings. Citi monitors the bond issuers and any insurers providing default protection in the form of financial guarantee insurance. The average external credit rating, disregarding any insurance, is Aa2/AA.In the event of an external rating downgrade or other indicator of credit impairment (i.e., based on instrument-specific estimates of cash flows or probability of issuer default), the subject bond is specifically reviewed for adverse changes in the amount or timing of expected contractual principal and interest payments.Equity SecuritiesMarketable equity securities are measured at fair value with changes in fair value recognized in earnings. Non-marketable equity securities are measured at fair value with changes in fair value recognized in earnings unless (i) the measurement alternative is elected or (ii) the investment represents Federal Reserve Bank and Federal Home Loan Bank stock or certain exchange seats that continue to be carried at cost. Non-marketable equity securities under the measurement alternative are carried at cost less impairment (if any), plus or minus changes resulting from observed prices for orderly transactions for the identical or a similar investment of the same issuer.Equity securities that are not measured at fair value through earnings are subject to evaluation for impairment as described in Note 14.Certain investments that would otherwise have been accounted for using the equity method are carried at fair value with changes in fair value recognized in earnings, where the Company has elected to apply fair value accounting, as described in Note 27.The Company uses a number of valuation techniques for investments carried at fair value, which are described in Note 26.Equity Method InvestmentsManagement assesses equity method investments that have fair values that are less than their respective carrying values for other-than-temporary impairment (OTTI). Fair value is measured as price multiplied by quantity if the investee has publicly listed securities. If the investee is not publicly listed, other methods are used (see Note26).For impaired equity method investments that Citi plans to sell prior to recovery of value or would more-likely-than-not be required to sell, with no expectation that the fair value will recover prior to the expected sale date, the full impairment is recognized as OTTI in Other revenue regardless of severity and duration. The measurement of the OTTI does not include partial projected recoveries subsequent to the balance sheet date.For impaired equity method investments that management does not plan to sell and is not more-likely-than-not to be required to sell prior to recovery of value, the evaluation of whether an impairment is other-than-temporary is based on (i)whether and when an equity method investment will recover in value and (ii)whether the investor has the intent and ability to hold that investment for a period of time sufficient to recover the value. The determination of whether the impairment is considered other-than-temporary considers the following indicators:the cause of the impairment and the financial condition and near-term prospects of the issuer, including any specific events that may influence the operations of the issuer;the intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value; andthe length of time and extent to which fair value has been less than the carrying value.Trading Account Assets and LiabilitiesTrading account assets include debt and marketable equity securities, derivatives in a receivable position, residual interests in securitizations and physical commodities inventory. In addition, as described in Note 27, certain assets that Citigroup has elected to carry at fair value under the fair value option, such as loans and purchased guarantees, are also included in Trading account assets.Trading account liabilities include securities sold, not yet purchased (short positions) and derivatives in a net payable position, as well as certain liabilities that Citigroup has elected to carry at fair value (as described in Note 27).Other than physical commodities inventory, all trading account assets and liabilities are carried at fair value. Revenues generated from trading assets and certain trading liabilities are generally reported in Principal transactions and include realized gains and losses as well as unrealized gains and losses resulting from changes in the fair value of such instruments. Interest income on trading assets, other than trading securities, is recorded in Interest revenue reduced by interest expense on trading liabilities. Interest income on trading securities is recorded in Principal transactions.Physical commodities inventory is carried at the lower of cost or market, except when included in a hedgingrelationship. Any gains and losses related to physical commodities inventory are reported in Principal transactions. Realized gains and losses on hedged commodities inventories and sales of commodities inventory are included in Principal transactions. Investments in unallocated precious metals accounts (gold, silver, platinum and palladium) are accounted for as hybrid instruments containing a debt host contract and an embedded non-financial derivative instrument indexed to the price of the relevant precious metal. The embedded derivative instrument and debt host contract are carried at fair value under the fair value option, as described in Note 27.The Company manages its exposures to market movements outside of its trading activities by modifying the 145 asset and liability mix, either directly or through the use of derivative financial products, including interest rate swaps, futures, forwards, purchased options and commodities, as well as foreign exchange contracts. These end-user derivatives are carried at fair value in Trading account assets and Trading account liabilities.See Note 24 for a further discussion of the Companys hedging and derivative activities.Derivatives include interest rate, currency, equity, credit and commodity swap agreements, options, caps and floors, warrants, and financial and commodity futures and forward contracts. Derivative asset and liability positions are presented net by counterparty on the Consolidated Balance Sheet when a valid master netting agreement exists and the other conditions set out in ASC Topic 210-20, Balance SheetOffsetting, are met. See Note 24.The Company uses a number of techniques to determine the fair value of trading assets and liabilities, which are described in Note 26.Accounting for Derivative HedgingCitigroup accounts for its hedging activities in accordance with ASC 815, Derivatives and Hedging. As a general rule, hedge accounting is permitted where the Company is exposed to a particular risk, such as interest rate or foreign exchange risk, that causes changes in the fair value of an asset or liability or variability in the expected future cash flows of an existing asset, liability or a forecasted transaction that may affect earnings.Derivative contracts hedging the risks associated with changes in fair value are referred to as fair value hedges, while contracts hedging the variability of expected future cash flows are cash flow hedges. Hedges that utilize derivatives or debt instruments to manage the foreign exchange risk associated with equity investments in non-U.S.-dollar-functional-currency foreign subsidiaries (i.e., net investment in a foreign operation) are net investment hedges.To qualify as an accounting hedge under the hedge accounting rules (versus an economic hedge where hedge accounting is not applied), a hedging relationship must be highly effective in offsetting the risk designated as being hedged. The hedging relationship must be formally documented at inception, detailing the particular risk management objective and strategy for the hedge. This includes the item and risk(s) being hedged, the hedging instrument being used and how effectiveness will be assessed. The effectiveness of these hedging relationships is evaluated at hedge inception and on an ongoing basis both on a retrospective and prospective basis, typically using quantitative measures of correlation. Hedge effectiveness assessment methodologies are performed in a similar manner for similar hedges, and are used consistently throughout the hedging relationships. The assessment of effectiveness may exclude changes in the value of the hedged item that are unrelated to the risks being hedged and the changes in fair value of the derivative associated with time value.Discontinued Hedge AccountingA hedging instrument must be highly effective in accomplishing the hedge objective of offsetting either changes in the fair value or cash flows of the hedged item for the risk being hedged. Management may voluntarily de-designate an accounting hedge at any time, but if a hedging relationship is not highly effective, it no longer qualifies for hedge accounting and must be de-designated. Subsequent changes in the fair value of the derivative are recognized in Principal transactions, similar to trading derivatives, with no offset recorded related to the hedged item.For fair value hedges, any changes in the carrying value of the hedged item remain as part of the basis of the asset or liability and are ultimately realized as an element of the yield on the item. For cash flow hedges, changes in fair value of the end-user derivative remain in Accumulated other comprehensive income (loss) (AOCI) and are included in the earnings of future periods when the forecasted hedged cash flows impact earnings. However, if it becomes probable that some or all of the hedged forecasted transactions will not occur, any amounts that remain in AOCI related to these transactions must be immediately reflected in Other revenue.The foregoing criteria are applied on a decentralized basis, consistent with the level at which market risk is managed, but are subject to various limits and controls. The underlying asset, liability or forecasted transaction may be an individual item or a portfolio of similar items.Fair Value HedgesHedging of Benchmark Interest Rate RiskCitigroups fair value hedges, which include hedges of closed pools of assets, are primarily hedges of fixed-rate long-term debt or assets, such as available-for-sale debt securities or loans.For qualifying fair value hedges of interest rate risk, the changes in the fair value of the derivative and the change in the fair value of the hedged item attributable to the hedged risk are presented within Interest income or Interest expense based on whether the hedged item is an asset or a liability. Hedging of Foreign Exchange RiskCitigroup hedges the change in fair value attributable to foreign exchange rate movements in available-for-sale debt securities and long-term debt that are denominated in currencies other than the functional currency of the entity holding the securities or issuing the debt. The hedging instrument is generally a forward foreign exchange contract or a cross-currency swap contract. Changes in the fair value of the forward points (i.e., the spot-forward difference) of forward contracts are excluded from the assessment of hedge effectiveness and are generally reflected directly in earnings over the life of the hedge. Citi also excludes changes in the fair value of cross-currency basis associated with cross-currency swaps from the assessment of hedge effectiveness and records them in Other comprehensive income.146 Hedging of Commodity Price Risk Citigroup hedges the change in fair value attributable to spot price movements in physical commodities inventories. The hedging instrument is a futures contract to sell the underlying commodity. In this hedge, the change in the carrying value of the hedged inventory is reflected in earnings, which offsets the change in the fair value of the futures contract that is also reflected in earnings. Although the entire change in the fair value of the hedging instrument is recorded in earnings, under certain hedge programs, Citigroup excludes changes in the fair value of the forward points (i.e., spot-forward difference) of the futures contract from the assessment of hedge effectiveness, and they are generally reflected directly in earnings over the life of the hedge. Under other hedge programs, Citi excludes changes in the fair value of forward points from the assessment of hedge effectiveness and records them in Other comprehensive income. Cumulative Basis AdjustmentUpon electing to apply ASC 815 fair value hedge accounting, the carrying value of the hedged item is adjusted to reflect the cumulative changes in the hedged risk.This cumulative basis adjustment becomes part of the carrying amount of the hedged item until the hedged item is derecognized from the balance sheet.Cash Flow HedgesCitigroup hedges the variability of forecasted cash flows due to changes in contractually specified interest rates associated with floating-rate assets/liabilities and other forecasted transactions. Variable cash flows from those liabilities are synthetically converted to fixed-rate cash flows by entering into receive-variable, pay-fixed interest rate swaps and receive-variable, pay-fixed forward-starting interest rate swaps. Variable cash flows associated with certain assets are synthetically converted to fixed-rate cash flows by entering into receive-fixed, pay-variable interest rate swaps. These cash flow hedging relationships use regression to assess whether the hedging relationships are highly effective at inception and on an ongoing basis. For cash flow hedges, the entire change in the fair value of the hedging derivative is recognized in AOCI and then reclassified to earnings in the same period that the forecasted hedged cash flows impact earnings.Net Investment HedgesConsistent with ASC 830-20, Foreign Currency MattersForeign Currency Transactions, ASC 815 allows the hedging of the foreign currency risk of a net investment in a foreign operation. Citigroup uses foreign currency forwards, cross-currency swaps, options and foreign currency-denominated debt instruments to manage the foreign exchange risk associated with Citigroups equity investments in several non-U.S.-dollar-functional-currency foreign subsidiaries. Citi records the change in the fair value of these hedging instruments and the translation adjustment for the investments in these foreign subsidiaries in Foreign currency translation adjustment (CTA) within AOCI.For derivatives designated as net investment hedges, Citigroup follows the forward-rate method outlined in ASC 815-35-35. According to that method, all changes in fair value, including changes related to the forward-rate component of the foreign currency forward contracts and the time value of foreign currency options, are recorded in CTA within AOCI.For foreign currency-denominated debt instruments that are designated as hedges of net investments, the translation gain or loss that is recorded in CTA is based on the spot exchange rate between the functional currency of the respective subsidiary and the U.S. dollar, which is the functional currency of Citigroup. Economic HedgesCitigroup often uses economic hedges when hedge accounting would be too complex or operationally burdensome. End-user derivatives that are economic hedges are carried at fair value, with changes in value included in either Principal transactions or Other revenue. For economic hedges of fixed-rate long-term debt, the derivative is recorded at fair value on the balance sheet with the associated changes in fair value recorded in earnings, while the debt continues to be carried at amortized cost (unless the fair value option is elected for the debt). Therefore, current earnings are affected by the interest rate shifts and other factors that cause a change in the swaps value, but for which no offsetting change in value is recorded on the debt.Additional economic hedges include hedges of the credit risk component of commercial loans and loan commitments. Citigroup periodically evaluates its hedging strategies in other areas and may designate either an accounting hedge or an economic hedge after considering the relative costs and benefits. Economic hedges are also employed when the hedged item itself is marked-to-market through current earnings, such as hedges of commitments to originate one- to four-family mortgage loans to be HFS and MSRs.Securities Borrowed and Securities LoanedCiti executes transactions where securities are borrowed, loaned and subject to repurchase agreements primarily through its broker-dealer subsidiaries to facilitate customer matched-book activity and to efficiently fund a portion of Citis trading inventory. Transactions are also executed by Citis bank subsidiaries, primarily to facilitate customer financing activity. Securities sold under agreements to repurchase (repos) and securities purchased under agreements to resell (reverse repos) do not constitute a sale (or purchase) of the underlying securities for accounting purposes and are treated as collateralized financing transactions. Where the conditions of ASC 210-20-45-11, Balance SheetOffsetting: Repurchase and Reverse Repurchase Agreements, are met, repos and reverse repos are presented net on the Consolidated Balance Sheet.Similarly, securities borrowing and lending agreements that are not repos or reverse repos do not qualify as sales of the underlying securities and are also treated as collateralized financing transactions. They are generally documented under industry standard agreements that allow the prompt close-out of all transactions (including the liquidation of securities held) and the offsetting of obligations to return cash or securities by 147 the non-defaulting party, following a payment default or other default by the other party under a relevant master agreement. Unlike repo and reverse repo transactions, securities borrowing and lending agreements and related master netting agreements must meet the conditions of ASC 210-20-45-1, Balance SheetOffsetting: Right of Setoff Conditions, to be presented net on the Consolidated Balance Sheet.Consistent with these requirements, the enforceability of offsetting rights under securities borrowing and lending master netting agreements is evidenced by legal opinions from counsel of recognized standing that provide the requisite level of certainty regarding the enforceability of the agreements and that the exercise of the offsetting rights by the non-defaulting party will not be stayed or avoided under applicable law upon an event of default, including bankruptcy, insolvency or similar proceeding.In some jurisdictions and for some counterparty types, the insolvency law for a particular counterparty type may be nonexistent or unclear as overlapping regimes may exist. In such cases, a legal opinion may not have been sought or obtained regarding the enforceability of offsetting rights. For example, this may be the case for certain sovereigns, municipalities, central banks and U.S. pension plans. In these circumstances, securities borrowing and lending transactions are not subject to netting on the Consolidated Balance Sheet.Securities borrowed, loaned and subject to repurchase agreements are generally recorded at the amount of proceeds advanced or received plus accrued interest, and as described in Note 27, the Company has also elected to record certain transactions at fair value through an election under the fair value option. Fees received or paid related to securities borrowing and lending transactions are recorded in Interest revenue or Interest expense at the contractually specified rate. Interest paid or received on all collateralized financing transactions is recorded in Interest expense or Interest revenue at the contractually specified rate.As described in Note 26, the Company uses a discounted cash flow technique to determine the fair value of its collateralized financing transactions executed under securities borrowed, loaned and subject to repurchase agreements.Citi manages the risks in its collateralized financing transactions by conducting daily stress tests to account for changes in capacity, tenors, haircut, collateral profile and client actions. In addition, Citi maintains counterparty diversification by establishing concentration triggers and assessing counterparty reliability and stability under stress.The Companys policy is to take possession of underlying collateral, monitor its market value relative to the amounts due under the agreements and, when necessary, require prompt transfer of additional collateral in order to maintain contractual margin protection. With respect to securities loaned, the Company receives cash collateral in an amount generally in excess of the market value of the securities loaned. The Company monitors the fair value of securities subject to repurchase or resale on a daily basis and posts additional collateral in order to maintain contractual margin protection.Collateral typically consists of government and government-agency securities, corporate and municipal bonds, equities and mortgage- and other asset-backed securities.The counterparty that receives the securities in these transactions is generally unrestricted in its use of the securities, with the exception of transactions executed on a triparty basis, where the collateral is maintained by a custodian and operational limitations may restrict its use of the securities.LoansLoans that are held-for-investment (HFI) are classified as Loans on the Consolidated Balance Sheet and are reported at their outstanding principal balances net of any unearned income and unamortized deferred fees and costs, except for credit card receivable balances, which include accrued interest and fees, and certain loans for which Citi has elected the fair value option (see Loans at Fair Value below). Loan origination fees and certain direct origination costs are generally deferred and recognized as adjustments to income over the lives of the related loans.The related cash flows for HFI loans are included within the cash flows from the investing activities category in the Consolidated Statement of Cash Flows on the line Change in loans. However, when the initial intent for holding a loan has changed from HFI to held-for-sale (HFS), the loan is reclassified to HFS and included in Other assets, but the related cash flows continue to be reported in cash flows from investing activities in the Consolidated Statement of Cash Flows on the line Proceeds from sales and securitizations of loans. See Loans Held-for-Sale and Changes in Loan Classification below.Consumer LoansConsumer loans represent loans and leases managed primarily by the USPB, Wealth and All OtherLegacy Franchises businesses (except Mexico SBMM loans).Delinquency StatusDelinquency status is monitored and considered a key indicator of credit quality of consumer loans. Principally, the U.S. residential first mortgage loans use the Mortgage Bankers Association (MBA) method of reporting delinquencies, which considers a loan delinquent if a monthly payment has not been received by the end of the day immediately preceding the loans next due date. All other loans use a method of reporting delinquencies that considers a loan delinquent if a monthly payment has not been received by the close of business on the loans next due date.Consumer Non-accrual PoliciesFor installment and real estate loans, Citis non-accrual policy is that generally, prior to charge-off, interest accrual ceases when payments are 90 days contractually past due (DPD), with the exception of certain loans insured by U.S. government agencies.With the exception of certain international portfolios, credit cards and other unsecured revolving loans generally are not subject to non-accrual policies and continue to accrue interest until charged off at 180 DPD. Details of Citis charge-off policies are provided further below.148 Consumer Loan Modification, Re-Aging and Return to Accrual StatusCiti evaluates and may modify consumer loans to borrowers experiencing financial difficulty to minimize losses, avoid foreclosure or repossession of collateral and ultimately maximize payments received from the borrowers. Citi uses various metrics to identify consumer borrowers experiencing financial difficulty, with the primary indicator being delinquency at the time of modification.For U.S. consumer loans, generally one of the conditions to qualify for modification is that a minimum number of payments (typically ranging from one to three) must be made. For mortgage loans, Citi enters into a trial modification with the borrower, which generally represents a three-month period during which the borrower makes monthly payments under the anticipated modified payment terms, before entering into a permanent modification. These loans under trial modifications continue to age and accrue interest in accordance with their original contractual terms.Upon permanent modification, the loan is re-aged to current status. Specifically, re-aging practices for certain open-ended consumer loans, such as credit cards, are governed by Federal Financial Institutions Examination Council (FFIEC) guidelines, which require at least three consecutive minimum monthly payments or the equivalent amount, to be re-aged to current status. In addition, re-aging is subject to limitations, generally once in 12 months and twice in five years. Furthermore, FHA and Department of Veterans Affairs (VA) loans may only be modified under those respective agencies guidelines, and payments are not always required in order to re-age a modified loan to current.In general, a loan returns to accrual status when none of its principal and interest is due and unpaid and the bank expects the full collection of all contractual principal and interest (including any prior charge-offs) on such loan. For modified loans, the policy for returning to accrual status varies by product and/or region. For regulated bank entities, such modified loans are returned to accrual status if a credit evaluation at the time of, or subsequent to, the modification indicates the borrower is able to meet the restructured terms, and the borrower is current and has demonstrated a reasonable period of sustained payment performance (minimum six months of consecutive payments).Consumer Charge-Off PoliciesUnless the loan had been modified and subsequently returned to accrual status per the above policies, the loan is charged off following the general guidelines below:Unsecured installment loans are charged off at 120 DPD or, if in bankruptcy, within 60 days of notification of filing by the bankruptcy court, if earlier.Unsecured revolving loans and credit card loans are charged off at 180 DPD or, if in bankruptcy, within 60 days of notification of filing in the bankruptcy court, if earlier.Loans secured with non-real estate collateral are written down to the estimated value of the collateral, less costs to sell, at 120 DPD.Real estate-secured loans are written down to the estimated value of the property, less costs to sell, at 180 DPD, with the following exceptions: (i) if the decision is made not to foreclose, loans are charged off no later than 180 DPD; or (ii) if in bankruptcy, other than FHA-insured loans, loans are charged off within 60 days of notification of filing by the bankruptcy court, if earlier.Corporate LoansCorporate loans represent loans and leases managed by Services, Markets and Banking and the Mexico SBMM component of All OtherLegacy Franchises. Corporate loans are placed on a cash (non-accrual) basis when it is determined, based on actual experience and a forward-looking assessment of the collectibility of the loan in full, that the payment of interest or principal is doubtful or when interest or principal is 90 days past due, except when the loan is well collateralized and in the process of collection. When a corporate loan is placed on non-accrual, any interest accrued is reversed and charged against current earnings, and interest is thereafter included in earnings only to the extent actually received in cash. When there is doubt regarding the ultimate collectibility of principal, all cash receipts are thereafter applied to reduce the recorded investment in the loan. Cash-basis loans are returned to accrual status when all contractual principal and interest amounts are reasonably assured of repayment and there is a sustained period of repayment performance in accordance with the contractual terms.Corporate loans are written down to the extent that principal is deemed to be uncollectible. A financial asset is considered collateral-dependent when the debtor is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. For corporate loans that are collateral dependent, the fair value of collateral (less costs to sell, as applicable) is used to estimate expected credit losses.Loans Held-for-SaleLoans that have been identified for sale are classified as loans HFS and included in Other assets. With the exception of those loans for which the fair value option has been elected, HFS loans are accounted for at the lower of cost or market value, with any write-downs or subsequent recoveries charged to Other revenue. The related cash flows are classified in the Consolidated Statement of Cash Flows in the cash flows from operating activities category on the line Change in loans HFS. Gains and losses on loans HFS are generally presented in Other revenue. Gains on sales of fully or partially charged-off loans are presented as gross credit recoveries in the Provision for credit losses up to the amount of prior charge-offs.Loans at Fair ValueAs described in Note 27, Citi has elected fair value accounting for certain loans. Such loans are not subject to an allowance for credit losses. Instead, they are carried at fair value with changes in fair value reported in earnings. Interest income on such loans is recorded in Interest revenue at the contractually specified rate.149 The practice of Citis U.S. prime mortgage business has been to sell substantially all of its conforming loans. As such, U.S. prime mortgage conforming loans are classified as HFS and the fair value option is elected at origination, with changes in fair value recorded in Other revenue.Changes in Loan ClassificationChanges to the initial classification of a loan should be made only when there is a demonstrated change in managements intent and ability (i.e., management now has the intent and ability to sell the loan when it had previously intended to hold the loan for the foreseeable future or vice versa).If a loan changes its classification from HFI to HFS, the related allowance for credit losses is reversed in earnings through the Provision for credit losses. Also, if the loans fair value is lower than the loans amortized cost basis due to credit deterioration, the initial downward difference is recorded as a direct write-off of the loans amortized cost basis through gross credit losses, which establishes the new cost basis of the loan immediately prior to transfer to HFS for purposes of applying the lower of cost or market value. Otherwise, any write down is recorded as an HFS valuation allowance (contra-Other assets) and charged to Other revenue.On the other hand, if a loan changes its classification from HFS to HFI, any HFS valuation allowance is reversed through Other revenue. The loan is transferred to HFI at its amortized cost basis and assessed for an allowance for credit losses.Allowance for Credit Losses (ACL)The current expected credit losses (CECL) methodology is based on relevant information about past events, including historical experience, current conditions and reasonable and supportable (R&S) forecasts that affect the collectibility of the reported financial asset balances. If the assets life extends beyond the R&S forecast period, then historical experience is considered over the remaining life of the assets in the ACL. The resulting ACL is adjusted in each subsequent reporting period through Provision for credit losses in the Consolidated Statement of Income to reflect changes in history, current conditions and forecasts as well as changes in asset positions and portfolios. ASC 326 defines the ACL as a valuation account that is deducted from the amortized cost of a financial asset to present the net amount that management expects to collect on the financial asset over its expected life. All financial assets carried at amortized cost are in the scope of ASC 326, while assets measured at fair value are excluded. See Debt Securities above for a discussion of impairment on available-for-sale (AFS) securities.Increases and decreases to the allowances are recorded in Provision for credit losses. The CECL methodology utilizes a lifetime expected credit loss (ECL) measurement objective for the recognition of credit losses for held-for-investment (HFI) loans, held-to-maturity (HTM) debt securities, receivables and other financial assets measured at amortized cost at the time the financial asset is originated or acquired. Within the life of a loan or other financial asset, the methodology generally results in earlier recognition of the provision for credit losses and the related ACL.Estimation of ECLs requires Citi to make assumptions regarding the likelihood and severity of credit loss events and their impact on expected cash flows, which drive the probability of default (PD), loss given default (LGD) and exposure at default (EAD) models and, where Citi discounts the ECL, using discounting techniques for certain products. Citi considers a multitude of global macroeconomic variables for the base, upside and downside probability-weighted macroeconomic scenario forecasts it uses to estimate the ACL. Citis forecasts of the U.S. unemployment rate and U.S. real GDP growth rate represent the key macroeconomic variables that most significantly affect its estimate of the ACL. Under the base macroeconomic forecast as of 4Q25, U.S. real GDP growth is expected to slow during 2026 and 2027, while the unemployment rate is expected to increase in 2026 and 2027, compared to the forecast as of 4Q24.The macroeconomic scenario weights are estimated using a statistical model, which, among other factors, takes into consideration key macroeconomic drivers of the ACL, severity of the scenario and other macroeconomic uncertainties and risks. Citi evaluates scenario weights on a quarterly basis.Citis downside scenario incorporates more adverse macroeconomic assumptions than the base scenario. For example, compared to the base scenario, Citis downside scenario reflects a recession, including an elevated average U.S. unemployment rate of 6.9% over the eight-quarter R&S period, with a peak difference of 3.5% in the second quarter of 2027. The weighted-average U.S. unemployment rate that considers all three probability-weighted scenarios is 5.2%. The downside scenario also reflects a year-over-year U.S. real GDP contraction in 2026 of 1.8%, with a peak quarter-over-quarter difference to the base scenario of 1.2%.The following are the main factors and interpretations that Citi considers when estimating the ACL under the CECL methodology: CECL reserves are estimated over the contractual term of the financial asset, which is adjusted for expected prepayments. Expected extensions are generally not considered unless the option to extend the loan cannot be canceled unilaterally by Citi. Credit enhancements that are not freestanding (such as those that are included in the original terms of the contract or those executed in conjunction with the lending transaction) are considered loss mitigants for purposes of CECL reserve estimation. For unconditionally cancelable accounts (generally credit cards), reserves are based on the expected life of the balance as of the evaluation date (assuming no further charges) and do not include any undrawn commitments that are unconditionally cancelable. Reserves are included for undrawn commitments for accounts that are not unconditionally cancelable (such as letters of credit and corporate loan commitments, home equity lines of credit (HELOCs), undrawn mortgage loan commitments and financial guarantees).CECL models are designed to be economically sensitive. They utilize the macroeconomic forecasts provided by Citis enterprise scenario group that are approved by senior management. Analysis is performed and 150 documented to determine the necessary qualitative management adjustment (QMA) to capture idiosyncratic events and model uncertainty.The portion of the forecast that reflects the enterprise scenario groups R&S period indicates the maximum length of time its models can produce a R&S macroeconomic forecast, after which mean reversion reflecting historical loss experience is used for the remaining life of the loan to estimate expected credit losses. For the loss forecast, businesses consume the macroeconomic forecast as determined to be appropriate and justifiable.Citis ability to forecast credit losses over the R&S period is based on the ability to forecast economic activity over a reasonable and supportable time window. The R&S period reflects the overall ability to have a reasonable and supportable forecast of credit loss based on economic forecasts. The R&S forecast period for consumer and corporate loans is eight quarters.The loss models consume all or a portion of the R&S economic forecast and then revert to historical loss experience. The ACL incorporates provisions for accrued interest on products that are not subject to a non-accrual and timely write-off policy (e.g., credit cards).Citi uses the most recent available information to inform its macroeconomic forecasts, allowing sufficient time for analysis of the results and corresponding approvals. Key variables are reviewed for significant changes through year end and changes to portfolio positions are reflected in the ACL.Reserves are calculated at an appropriately granular level and on a pooled basis where financial assets share risk characteristics. At a minimum, reserves are calculated at a portfolio level (product and country). Where a financial asset does not share risk characteristics with any of the pools, it is evaluated for credit losses individually.Quantitative and Qualitative Components of the ACLThe loss likelihood and severity models use both internal and external information and are sensitive to forecasts of different macroeconomic conditions. For the quantitative component, Citi uses multiple macroeconomic scenarios and associated probabilities to estimate the ECL. Estimates of these ECLs are based on the following:Citigroups internal system of credit risk ratingshistorical default and loss data, including comprehensive internal history and rating agency information regarding default rates and internal data on the severity of losses in the event of defaulta R&S forecast of future macroeconomic conditionsECL is determined primarily by utilizing models for the borrowers PD, LGD and EAD. Adjustments may be made to this data, including (i) statistically calculated estimates to cover the historical fluctuation of the default rates over the credit cycle, the historical variability of loss severity among defaulted loans and the degree to which there are large obligor concentrations in the global portfolio, and (ii) adjustments made for specifically known items, such as current environmental factors and credit trends. Any adjustments needed to the modeled expected losses in the quantitative calculations are addressed through a qualitative adjustment. The qualitative management adjustment component includes risks that are not fully captured in the quantitative component. These may include but are not limited to portfolio characteristics, idiosyncratic events, factors not within historical loss data or the economic forecast, uncertainty in the credit environment and other factors as required by banking supervisory guidance for the ACL. The primary examples of risks that are not fully captured in the quantitative component are (i) potential impacts on vulnerable industries and regions due to emerging macroeconomic risks and uncertainties, including those related to a potential global recession, inflation, interest rates and commodity prices and (ii) transfer risk associated with exposures outside the U.S. Citis qualitative component declined year-over-year, largely driven by the reclassification of AO Citibank to held-for-sale, including the related ACL, resulting from Citis planned sale of AO Citibank (which was sold on February 18, 2026). See Accounting Changes below for information about how the calculation of the quantitative component of the ACL changed in 2025.Consumer LoansFor consumer loans, most portfolios including North America cards, mortgages and personal installment loans (PILs) are covered by the PD, LGD and EAD loss forecasting models. Some smaller international portfolios are covered by econometric models where the gross credit loss (GCL) rate is forecast. The modeling of all retail products is performed by examining risk drivers for a given portfolio; these drivers relate to exposures with similar credit risk characteristics and consider past events, current conditions and R&S forecasts. Under the PD x LGD x EAD approach, GCLs and recoveries are captured on an undiscounted basis. Citi incorporates expected recoveries on loans into its reserve estimate, including expected recoveries on assets previously written off. CECL defines the exposures expected life as the remaining contractual maturity including any expected prepayments. Subsequent changes to the contractual terms that are the result of a re-underwriting are not included in the loans expected CECL life.Citi does not establish reserves for the uncollectible accrued interest on non-revolving consumer products, such as mortgages and installment loans, which are subject to a non-accrual and timely write-off policy at 90 days past due. As such, only the principal balance is subject to the CECL reserve methodology and interest does not attract a further reserve. For credit cards, Citi uses the payment rate approach, which leverages payment rate curves, to determine the payments that should be applied to liquidate the end-of-period balance (CECL balance) in the estimation of EAD. The payment rate approach uses customer payment behavior (payment rate) to establish the portion of the CECL balance that will be paid each month. These payment rates are defined as the percentage of principal payments received in the respective month divided by the prior months billed principal 151 balance. The liquidation (CECL payment) amount for each forecast period is determined by multiplying the CECL balance by that periods forecasted payment rate. The cumulative sum of these payments less the CECL balance produces the balance liquidation curve. Citi does not apply a non-accrual policy to credit card receivables; rather, they are subject to full charge-off at 180 days past due or bankruptcy if earlier. As such, the entire customer balance up until write-off, including accrued interest and fees, is subject to the CECL reserve methodology. Corporate Loans, HTM Securities and Other AssetsCiti records allowances for credit losses on all financial assets carried at amortized cost that are in the scope of CECL, including corporate loans classified as HFI, HTM debt securities and Other assets. Discounting techniques are applied for corporate loans classified as HFI and HTM securities. All cash flows are fully discounted to the reporting date. The ACL includes Citis estimate of all credit losses expected to be incurred over the estimated full contractual life of the financial asset. The contractual life of the financial asset generally does not include expected extensions, renewals or modifications. Where Citi has an unconditional option to extend the contractual term, Citi does not consider the potential extension in determining the contractual term; however, where the borrower has the sole right to exercise the extension option without Citis approval, Citi does consider the potential extension in determining the contractual term.Citi primarily bases its ACL on models that assess the likelihood and severity of credit events and their impact on cash flows under R&S forecasted economic scenarios. Allowances consider the probability of the borrowers default, the loss Citi would incur upon default and the borrowers exposure at default. Such models discount the present value of all future cash flows, using the assets effective interest rate (EIR). Citi applies a more simplified approach based on historical loss rates to certain exposures recorded in Other assets and certain loan exposures in the Private Bank within Consumer loans.Citi considers the risk of nonpayment to be zero for U.S. Treasuries and U.S. government-sponsored agency guaranteed mortgage-backed securities (MBS) and, as such, Citi does not have an ACL for these securities. For all other HTM debt securities, ECLs are estimated using PD models and discounting techniques, which incorporate assumptions regarding the likelihood and severity of credit losses. For structured securities, specific models use relevant assumptions for the underlying collateral type. A discounting approach is applied to HTM direct obligations of a single issuer, similar to that used for corporate HFI loans.Other Financial Assets with Zero Expected Credit LossesFor certain financial assets, zero expected credit losses will be recognized where the expectation of nonpayment of the amortized cost basis is zero, based on there being no history of loss and the nature of the receivables.Secured Financing TransactionsMost of Citis reverse repurchase agreements, securities borrowing arrangements and margin loans require that the borrower continually adjust the amount of the collateral securing Citis interest, primarily resulting from changes in the fair value of such collateral. In such arrangements, ACLs are recorded based only on the amount by which the assets amortized cost basis exceeds the fair value of the collateral. No ACLs are recorded where the fair value of the collateral is equal to or exceeds the assets amortized cost basis, as Citi does not expect to incur credit losses on such well-collateralized exposures. For certain margin loans presented in Loans on the Consolidated Balance Sheet, ACLL is estimated using the same approach as corporate loans. Accrued InterestCECL permits entities to make an accounting policy election not to reserve for interest, if the entity has a policy in place that will result in timely reversal or write-off of interest. However, when a non-accrual or timely charge-off policy is not applied, an ACL is recognized on accrued interest at 90 days past due. For HTM debt securities, Citi established a non-accrual policy that results in timely write-off of accrued interest. For corporate loans, where a timely charge-off policy is used, Citi has elected to recognize an ACL on accrued interest receivable. The LGD models for corporate loans include an adjustment for estimated accrued interest.Purchased Credit-Deteriorated (PCD) Assets ASC 326 requires entities that have acquired financial assets (such as loans and HTM securities) with an intent to hold, to evaluate whether those assets have experienced a more-than-insignificant deterioration in credit quality since origination. These assets are subject to specialized accounting at initial recognition under CECL. Subsequent measurement of PCD assets will remain consistent with other purchased or originated assets, i.e., non-PCD assets. CECL introduced the notion of PCD assets, which replaced purchased credit impaired (PCI) accounting under prior U.S. GAAP.CECL requires the estimation of credit losses to be performed on a pool basis unless a PCD asset does not share characteristics with any pool. If certain PCD assets do not meet the conditions for aggregation, those PCD assets should be accounted for separately. This determination must be made at the date the PCD asset is purchased. In estimating ECLs from day 2 onward, pools can potentially be reassembled based upon similar risk characteristics. When PCD assets are pooled, Citi determines the amount of the initial ACL at the pool level. The amount of the initial ACL for a PCD asset represents the portion of the total discount at acquisition that relates to credit and is recognized as a gross-up of the purchase price to arrive at the PCD assets (or pools) amortized cost. Any difference between the unpaid principal balance and the amortized cost is considered to be related to non-credit factors and results in a discount or premium, which is amortized to interest income over the life of the individual asset (or pool). Direct expenses incurred related to the acquisition of PCD assets and other assets and liabilities in a business combination are expensed as incurred. Subsequent accounting for acquired PCD assets is the same as the 152 accounting for originated assets; changes in the allowance are recorded in Provisions for credit losses.ConsumerCiti does not purchase whole portfolios of PCD assets in its retail businesses. However, there may be a small portion of a purchased portfolio that is identified as PCD at the purchase date. Interest income recognition does not vary between PCD and non-PCD assets. A consumer financial asset is considered to be more-than-insignificantly credit deteriorated if it is more than 30 days past due at the purchase date.CorporateCiti generally classifies wholesale loans and debt securities classified as HTM or AFS as PCD when both of the following criteria are met: (i) the purchase price discount is at least 10% of par and (ii) the purchase date is more than 90 days after the origination or issuance date. Citi classifies HTM beneficial interests rated AA- and lower obtained at origination from certain securitization transactions as PCD when there is a significant difference (i.e., 10% or greater) between contractual cash flows, adjusted for prepayments, and expected cash flows at the date of recognition.Reserve Estimates and PoliciesManagement provides reserves for an estimate of lifetime ECLs in the funded loan portfolio on the Consolidated Balance Sheet in the form of an ACL. These reserves are established in accordance with Citigroups credit reserve policies, as approved by the Audit Committee of the Citigroup Board of Directors. Citis Chief Risk Officer and Chief Financial Officer review the adequacy of the credit loss reserves each quarter with risk management and finance representatives for each applicable business area. Applicable business areas include those having classifiably managed portfolios, where internal credit risk ratings are assigned (primarily Services, Markets, Banking and Wealth) and delinquency-managed portfolios (primarily USPB) or modified consumer loans, where concessions were granted due to the borrowers financial difficulties. The aforementioned representatives for these business areas present recommended reserve balances for their funded and unfunded lending portfolios along with supporting quantitative and qualitative data discussed below.Estimated Credit Losses for Portfolios of Performing ExposuresRisk management and finance representatives who cover business areas with delinquency-managed portfolios containing smaller-balance homogeneous loans present their recommended reserve balances based on leading credit indicators, including loan delinquencies and changes in portfolio size as well as economic trends, including current and future housing prices, unemployment, length of time in foreclosure, costs to sell and GDP. This methodology is applied separately for each product within each geographic region in which these portfolios exist. This evaluation process is subject to numerous estimates and judgments.Risk management and finance representatives who cover business areas with classifiably managed portfolios present their recommended reserve balances based on the frequency of default, risk ratings, loss recovery rates, size and diversity of individual large credits, and ability of borrowers with foreign currency obligations to obtain the foreign currency necessary for orderly debt servicing for countries with currency restrictions. Changes in these estimates could have a direct impact on the credit costs in any period and could result in a change in the allowance.Allowance for Unfunded Lending CommitmentsCredit loss reserves are recognized on all off-balance sheet commitments that are not unconditionally cancelable. Corporate loan EAD models include an incremental usage factor (or credit conversion factor) to estimate ECLs on amounts undrawn at the reporting date. Off-balance sheet commitments include unfunded exposures, revolving facilities, securities underwriting commitments, letters of credit, HELOCs and financial guarantees (excluding performance guarantees). This reserve is classified on the Consolidated Balance Sheet in Other liabilities. Changes to the allowance for unfunded lending commitments are recorded in Provision for credit losses on unfunded lending commitments.Mortgage Servicing RightsMortgage servicing rights (MSRs) are recognized as intangible assets when the Company sells or securitizes loans acquired through purchase or origination and retains the right to service the loans. Mortgage servicing rights are accounted for at fair value, with changes in value recorded in Other revenue in the Companys Consolidated Statement of Income.For additional information on the Companys MSRs, see Notes 17, 23 and 26.GoodwillGoodwill represents the excess of acquisition cost over the fair value of net tangible and intangible assets acquired in a business combination. Goodwill is subject to annual impairment testing and interim assessments between annual tests if an event occurs or circumstances change that would more-likely-than-not reduce the fair value of a reporting unit below its carrying amount. The Company has determined that its reporting units are at the reportable operating segment level or one level below an operating segment.The Company has an option to assess qualitative factors to determine if it is necessary to perform the goodwill impairment test. If, after assessing the totality of events or circumstances, the Company determines that it is not more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, no further testing is necessary. If, however, the Company determines that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, then the Company must perform the quantitative test. The Company has an unconditional option to bypass the qualitative assessment for any reporting unit in any reporting period and proceed directly to the quantitative test. The quantitative test requires a comparison of the fair value of an individual reporting unit to its carrying value, 153 including goodwill. If the fair value of a reporting unit is in excess of the carrying value, the related goodwill is considered not impaired and no further analysis is necessary. If the carrying value of a reporting unit exceeds the fair value, an impairment loss is recognized in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit.Additional information on Citis goodwill impairment testing can be found in Note 17.Intangible AssetsIntangible assetsincluding core deposit intangibles, present value of future profits, purchased credit card relationships, credit card contract-related intangibles, other customer relationships and other intangible assets, but excluding MSRsare amortized over their estimated useful lives. Credit card contract-related intangibles include fixed and unconditional costs incurred to renew or extend the contract with a card partner. In estimating the useful life of a credit card contract-related intangible, the Company considers the probability of contract renewal or extension to determine the period that the asset is expected to contribute future cash flows. Intangible assets that are deemed to have indefinite useful lives, primarily trade names, are not amortized and are subject to annual impairment tests. An impairment exists if the carrying value of the indefinite-lived intangible asset exceeds its fair value. For other intangible assets subject to amortization, an impairment is recognized if the carrying amount is not recoverable and exceeds the fair value of the intangible asset.Premises and EquipmentPremises and equipment includes lease right-of-use assets, property and equipment (including purchased and developed software), net of depreciation and amortization. Substantially all lease right-of-use assets are amortized on a straight-line basis over the lease term, and substantially all property and equipment are depreciated or amortized on a straight-line basis over the useful life of the asset. The estimated useful lives range up to 50 years for buildings and improvements, up to 15 years for furniture and equipment, up to 10 years for internal-use software and the shorter of the estimated useful life or the lease term for leasehold improvements. LeasesAs a LesseeCiti enters into lease agreements to obtain rights to use assets for its business operations. Substantially all of the Companys lessee arrangements are operating leases for premises and equipment, including real estate and various types of equipment. Lease liabilities and right-of-use (ROU) assets are recognized when Citi enters into these leases and represent Citis obligations and rights to use these assets over the period of the leases, and may be remeasured for certain modifications. These leases may contain renewal and extension options and early termination features; however, these options do not impact the lease term unless the Company is reasonably certain that it will exercise the options. In certain instances, the Company may have lease agreements with lease and non-lease components. In these instances, the Company has elected to apply the practical expedient and account for the lease and non-lease components as a single lease component for all leases.At lease commencement, lease liabilities are recognized based on the present value of the remaining lease payments and discounted using the Companys incremental borrowing rate. ROU assets initially equal the lease liability, adjusted for any lease payments made prior to lease commencement and for any lease incentives.ROU assets and lease liabilities are included in Premises and equipment and Other liabilities, respectively. All leases are recorded on the Consolidated Balance Sheet except those with an initial term of less than 12 months, for which the Company has made the short-term lease election. Lease expense is recognized on a straight-line basis over the lease term and is recorded in Premises and equipment expense in the Consolidated Statement of Income. Variable lease costs are recognized in the period in which the obligation for those payments is incurred.As a LessorThe Companys operating leases and financing leases, which include both direct financing and sales-type leases, where Citi is a lessor, are not significant to the Consolidated Financial Statements.Other Assets and Other LiabilitiesOther assets include, among other items, loans HFS, deferred tax assets, equity method investments, interest and fees receivable, repossessed assets, other receivables and assets from businesses classified as HFS that are reclassified from other balance sheet line items. Other liabilities include, among other items, accrued expenses, lease liabilities, deferred tax liabilities, reserves for legal claims and legal fee accruals, taxes, unfunded lending commitments, repositioning reserves, other payables and liabilities from businesses classified as HFS that are reclassified from other balance sheet line items. Legal fee accruals are recognized as incurred.Other Real Estate Owned and Repossessed AssetsReal estate or other assets received through foreclosure or repossession are generally reported in Other assets, net of a valuation allowance for selling costs and subsequent declines in fair value.DebtShort-term borrowings and Long-term debt are accounted for at amortized cost, except where the Company has elected to report the debt (including certain structured notes) at fair value, or debt that is in a fair value hedging relationship. Changes in the fair value of debt carried at fair value under a fair value election are recorded in Principal transactions, other than adjustments related to changes in instrument-specific credit risk, which are recorded in Other comprehensive income. Premiums, discounts and issuance costs on long-term debt accounted for at amortized cost are amortized over the contractual term using the effective interest method.154 Employee Benefits ExpenseEmployee benefits expense includes current service costs of pension and other postretirement benefit plans (which are accrued on a current basis), contributions and unrestricted awards under other employee plans, the amortization of restricted stock awards and costs of other employee benefits. For its most significant pension and postretirement benefit plans (Significant Plans), Citigroup measures and discloses plan obligations, plan assets and periodic plan expense quarterly, when certain conditions are met to trigger interim remeasurement. The effect of remeasuring the plan obligations and assets by updating plan actuarial assumptions is reflected in AOCI and periodic plan expense. All other plans (All Other Plans) are remeasured annually. Benefits earned during the year are reported in Compensation and benefits expenses and all other components of the net annual benefit cost are reported in Other operating expenses in the Consolidated Statement of Income. See Note 8.Stock-Based CompensationThe Company recognizes compensation expense related to stock awards over the requisite service period, generally based on the instruments grant-date fair value, reduced by actual forfeitures as they occur. Compensation cost related to awards granted to employees who meet certain age plus years-of-service requirements (retirement-eligible employees) is accrued in the year prior to the grant date in the same manner as the accrual for cash incentive compensation. Certain stock awards with performance conditions or certain clawback provisions are subject to variable accounting, pursuant to which the associated compensation expense fluctuates with changes in Citigroups common stock price. See Note 7.Income TaxesThe Company is subject to the income tax laws of the U.S. and its states and municipalities, as well as the non-U.S. jurisdictions in which it operates. These tax laws are complex and may be subject to different interpretations by the taxpayer and the relevant governmental taxing authorities. In establishing a provision for income tax expense, the Company must make judgments and interpretations about these tax laws. The Company must also make estimates about when in the future certain items will affect taxable income in the various tax jurisdictions, both domestic and foreign.Disputes over interpretations of the tax laws may be subject to review and adjudication by the court systems of the various tax jurisdictions or may be settled with the taxing authority upon examination or audit. The Company treats interest and penalties on income taxes as a component of Income tax expense.Deferred taxes are recorded for the future consequences of events that have been, or will be, recognized in financial statements or tax returns in different periods, based upon enacted tax laws and rates. Deferred tax assets are recognized subject to managements judgment about whether realization is more-likely-than-not. ASC 740, Income Taxes, sets out a consistent framework to determine the appropriate level of tax reserves to maintain for uncertain tax positions. This interpretation uses a two-step approach wherein a tax benefit is recognized if a position is more-likely-than-not to be sustained. The amount of the benefit is then measured to be the highest tax benefit that is more than 50% likely to be realized. ASC 740 also sets out disclosure requirements to enhance transparency of an entitys tax reserves.See Note 10 for a further description of the Companys tax provision and related income tax assets and liabilities.Commissions, Underwriting and Principal TransactionsCommissions and fees revenues are recognized in income when earned. Underwriting revenues are recognized in income typically at the closing of the transaction. Principal transactions revenues are recognized in income on a trade-date basis. See Note 5 for a description of the Companys revenue recognition policies for Commissions and fees, and Note 6 for details of Principal transactions revenue.Earnings per ShareEarnings per share (EPS) is calculated using the two-class method. Under the two-class method, all earnings (distributed and undistributed) are allocated to common stock and participating securities. Undistributed earnings are calculated after deducting preferred stock dividends, any issuance cost incurred at the time of issuance of redeemed preferred stock and dividends paid and accrued to common stocks and RSU/DSA share awards. Citi grants restricted and deferred share awards under its shares-based compensation programs, which entitle recipients to receive nonforfeitable dividends during the vesting period on a basis equivalent to dividends paid to holders of the Companys common stock. These unvested awards meet the definition of participating securities based on their respective rights to receive nonforfeitable dividends, and they are treated as a separate class of securities and are not included in computing basic EPS.Diluted EPS incorporates the potential impact of contingently issuable shares, stock options and awards, which require future service as a condition of delivery of the underlying common stock. Anti-dilutive options and warrants are disregarded in the EPS calculations. Diluted EPS is calculated under both the two-class and treasury stock methods, and the more dilutive amount is reported. Participating securities are not included as incremental shares in computing diluted EPS.Use of EstimatesManagement must make estimates and assumptions that affect the Consolidated Financial Statements and the related Notes. Such estimates are used in connection with certain fair value measurements. See Note 26 for further discussions on estimates used in the determination of fair value. Moreover, estimates are significant in determining the amounts of other-than-temporary impairments, impairments of goodwill and other intangible assets, provisions for probable losses that may arise from credit-related exposures, probable and estimable losses related to litigation and regulatory proceedings, and income taxes. While management makes its best judgment, actual amounts or results could differ from those estimates. 155 Cash Equivalents and Restricted Cash FlowsCash equivalents are composed of those amounts included in Cash and due from banks and Deposits with banks. Certain cash balances are restricted by regulatory or contractual requirements. See Note 28 for additional information on restricted cash.Related Party TransactionsThe Company has related party transactions with certain of its subsidiaries and affiliates. These transactions, which are primarily short-term in nature, include cash accounts, collateralized financing transactions, margin accounts, derivative transactions, charges for operational support and the borrowing and lending of funds, and are entered into in the ordinary course of business.ACCOUNTING CHANGESIncome Taxes (Topic 740): Improvements to Income Tax DisclosuresIn December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, intended to enhance the transparency and decision usefulness of income tax disclosures. This guidance requires that public business entities disclose on an annual basis a tabular rate reconciliation in eight specific categories disaggregated by nature and for foreign tax effects by each jurisdiction that meets a 5% of pretax income multiplied by the applicable statutory tax rate or greater threshold annually. The eight categories include state and local income taxes, net of federal income tax effect; foreign tax effects; enactment of new tax laws; enactment of new tax credits; effect of cross-border tax laws; valuation allowances; nontaxable items and nondeductible items; and changes in unrecognized tax benefits. Additional disclosures include qualitative description of the state and local jurisdictions that contribute to the majority (greater than 50%) of the effect of the state and local income tax category and explanation of the nature and effect of changes in individual reconciling items. The guidance also requires entities annually to disclose income taxes paid (net of refunds received) disaggregated by federal, state and foreign taxes and by jurisdiction identified based on the same 5% quantitative threshold.Citi adopted the ASU on a retrospective basis for its annual period ending December 31, 2025.TDRs and Vintage DisclosuresIn March 2022, the FASB issued ASU No. 2022-02, Financial InstrumentsCredit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. Citi adopted the ASU on January 1, 2023, including the guidance on the recognition and measurement of TDRs under the modified retrospective approach. Adopting these amendments resulted in a decrease to the ACLL of $352million and an increase in other assets related to held-for-sale businesses of $40million, with a corresponding increase to retained earnings of $290million and a decrease in deferred tax assets of $102million on January 1, 2023. The ACL for corporate loans was unaffected because the measurement approach used for corporate loans is not in the scope of this ASU. ASU 2022-02 eliminates the accounting and disclosure requirements for TDRs, including the requirement to measure the ACLL for TDRs using a discounted cash flow (DCF) approach. With the elimination of TDR accounting requirements, reasonably expected TDRs are no longer considered when determining the term over which to estimate expected credit losses. The ACLL for modified loans that are collateral dependent continues to be based on the fair value of the collateral.Long-Duration Insurance ContractsIn August 2018, the FASB issued ASU No. 2018-12, Financial ServicesInsurance: Targeted Improvements to the Accounting for Long-Duration Contracts, which changes the existing recognition, measurement, presentation and disclosures for long-duration contracts issued by an insurance entity. Specifically, the guidance:improves the timeliness of recognizing changes in the liability for future policy benefits and prescribes the rate used to discount future cash flows for long-duration insurance contracts;simplifies and improves the accounting for certain market-based options or guarantees associated with deposit (or account balance) contracts;simplifies the amortization of deferred acquisition costs; andintroduces additional quantitative and qualitative disclosures.Citi has certain insurance subsidiaries, primarily in Mexico, that issue long-duration insurance contracts such as traditional life insurance policies and life-contingent annuity contracts that are impacted by the requirements of ASU 2018-12.Citi adopted the targeted improvements in ASU 2018-12 on January 1, 2023, resulting in a $39million decrease in Other liabilities and a $27million increase in AOCI, after-tax.156 FUTURE ACCOUNTING CHANGESHedge Accounting ImprovementsIn November 2025, the FASB issued ASU No. 2025-09, Derivatives and Hedging (Topic 815): Hedge Accounting Improvements, to clarify certain aspects of the guidance on hedge accounting and to address several incremental hedge accounting issues arising from the global reference rate reform initiative. The objective of the ASU is to more closely align hedge accounting with the economics of an entitys risk management activities. The amendments, which are adopted prospectively, are effective for annual reporting periods beginning after December 15, 2026, and interim periods within those annual reporting periods, with early adoption permitted. Adoption of the ASU is not expected to have a material impact on Citis operating results or financial position. Purchased LoansIn November 2025, the FASB issued ASU No. 2025-08, Financial InstrumentsCredit Losses (Topic 326): Purchased Loans, which amends Topic 326 to expand the application of the gross-up method of recording the expected credit losses at the purchase date to purchased seasoned loans that do not have more-than-insignificant credit losses at acquisition.All non-purchased credit deteriorated (PCD) loans (excluding credit cards) that are acquired in a business combination are deemed seasoned while other non-PCD loans (excluding credit cards) are seasoned if they were purchased at least 90 days after origination and the acquirer was not involved in the origination of the loans. As a result of this ASU, originated loans and purchased non-seasoned loans without credit deterioration will recognize expected credit losses at origination or when purchased, while purchased loans with credit deterioration will reflect a gross-up associated with credit at acquisition.The amendments in this ASU are effective for all entities for annual reporting periods beginning after December 15, 2026, and interim reporting periods within those annual reporting periods, with early adoption permitted. The amendments in this ASU should be applied prospectively to loans that are acquired on or after the initial application date. Citi is currently evaluating the impact of this ASU on its financial statements.Derivatives Scope Refinements and Scope Clarification for Share-Based Non-Cash Consideration from a Customer in a Revenue ContractIn September 2025, the FASB issued ASU No. 2025-07, Derivatives and Hedging (Topic 815) and Revenue from Contracts with Customers (Topic 606). The amendments in the ASU exclude from derivative accounting certain non-exchange-traded contracts with underlyings that are based on operations or activities specific to one of the parties to the contract. The amendments also clarify that an entity should apply the guidance in Topic 606, including the guidance on non-cash consideration, to a contract with share-based non-cash consideration from a customer for the transfer of goods or services. The transition method is prospective with the modified retrospective method permitted. The amendments will be effective for fiscal years beginning after December 15, 2026, with early adoption permitted. Citi is currently evaluating the impact of the amendments.Accounting for Internal-Use Software CostsIn September 2025, the FASB issued ASU No. 2025-06, IntangiblesGoodwill and OtherInternal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software, intended to modernize the internal-use software guidance, primarily by eliminating accounting consideration of software project development stages and enhancing the guidance around the probable-to-complete threshold in determining when capitalization of internal-use software costs begins. The ASU will be effective for all entities for interim and annual periods beginning after December 15, 2027, with early adoption permitted. Citi is currently assessing the impact and approach toward adopting this ASU.Disaggregation of Income Statement ExpensesIn November 2024, the FASB issued ASU No. 2024-03, Income StatementReporting Comprehensive IncomeExpense Disaggregation Disclosures (Subtopic 220-40), to improve the disclosures of expenses by requiring public business entities to provide further disaggregation of relevant expense captions (i.e., employee compensation, depreciation, intangible asset amortization) in a separate note to the financial statements, a qualitative description of the amounts remaining in relevant expense captions that are not separately disaggregated quantitatively, and the total amount of selling expenses and, in an annual reporting period, an entitys definition of selling expenses. The transition method is prospective with the retrospective method permitted, and the ASU will be effective for Citi for its annual period ending December 31, 2027 and interim periods for the interim period beginning January 1, 2028. Citi is currently evaluating the impact on its disclosures.157 2. DISCONTINUED OPERATIONS, SIGNIFICANT DISPOSALS AND OTHER BUSINESS EXITSSummary of Discontinued OperationsCitis results from Discontinued operations consisted of residual activities related to the sale of the Egg Banking plc credit card business in 2011. All Discontinued operations results are recorded within All Other.Citis Income (loss) from discontinued operations, net of taxes, as well as cash flows from Discontinued operations, were not material for the periods presented.Significant DisposalsAs of December31, 2025, Citi had closed the sales of nine consumer banking businesses within All OtherLegacy Franchises:Australia closed in the second quarter of 2022The Philippines closed in the third quarter of 2022Bahrain, Malaysia and Thailand closed in the fourth quarter of 2022India and Vietnam closed in the first quarter of 2023Taiwan closed in the third quarter of 2023Indonesia closed in the fourth quarter of 2023During 2025, the following transactions were identified as significant disposals, including the assets and liabilities that were classified as held-for-sale (HFS) within Other assets and Other liabilities on the Consolidated Balance Sheet and the Income (loss) before taxes (benefits) related to the business.Agreement to Sell Poland Consumer Banking BusinessOn May 27, 2025, Citi entered into an agreement to sell its Poland consumer banking business, which is part of All OtherLegacy Franchises. The sale, which is subject to regulatory approvals and other customary closing conditions, is expected to close by mid-2026. Beginning in the second quarter of 2025, Citi reported the business as HFS. During 2025, Citi recognized a pretax loss on sale of approximately $181million recorded in Other revenue ($138million after-tax), subject to closing adjustments. Income before taxes, excluding the pretax loss on sale, for the Poland consumer banking business was as follows:
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Income before taxes | $ | 119 | $ | 144 | $ | 123 | |
The following assets and liabilities related to the Poland consumer banking business were reclassified to HFS within Other assets and Other liabilities, respectively, on the Consolidated Balance Sheet at December31, 2025:
| |
| In millions of dollars | December 31,2025 | |
| Assets | |
| Cash and deposits with banks(1) | $ | 4,700 | |
| Loans (net of allowance of $25 at December 31, 2025) | 1,700 | |
| |
| Other assets | 54 | |
| Total assets | $ | 6,454 | |
| Liabilities | |
| Deposits | $ | 6,144 | |
| |
| Other liabilities | 63 | |
| Total liabilities | $ | 6,207 | |
(1)Includes liquidity resources currently composed of approximately $4.6billion of Deposits with banks. This may transfer as cash and securities at time of closing and is primarily recorded in Markets.Sale of AO CitibankFinancial Impact in 2025On December 29, 2025, Citis Board of Directors approved a plan to sell AO Citibank, which conducted Citis remaining operations in Russia and has historically been reported within the Services, Markets and Banking reportable segments as well as within All Other. As a result of this approval:Citi reported its remaining businesses in Russia as HFS as of the fourth quarter of 2025.The HFS accounting treatment resulted in a pretax loss on sale in the fourth quarter of 2025 of approximately $1.2billion ($1.1billion after-tax), recognized as a reduction in Other revenue through a valuation allowance.The loss on sale includes approximately $1.6billion related to the currency translation adjustment (CTA) losses that will also remain in Accumulated other comprehensive income (AOCI) until closing.The sale of AO Citibank signed and closed on February 18, 2026.Income before taxes, excluding the pretax loss on sale, for AO Citibank was as follows:
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Income before taxes | $ | (282) | $ | (280) | $ | (801) | |
158 The following assets and liabilities related to AO Citibank were classified as HFS within Other assets and Other liabilities, respectively, on the Consolidated Balance Sheet at December31, 2025:
| |
| In millions of dollars | December 31,2025 | |
| Assets | |
| Cash and deposits with banks | $ | 1,954 | |
| |
| Other assets(1) | 10,616 | |
| Total assets | $ | 12,570 | |
| Liabilities | |
| Deposits(2) | $ | 12,742 | |
| |
| Other liabilities | 47 | |
| Total liabilities | $ | 12,789 | |
(1)Includes approximately $2.6billion of reserve for transfer risk associated with Russia, a portion of which relates to Citis clients risk.(2)Includes approximately $1.5billion of intercompany liabilities owed by AO Citibank to other Citi entities outside of Russia related to funds held that represent Citis clients risk.Financial Impacts in 2026On February 18, 2026, Citi signed and closed the sale of AO Citibank to Renaissance Capital (RenCap): As of the first quarter of 2026, Citi no longer consolidated AO Citibank into its consolidated financial statements.The cumulative impact of CTA, consisting of the approximate $1.6billion included in the loss on sale in the fourth quarter of 2025 and the release of that CTA from AOCI at closing, was capital neutral to Citis Common Equity Tier 1 Capital.Other Significant DisposalsOn March 1, 2023, Citi completed the sale of its India consumer banking business, which was part of All OtherLegacy Franchises. The business had approximately $5.2billion in assets, including $3.4billion of loans (net of allowance of $32million) and excluding goodwill. The total amount of liabilities was $5.2billion, including $5.1billion in deposits. The sale resulted in a pretax gain on sale of approximately $1.0billion ($717million after-tax), subject to closing adjustments, recorded in Other revenue. The income before taxes for India consumer banking in 2023 was not material to Citis ownership through March 1, 2023.On August 12, 2023, Citi completed the sale of its Taiwan consumer banking business, which was part of All OtherLegacy Franchises. The business had approximately $11.6billion in assets, including $7.2billion of loans (net of allowance of $92million) and excluding goodwill. The total amount of liabilities was $9.2billion, including $9.0billion in deposits. The sale resulted in a pretax gain on sale of approximately $409million ($289million after-tax), subject to closing adjustments, recorded in Other revenue. The income before taxes for Taiwan consumer banking in 2023 was not material to Citis ownership through August 12, 2023.Citi did not have any other significant disposals as of December31, 2025.For a description of the Companys significant disposal transactions in prior periods and financial impact, see Note 2 to the Consolidated Financial Statements in Citis 2024 Form 10-K.Other Business ExitsOther significant transactions during 2025 included the following: Sale of 25% Equity Stake in BanamexOn December 15, 2025, Citi completed the sale of a 25% equity stake in Grupo Financiero Banamex, S.A. de C.V. (Banamex), which is part of All OtherLegacy Franchises. Under the transaction, CHPAF Holdings, S.A.P.I. de C.V. (CHPAF), a company wholly owned by Fernando Chico Pardo and members of his immediate family, acquired 25% (approximately 520million shares) of Banamexs outstanding common shares at a fixed price-to-book value of 0.80 times the local GAAP book value of the shares at closing, which resulted in Citi receiving total sales considerationof approximately $2.3billion.As a result of the sale, Citis stockholders equity increased by approximately $1.7billion due to (i) the reclassification of an approximate $2.3billion CTA loss associated with Banamex from AOCI (within stockholdersequity) to Noncontrolling interests (NCI), partially offset by (ii) a net loss on sale of approximately $0.6billion recorded primarily in additional paid-in capital within stockholdersequity, which reflects the difference between the sale consideration received and 25% of the Banamex U.S. GAAP book value.The following table shows the effect of the transaction in Citis ownership interest in Banamex:
| |
| Year ended December 31, | |
| In millions of dollars | 2025 | |
| Net income attributable to Citigroup common shareholders | $ | 13,192 | |
| Changes in Citigroups equity for sale of 25% interest in Banamex | 1,689 | |
| Changes from net income attributable to Citigroup common shareholders and changes in Citigroups ownership interest | $ | 14,881 | |
159 3. REPORTABLE BUSINESS SEGMENTS AND ALL OTHERThe reportable business segments (segments) and All Other reflect how the CEO, who is the chief operating decision maker (CODM), manages the Company, including allocating resources and measuring performance. Citi is organized into five reportable business segments: Services, Markets, Banking, Wealth and U.S. Personal Banking (USPB), with the remaining operations recorded in All Other, which includes activities not assigned to a specific segment, as well as discontinued operations. All Other results are presented on a managed basis that excludes divestiture-related impacts related to (i) Citis divestitures of its Asia consumer banking businesses and (ii) the ongoing divestiture of Banamex within All OtherLegacy Franchises. The managed basis presents investors with a view of operating earnings that provides increased transparency and clarity into the operational results of Citis performance; improves the visibility of management decisions and their impacts on operational performance; enables better comparison to peer companies; and allows Citi to provide a long-term strategic view of the business going forward.The following is a description of each of Citis reportable operating segments, and the products and services they provide to their respective client bases.ServicesServices includes Treasury and Trade Solutions (TTS) and Securities Services. TTS provides an integrated suite of tailored cash management, payments and trade and working capital solutions to multinational corporations, financial institutions and public sector organizations. Securities Services connects investors and issuers across global markets, providing a comprehensive product offering, including on-the-ground local market expertise, post-trade technologies, customized data solutions and a wide range of securities services solutions.MarketsMarkets includes Fixed Income Markets and Equity Markets and provides corporate, institutional and public sector clients around the world with a full range of sales and trading services across equities, foreign exchange, rates, spread products and commodities. The range of services includes market-making across asset classes, risk management solutions, financing and prime brokerage.BankingBanking includes Investment Banking, which supports client capital-raising needs to help strengthen and grow their businesses, including equity and debt capital markets-related strategic financing solutions, as well as advisory services related to mergers and acquisitions, divestitures, restructurings and corporate defense activities; and Corporate Lending, which includes corporate and commercial banking, serving as the conduit of Citis full product suite to clients.WealthWealth includes Private Bank, Wealth at Work and Citigold and provides financial and advisory services to a range of client segments including affluent, high net worth and ultra-high net worth clients through banking, lending, mortgages, investment, custody and trust product offerings in approximately 20 countries, including the U.S., and four wealth management centers: Singapore, Hong Kong, the UAE and London. Private Bank provides financial services to ultra-high net worth clients through customized product offerings. Wealth at Work provides financial services to professional industries (including law firms, consulting groups, accounting and asset management) through tailored solutions. Citigold includes Citigold and Citigold Private Clients, both of which provide financial services to affluent and high net worth clients through elevated product offerings and financial relationships.USPBUSPB includes Branded Cards, Retail Services and Retail Banking. Branded Cards includes proprietary card portfolios, co-branded card portfolios and personal installment loans. Retail Services includes co-brand and private label relationships. Retail Banking includes traditional banking services for retail and small business customers.All OtherAll Other primarily consists of activities not assigned to the reportable operating segments, including certain unallocated costs of global functions, other corporate expenses and net treasury results, offsets to certain line-item reclassifications and eliminations, and unallocated taxes; discontinued operations within Corporate/Other; and Legacy Franchises, which consists of Asia Consumer and Mexico Consumer/SBMM businesses that Citi has exited or intends to exit, and its remaining Legacy Holdings Assets. Corporate/Other within All Other also includes all restructuring charges related to actions taken as part of Citis organizational simplification initiatives. See Note 9.Basis of PresentationRevenues and expenses directly associated with each segment or line of business are included in determining respective operating results. Other revenues and expenses that are attributable to a particular segment or All Other are generally allocated from Corporate/Other within All Other based on respective net revenues, non-interest expenses or other relevant measures.Effective as of the first quarter of 2026, Citi transferred its Retail Banking business from USPB to Wealth, and the remaining USPB businesses, including Branded Cards and Retail Services, were integrated into a new U.S. Consumer Cards (USCC) segment. Beginning in the first quarter of 2026, Citi will revise its financial reporting structure to reflect these management reporting changes.160 Intersegment TransactionsRevenues and expenses from transactions with other segments and All Other are treated as transactions with external parties for purposes of segment disclosures, while funding charges paid by segments and funding credits received by Corporate Treasury within All Other are included in net interest income.The Company includes intersegment eliminations from Corporate/Other within All Other to reconcile the segment results to Citis consolidated results.Funds Transfer PricingFunding charges paid by segments and funding credits paid by Treasury are included in net interest income under funds transfer-pricing methodologies. As part of their ongoing activities, Citis businesses generate interest rate-sensitive positions from their client-facing products, such as loans and deposits. Interest rate risk is transferred via Citis funds transfer-pricing process to Treasury. Treasury uses various tools to manage the total interest rate risk position within the established risk appetite and target Citis desired risk profile, including its investment securities portfolio, company-issued debt and interest rate derivatives. The funds transfer-pricing framework (FTP) allocates the costs and benefits associated with these risks, as well as contingent liquidity risk, from Treasury to the operating business segments. FTP costs and benefits are allocated based on methodologies that are set by the Citigroup Asset and Liability Committee (ALCO). The methodologies are reviewed and updated as appropriate to ensure they align with Citis balance sheet strategy and overall risk management framework as well as any changes in market conditions. The accounting policies of these segments and All Other are the same as those disclosed in Accounting Changes within Note 1. 161 The following tables present certain information regarding the Companys continuing operations by reportable business segment and All Other on a managed basis that excludes divestiture-related impacts. The CODM uses Income (loss) from continuing operations as the performance measure, to evaluate the results of each reportable business segment and All Other by comparing to and monitoring against budget and prior-year results. This information is used to allocate resources to each of the segments and All Other and to make operational decisions when managing the Company, such as whether to reinvest profits or to return capital to shareholders through dividends and share repurchases. Divestitures that result in the substantial liquidation of CTA from foreign operations residing in a single segment related to the disposed foreign operations are recognized within that segment. Where CTA amounts reside across multiple segments, the amounts are recognized in their entirety within All OtherLegacy Franchises. The Companys approach is consistent with how the CODM views and evaluates business results.
| |
| In millions of dollars, except end-of-period assets, average loans and average deposits in billions | Services | Markets | Banking | |
| 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | |
| Net interest income | $ | 15,001 | $ | 13,423 | $ | 13,251 | $ | 10,009 | $ | 7,005 | $ | 7,233 | $ | 2,132 | $ | 2,157 | $ | 2,161 | |
| Non-interest revenue | 6,255 | 6,195 | 4,811 | 11,961 | 12,831 | 11,416 | 6,083 | 4,044 | 2,554 | |
| Total revenues, net of interest expense(1) | $ | 21,256 | $ | 19,618 | $ | 18,062 | $ | 21,970 | $ | 19,836 | $ | 18,649 | $ | 8,215 | $ | 6,201 | $ | 4,715 | |
| Compensation expense(2) | $ | 2,574 | $ | 2,371 | $ | 2,318 | $ | 3,984 | $ | 3,611 | $ | 3,645 | $ | 2,756 | $ | 2,703 | $ | 3,021 | |
| Non-compensation expense(1)(3) | 8,239 | 8,197 | 7,673 | 10,093 | 9,591 | 9,613 | 1,706 | 1,774 | 1,856 | |
| Total operating expense(1) | $ | 10,813 | $ | 10,568 | $ | 9,991 | $ | 14,077 | $ | 13,202 | $ | 13,258 | $ | 4,462 | $ | 4,477 | $ | 4,877 | |
| Provisions for credit losses and for benefits and claims | $ | 454 | $ | 276 | $ | 950 | $ | 237 | $ | 463 | $ | 438 | $ | 720 | $ | (224) | $ | (143) | |
| |
| Provision (benefits) for income taxes | 2,850 | 2,190 | 2,420 | 1,728 | 1,166 | 1,015 | 709 | 419 | 12 | |
| Income (loss) from continuing operations | 7,139 | 6,584 | 4,701 | 5,928 | 5,005 | 3,938 | 2,324 | 1,529 | (31) | |
| End-of-period assets at December 31 | $ | 628 | $ | 584 | $ | 586 | $ | 1,187 | $ | 949 | $ | 1,008 | $ | 140 | $ | 143 | $ | 148 | |
| Average loans | 93 | 85 | 81 | 141 | 120 | 110 | 82 | 88 | 92 | |
| Average deposits | 878 | 819 | 811 | 18 | 21 | 23 | 1 | 1 | 1 | |
| |
| In millions of dollars, except end-of-period assets, average loans and average deposits in billions | Wealth | USPB | |
| 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | |
| Net interest income | $ | 5,281 | $ | 4,508 | $ | 4,413 | $ | 22,470 | $ | 21,103 | $ | 20,150 | |
| Non-interest revenue | 3,278 | 2,975 | 2,584 | (1,499) | (1,048) | (1,250) | |
| Total revenues, net of interest expense(1) | $ | 8,559 | $ | 7,483 | $ | 6,997 | $ | 20,971 | $ | 20,055 | $ | 18,900 | |
| Compensation expense(2) | $ | 2,551 | $ | 2,529 | $ | 2,734 | $ | 2,161 | $ | 2,205 | $ | 2,278 | |
| Non-compensation expense(1)(3) | 3,950 | 3,797 | 3,727 | 7,548 | 7,441 | 7,537 | |
| Total operating expense(1) | $ | 6,501 | $ | 6,326 | $ | 6,461 | $ | 9,709 | $ | 9,646 | $ | 9,815 | |
| Provisions for credit losses and for benefits and claims | $ | 140 | $ | (126) | $ | (3) | $ | 7,211 | $ | 8,598 | $ | 6,707 | |
| |
| Provision (benefits) for income taxes | 428 | 281 | 120 | 954 | 429 | 558 | |
| Income (loss) from continuing operations | 1,490 | 1,002 | 419 | 3,097 | 1,382 | 1,820 | |
| End-of-period assets at December 31 | $ | 230 | $ | 224 | $ | 229 | $ | 264 | $ | 252 | $ | 242 | |
| Average loans | 149 | 149 | 150 | 220 | 209 | 193 | |
| Average deposits | 313 | 316 | 310 | 89 | 91 | 110 | |
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| In millions of dollars, except end-of-period assets, average loans and average deposits in billions | All Other(4) | Reconciling Items(5)(6)(7) | Total Citi | |
| 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | |
| Net interest income | $ | 4,899 | $ | 5,899 | $ | 7,692 | $ | | $ | | $ | | $ | 59,792 | $ | 54,095 | $ | 54,900 | |
| Non-interest revenue | (469) | 1,604 | 1,705 | (176) | 26 | 1,346 | 25,433 | 26,627 | 23,166 | |
| Total revenues, net of interest expense(1) | $ | 4,430 | $ | 7,503 | $ | 9,397 | $ | (176) | $ | 26 | $ | 1,346 | $ | 85,225 | $ | 80,722 | $ | 78,066 | |
| |
| |
| Total operating expense(1) | $ | 8,693 | $ | 9,030 | $ | 11,196 | $ | 877 | $ | 318 | $ | 372 | $ | 55,132 | $ | 53,567 | $ | 55,970 | |
| Provisions for credit losses and for benefits and claims | $ | 1,513 | $ | 1,115 | $ | 1,304 | $ | (10) | $ | 7 | $ | (67) | $ | 10,265 | $ | 10,109 | $ | 9,186 | |
| |
| Provision (benefits) for income taxes | (1,335) | (182) | (979) | 39 | (92) | 382 | 5,373 | 4,211 | 3,528 | |
| Income (loss) from continuing operations | (4,441) | (2,460) | (2,124) | (1,082) | (207) | 659 | 14,455 | 12,835 | 9,382 | |
| End-of-period assets at December 31 | $ | 208 | $ | 201 | $ | 199 | $ | 2,657 | $ | 2,353 | $ | 2,412 | |
| Average loans | 31 | 32 | 35 | 716 | 683 | 661 | |
| Average deposits | 64 | 69 | 79 | 1,363 | 1,317 | 1,334 | |
| |
| |
| |
162 
| |
| The following table presents a reconciliation of total Citigroup income from continuing operations as reported: | |
| |
| In millions of dollars | 2025(5) | 2024(6) | 2023(7) | |
| Total reportable business segments and All Otherincome from continuing operations(4) | $ | 15,537 | $ | 13,042 | $ | 8,723 | |
| Divestiture-related impact on: | |
| Total revenues, net of interest expense | (176) | 26 | 1,346 | |
| Total operating expenses | 877 | 318 | 372 | |
| Provision (release) for credit losses | (10) | 7 | (67) | |
| Provision (benefits) for income taxes | 39 | (92) | 382 | |
| Income from continuing operations | $ | 14,455 | $ | 12,835 | $ | 9,382 | |
(1)Effective January 1, 2025, certain transaction processing fees paid by Citi, primarily to credit card networks, reported within USPB, Services, Wealth and All OtherLegacy Franchises (Mexico Consumer/SBMM and Asia Consumer), which were previously presented within Other operating expenses, are presented as contra-revenue within Commissions and fees reported in Non-interest revenue. Prior periods were conformed to reflect this change in presentation.(2)Excludes allocations of Compensation and benefits expense related to services provided by Corporate/Other within All Other, which are allocated from All Other to each segment, as applicable, through the non-compensation expense line.(3)Non-compensation expense for each segment includes allocated compensation and benefits-related costs from Corporate/Other within All Other to the respective segments, and expenses related to Technology/communication, Transactional and product servicing, Premises and equipment, Professional services, Advertising and marketing and Other operating (all of which include certain overhead expenses).(4)Segment results are presented on a managed basis that excludes divestiture-related impacts related to (i) Citis divestitures of its Asia Consumer businesses and (ii) the ongoing divestiture of Banamex, within All OtherLegacy Franchises. Adjustments are included in Legacy Franchises within All Other and are reflected in the reconciliations above to arrive at Citis reported results in the Consolidated Statement of Income.(5)2025 includes (i) an approximate $186million loss recorded in revenue (approximately $157million after-tax), driven by the announced sale of the Poland consumer banking business; and (ii) approximately $877million in operating expenses (approximately $821million after-tax), driven by a goodwill impairment charge in Mexico ($726million ($714million after-tax)) and other costs, primarily separation costs in Mexico and severance costs in the Asia exit markets (collectively approximately $151million (approximately $107million after-tax)).(6)2024 includes $318million (approximately $220million after-tax) in operating expenses primarily related to separation costs in Mexico and severance costs in the Asia exit markets.(7)2023 includes (i) an approximate $1.059billion gain on sale recorded in revenue (approximately $727million after-tax) related to the India consumer banking business sale; (ii) an approximate $403million gain on sale recorded in revenue (approximately $284million after-tax) related to the Taiwan consumer banking business sale; and (iii) approximately $372million (approximately $263million after-tax) in operating expenses primarily related to separation costs in Mexico and severance costs in the Asia exit markets.163 Performance by Geographic AreaCitis operations are highly integrated, and estimates and subjective assumptions have been made to apportion revenue between North America and international operations. These estimates and assumptions are consistent with the allocations used for the Companys segment reporting. For the purposes of the presentation below, the Company defines international activities as transactions and related business activities involving clients with activities outside of North America (i.e., clients that maintain operations, assets, subsidiaries and/or revenue-generating activities outside of North America). The information below is presented by managed geography, which generally reflects, as applicable, the domicile of the client, the booking location, the location of the trading desk or the location where the client relationship is managed. Many of Citis North America operations also serve international clients. Citis managed geography can be periodically reorganized, and thus the balances between North America, International and Corporate/Other can change.The following tables present revenues net of interest expense and end-of-period assets between North America and international areas:
| |
| In millions of dollars | Revenues, net of interest expense | |
| 2025 | 2024 | 2023 | |
| North America(1) | $ | 44,012 | $ | 39,748 | $ | 36,402 | |
| International(2)(3) | 42,295 | 40,306 | 39,549 | |
| Corporate/Other(4) | (1,082) | 668 | 2,115 | |
| Total Citi | $ | 85,225 | $ | 80,722 | $ | 78,066 | |
| In millions of dollars at December 31, | End-of-period assets at December 31(5) | |
| 2025 | 2024 | |
| North America(1) | $ | 1,469,566 | $ | 1,326,444 | |
| International | 1,066,256 | 899,965 | |
| Corporate/Other | 121,380 | 126,536 | |
| Total Citi | $ | 2,657,202 | $ | 2,352,945 | |
(1)Primarily reflects the U.S.(2)International represents the summation of international revenues in Services, Markets, Banking, Wealth and All OtherLegacy Franchises, primarily Asia Consumer and Mexico Consumer/SBMM. (3)Total revenues for the U.K. were approximately $7.6billion, $6.7billion and $6.9billion for 2025, 2024 and 2023, respectively.(4)Corporate/Other revenues, net of interest expense largely reflects U.S. activities, as well as intersegment eliminations. (5)The Companys long-lived assets (Premises and equipment) for the periods presented are not considered significant in relation to its total assets. 164 4.INTEREST INCOME AND EXPENSEInterest income and Interest expense consisted of the following:
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Interest income | | | | |
| Consumer loans | $ | 39,800 | $ | 39,542 | $ | 36,864 | |
| Corporate loans | 20,671 | 22,562 | 21,004 | |
| Loan interest, including fees | $ | 60,471 | $ | 62,104 | $ | 57,868 | |
| Deposits with banks | 12,669 | 11,417 | 11,238 | |
| Securities borrowed and purchased under agreements to resell | 26,962 | 29,173 | 26,887 | |
| Investments, including dividends | 16,729 | 18,662 | 18,300 | |
| Trading account assets(1) | 20,796 | 17,576 | 14,458 | |
| Other interest-bearing assets(2) | 5,237 | 4,781 | 4,507 | |
| Total interest income | $ | 142,864 | $ | 143,713 | $ | 133,258 | |
| Interest expense | | | | |
| Deposits | $ | 34,966 | $ | 40,326 | $ | 36,300 | |
| Securities loaned and sold under agreements to repurchase | 27,651 | 27,884 | 21,439 | |
| Trading account liabilities(1) | 3,013 | 3,350 | 3,427 | |
| Short-term borrowings and other interest-bearing liabilities(3) | 7,366 | 7,703 | 7,438 | |
| Long-term debt | 10,076 | 10,355 | 9,754 | |
| Total interest expense | $ | 83,072 | $ | 89,618 | $ | 78,358 | |
| Net interest income | $ | 59,792 | $ | 54,095 | $ | 54,900 | |
| Provision for credit losses on loans | 9,497 | 9,726 | 7,786 | |
| Net interest income after provision for credit losses on loans | $ | 50,295 | $ | 44,369 | $ | 47,114 | |
(1)Interest expense on Trading account liabilities of Services, Markets and Banking is reported as a reduction of Interest income. Interest income and Interest expense on cash collateral positions are reported in interest on Trading account assets and Trading account liabilities, respectively.(2)Includes assets from businesses held-for-sale (see Significant Disposals in Note 2) and Brokerage receivables.(3)Includes liabilities from businesses held-for-sale (see Significant Disposals in Note 2) and Brokerage payables.165 5.COMMISSIONS AND FEES; ADMINISTRATION AND OTHER FIDUCIARY FEESCommissions and FeesThe primary components of Commissions and fees revenue are investment banking fees, brokerage commissions, credit card and bank card income, deposit-related fees and transactional service fees (see Note 3 for segment results, where relevant):Investment banking fees are substantially composed of underwriting and advisory revenues. Such fees are recognized at the point in time when Citigroups performance under the terms of a contractual arrangement is completed, which is typically at the closing of a transaction. Reimbursed expenses related to these transactions are recorded as revenue and are included within investment banking fees. In certain instances for advisory contracts, Citi will receive amounts in advance of the deals closing. In these instances, the amounts received will be recognized as a liability and not recognized in revenue until the transaction closes. Investment banking fees are earned primarily by Banking and Markets.Out-of-pocket expenses associated with underwriting activity are deferred and recognized at the time the related revenue is recognized, while out-of-pocket expenses associated with advisory arrangements are expensed as incurred. In general, expenses incurred related to investment banking transactions, whether consummated or not, are recorded in Transactional and product servicing and Other operating expenses. The Company has determined that it acts as principal in the majority of these transactions and therefore presents expenses gross within Transactional and product servicing and Other operating expenses.Brokerage commissions primarily include commissions and fees from the following: executing transactions for clients on exchanges and over-the-counter marketssales of mutual funds and other annuity productsassisting clients in clearing transactions, providing brokerage services and other such activities Brokerage commissions are recognized in Commissions and fees at the point in time the associated service is fulfilled, generally on the trade execution date. Certain costs paid to third-party clearing houses and exchanges are recorded net against commission revenue, as the Company is an agent for those services. Sales of certain investment products include a portion of variable consideration associated with the underlying product. In these instances, a portion of the revenue associated with the sale of the product is not recognized until the variable consideration becomes fixed and determinable. Brokerage commissions are earned primarily by Markets and Wealth. Credit card and bank card income is primarily composed of interchange fees, which are earned by card issuers based on card spend volumes, and certain card fees, including annual fees. Costs related to customer reward programs and certain payments to partners (primarily based on program sales and profitability) are recorded as a reduction of credit card and bank card income as incurred, as sales and profits are generated. Citis credit card programs have certain partner sharing agreements that vary by partner. These partner sharing agreements are subject to contractually based performance thresholds that, if met, would require Citi to make ongoing payments to the partner. The threshold is based on the profitability of a program and is generally calculated based on predefined program revenues less predefined program expenses. In most of Citis partner sharing agreements, program expenses include net credit losses, which, to the extent that the increase in net credit losses reduces Citis liability for the partners share for a given program year, would generally result in lower payments to partners in total for that year and vice versa. Further, in some instances, other partner payments are based on new account acquisitions, which are accounted for as direct origination costs. Annual card fees, net of origination costs, are deferred and amortized on a straight-line basis over a 12-month period and recorded as a reduction of credit card and bank card income. Interchange revenues, net of certain transaction processing fees paid by Citi, are recognized as earned on a daily basis when Citis performance obligation to transmit funds to the payment networks has been satisfied. Credit card and bank card income is earned primarily by USPB and Services. Deposit-related fees consist of service charges on deposit accounts and fees earned from performing cash management activities and other deposit account services. Such fees are recognized in the period in which the related service is provided. Deposit-related fees are earned primarily by Services and USPB.Transactional service fees primarily consist of fees charged for processing services such as cash management, global payments, clearing, international funds transfer and other trade services. Such fees are recognized as/when the associated service is satisfied, which normally occurs at the point in time the service is requested by the customer and provided by Citi. Transactional service fees are earned primarily by Services. 166 Other components of Commissions and fees revenue include the following:Insurance distribution revenue: consists of commissions earned from third-party insurance companies for marketing and selling insurance policies on behalf of such entities. Such commissions are recognized in Commissions and fees at the point in time the associated service is fulfilled, generally when the insurance policy is sold to the policyholder. Sales of certain insurance products include a portion of variable consideration associated with the underlying product. In these instances, a portion of the revenue associated with the sale of the policy is not recognized until the variable consideration becomes fixed and determinable. The Company recognized $171million, $165 million and $188 million of revenue related to such variable consideration for the years ended December31, 2025, 2024 and 2023, respectively. These amounts primarily relate to performance obligations satisfied in prior periods. Insurance distribution revenue is earned primarily by Wealth and All Other. Insurance premiums: consist of premium income from insurance policies that Citi has underwritten and sold to policyholders. Insurance premiums are earned primarily by Legacy Franchises within All Other. The following table presents Commissions and fees revenue:
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Investment banking(1) | $ | 4,408 | $ | 3,576 | $ | 2,676 | |
| Brokerage commissions(2) | 2,824 | 2,498 | 2,316 | |
| Credit and bank card income | |
| Interchange fees(3) | 12,056 | 11,793 | 11,601 | |
| Card-related loan fees | 721 | 604 | 475 | |
| Card rewards and partner payments(4) | (13,428) | (12,592) | (12,513) | |
| Deposit-related fees | 1,377 | 1,333 | 1,254 | |
| Transactional service fees | 1,483 | 1,390 | 1,323 | |
| Corporate finance(5) | 689 | 685 | 439 | |
| Insurance distribution revenue | 312 | 313 | 321 | |
| Insurance premiums | 106 | 96 | 97 | |
| Loan servicing | 87 | 76 | 100 | |
| Other | 534 | 464 | 420 | |
| Total(6) | $ | 11,169 | $ | 10,236 | $ | 8,509 | |
(1)For the periods presented, the contract liability amount was negligible. (2)The Company recognized $454million, $442million and $448 million of revenue related to variable consideration for the years ended December31, 2025, 2024 and 2023, respectively. These amounts primarily relate to performance obligations satisfied in prior periods.(3)See footnote 1 to the Consolidated Statement of Income above for the description of a change in presentation. Interchange fees are presented net of certain transaction processing fees paid by Citi, primarily to credit card networks, for the periods presented.(4)As described above, Citis credit card programs have certain partner sharing agreements that vary by partner.(5)Consists primarily of fees earned from structuring and underwriting loan syndications or related financing activity earned primarily by Banking. This activity is accounted for under ASC 310.(6)Commissions and fees include $(11,810)million, $(11,076)million and $(11,367)million not accounted for under ASC 606, Revenue from Contracts with Customers, for the years ended December31, 2025, 2024 and 2023, respectively. Amounts reported in Commissions and fees accounted for under other guidance primarily include card-related loan fees, card reward programs and certain partner payments, corporate finance fees, insurance premiums and loan servicing fees. 167 Administration and Other Fiduciary FeesAdministration and other fiduciary fees revenue is primarily composed of custody fees and fiduciary fees.The custody product is composed of numerous services related to the administration, safekeeping and reporting for both U.S. and non-U.S. denominated securities. The services offered to clients include trade settlement, safekeeping, income collection, corporate action notification, record-keeping and reporting, tax reporting and cash management. These services are provided for a wide range of securities, including but not limited to the following:equitiesmunicipal and corporate bondsmortgage- and asset-backed securitiesmoney market instrumentsU.S. Treasuries and agenciesderivative instrumentsmutual fundsalternative investmentsprecious metalsCustody fees are recognized as or when the associated service is satisfied, which normally occurs at the point in time the service is requested by the customer and provided by Citi. Custody fees are earned primarily by Services. Fiduciary fees consist of trust services and investment management services. As an escrow agent, Citi receives, safekeeps, services and manages clients escrowed assets, such as cash, securities, property (including intellectual property), contracts or other collateral. Citi performs its escrow agent duties by safekeeping the assets during the specified time period agreed upon by all parties and therefore earns its revenue evenly during the contract duration. Investment management services consist of managing assets on behalf of Citis retail and institutional clients. Revenue from these services primarily consists of asset-based fees for advisory accounts, which are based on the market value of the clients assets and recognized monthly, when the market value is fixed. In some instances, the Company contracts with third-party advisors and with third-party custodians. The Company has determined that it acts as principal in the majority of these transactions and therefore presents the amounts paid to third parties gross within Transactional and product servicing. Fiduciary fees are earned primarily by Wealth and Legacy Franchises within All Other. The following table presents Administration and other fiduciary fees revenue:
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Custody fees | $ | 2,148 | $ | 2,026 | $ | 1,871 | |
| Fiduciary fees | 1,728 | 1,583 | 1,376 | |
| Guarantee fees | 538 | 525 | 534 | |
| Total administration and other fiduciary fees(1) | $ | 4,414 | $ | 4,134 | $ | 3,781 | |
(1)Administration and other fiduciary fees include $538million, $525million and $534 million for the years ended December 31, 2025, 2024 and 2023, respectively, that are not accounted for under ASC 606, Revenue from Contracts with Customers. These generally include guarantee fees.168 6. PRINCIPAL TRANSACTIONSThe table below consists of realized and unrealized gains and losses presented in Principal transactions. Activities include revenues from fixed income, equities, credit and commodities products and foreign exchange transactions that are managed on a portfolio basis and characterized below based on the primary risk managed by each trading desk (as such, the trading desks can be periodically reorganized and thus the risk categories). Principal transactions include CVA (credit valuation adjustments) and FVA (funding valuation adjustments) on over-the-counter derivatives. These adjustments are discussed further in Note 26.For transactions that are denominated in a currency other than the functional currency, including transactions denominated in the local currencies of foreign operations that use the U.S. dollar as their functional currency, the effects of changes in exchange rates are included in Principal transactions, along with the related effects of any qualifying and economic hedges. Not included in the table below is the impact of net interest income related to trading activities, which is an integral part of the profitability of trading activities (see Note 4 for information about net interest income related to trading activities). 
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Interest rate risks(1)(2) | $ | 1,394 | $ | 1,771 | $ | 2,045 | |
| Foreign exchange risks(2)(3) | 6,129 | 5,409 | 3,851 | |
| Equity risks(4)(5) | 2,119 | 2,339 | 1,267 | |
| Commodity and other risks(6) | 966 | 1,374 | 1,741 | |
| Credit products and risks(7) | (373) | 216 | (623) | |
| Total | $ | 10,235 | $ | 11,109 | $ | 8,281 | |
(1)Includes revenues from government securities, municipal securities, mortgage securities and other debt instruments. Also includes spot and forward trading of currencies and exchange-traded and over-the-counter (OTC) currency options, options on fixed income securities, interest rate swaps, currency swaps, swap options, caps and floors, financial futures, OTC options and forward contracts on fixed income securities.(2)Effective July 1, 2025, gains and losses on certain economic and qualifying hedging derivatives and foreign currency transactions, which were previously presented within Other revenue, are presented within Principal transactions. Prior periods were conformed to reflect this change in presentation.(3)Includes revenues from foreign exchange spot, forward, option and swap contracts, as well as foreign currency translation gains and losses.(4)Includes revenues from common, preferred and convertible preferred stock, convertible corporate debt, equity-linked notes and exchange-traded and OTC equity options and warrants.(5)2024 includes an approximate $400million episodic gain related to the Visa B exchange. (6)Primarily includes revenues from energy products, metals and other commodities trades.(7)Includes revenues from corporate debt, secondary trading loans, mortgage securities, single name and index credit default swaps, and structured credit products.169 7. INCENTIVE PLANSDiscretionary Annual Incentive AwardsCitigroup grants immediate cash bonus payments and various forms of immediate and deferred awards as part of its discretionary annual incentive award program involving a large segment of Citigroups employees worldwide. Discretionary annual incentive awards are generally awarded in the first quarter of the year based on the previous years performance. Awards valued at less than $75,000 (or the local currency equivalent) are generally paid entirely in the form of an immediate cash bonus. Pursuant to Citigroup policy and/or regulatory requirements, certain employees are subject to mandatory deferrals of incentive pay and generally receive 15%60% of their awards in the form of deferred stock or deferred cash stock units. Discretionary annual incentive awards to certain employees in the EU are subject to deferral requirements regardless of the total award value, with at least 50% of the immediate incentive delivered in the form of a stock payment award subject to a restriction on sale or transfer (generally, for 12 months). Subject to certain exceptions (principally, for retirement-eligible employees), continuous employment within Citigroup is required to vest in deferred annual incentive awards. Post employment vesting by retirement-eligible employees and participants who meet other conditions is generally conditioned upon their compliance with certain restrictions during the remaining vesting period.Generally, the deferred awards vest in equal annual installments over four years. Vested stock awards are delivered in shares of common stock. Deferred cash awards are payable in cash when the underlying principal award vests. Deferred cash stock unit awards are payable in cash at the vesting value of the underlying stock. The value of each deferred stock unit is equal to one share of Citigroup stock, and the award will fluctuate with changes in the stock price. Recipients of deferred stock awards and deferred cash stock unit awards, however, may, except as prohibited by applicable regulatory guidance, be entitled to receive or accrue dividend-equivalent payments during the vesting period. Generally, in the EU, vested shares are subject to a restriction on sale or transfer after vesting, and vested deferred cash awards and deferred cash stock units are subject to hold back (generally, for 6 or 12 months based on the award type).Stock awards, deferred cash stock units and deferred cash awards are subject to one or more cancellation and clawback provisions that apply in certain circumstances, including gross misconduct and in the circumstances required by SEC rule 10D-1.One-Time Equity AwardIn October 2025, the Compensation, Performance Management and Culture (CPC) Committee approved a one-time award to the Chair of Citigroups Board of Directors and Chief Executive Officer in the form of deferred stock with respect to 259,605 shares of Citigroup common stock and a nonqualified stock option to purchase 1million shares of Citigroup common stock. An additional nonqualified stock option to purchase 55,000 shares was granted on January 20, 2026. The value of the deferred stock award and the exercise price of the option are based on the closing price of Citigroups common stock on the grant date. The deferred stock award will vest and the option will become exercisable on a pro-rata basis on the third, fourth and fifth anniversaries of the grant date, subject to continued employment with Citigroup through the applicable vesting date. The option has a term of 10 years.Outstanding (Unvested) Stock AwardsA summary of the status of other unvested stock awards granted as discretionary annual incentive or sign-on and replacement stock awards is presented below:
| |
| Unvestedstockawards | Shares | Weighted-averagegrantdatefair value per share | |
| Unvested at December31, 2024 | 67,686,535 | $ | 53.87 | |
| Granted(1) | 22,582,206 | 80.84 | |
| Canceled | (2,944,542) | 60.79 | |
| Vested(2) | (24,092,057) | 57.50 | |
| Unvested at December31, 2025 | 63,232,142 | $ | 61.79 | |
(1)The weighted-average fair value of the shares granted during 2025, 2024 and 2023 was $80.84, $53.00 and $49.36, respectively.(2)The total fair value of stock awards that vested during the years ending 2025, 2024 and 2023 was $1.9billion, $1.1billion and $835million, respectively. The total unrecognized compensation cost related to unvested stock awards was $1.1 billion at December 31, 2025. The cost is expected to be recognized over a remaining weighted-average period of 1.6 years. 170 Stock OptionsEach stock option has an exercise price not less than the closing price of Citis common stock on the date of grant. The options have a contractual term of up to 10 years. A summary of the status of stock option awards is presented below:
| |
| Stock options | Options | Weighted-average exercise price | Weighted-averageremaining contractual life (in years) | Aggregate intrinsic value | |
| Outstanding at December31, 2024 | | $ | | |
| Granted(1) | 1,000,000 | 96.30 | |
| Exercised | | | |
| Canceled | | | |
| Outstanding at December31, 2025 | 1,000,000 | $ | 96.30 | 9.8 | $ | 20,390,000 | |
| Exercisable at December31, 2025 | | $ | | | $ | | |
(1)The weighted-average fair value of options granted during 2025 was $28.6million.There were no options exercised or exercisable during 2025. The total unrecognized compensation cost related to unvested option awards was $27.6million at December 31, 2025. The cost is expected to be recognized over a remaining weighted-average period of 4.8 years.The fair value of options is estimated on the date of grant using an option-pricing model. The following weighted-average assumptions were used for options granted in 2025:
| |
| 2025 | |
| Dividend yield | 2.57 | % | |
| Expected volatility | 31.94 | |
| Risk-free interest rate | 3.74 | |
| Expected life of stock option (in years) | 7 | |
The expected option term represents the period that options granted are expected to be outstanding using the simplified method. Citigroups historical share option exercise experience does not provide a reasonable basis for estimating the expected term. The expected volatility is based on both weighted historical and implied volatilities of Citis common stock price. The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant with an equivalent remaining term. The dividend yield is based on anticipated cash dividend payouts.Performance Share UnitsCertain senior executives were awarded performance share units (PSUs) every February from 2022 to 2025, for performance in the year prior to the award date. Each award referenced two forward-looking three-year performance metrics. In each year an award was granted, the metrics were equally weighted. For PSUs awarded in 2022 and 2023, the metrics were average return on tangible common equity and cumulative tangible book value per share. For PSUs awarded in 2024 and 2025, the metrics were weighted-average return on tangible common equity and cumulative tangible book value per share. The award is settled solely in cash after the end of each performance period. For all award years, if the total shareholder return is negative over the three-year performance period, executives may earn no more than 100% of the target PSUs, regardless of the extent to which Citigroup outperforms against performance goals and/or peer firms. The number of PSUs ultimately earned could vary from zero, if performance goals are not met, to as much as 150% of target, if performance goals are meaningfully exceeded. The reported financial metrics during the performance period are adjusted to reflect any mandatory equitable adjustments as required under the applicable award agreements for unusual and non-recurring items as presented to and approved by the CPC.For all award years, the value of each PSU is equal to the value of one share of Citi common stock. Dividend equivalents are forfeitable, accrued and paid on the number of earned PSUs after the end of the performance period.PSUs are subject to remeasurement, pursuant to which the associated value of the award will fluctuate with changes in Citigroups stock price and the attainment of the specified performance goals for each award. The value of the award, subject to the performance goals and taking into account any mandatory equitable adjustments as per the terms of the award agreement, is estimated using a simulation model that incorporates multiple valuation assumptions, including the probability of achieving the specified performance goals of each award. The risk-free rate used in the model is based on the applicable U.S. Treasury yield curve. Other significant assumptions for the awards are as follows:
| |
| Valuation assumptionsweighted average | 2025 | 2024 | 2023 | |
| Expected volatility | 26.58 | % | 26.82 | % | 35.97 | % | |
| Expected dividend yield | 2.73 | 3.84 | 4.13 | |
A summary of the performance share unit activity for 2025 is presented below:
| |
| Performance share units | Units | |
| Outstanding, beginning of year | 2,859,893 | |
| Granted | 963,390 | |
| Canceled | (178,693) | |
| Payments(1) | (353,131) | |
| Outstanding, end of year | 3,291,459 | |
(1)$27.9million in payments were processed for this program in 2025.171 Transformation ProgramIn order to provide an incentive for select employees to effectively execute Citis transformation program, in August 2021 the Personnel and Compensation (P&C) Committee of Citigroups Board of Directors, the predecessor of the Compensation, Performance Management and Culture (CPC) Committee of Citigroups Board of Directors, approved a program for the select employees to earn additional compensation based on the achievement of Citis transformation goals from August 2021 through December 2024 and satisfaction of other conditions. The performance program concluded in 2025. The awards were subject to remeasurement, pursuant to which the associated value of the award fluctuated with the attainment of the performance conditions for each tranche and changes to Citigroups stock price for the third tranche. Payment was cash settled, in a lump sum, with the third payment indexed to changes in the value of Citis common stock from the service inception date through the payment date. Earnings were based on collective performance with respect to Citis transformation goals and were evaluated and approved by the CPC Committee on an annual basis. Payments in the event of any category of employment termination or change in job title or employment status were subject to Citis discretion. Cancellation and clawback were provided for in the event of misconduct and certain other circumstances. The program applied to senior leaders, other than the CEO, critical to helping deliver a successful transformation with the value of the awards varying based on individual compensation levels.Other Variable Incentive CompensationCitigroup has various incentive plans globally that are used to motivate and reward performance primarily in the areas of sales, operational excellence and customer satisfaction. Participation in these plans is generally limited to employees who are not eligible for discretionary annual incentive awards. Other forms of variable compensation include commissions paid to financial advisors and mortgage loan officers.Additional InformationExcept for awards subject to remeasurement, the total expense recognized for stock awards represents the grant date fair value of such awards, which is generally recognized as a charge to income ratably over the vesting period, other than for awards to retirement-eligible employees and immediately vested awards. Whenever awards are granted or are expected to be granted to employees who are, or are expected to be while the awards are outstanding, retirement eligible, the charge to income is accelerated based on when the applicable conditions for retirement eligibility were or will be met. If the employee is retirement eligible on the grant date, or the award is vested at the grant date, Citi recognizes the expense each year equal to the grant date fair value of the awards that it estimates will be granted in the following year. Recipients of Citigroup stock awards generally do not have any stockholder rights until shares are delivered upon vesting. Recipients of stock-settled awards and other vested stock awards subject to a sale-restriction period are generally entitled to vote the shares in their award and receive dividends on such shares during the sale-restriction period. Once a stock award vests, the shares delivered to the participant are freely transferable, unless they are subject to a restriction on sale or transfer for a specified period.All equity awards granted since April19, 2005 have been made pursuant to stockholder-approved stock incentive plans that are administered by the CPC Committee (or its predecessor), which is composed entirely of independent non-employee directors.On December31, 2025, approximately 51.4 million shares of Citigroup common stock were authorized and available for grant under Citigroups 2019 Stock Incentive Plan, the only plan from which equity awards are currently granted.The 2019 Stock Incentive Plan and predecessor plans permit the use of treasury stock or newly issued shares in connection with awards granted under the plans. Except where local laws favor newly issued shares, treasury shares were used to settle stock vestings and option exercises. The use of treasury stock or newly issued shares to settle stock awards does not affect the compensation expense recorded in the Consolidated Statement of Income for equity awards.Incentive Compensation CostThe following table presents components of compensation expense, relating to the incentive compensation programs described above:
| |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Charges for estimated awards to retirement-eligible employees | $ | 819 | $ | 741 | $ | 663 | |
| Amortization of deferred cash awards, deferred cash stock units and performance stock units | 254 | 186 | 340 | |
| Immediately vested stock award expense(1) | 29 | 130 | 127 | |
| Amortization of restricted and deferred stock awards(2) | 758 | 718 | 689 | |
| Option expense | 1 | | | |
| Other variable incentive compensation | 398 | 355 | 286 | |
| Total | $ | 2,259 | $ | 2,130 | $ | 2,091 | |
(1)Represents expense for immediately vested stock awards that generally were stock payments in lieu of cash compensation. The expense is generally accrued as cash incentive compensation in the year prior to grant.(2)All periods include amortization expense for all unvested awards to non-retirement-eligible employees. Citigroup did not capitalize any stock-based compensation costs in 2025, 2024 or 2023. The related income tax benefits for stock-based compensation costs were $447million, $428million and $392million for 2025, 2024 and 2023, respectively. 172 8. RETIREMENT BENEFITSPension and Postretirement Benefit PlansThe Company has several non-contributory defined benefit pension plans covering certain U.S. employees and has various defined benefit pension and termination indemnity plans covering employees outside the U.S. The U.S. qualified defined benefit pension plan was frozen effective January 1, 2008 for most employees. Accordingly, no additional compensation-based contributions have been credited to the cash balance portion of the plan for existing plan participants after 2007. However, certain employees covered under the prior final pay plan formula continue to accrue benefits. The Company also offers postretirement health care and life insurance benefits to certain eligible U.S. retired employees, as well as to certain eligible employees outside the U.S.The Company also sponsors a number of non-contributory, nonqualified pension plans. These plans, which are unfunded, provide supplemental defined pension benefits to certain U.S. employees. With the exception of certain employees covered under the prior final pay plan formula, the benefits under these plans were frozen in prior years.Prior to 2025, the plan obligations, plan assets and plan expense (benefit) for the Companys most significant pension and postretirement benefit plans (Significant Plans) were measured and disclosed quarterly, instead of annually. The Significant Plans captured approximately 90% of the Companys global pension and postretirement benefit plan obligations. All other plans (All Other Plans) were measured annually with a December 31 measurement date. Effective January 1, 2025, the plan obligations, plan assets and plan expense (benefit) for all plans are measured annually, unless certain conditions are met to trigger interim remeasurement of Significant Plans. No interim remeasurements occurred for the first, second and third quarters of 2025.Net Expense (Benefit)The following table summarizes the components of net expense (benefit) recognized in the Consolidated Statement of Income for the Companys pension and postretirement benefit plans for Significant Plans and All Other Plans. Service cost is reported in Compensation and benefits expenses and all other components of the net annual benefit cost are reported in Other operating expenses in the Consolidated Statement of Income.
| |
| |
| | Pensionplans | Postretirementbenefitplans | |
| | U.S.plans | Non-U.S.plans | U.S.plans | Non-U.S.plans | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | 2025 | 2024 | 2023 | |
| |
| Service cost | $ | | $ | | $ | | $ | 110 | $ | 115 | $ | 115 | $ | | $ | | $ | | $ | 1 | $ | 1 | $ | 1 | |
| Interest cost on benefit obligation | 475 | 466 | 505 | 423 | 421 | 409 | 14 | 16 | 18 | 118 | 107 | 106 | |
| Expected return on assets | (602) | (602) | (640) | (374) | (326) | (327) | (10) | (11) | (13) | (74) | (80) | (77) | |
| Amortization of unrecognized: | | | | | | | | | | | | | |
| Prior service cost (benefit) | 2 | 2 | 2 | (3) | (3) | (5) | (9) | (9) | (9) | (6) | (7) | (9) | |
| Net actuarial loss (gain) | 195 | 179 | 151 | 66 | 76 | 72 | (12) | (10) | (12) | 11 | 10 | (18) | |
| Curtailment (gain)(1) | | | | (3) | (3) | (16) | | | | | | | |
| Settlement loss(1) | | | | 9 | 5 | 9 | | | | | | | |
| |
| Total net expense (benefit) | $ | 70 | $ | 45 | $ | 18 | $ | 228 | $ | 285 | $ | 257 | $ | (17) | $ | (14) | $ | (16) | $ | 50 | $ | 31 | $ | 3 | |
(1)Curtailment and settlement relate to divestiture and other wind-down activities.173 ContributionsThe Companys funding practice for U.S. and non-U.S. pension and postretirement benefit plans is generally to fund to minimum funding requirements in accordance with applicable local laws and regulations. The Company may increase its contributions above the minimum required contribution, if appropriate. In addition, management has the ability to change its funding practices. For the U.S. pension plans, there were no required minimum cash contributions for 2025 or 2024. The following table summarizes the Companys actual contributions for the years ended December31, 2025 and 2024, as well as expected Company contributions for 2026. Expected contributions are subject to change, since contribution decisions are affected by various factors, such as market performance, tax considerations and regulatory requirements.
| |
| Pension plans(1) | Postretirement benefit plans(1) | |
| U.S. plans(2) | Non-U.S. plans(3) | U.S. plans | Non-U.S. plans(3) | |
| In millions of dollars | 2026 | 2025 | 2024 | 2026 | 2025 | 2024 | 2026 | 2025 | 2024 | 2026 | 2025 | 2024 | |
| Contributions made by the Company | $ | | $ | | $ | | $ | 80 | $ | 310 | $ | 713 | $ | | $ | | $ | | $ | 4 | $ | 202 | $ | 4 | |
| Benefits paid directly by the Company | 55 | 55 | 59 | 38 | 53 | 50 | 5 | 19 | 8 | 8 | 6 | 5 | |
(1)Amounts reported for 2026 are expected amounts. (2) The U.S. plans include benefits paid directly by the Company for the nonqualified pension plans. (3)The Company made a discretionary contribution of approximately $600million to a pension plan in Mexico Consumer/SBMM during the fourth quarter of 2024. The Company made a discretionary contribution of approximately $40 million and $210million to a pension plan and a postretirement benefit plan, respectively, in Mexico Consumer/SBMM during the fourth quarter of 2025. The Company also made a contribution of approximately $190million to a pension plan in Korea during 2025 due to legislative updates.174 Funded Status and Accumulated Other Comprehensive Income (AOCI)The following table summarizes the funded status and amounts recognized on the Consolidated Balance Sheet for the Companys pension and postretirement benefit plans:
| |
| |
| | Pensionplans | Postretirement benefitplans | |
| U.S.plans | Non-U.S.plans | U.S.plans | Non-U.S.plans | |
| Inmillionsofdollars | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | |
| Change in benefit obligation | | | | | | | | | |
| |
| Benefit obligation at beginning of year | $ | 8,956 | $ | 9,640 | $ | 6,052 | $ | 7,030 | $ | 292 | $ | 343 | $ | 1,014 | $ | 1,208 | |
| |
| |
| |
| |
| |
| |
| Service cost | | | 110 | 115 | | | 1 | 1 | |
| Interest cost on benefit obligation | 475 | 466 | 423 | 421 | 14 | 16 | 118 | 107 | |
| Plan amendments | | | 36 | (1) | | | | | |
| Actuarial loss (gain) | 227 | (262) | 194 | (335) | 10 | (21) | 252 | (1) | |
| Benefits paid, net of participants contributions | (861) | (888) | (432) | (394) | (49) | (46) | (101) | (96) | |
| |
| Divestitures | | | | (1) | | | | | |
| Settlement(1)(2) | | | (60) | (47) | | | (2) | | |
| Curtailment(2) | | | (3) | (4) | | | | | |
| |
| Foreign exchange impact and other | | | 589 | (732) | | | 165 | (205) | |
| |
| |
| Benefit obligation at year end | $ | 8,797 | $ | 8,956 | $ | 6,909 | $ | 6,052 | $ | 267 | $ | 292 | $ | 1,447 | $ | 1,014 | |
| Change in plan assets | | | | | | | | | |
| |
| Plan assets at fair value at beginning of year | $ | 9,647 | $ | 10,210 | $ | 6,258 | $ | 6,426 | $ | 202 | $ | 231 | $ | 755 | $ | 970 | |
| |
| |
| |
| |
| |
| |
| Actual return on plan assets | 914 | 266 | 537 | 131 | 14 | 9 | 158 | 50 | |
| Company contributions, net of reimbursements | 55 | 59 | 363 | 763 | 19 | 8 | 208 | 9 | |
| |
| Benefits paid, net of participants contributions | (861) | (888) | (432) | (394) | (49) | (46) | (101) | (96) | |
| Divestitures | | | | (1) | | | | | |
| Settlement(1)(2) | | | (60) | (47) | | | | | |
| Foreign exchange impact and other | | | 560 | (620) | | | 136 | (178) | |
| Plan assets at fair value at year end | $ | 9,755 | $ | 9,647 | $ | 7,226 | $ | 6,258 | $ | 186 | $ | 202 | $ | 1,156 | $ | 755 | |
| |
| Funded status of the plans | |
| Qualified plans(3) | $ | 1,431 | $ | 1,181 | $ | 317 | $ | 206 | $ | (81) | $ | (90) | $ | (291) | $ | (259) | |
| Nonqualified plans(4) | (473) | (490) | | | | | | | |
| Funded status of the plans at year end | $ | 958 | $ | 691 | $ | 317 | $ | 206 | $ | (81) | $ | (90) | $ | (291) | $ | (259) | |
| |
| Net amount recognized at year end | | | | | | | | | |
| Qualified plans | |
| Benefit asset | $ | 1,431 | $ | 1,181 | $ | 952 | $ | 895 | $ | | $ | | $ | | $ | | |
| Benefit liability | | | (635) | (689) | (81) | (90) | (291) | (259) | |
| Qualified plans | $ | 1,431 | $ | 1,181 | $ | 317 | $ | 206 | $ | (81) | $ | (90) | $ | (291) | $ | (259) | |
| Nonqualified plans | (473) | (490) | | | | | | | |
| Net amount recognized on the balance sheet | $ | 958 | $ | 691 | $ | 317 | $ | 206 | $ | (81) | $ | (90) | $ | (291) | $ | (259) | |
| |
| Amounts recognized in AOCI at year end(1) | | | | | |
| |
| |
| Prior service (cost) benefit | $ | (1) | $ | (3) | $ | (37) | $ | (1) | $ | 54 | $ | 63 | $ | 17 | $ | 21 | |
| Net actuarial (loss) gain | (5,936) | (6,215) | (1,653) | (1,513) | 108 | 125 | (476) | (263) | |
| |
| |
| Net amount recognized in AOCI | $ | (5,937) | $ | (6,218) | $ | (1,690) | $ | (1,514) | $ | 162 | $ | 188 | $ | (459) | $ | (242) | |
| Accumulated benefit obligation at year end | $ | 8,797 | $ | 8,956 | $ | 6,482 | $ | 5,716 | $ | 267 | $ | 292 | $ | 1,447 | $ | 1,014 | |
| |
| |
(1)The framework for the Companys pension oversight process includes monitoring of potential settlement charges for all plans. Settlement accounting is triggered when either the sum of all settlements (including lump sum payments) for the year is greater than service plus interest costs or if more than 10% of the plans projected benefit obligation will be settled. Because some of Citis plans are frozen and have no material service cost, settlement accounting may apply in the future.(2)Curtailment and settlement relate to divestiture and other wind-down activities.(3)The U.S. qualified plan was fully funded as of January 1, 2025 and no minimum funding was required for 2025. The plan is also expected to be fully funded as of January 1, 2026 with no expected minimum funding requirement for 2026.(4)The nonqualified plans of the Company are unfunded.175 The following table presents the change in AOCI related to the Companys pension, postretirement and post employment plans:
| |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| |
| Beginning of year balance, net of tax(1)(2) | $ | (5,627) | $ | (6,050) | $ | (5,755) | |
| |
| Actuarial assumptions changes and plan experience | (681) | 625 | (547) | |
| Net gain (loss) due to difference between actual and expected returns | 565 | (562) | 263 | |
| Net amortization | 245 | 239 | 175 | |
| Prior service (cost) benefit | (36) | 1 | 2 | |
| Curtailment/settlement gain (loss)(3) | 6 | 2 | (7) | |
| Banamex equity interest sale(4) | 214 | | | |
| Foreign exchange impact and other | (155) | 271 | (239) | |
| Change in deferred taxes, net | (35) | (153) | 58 | |
| Change, net of tax | $ | 123 | $ | 423 | $ | (295) | |
| End of year balance, net of tax(1)(2) | $ | (5,504) | $ | (5,627) | $ | (6,050) | |
(1)See Note 21 for further discussion of net AOCI balance.(2)Includes net of tax amounts for certain profit-sharing plans outside the U.S.(3)Curtailment and settlement relate to divestiture and other wind-down activities.(4)See Sale of 25% Equity Stake in Banamex in Note 2.At December31, 2025 and 2024, the aggregate projected benefit obligation (PBO), the aggregate accumulated benefit obligation (ABO) and the aggregate fair value of plan assets are presented for all defined benefit pension plans with a PBO in excess of plan assets and for all defined benefit pension plans with an ABO in excess of plan assets as follows:
| |
| | PBOexceedsfairvalueofplanassets | ABOexceedsfairvalue ofplanassets | |
| | U.S.plans(1) | Non-U.S.plans | U.S.plans(1) | Non-U.S.plans | |
| Inmillionsofdollars | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | |
| Projected benefit obligation | $ | 473 | $ | 490 | $ | 3,430 | $ | 2,968 | $ | 473 | $ | 490 | $ | 3,093 | $ | 2,745 | |
| Accumulated benefit obligation | 473 | 490 | 3,104 | 2,679 | 473 | 490 | 2,883 | 2,523 | |
| Fair value of plan assets | | | 2,795 | 2,279 | | | 2,551 | 2,095 | |
(1)As of December31, 2025 and 2024, only the nonqualified plans PBO and ABO exceeded plan assets.Plan Assumptions The Company utilizes a number of assumptions to determine plan obligations and expenses. Changes in one or a combination of these assumptions will have an impact on the Companys pension and postretirement PBO, funded status and expense (benefit). Changes in the plans funded status resulting from changes in the PBO and fair value of plan assets will have a corresponding impact on AOCI. The actuarial assumptions at the respective years ended December 31 in the table below are used to measure the year-end PBO and the net expense (benefit) for the subsequent year (period).The 2024 and 2023 net expense (benefit) for the Significant Plans was calculated at each respective quarter end based on the preceding quarter-end rates (as presented below for the U.S. and non-U.S. pension and postretirement benefit plans) as a result of the quarterly measurement process. The actuarial assumptions are measured annually for all plans in 2025 and All Other Plans in 2024 and 2023. 176 Certain assumptions used in determining pension and postretirement benefit obligations and net expense (benefit) for the Companys plans are presented in the following tables:
| |
| Atyearend | 2025 | 2024 | |
| Discount rate | | | |
| U.S. plans | | | |
| Qualified pension | 5.26% | 5.55% | |
| Nonqualified pension | 5.30 | 5.60 | |
| Postretirement benefit plan | 5.18 | 5.55 | |
| Non-U.S. pension plans | |
| Range | 1.15 to 12.75 | 0.85 to 12.50 | |
| Weighted average | 7.24 | 7.31 | |
| Non-U.S. postretirement benefit plan | |
| Range | 4.00 to 11.00 | 3.25 to 12.20 | |
| Weighted average | 10.37 | 11.21 | |
| Future compensation increase rate(1) | |
| Non-U.S. pension plans | |
| Range | 1.50 to 12.40 | 1.60 to 12.40 | |
| Weighted average | 3.96 | 3.80 | |
| Expected return on assets | |
| U.S. plans | |
| Qualified pension | 6.00 | 6.00 | |
| Postretirement benefit plan(2) | 6.00/3.00 | 6.00/3.00 | |
| Non-U.S. pension plans | |
| Range | 1.00 to 11.50 | 2.00 to 11.50 | |
| Weighted average | 6.70 | 6.27 | |
| Non-U.S. postretirement benefit plan | |
| Range | 9.60 to 10.00 | 8.60 to 9.40 | |
| Weighted average | 9.60 | 9.39 | |
| Interest crediting rate (weighted average)(3) | |
| U.S. plans | 4.26 | 4.55 | |
| Non-U.S. plans | 1.80 | 1.77 | |
(1)Not material for U.S. plans.
(2)For the years ended 2025 and 2024, the expected return on assets for the Voluntary Employees Beneficiary Association (VEBA) Trust was 3.00%. 
(3)The Company has cash balance plans and other plans with promised interest crediting rates. For these plans, the interest crediting rates are set in line with plan rules or country legislation. 
| |
| Duringtheyear | 2025 | 2024 | 2023 | |
| Discount rate | | | |
| U.S. plans(1) | | | |
| Qualified pension | 5.55% | 5.10%/5.30%/ 5.50%/4.90% | 5.50%/5.15%/ 5.40%/6.05% | |
| Nonqualified pension | 5.60 | 5.15/5.40/ 5.60/4.95 | 5.55/5.20/ 5.45/6.10 | |
| Postretirement benefit plan | 5.55 | 5.20/5.40/ 5.60/4.90 | 5.60/5.25/ 5.50/6.10 | |
| Non-U.S. pension plans(2) | |
| Range | 0.85 to 12.50 | 1.35 to 14.55 | 1.75 to 25.20 | |
| Weighted average | 7.31 | 6.91 | 6.66 | |
| Non-U.S. postretirement benefit plan(2) | |
| Range | 3.25 to 12.20 | 3.80 to 11.40 | 3.25 to 11.55 | |
| Weighted average | 11.21 | 9.90 | 9.80 | |
| Future compensation increase rate(3) | |
| Non-U.S. pension plans(2) | |
| Range | 1.60 to 12.40 | 1.30 to 12.40 | 1.30 to 23.11 | |
| Weighted average | 3.80 | 3.84 | 3.76 | |
| Expected return on assets | |
| U.S. plans | |
| Qualified pension(4) | 6.00 | 5.70 | 5.70 | |
| Postretirement benefit plan(4) | 6.00/3.00 | 5.70/3.00 | 5.70/3.00 | |
| Non-U.S. pension plans(2) | |
| Range | 2.00 to 11.50 | 2.00 to 11.50 | 1.00 to 11.50 | |
| Weighted average | 6.27 | 6.62 | 6.05 | |
| Non-U.S. postretirement benefit plan(2) | |
| Range | 8.60 to 9.40 | 8.60 to 9.40 | 8.70 to 9.10 | |
| Weighted average | 9.39 | 9.39 | 8.70 | |
| Interest crediting rate (weighted average)(5) | |
| U.S. plans(1) | 4.55 | 4.10/4.30/ 4.50/3.90 | 4.50/4.15/ 4.40/5.05 | |
| Non-U.S. plans | 1.77 | 1.78 | 1.73 | |
(1)Represents rates used in annual remeasurement in 2025 and in quarterly remeasurements for 2024 and 2023.
(2)Reflects rates utilized to determine the net expense (benefit) for non-U.S. pension and postretirement benefit plans.
(3)Not material for U.S. plans.
(4)The expected return on assets for the U.S. pension and postretirement benefit plans was adjusted from 5.70% to 6.00% effective January 1, 2025 to reflect a change in asset allocation. For the years 2025, 2024 and 2023, the expected return on assets for the VEBA Trust was 3.00%.
(5)The Company has cash balance plans and other plans with promised interest crediting rates. For these plans, the interest crediting rates are set in line with plan rules or country legislation.
177 
Discount Rate
The discount rates for the U.S. pension and postretirement benefit plans were selected by reference to a Citigroup-specific analysis using each plans specific cash flows and a hypothetical bond portfolio of U.S. high-quality corporate bonds that match each plans projected cash flows. The discount rates for the non-U.S. pension and postretirement benefit plans are selected by reference to each plans specific cash flows and a market-based yield curve developed from the available local high-quality corporate bonds. However, where developed corporate bond markets do not exist, the discount rates are selected by reference to local government bonds with an estimated premium added to reflect the additional risk for corporate bonds in certain countries. Where available, the resulting plan yields by jurisdiction are compared with published, high-quality corporate bond indices for reasonableness. 
Expected Return on Assets
The Company determines its assumptions for the expected return on assets for its U.S. pension and postretirement benefit plans using a building block approach, which focuses on ranges of anticipated rates of return for each asset class. A weighted-average range of nominal rates is then determined based on target allocations to each asset class. Market performance over a number of earlier years is evaluated covering a wide range of economic conditions to determine whether there are sound reasons for projecting any past trends.
The Company considers the expected return on assets to be a long-term assessment of return expectations and does not anticipate changing this assumption unless there are significant changes in investment strategy or economic conditions. This contrasts with the selection of the discount rate and certain other assumptions, which are reconsidered annually (or quarterly for the Significant Plans, when certain conditions are met to trigger interim remeasurement) in accordance with GAAP.
The expected return on assets reflects the expected annual appreciation of the plan assets and reduces the Companys annual pension expense. The expected return on assets is deducted from the sum of service cost, interest cost and other components of pension expense to arrive at the net pension expense (benefit). 
The following table presents the expected return on assets used in determining the Companys pension expense (benefit) compared to the actual return on assets during 2025, 2024 and 2023 for the U.S. pension and postretirement benefit plans:
| |
| U.S. plans (during the year) | 2025 | 2024 | 2023 | |
| Expected return on assets(1) | |
| U.S. pension and postretirement trust | 6.00% | 5.70% | 5.70% | |
| VEBA Trust | 3.00 | 3.00 | 3.00 | |
| Actual return on assets(1) | |
| U.S. pension and postretirement trust | 10.64 | 2.55 | 9.83 | |
| VEBA Trust | 5.47 | 6.01 | 5.87 | |
(1)Expected return on assets and actual return on assets is presented net of fees.
Sensitivities of Certain Key Assumptions
The U.S. Qualified Pension Plan is frozen, and as a result, pension expense is primarily driven by interest cost. An increase in the discount rate would increase pension expense, while a decrease in the discount rate would decrease pension expense. 
For Non-U.S. Pension Plans that are not frozen (in countries such as Mexico, the U.K. and South Korea), there is more service cost. The pension expense for the Non-U.S. Plans is driven by both service cost and interest cost. An increase in the discount rate generally decreases pension expense due to the greater impact of service cost compared to interest cost.
The following tables summarize the effect on pension expense: 
| |
| Discount rate | |
| | One-percentage-pointincrease | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| U.S. plans | $ | 23 | $ | 23 | $ | 22 | |
| Non-U.S. plans | (10) | (13) | (12) | |
| | One-percentage-pointdecrease | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| U.S. plans | $ | (26) | $ | (27) | $ | (26) | |
| Non-U.S. plans | 19 | 21 | 20 | |
| |
| Expected return on assets | |
| | One-percentage-pointincrease | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| U.S. plans | $ | (100) | $ | (106) | $ | (112) | |
| Non-U.S. plans | (59) | (53) | (54) | |
| | One-percentage-pointdecrease | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| U.S. plans | $ | 100 | $ | 106 | $ | 112 | |
| Non-U.S. plans | 59 | 53 | 54 | |
Health Care Cost Trend RateAssumed health care cost trend rates were as follows:
| |
| | 2025 | 2024 | |
| Health carecostincreaserateforU.S.plans | | | |
| Following year | 7.50% | 6.50% | |
| Ultimate rate to which cost increase is assumed to decline | 5.00 | 5.00 | |
| Year in which the ultimate rate is reached | 2036 | 2031 | |
| Health carecostincreaseratefornon-U.S.plans (weighted average) | | | |
| Following year | 8.14% | 9.20% | |
| Ultimate rate to which cost increase is assumed to decline | 7.82 | 6.93 | |
| Year in which the ultimate rate is reached | 2030 | 2030 | |
178 
Plan Assets
Citigroups pension and postretirement benefit plans asset allocations for the U.S. plans and the target allocations by asset category based on asset fair values are as follows:
| |
| | Targetassetallocation | U.S.pensionassetsatDecember31, | U.S.postretirementassetsatDecember31, | |
| Assetcategory(1) | 2026 | 2025 | 2024 | 2025 | 2024 | |
| Equity securities(2) | 013% | 7 | % | 7 | % | 7 | % | 7 | % | |
| Debt securities(3) | 62100 | 71 | 71 | 71 | 71 | |
| Real assets(1) | 09 | 5 | 5 | 5 | 5 | |
| Private equity | 07 | 7 | 7 | 7 | 7 | |
| Other investments | 013 | 10 | 10 | 10 | 10 | |
| Total | | 100 | % | 100 | % | 100 | % | 100 | % | |
(1)Target asset allocations are set by investment strategy, whereas pension and postretirement assets as of December 31, 2025 and 2024 are based on the underlying investment product. For example, the private equity investment strategy may include underlying investments in real assets (includes real estate, infrastructure and natural resources) within the target asset allocation; however, within pension and postretirement assets, the underlying investment in real assets is reflected in the real assets category and not private equity.
(2)Equity securities in the U.S. pension and postretirement benefit plans do not include any Citigroup common stock at the end of 2025 and 2024.
(3)The VEBA Trust for postretirement benefits is primarily invested in cash equivalents and debt securities in 2025 and 2024 and is not reflected in the table above. 
Third-party investment managers and advisors provide their services to Citigroups U.S. pension and postretirement benefit plans. Assets are rebalanced as the Companys Pension Plan Investment Committee deems appropriate. Citigroups investment strategy, with respect to its assets, is to maintain a globally diversified investment portfolio across several asset classes that, when combined with Citigroups contributions to the plans, will maintain the plans ability to meet all required benefit obligations.
Citigroups pension and postretirement benefit plans weighted-average asset allocations for the non-U.S. plans and the actual ranges, and the weighted-average target allocations by asset category based on asset fair values, are as follows:
| |
| | Non-U.S.pensionplans | |
| | Targetassetallocation | ActualrangeatDecember31, | Weighted averageatDecember31, | |
| Assetcategory(1) | 2026 | 2025 | 2024 | 2025 | 2024 | |
| Equity securities | 046% | 046% | 049% | 11 | % | 18 | % | |
| Debt securities | 0100 | 0100 | 0100 | 78 | 73 | |
| Real assets | 015 | 012 | 016 | 1 | 1 | |
| Other investments | 0100 | 0100 | 0100 | 10 | 8 | |
| Total | 100 | % | 100 | % | |
| |
| | Non-U.S.postretirementbenefit plans | |
| | Targetassetallocation | ActualrangeatDecember31, | Weighted averageatDecember31, | |
| Assetcategory(1) | 2026 | 2025 | 2024 | 2025 | 2024 | |
| Equity securities | 016% | 012% | 037% | 12 | % | 36 | % | |
| Debt securities | 79100 | 83100 | 59100 | 84 | 60 | |
| Other investments | 05 | 04 | 04 | 4 | 4 | |
| Total | 100 | % | 100 | % | |
(1)Similar to the U.S. plans, asset allocations for certain non-U.S. plans are set by investment strategy, not by investment product. 
179 
Fair Value Disclosure
For information on fair value measurements, including descriptions of Levels 1, 2 and 3 of the fair value hierarchy and the valuation methodology utilized by the Company, see Notes 1 (Fair Value and Fair Value Hedges) and 26. Investments measured using the NAV per share practical expedient are excluded from Level 1, Level 2 and Level 3 in the tables below. 
Certain investments may transfer between the fair value hierarchy classifications during the year due to changes in valuation methodology and pricing sources. 
Plan assets by detailed asset categories and the fair value hierarchy are as follows:
| |
| U.S.pensionandpostretirementbenefitplans(1) | |
| Inmillionsofdollars | Fair value measurement at December 31, 2025 | |
| Assetcategories | Level1 | Level2 | Level3 | Total | |
| U.S. equities | $ | 349 | $ | | $ | | $ | 349 | |
| Non-U.S. equities | 296 | | | 296 | |
| Mutual funds and other registered investment companies | 193 | | | 193 | |
| Commingled funds | | 534 | | 534 | |
| Debt securities | 323 | 5,107 | | 5,430 | |
| Annuity contracts | | | 3 | 3 | |
| Derivatives | 3 | 41 | | 44 | |
| Other investments | | | 1 | 1 | |
| Total investments at fair value | $ | 1,164 | $ | 5,682 | $ | 4 | $ | 6,850 | |
| Cash and short-term investments | $ | 32 | $ | 432 | $ | | $ | 464 | |
| Other investment liabilities | (4) | (37) | | (41) | |
| Net investments at fair value | $ | 1,192 | $ | 6,077 | $ | 4 | $ | 7,273 | |
| Other investment receivables redeemed at NAV | $ | 43 | |
| Securities valued at NAV | 2,625 | |
| Total net assets | $ | 9,941 | |
(1)The investments of the U.S. pension and postretirement benefit plans are commingled in one trust. At December31, 2025, the allocable interests of the U.S. pension and postretirement benefit plans were 99.0% and 1.0%, respectively. The investments of the VEBA Trust for postretirement benefits are reflected in the above table.
| |
| U.S.pensionandpostretirementbenefitplans(1) | |
| Inmillionsofdollars | Fair value measurement at December 31, 2024 | |
| Assetcategories | Level1 | Level2 | Level3 | Total | |
| U.S. equities | $ | 315 | $ | | $ | | $ | 315 | |
| Non-U.S. equities | 269 | | | 269 | |
| Mutual funds and other registered investment companies | 188 | | | 188 | |
| Commingled funds | | 515 | | 515 | |
| Debt securities | 390 | 5,145 | | 5,535 | |
| Annuity contracts | | | 3 | 3 | |
| Derivatives | 1 | 35 | | 36 | |
| Other investments | 1 | | 1 | 2 | |
| Total investments | $ | 1,164 | $ | 5,695 | $ | 4 | $ | 6,863 | |
| Cash and short-term investments | $ | 46 | $ | 439 | $ | | $ | 485 | |
| Other investment liabilities | (10) | (39) | | (49) | |
| Net investments at fair value | $ | 1,200 | $ | 6,095 | $ | 4 | $ | 7,299 | |
| Other investment receivables redeemed at NAV | $ | 18 | |
| Securities valued at NAV | 2,532 | |
| Total net assets | $ | 9,849 | |
(1)The investments of the U.S. pension and postretirement benefit plans are commingled in one trust. At December31, 2024, the allocable interests of the U.S. pension and postretirement benefit plans were 98.0% and 2.0%, respectively. The investments of the VEBA Trust for postretirement benefits are reflected in the above table.180 
| |
| Non-U.S.pensionandpostretirementbenefitplans | |
| Inmillionsofdollars | Fair value measurement at December 31, 2025 | |
| Assetcategories | Level1 | Level2 | Level3 | Total | |
| U.S. equities | $ | 13 | $ | | $ | | $ | 13 | |
| Non-U.S. equities | 276 | | | 276 | |
| Mutual funds and other registered investment companies | 4,202 | 388 | | 4,590 | |
| |
| Debt securities | 2,363 | 933 | | 3,296 | |
| Real assets | | | 2 | 2 | |
| Annuity contracts | | | 2 | 2 | |
| Derivatives | | 189 | | 189 | |
| Other investments | | | 378 | 378 | |
| Total investments | $ | 6,854 | $ | 1,510 | $ | 382 | $ | 8,746 | |
| Cash and short-term investments | $ | 96 | $ | | $ | | $ | 96 | |
| Other investment liabilities | | (489) | | (489) | |
| Net investments at fair value | $ | 6,950 | $ | 1,021 | $ | 382 | $ | 8,353 | |
| Securities valued at NAV | $ | 29 | |
| Total net assets | $ | 8,382 | |
| |
| Non-U.S.pensionandpostretirementbenefitplans | |
| Inmillionsofdollars | Fair value measurement at December 31, 2024 | |
| Assetcategories | Level1 | Level2 | Level3 | Total | |
| U.S. equities | $ | 46 | $ | | $ | | $ | 46 | |
| Non-U.S. equities | 435 | | | 435 | |
| Mutual funds and other registered investment companies | 2,990 | 318 | | 3,308 | |
| |
| Debt securities | 2,303 | 1,021 | | 3,324 | |
| Real assets | | | 2 | 2 | |
| Annuity contracts | | | 2 | 2 | |
| Derivatives | | 1,208 | | 1,208 | |
| Other investments | | | 236 | 236 | |
| Total investments | $ | 5,774 | $ | 2,547 | $ | 240 | $ | 8,561 | |
| Cash and short-term investments | $ | 113 | $ | | $ | | $ | 113 | |
| Other investment liabilities | | (1,678) | | (1,678) | |
| Net investments at fair value | $ | 5,887 | $ | 869 | $ | 240 | $ | 6,996 | |
| Securities valued at NAV | $ | 17 | |
| Total net assets | $ | 7,013 | |
181 Level 3 RollforwardThe reconciliations of the beginning and ending balances during the year for Level 3 assets are as follows:
| |
| Inmillionsofdollars | U.S.pensionandpostretirementbenefitplans | |
| |
| Assetcategories | Beginning Level 3 fair value at Dec. 31, 2024 | Realized gains (losses) | Unrealized gains (losses) | Purchases, salesand issuances | Transfersin and/oroutof Level3 | Ending Level 3 fair value at Dec. 31, 2025 | |
| |
| Annuity contracts | $ | 3 | $ | | $ | | $ | | $ | | $ | 3 | |
| Other investments | 1 | | | | | 1 | |
| |
| |
| Total investments | $ | 4 | $ | | $ | | $ | | $ | | $ | 4 | |
| |
| |
| |
| Inmillionsofdollars | U.S.pensionandpostretirementbenefitplans | |
| |
| Assetcategories | Beginning Level 3 fair value at Dec. 31, 2023 | Realized gains (losses) | Unrealized gains (losses) | Purchases, salesand issuances | Transfersin and/oroutof Level3 | Ending Level 3 fair value at Dec. 31, 2024 | |
| |
| Annuity contracts | $ | 3 | $ | | $ | | $ | | $ | | $ | 3 | |
| |
| Other investments | 2 | | 1 | (2) | | 1 | |
| |
| Total investments | $ | 5 | $ | | $ | 1 | $ | (2) | $ | | $ | 4 | |
| |
| |
| |
| Inmillionsofdollars | Non-U.S.pensionandpostretirementbenefitplans | |
| Assetcategories | Beginning Level 3 fair value at Dec. 31, 2024 | Unrealized gains (losses) | Purchases, salesand issuances | Transfersin and/oroutof Level3 | Ending Level 3 fair value at Dec. 31, 2025 | |
| |
| |
| Real assets | $ | 2 | $ | | $ | | $ | | $ | 2 | |
| Annuity contracts | 2 | | | | 2 | |
| Other investments | 236 | 16 | 126 | | 378 | |
| Total investments | $ | 240 | $ | 16 | $ | 126 | $ | | $ | 382 | |
| |
| Inmillionsofdollars | Non-U.S.pensionandpostretirementbenefitplans | |
| Assetcategories | Beginning Level 3 fair value at Dec. 31, 2023 | Unrealized gains (losses) | Purchases, salesand issuances | Transfersin and/oroutof Level3 | Ending Level 3 fair value at Dec. 31, 2024 | |
| |
| |
| Real assets | $ | 2 | $ | | $ | | $ | | $ | 2 | |
| Annuity contracts | 2 | | | | 2 | |
| Other investments | 231 | 2 | 3 | | 236 | |
| Total investments | $ | 235 | $ | 2 | $ | 3 | $ | | $ | 240 | |
182 Investment StrategyThe Companys global pension and postretirement funds investment strategy is to invest in a prudent manner for the exclusive purpose of providing benefits to participants. The investment strategies are targeted to produce a total return that, when combined with the Companys contributions to the funds, will maintain the funds ability to meet all required benefit obligations. Risk is controlled through diversification of asset types and investments in domestic and international equities, fixed income securities and cash and short-term investments. The target asset allocation in most locations outside the U.S. is primarily in equity and debt securities. These allocations may vary by geographic region and country depending on the nature of applicable obligations and various other regional considerations. The wide variation in the actual range of plan asset allocations for the funded non-U.S. plans is a result of differing local statutory requirements and economic conditions. For example, in certain countries local law requires that all pension plan assets must be invested in fixed income investments, government funds or local-country securities.Significant Concentrations of Risk in Plan AssetsThe assets of the Companys pension plans are diversified to limit the impact of any individual investment. The U.S. qualified pension plan is diversified across multiple asset classes, with publicly traded fixed income, hedge funds, private equity and publicly traded equity representing the most significant asset allocations. Investments in these four asset classes are further diversified across funds, managers, strategies, vintages, sectors and geographies, depending on the specific characteristics of each asset class. The pension assets for the Companys non-U.S. Significant Plans are primarily invested in publicly traded fixed income and publicly traded equity securities.Oversight and Risk Management PracticesThe framework for the Companys pension oversight process includes monitoring of retirement plans by plan fiduciaries and/or management at the global, cluster or country level, as appropriate. Independent Risk Management contributes to the risk oversight and monitoring for the Companys U.S. Qualified Pension Plan and non-U.S. Significant Pension Plans. Although the specific components of the oversight process are tailored to the requirements of each cluster, country and plan, the following elements are common to the Companys monitoring and risk management process:periodic asset/liability management studies and strategic asset allocation reviewsperiodic monitoring of funding levels and funding ratiosperiodic monitoring of compliance with asset allocation guidelinesperiodic monitoring of asset class and/or investment manager performance against benchmarksperiodic risk capital analysis and stress testingEstimated Future Benefit PaymentsThe Company expects to pay the following estimated benefit payments in future years: 
| |
| | Pensionplans | Postretirement benefitplans | |
| Inmillionsofdollars | U.S. plans | Non-U.S.plans | U.S. plans | Non-U.S.plans | |
| 2026 | $ | 999 | $ | 642 | $ | 49 | $ | 108 | |
| 2027 | 981 | 561 | 33 | 114 | |
| 2028 | 961 | 567 | 31 | 120 | |
| 2029 | 923 | 575 | 29 | 126 | |
| 2030 | 866 | 583 | 26 | 131 | |
| 20312035 | 3,660 | 3,003 | 99 | 746 | |
Post Employment PlansThe Company sponsors U.S. post employment plans that provide income continuation and health and welfare benefits to certain eligible U.S. employees on long-term disability.The following table summarizes the funded status and amounts recognized on the Companys Consolidated Balance Sheet: 
| |
| Inmillionsofdollars | 2025 | 2024 | |
| Funded status of the plan at year end | $ | (50) | $ | (49) | |
| Net amount recognized in AOCI (pretax) | $ | (11) | $ | (12) | |
The following table summarizes the net expense recognized in the Consolidated Statement of Income for the Companys U.S. post employment plans: 
| |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Net expense | $ | 26 | $ | 28 | $ | 14 | |
Defined Contribution PlansThe Company sponsors defined contribution plans in the U.S. and in certain non-U.S. locations, all of which are administered in accordance with local laws. The most significant defined contribution plan is the Citi Retirement Savings Plan sponsored by the Company in the U.S.Under the Citi Retirement SavingsPlan, eligible U.S. employees received matching contributions of up to 6% of their eligible compensation for 2025 and 2024, subject to statutory limits. Effective January 1, 2025, plan participants eligible annual compensation is limited to $200,000. In addition, for eligible employees whose eligible compensation is $100,000 or less, a fixed contribution of up to 2% of eligible compensation is provided. All Company contributions are invested according to participants individual elections. The following tables summarize the Company contributions for the defined contribution plans: 
| |
| | U.S. plans | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Company contributions | $ | 517 | $ | 591 | $ | 546 | |
| | Non-U.S. plans | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Company contributions | $ | 489 | $ | 461 | $ | 453 | |
183 9. RESTRUCTURINGAs previously disclosed, Citi is pursuing various initiatives to simplify the Company and further align its organizational structure with its business strategy. As part of its overall simplification initiatives, in the fourth quarter of 2023, Citi eliminated the previous Institutional Clients Group and Personal Banking and Wealth Management layers, exited certain institutional business lines and consolidated its regional structure, creating one international group, while centralizing client capabilities and streamlining its global staff functions.Citi has recorded net restructuring charges of approximately $1.026billion program to date.Restructuring charges are recorded as a separate line item within Operating expenses in the Companys Consolidated Statement of Income. These charges were included within All OtherCorporate/Other.The following costs associated with these initiatives are included in restructuring charges: Personnel costs: severance costs associated with actual headcount reductions (as well as those that were probable and could be reasonably estimated)Other: costs associated with contract terminations and other direct costs associated with the restructuring, including asset write-downs (non-cash write-downs of capitalized software, which are included in Premises and equipment related to exited businesses)The following table is a rollforward of the liability related to the restructuring charges:
| |
| In millions of dollars | Personnel costs | Other | Total | |
| Beginning balance at January 1, 2023 | $ | | $ | | $ | | |
| Restructuring charge | $ | 687 | $ | 94 | $ | 781 | |
| Payments and utilization | | (69) | (69) | |
| Foreign exchange | | | | |
| Balance at December 31, 2023 | $ | 687 | $ | 25 | $ | 712 | |
| Restructuring charge | $ | 354 | $ | 54 | $ | 408 | |
| Change in estimate(1)(2) | (146) | (3) | (149) | |
| Net restructuring charges | $ | 208 | $ | 51 | $ | 259 | |
| Payments and utilization | $ | (860) | $ | (76) | $ | (936) | |
| Foreign exchange | 7 | | 7 | |
| Balance at December 31, 2024 | $ | 42 | $ | | $ | 42 | |
| Restructuring charge | $ | 1 | $ | | $ | 1 | |
| Change in estimate(1)(2) | (15) | | (15) | |
| Net restructuring charges | $ | (14) | $ | | $ | (14) | |
| Payments and utilization | $ | (23) | $ | | $ | (23) | |
| Foreign exchange | (5) | | (5) | |
| Balance at December 31, 2025 | $ | | $ | | $ | | |
(1)Revisions primarily relate to higher-than-anticipated redeployments of displaced employees to other positions within the Company, job function releveling and employee attrition.(2)Revisions primarily relate to lower-than-anticipated costs associated with contract terminations.184 10. INCOME TAXESIncome Tax ProvisionDetails of the Companys income tax provision are presented below: 
| |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Current | | | | |
| Federal | $ | (43) | $ | (33) | $ | 41 | |
| Non-U.S. | 5,140 | 5,945 | 5,807 | |
| State and local | (176) | 195 | 96 | |
| Total current income taxes | $ | 4,921 | $ | 6,107 | $ | 5,944 | |
| Deferred | | |
| Federal | $ | 23 | $ | (1,227) | $ | (1,925) | |
| Non-U.S. | 101 | (816) | (432) | |
| State and local | 328 | 147 | (59) | |
| Total deferred income taxes | $ | 452 | $ | (1,896) | $ | (2,416) | |
| Total | |
| Federal | $ | (20) | $ | (1,260) | $ | (1,884) | |
| Non-U.S. | 5,241 | 5,129 | 5,375 | |
| State and local | 152 | 342 | 37 | |
| Provision for income tax on continuing operations before noncontrolling interests | $ | 5,373 | $ | 4,211 | $ | 3,528 | |
| Provision (benefit) for income taxes on: | |
| Discontinued operations | $ | | $ | | $ | | |
| |
| Gains (losses) included in AOCI, but excluded from net income | 328 | 1,035 | 557 | |
| Employee stock plans | (11) | (5) | (13) | |
| Opening adjustment to Retained earnings(1) | | | 102 | |
| Opening adjustment to AOCI(2) | | | 12 | |
(1)Related to the adoption of Financial InstrumentsCredit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. See Accounting Changes in Note 1.(2)Related to the adoption of Financial ServicesInsurance: Targeted Improvements to the Accounting for Long-Duration Contracts. See Accounting Changes in Note 1.185 Tax RateThe reconciliation of the federal statutory income tax rate to the Companys effective income tax rate applicable to income from continuing operations (before noncontrolling interests and the cumulative effect of accounting changes) for each of the periods indicated is as follows:
| |
| 2025 | 2024 | 2023 | |
| In millions of dollars | Amount | Percentage | Amount | Percentage | Amount | Percentage | |
| U.S. federal statutory income tax rate | $ | 4,164 | 21.0 | % | $ | 3,580 | 21.0 | % | $ | 2,711 | 21.0 | % | |
| Domestic federal reconciling items | |
| Tax credits | |
| Foreign tax credit | $ | (349) | (1.8) | % | $ | (194) | (1.1) | % | $ | (163) | (1.3) | % | |
| Other | (279) | (1.4) | (322) | (1.9) | (336) | (2.6) | |
| Nontaxable and nondeductible items, net | |
| FDIC premiums(1) | 178 | 0.9 | 202 | 1.2 | 219 | 1.7 | |
| Other | (151) | (0.8) | (215) | (1.3) | (61) | (0.5) | |
| Cross-border taxes | |
| GILTI | 212 | 1.1 | 275 | 1.6 | 238 | 1.8 | |
| U.S. tax effect of foreign branches | (1,135) | (5.7) | (367) | (2.2) | (777) | (6.0) | |
| Other | 19 | 0.1 | 42 | 0.2 | (107) | (0.8) | |
| Effect of changes in tax laws or rates enacted in the current period | | | | | (33) | (0.3) | |
| Changes in valuation allowance(2) | 1,454 | 7.3 | 82 | 0.5 | 647 | 5.0 | |
| |
| Business exits | (658) | (3.3) | | | | | |
| Other | (119) | (0.6) | (194) | (1.1) | (108) | (0.8) | |
| Domestic state and local income taxes, net of federal effect(3) | 467 | 2.4 | 252 | 1.5 | 22 | 0.2 | |
| Foreign reconciling items | |
| Argentina | |
| Non-deductible (non-taxable) FX translation | 184 | 0.9 | 115 | 0.7 | 770 | 6.0 | |
| Deductible inflationary adjustment | (162) | (0.8) | (546) | (3.2) | (462) | (3.6) | |
| Other | 75 | 0.4 | 162 | 1.0 | (115) | (0.9) | |
| Brazil | |
| Rate differential | 144 | 0.7 | 139 | 0.8 | 188 | 1.4 | |
| Other | (90) | (0.5) | (63) | (0.4) | 54 | 0.4 | |
| India | |
| Rate differential | 243 | 1.2 | 265 | 1.6 | 624 | 4.8 | |
| Reduced rate on capital gains | | | | | (303) | (2.3) | |
| Other | 54 | 0.3 | 64 | 0.4 | (39) | (0.3) | |
| Russia | |
| Rate differential | 37 | 0.2 | 58 | 0.3 | 162 | 1.3 | |
| Local or provincial tax | (48) | (0.2) | (55) | (0.3) | (153) | (1.2) | |
| Other | 4 | | (74) | (0.4) | 18 | 0.1 | |
| Mexico | |
| Rate differential | 131 | 0.7 | 181 | 1.1 | 129 | 1.0 | |
| Goodwill impairment | 218 | 1.1 | | | | | |
| Other | 177 | 0.9 | 2 | | 58 | 0.5 | |
| Netherlands | |
| Business exits | 271 | 1.4 | | | | | |
| Other | (46) | (0.2) | 6 | | 5 | | |
| Other | 716 | 3.5 | 759 | 4.4 | 359 | 2.8 | |
| Worldwide changes in unrecognized tax benefits | (338) | (1.7) | 57 | 0.3 | (19) | (0.1) | |
| Total tax | $ | 5,373 | 27.1 | % | $ | 4,211 | 24.7 | % | $ | 3,528 | 27.3 | % | |
(1)Excludes the 2025, 2024 and 2023 FDIC special assessments, which are tax deductible.
(2)The valuation allowance is applied primarily to U.S. tax effect of foreign branches and business exits.
(3)For 2025, 2024 and 2023, New York City, California and New York State make up greater than 50% of the total effect of domestic state and local income
taxes, net of federal effect.
186 
Deferred Income Taxes
Deferred income taxes at December31 related to the following:
| |
| Inmillionsofdollars | 2025 | 2024 | |
| Deferred tax assets | | | |
| Credit loss deduction | $ | 5,755 | $ | 5,477 | |
| Deferred compensation and employee benefits | 2,491 | 2,407 | |
| |
| Investment and loan basis differences | 4,156 | 4,463 | |
| Tax credit and net operating loss carry-forwards | 14,022 | 15,878 | |
| Fixed assets and leases | 5,191 | 4,878 | |
| Other deferred tax assets | 8,195 | 5,993 | |
| Gross deferred tax assets | $ | 39,810 | $ | 39,096 | |
| Valuation allowance | $ | 4,984 | $ | 4,329 | |
| Deferred tax assets after valuation allowance | $ | 34,826 | $ | 34,767 | |
| Deferred tax liabilities | |
| |
| |
| Intangibles and leases | $ | 2,278 | $ | 2,340 | |
| Non-U.S. withholding taxes | 834 | 893 | |
| |
| Debt issuances | 293 | 308 | |
| Other deferred tax liabilities | 1,890 | 1,381 | |
| Gross deferred tax liabilities | $ | 5,295 | $ | 4,922 | |
| Net deferred tax assets | $ | 29,531 | $ | 29,845 | |
Unrecognized Tax BenefitsThe following is a rollforward of the Companys unrecognized tax benefits:
| |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Total unrecognized tax benefits at January1 | $ | 1,309 | $ | 1,277 | $ | 1,311 | |
| Increases for current years tax positions | 33 | 79 | 59 | |
| Increases for prior years tax positions | 18 | 27 | 51 | |
| Decreases for prior years tax positions | (493) | (50) | (138) | |
| Amounts of decreases relating to settlements | (6) | | (3) | |
| Reductions due to lapse of statutes of limitation | | (15) | (4) | |
| Foreign exchange, acquisitions and dispositions | (1) | (9) | 1 | |
| Total unrecognized tax benefits at December31 | $ | 860 | $ | 1,309 | $ | 1,277 | |
The portions of the total unrecognized tax benefits at December 31, 2025, 2024 and 2023 that, if recognized, would affect Citis effective tax rate are $0.8billion, $1.0billion and $1.0 billion in each of the respective years. The remaining uncertain tax positions have offsetting amounts in other jurisdictions or are temporary differences.Interest and penalties (not included in unrecognized tax benefits above) are a component of Provision for income taxes:
| |
| | 2025 | 2024 | 2023 | |
| Inmillionsofdollars | Pretax | Netof tax | Pretax | Netoftax | Pretax | Netoftax | |
| Total accrued interest and penalties at January 1 | $ | 309 | $ | 237 | $ | 271 | $ | 205 | $ | 234 | $ | 176 | |
| Total interest and penalties expense (benefit) | (38) | (31) | 53 | 42 | 47 | 38 | |
| Total accrued interest and penalties at December 31(1) | 266 | 201 | 309 | 237 | 271 | 205 | |
(1)Includes $2 million, $1million and $1 million for non-U.S. penalties in 2025, 2024 and 2023, respectively.As of December 31, 2025, Citi was under audit by the Internal Revenue Service and other major taxing jurisdictions around the world. The following are the major tax jurisdictions in which the Company and its affiliates operate and the earliest tax year subject to examination:
| |
| Jurisdiction | Taxyear | |
| United States | 2016 | |
| New York State and City | 2009 | |
| Brazil | 2022 | |
| Hong Kong | 2024 | |
| India | 2018 | |
| Mexico | 2017 | |
| Singapore | 2024 | |
| United Kingdom | 2016 | |
187 
Non-U.S. Earnings
Non-U.S. pretax earnings approximated $15.8 billion, $19.4 billion and $19.4 billion in 2025, 2024 and 2023, respectively. As a U.S. corporation, Citigroup and its U.S. subsidiaries are currently subject to U.S. taxation on all non-U.S. pretax earnings of non-U.S. branches. Beginning in 2018, there is a separate foreign tax credit (FTC) basket for branches. Also, dividends from a non-U.S. subsidiary or affiliate are effectively exempt from U.S. taxation. The Company provides income taxes on the book over tax basis differences of non-U.S. subsidiaries except to the extent that such differences are indefinitely reinvested outside the U.S. 
At December 31, 2025, $5.9 billion of basis differences of non-U.S. entities was indefinitely reinvested. At the existing tax rates (including withholding taxes), additional taxes (net of U.S. FTCs) of $2.3 billion would have to be provided if such assertions were reversed.
Deferred Tax Assets
As of December 31, 2025, Citi had a valuation allowance of $5.0billion, composed of $2.3 billion on its branch basket FTC carry-forwards, $2.1billion on its U.S. residual DTA related to its non-U.S. branches, $0.4 billion on local non-U.S. DTAs, $0.1 billion on state net operating loss carry-forwards and $0.1billion on state and local residual DTAs related to its non-U.S branches. There was an increase of $0.7billion from the December 31, 2024 balance of $4.3billion. The amount of Citis valuation allowances (VA) may change in future years. 
In 2025, Citis VA for carry-forward FTCs in its branch basket decreased by $1.0billion. 
The level of branch pretax income, the local branch tax rate and the allocations of overall domestic losses (ODL) and expenses for U.S. tax purposes to the branch basket are the main factors in determining the branch VA. There was no branch basket VA release in 2025.
The following table summarizes Citis DTAs:
| |
| Inbillionsofdollars | |
| Jurisdiction/component(1) | DTAs balanceDecember 31, 2025 | DTAs balanceDecember 31, 2024 | |
| Federal(2) | | | |
| Net operating losses (NOLs)(3) | $ | 3.1 | $ | 3.4 | |
| Foreign tax credits (FTCs) | 0.3 | 0.7 | |
| General business credits (GBCs) | 6.2 | 5.8 | |
| Future tax deductions and credits | 13.2 | 12.7 | |
| |
| Total federal | $ | 22.8 | $ | 22.6 | |
| State and local | |
| New York NOLs | $ | 1.1 | $ | 1.4 | |
| Other state NOLs | 0.1 | 0.1 | |
| Future tax deductions | 2.4 | 2.5 | |
| Total state and local | $ | 3.6 | $ | 4.0 | |
| Non-U.S. | |
| NOLs | $ | 0.5 | $ | 0.8 | |
| |
| Future tax deductions | 2.6 | 2.4 | |
| Total non-U.S. | $ | 3.1 | $ | 3.2 | |
| Total | $ | 29.5 | $ | 29.8 | |
(1)All amounts are net of valuation allowances.(2)Included in the net federal DTAs of $22.8 billion as of December 31, 2025 were deferred tax liabilities of $3.0 billion that will reverse in the relevant carry-forward period and may be used to support the DTAs.(3)Consists of non-consolidated tax return NOL carry-forwards that are eventually expected to be utilized in Citigroups consolidated tax return.188 The following table summarizes the amounts of tax carry-forwards and their expiration dates:
| |
| Inbillionsofdollars | |
| Yearofexpiration | December 31, 2025 | December 31, 2024 | |
| U.S. tax return general basket foreign tax credit carry-forwards(1) | | | |
| |
| |
| |
| 2025 | $ | | $ | | |
| 2027 | 0.3 | 0.7 | |
| |
| |
| Total U.S. tax return general basket foreign tax credit carry-forwards | $ | 0.3 | $ | 0.7 | |
| U.S. tax return branch basket foreign tax credit carry-forwards(1) | | |
| 2028 | $ | 0.4 | $ | 0.7 | |
| 2029 | 0.2 | 0.2 | |
| 2033 | 1.3 | 1.4 | |
| 2034 | 0.4 | 1.0 | |
| Total U.S. tax return branch basket foreign tax credit carry-forwards | $ | 2.3 | $ | 3.3 | |
| U.S. tax return general business credit carry-forwards | |
| 2031 | $ | 0.1 | $ | | |
| 2032 | 0.4 | 0.4 | |
| 2033 | 0.3 | 0.3 | |
| 2034 | 0.2 | 0.2 | |
| 2035 | 0.2 | 0.2 | |
| 2036 | 0.2 | 0.2 | |
| 2037 | 0.5 | 0.5 | |
| 2038 | 0.5 | 0.5 | |
| 2039 | 0.7 | 0.7 | |
| 2040 | 0.7 | 0.7 | |
| 2041 | 0.8 | 0.8 | |
| 2042 | 0.7 | 0.7 | |
| 2043 | 0.3 | 0.3 | |
| 2044 | 0.3 | 0.3 | |
| 2045 | 0.3 | | |
| Total U.S. tax return general business credit carry-forwards | $ | 6.2 | $ | 5.8 | |
| U.S. subsidiary separate federal NOL carry-forwards | | |
| 2027 | $ | | $ | 0.1 | |
| 2028 | | 0.1 | |
| 2030 | | 0.3 | |
| |
| 2033 | 1.6 | 1.6 | |
| 2034 | 1.6 | 1.9 | |
| 2035 | 2.8 | 3.3 | |
| 2036 | 2.1 | 2.1 | |
| 2037 | 1.0 | 1.0 | |
| Unlimited carry-forward period | 5.8 | 5.8 | |
| Total U.S. subsidiary separate federal NOL carry-forwards(2) | $ | 14.9 | $ | 16.2 | |
| New York State NOL carry-forwards(2) | | |
| 2034 | $ | 6.4 | $ | 8.1 | |
| |
| |
| |
| |
| |
| |
| |
| New York City NOL carry-forwards(2) | |
| |
| |
| |
| |
| |
| 2034 | $ | 5.7 | $ | 7.2 | |
| |
| |
| Non-U.S. NOL carry-forwards(1) | | |
| Various | $ | 0.9 | $ | 1.1 | |
| |
(1)Before valuation allowance.(2)Pretax.Although realization is not assured, Citi believes that the realization of the recognized net DTAs of $29.5 billion at December 31, 2025 is more-likely-than-not, based on expectations as to future taxable income in the jurisdictions in which the DTAs arise and consideration of available tax planning strategies (as defined in ASC 740, Income Taxes).The majority of Citis U.S. federal net operating loss carry-forward and all of its New York State and City net operating loss carry-forwards are subject to a carry-forward period of 20 years. This provides enough time to fully utilize the DTAs pertaining to these existing NOL carry-forwards. This is due to Citis forecast of sufficient U.S. taxable income and because New York State and City continue to tax Citis non-U.S. income.With respect to the FTCs component of the DTAs, the carry-forward period is 10 years. Utilization of FTCs in any year is generally limited to 21% of foreign source taxable income in that year. However, ODL that Citi has incurred of approximately $10 billion as of December 31, 2025 are allowed to be reclassified as foreign source income to the extent of 50%100% (at taxpayers election) of domestic source income produced in subsequent years. Such resulting foreign source income would help support the realization of the FTC carry-forwards after VA. As noted in the tables above, Citis FTC carry-forwards were $0.3 billion ($2.6 billion before VA) as of December 31, 2025, compared to $0.7 billion ($4.0billion before VA) as of December 31, 2024. The increased VA on branch FTCs is reflected in the Non-U.S. income tax rate differential line in the Tax Rate section above. Citi believes that it will more-likely-than-not generate sufficient U.S. taxable income within the 10-year carry-forward period to be able to utilize the net FTCs after the VA, after considering any FTCs produced in the tax return for such period, which must be used prior to any carry-forward utilization. Income Taxes PaidDetails of the Companys income taxes paid are presented below: 
| |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Federal | $ | (68) | $ | (334) | $ | 47 | |
| State and local | | |
| |
| Other | 271 | 54 | 220 | |
| Total state and local | $ | 271 | $ | 54 | $ | 220 | |
| Non-U.S. | |
| Brazil | NM | $ | 436 | $ | 467 | |
| Hong Kong | NM | 375 | NM | |
| India | $ | 730 | 757 | 942 | |
| Mexico | 1,172 | 534 | 679 | |
| United Kingdom | NM | NM | 575 | |
| Other | 4,409 | 3,976 | 2,797 | |
| Total non-U.S. | $ | 6,311 | $ | 6,078 | $ | 5,460 | |
| Total | $ | 6,514 | $ | 5,798 | $ | 5,727 | |
NM Not meaningful, since the amount of income taxes paid during the year does not meet the 5% disaggregation threshold.189 11.EARNINGS PER SHAREThe following table reconciles the income and share data used in the basic and diluted earnings per share (EPS) computations:
| |
| In millions of dollars, except per share amounts | 2025 | 2024 | 2023 | |
| Earnings per common share | |
| Income from continuing operations before attribution of noncontrolling interests | $ | 14,455 | $ | 12,835 | $ | 9,382 | |
| Less: Noncontrolling interests from continuing operations | 146 | 151 | 153 | |
| Net income from continuing operations (for EPS purposes) | $ | 14,309 | $ | 12,684 | $ | 9,229 | |
| Loss from discontinued operations, net of taxes | (3) | (2) | (1) | |
| Citigroups net income | $ | 14,306 | $ | 12,682 | $ | 9,228 | |
| Less: Preferred dividends | 1,114 | 1,054 | 1,198 | |
| Net income available to common shareholders | $ | 13,192 | $ | 11,628 | $ | 8,030 | |
| Less: Dividends and undistributed earnings allocated to employee restricted and deferred shares with rights to dividends, and other relevant items(1), applicable to basic EPS | 171 | 170 | 180 | |
| Net income allocated to common shareholders for basic EPS | $ | 13,021 | $ | 11,458 | $ | 7,850 | |
| Weighted-average common shares outstanding applicable to basic EPS (in millions) | 1,832.0 | 1,901.4 | 1,930.1 | |
| Basic earnings per share | | | | |
| Income from continuing operations | $ | 7.11 | $ | 6.03 | $ | 4.07 | |
| Discontinued operations | | | | |
| Net income per sharebasic(2) | $ | 7.11 | $ | 6.03 | $ | 4.07 | |
| Diluted earnings per share | | | |
| Net income allocated to common shareholders for basic EPS | $ | 13,021 | $ | 11,458 | $ | 7,850 | |
| Add back: Dividends allocated to employee restricted and deferred shares with rights to dividends that are forfeitable | 76 | 74 | 57 | |
| Net income allocated to common shareholders for diluted EPS | $ | 13,097 | $ | 11,532 | $ | 7,907 | |
| Weighted-average common shares outstanding applicable to basic EPS (in millions) | $ | 1,832.0 | $ | 1,901.4 | $ | 1,930.1 | |
| Effect of dilutive securities(3) | |
| Other employee plans | 41.1 | 38.7 | 25.7 | |
| Adjusted weighted-average common shares outstanding applicable to diluted EPS (in millions) | 1,873.1 | 1,940.1 | 1,955.8 | |
| Diluted earnings per share | |
| Income from continuing operations | $ | 6.99 | $ | 5.95 | $ | 4.04 | |
| Discontinued operations | | | | |
| Net income per sharediluted(2) | $ | 6.99 | $ | 5.94 | $ | 4.04 | |
(1)Other relevant items in 2025 include issuance costs of $4million, $8million and $5million related to the redemption of preferred stock Series V, P and W, respectively. The issuance costs were reclassified from Additional paid-in capital to Retained earnings upon redemption of the preferred stock. See Note 22. The total for this line also includes dividends and undistributed earnings ($153million combined for 2025) allocated to employee restricted and deferred shares with rights to dividends. (2)Due to rounding, earnings per share on continuing operations and discontinued operations may not sum to earnings per share on net income.(3)During 2025, there were 1million weighted-average stock options outstanding; however, they were anti-dilutive and did not impact dilutive securities or EPS above. There were no weighted-average options outstanding during 2024 or 2023. 190 12. SECURITIES BORROWED, LOANED AND SUBJECT TO REPURCHASE AGREEMENTSSecurities borrowed and purchased under agreements to resell, at their respective carrying values, consisted of the following:
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Securities purchased under agreements to resell | $ | 279,722 | $ | 192,950 | |
| Securities borrowed | 76,478 | 81,115 | |
| Total, net(1) | $ | 356,200 | $ | 274,065 | |
| Allowance for credit losses on securities purchased and borrowed(2) | (5) | (3) | |
| Total, net of allowance | $ | 356,195 | $ | 274,062 | |
Securities loaned and sold under agreements to repurchase, at their respective carrying values, consisted of the following:
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Securities sold under agreements to repurchase | $ | 328,196 | $ | 239,767 | |
| Securities loaned | 19,902 | 14,988 | |
| Total, net(1) | $ | 348,098 | $ | 254,755 | |
(1) The above tables do not include securities-for-securities lending transactions of $5.5 billion and $5.2 billion at December 31, 2025 and 2024, respectively, where the Company acts as lender and receives securities that can be sold or pledged as collateral. In these transactions, the Company recognizes the securities received at fair value within Other assets and the obligation to return those securities as a liability within Brokerage payables. (2)See Note 16.191 The following tables present the gross and net resale and repurchase agreements and securities borrowing and lending agreements and the related offsetting amounts permitted under ASC 210-20-45. The tables also include amounts related to financial instruments that are not permitted to be offset under ASC 210-20-45, but would be eligible for offsetting to the extent that an event of default has occurred and a legal opinion supporting enforceability of the offsetting rights has been obtained. Remaining exposures continue to be secured by financial collateral, but the Company may not have sought or been able to obtain a legal opinion evidencing enforceability of the offsetting right.
| |
| | As of December 31, 2025 | |
| In millions of dollars | Gross amountsof recognizedassets | Gross amountsoffset on theConsolidatedBalance Sheet(1)(2) | Net amounts ofassets included onthe ConsolidatedBalance Sheet | Amounts not offset on theConsolidated BalanceSheet but eligible for offsetting uponcounterparty default(2)(3) | Netamounts(4) | |
| Securities purchased under agreements to resell | $ | 667,949 | $ | 388,227 | $ | 279,722 | $ | 273,366 | $ | 6,356 | |
| Securities borrowed | 105,383 | 28,905 | 76,478 | 25,236 | 51,242 | |
| Total | $ | 773,332 | $ | 417,132 | $ | 356,200 | $ | 298,602 | $ | 57,598 | |
| |
| In millions of dollars | Gross amountsof recognizedliabilities | Gross amountsoffset on theConsolidatedBalance Sheet(1)(2) | Net amounts ofliabilities included onthe ConsolidatedBalance Sheet | Amounts not offset on theConsolidated BalanceSheet but eligible foroffsetting uponcounterparty default(2)(3) | Netamounts(4) | |
| Securities sold under agreements to repurchase | $ | 716,423 | $ | 388,227 | $ | 328,196 | $ | 283,624 | $ | 44,572 | |
| Securities loaned | 48,807 | 28,905 | 19,902 | 17,197 | 2,705 | |
| Total | $ | 765,230 | $ | 417,132 | $ | 348,098 | $ | 300,821 | $ | 47,277 | |
| |
| | As of December 31, 2024 | |
| In millions of dollars | Gross amountsof recognizedassets | Gross amountsoffset on theConsolidatedBalance Sheet(1) | Net amounts ofassets included onthe ConsolidatedBalance Sheet | Amounts not offset on theConsolidated BalanceSheet but eligible foroffsetting uponcounterparty default(3) | Netamounts(4) | |
| Securities purchased under agreements to resell | $ | 516,722 | $ | 323,772 | $ | 192,950 | $ | 186,121 | $ | 6,829 | |
| Securities borrowed | 100,442 | 19,327 | 81,115 | 22,228 | 58,887 | |
| Total | $ | 617,164 | $ | 343,099 | $ | 274,065 | $ | 208,349 | $ | 65,716 | |
| |
| In millions of dollars | Gross amountsof recognizedliabilities | Gross amountsoffset on theConsolidatedBalance Sheet(1) | Net amounts ofliabilities included onthe ConsolidatedBalance Sheet | Amounts not offset on theConsolidated BalanceSheet but eligible foroffsetting uponcounterparty default(3) | Netamounts(4) | |
| Securities sold under agreements to repurchase | $ | 563,539 | $ | 323,772 | $ | 239,767 | $ | 193,714 | $ | 46,053 | |
| Securities loaned | 34,315 | 19,327 | 14,988 | 12,317 | 2,671 | |
| Total | $ | 597,854 | $ | 343,099 | $ | 254,755 | $ | 206,031 | $ | 48,724 | |
(1)Includes financial instruments subject to enforceable master netting agreements that are permitted to be offset under ASC 210-20-45.(2)Beginning January 1, 2025, excludes amounts relating to accrued interest. Accrued interest receivable on Securities purchased under agreements to resell (reverse repos) is presented in Other assets and accrued interest payable on Securities sold under agreements to repurchase (repos) is presented in Other liabilities.(3)Includes financial instruments subject to enforceable master netting agreements that are not permitted to be offset under ASC 210-20-45, but would be eligible for offsetting to the extent that an event of default has occurred and a legal opinion supporting enforceability of the offsetting right has been obtained.(4)Remaining exposures continue to be secured by financial collateral, but the Company may not have sought or been able to obtain a legal opinion evidencing enforceability of the offsetting right.192 The following tables present the gross amounts of liabilities associated with repurchase agreements and securities lending agreements by remaining contractual maturity:
| |
| As of December 31, 2025 | |
| In millions of dollars | Open and overnight | Up to 30 days | 3190 days | Greater than 90 days | Total | |
| Securities sold under agreements to repurchase | $ | 359,099 | $ | 232,476 | $ | 53,470 | $ | 71,378 | $ | 716,423 | |
| Securities loaned | 36,757 | 352 | 1,263 | 10,435 | 48,807 | |
| Total | $ | 395,856 | $ | 232,828 | $ | 54,733 | $ | 81,813 | $ | 765,230 | |
| |
| As of December 31, 2024 | |
| In millions of dollars | Open and overnight | Up to 30 days | 3190 days | Greater than 90 days | Total | |
| Securities sold under agreements to repurchase | $ | 299,527 | $ | 154,036 | $ | 46,635 | $ | 63,341 | $ | 563,539 | |
| Securities loaned | 25,898 | 213 | 1,007 | 7,197 | 34,315 | |
| Total | $ | 325,425 | $ | 154,249 | $ | 47,642 | $ | 70,538 | $ | 597,854 | |
The following tables present the gross amounts of liabilities associated with repurchase agreements and securities lending agreements by class of underlying collateral:
| |
| As of December 31, 2025 | |
| In millions of dollars | Repurchase agreements | Securities lending agreements | Total | |
| U.S. Treasury and federal agency securities | $ | 349,012 | $ | 28 | $ | 349,040 | |
| State and municipal securities | 240 | 56 | 296 | |
| Foreign government securities | 208,189 | 226 | 208,415 | |
| Corporate bonds | 24,161 | 163 | 24,324 | |
| Equity securities | 26,779 | 46,792 | 73,571 | |
| Mortgage-backed securities | 100,191 | 21 | 100,212 | |
| Asset-backed securities | 6,203 | 73 | 6,276 | |
| Other | 1,648 | 1,448 | 3,096 | |
| Total | $ | 716,423 | $ | 48,807 | $ | 765,230 | |
| |
| As of December 31, 2024 | |
| In millions of dollars | Repurchase agreements | Securities lending agreements | Total | |
| U.S. Treasury and federal agency securities | $ | 324,233 | $ | 40 | $ | 324,273 | |
| State and municipal securities | 183 | | 183 | |
| Foreign government securities | 132,123 | 1,069 | 133,192 | |
| Corporate bonds | 17,467 | 330 | 17,797 | |
| Equity securities | 18,498 | 32,837 | 51,335 | |
| Mortgage-backed securities | 65,279 | | 65,279 | |
| Asset-backed securities | 2,609 | 23 | 2,632 | |
| Other | 3,147 | 16 | 3,163 | |
| Total | $ | 563,539 | $ | 34,315 | $ | 597,854 | |
193 13. BROKERAGE RECEIVABLES AND BROKERAGE PAYABLESThe Company has receivables and payables for financial instruments sold to and purchased from brokers, dealers and customers, which arise in the ordinary course of business. Citi is exposed to risk of loss from the inability of brokers, dealers or customers to pay for purchases or to deliver the financial instruments sold, in which case Citi would have to sell or purchase the financial instruments at prevailing market prices. Credit risk is reduced to the extent that an exchange or clearing organization acts as a counterparty to the transaction and replaces the broker, dealer or customer in question.Citi seeks to protect itself from the risks associated with customer activities by requiring customers to maintain margin collateral in compliance with regulatory and internal guidelines. Margin levels are monitored daily, and customers deposit additional collateral as required. Where customers cannot meet collateral requirements, Citi may liquidate sufficient underlying financial instruments to bring the customer into compliance with the required margin level.Exposure to credit risk is impacted by market volatility, which may impair the ability of clients to satisfy their obligations to Citi. Credit limits are established and closely monitored for customers and for brokers and dealers engaged in forwards, futures and other transactions deemed to be credit sensitive. Brokerage receivables and Brokerage payables consisted of the following:
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Receivables from customers | $ | 27,953 | $ | 18,512 | |
| Receivables from brokers, dealers and clearing organizations | 34,726 | 32,329 | |
| Total brokerage receivables(1) | $ | 62,679 | $ | 50,841 | |
| Payables to customers | $ | 61,166 | $ | 51,993 | |
| Payables to brokers, dealers and clearing organizations | 13,670 | 14,608 | |
| Total brokerage payables(1) | $ | 74,836 | $ | 66,601 | |
(1) Includes brokerage receivables and payables recorded by Citis broker-dealer entities that are accounted for in accordance with the AICPA Accounting Guide for Brokers and Dealers in Securities as codified in ASC 940-320.194 14.INVESTMENTSThe following table presents Citis investments by category:
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Available-for-sale (AFS) debt securities | $ | 246,720 | $ | 226,876 | |
| Held-to-maturity (HTM) debt securities(1) | 189,831 | 242,382 | |
| Marketable equity securities carried at fair value(2) | 475 | 151 | |
| Non-marketable equity securities carried at fair value(2)(3) | 446 | 427 | |
| Non-marketable equity securities measured using the measurement alternative(4) | 1,707 | 1,574 | |
| Non-marketable equity securities carried at cost(5) | 5,050 | 5,247 | |
| Total investments(6) | $ | 444,229 | $ | 476,657 | |
(1)Carried at adjusted amortized cost basis, net of any ACL.(2)Unrealized gains and losses are recognized in earnings.(3)Includes $37million and $23million of investments in funds for which the fair values are estimated using the net asset value of the Companys ownership interest in the funds at December31, 2025 and 2024, respectively.(4)Impairment losses and adjustments to the carrying value as a result of observable price changes are recognized in earnings. See Non-Marketable Equity Securities Not Carried at Fair Value below.(5)Represents shares issued by the Federal Reserve Bank, Federal Home Loan Banks and certain exchanges of which Citigroup is a member.(6)Not included in the balances above is approximately $2billion of accrued interest receivable at December31, 2025 and 2024, which is included in Other assets on the Consolidated Balance Sheet. The Company does not recognize an allowance for credit losses on accrued interest receivable for AFS and HTM debt securities, consistent with its non-accrual policy, which results in timely write-off of accrued interest. The Company did not reverse through interest income any accrued interest receivables for the years ended December31, 2025 and 2024.The following table presents interest and dividend income on investments:
| |
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Taxable interest | $ | 16,034 | $ | 17,978 | $ | 17,654 | |
| Interest exempt from U.S. federal income tax | 287 | 317 | 334 | |
| Dividend income | 408 | 367 | 312 | |
| Total interest and dividend income on investments | $ | 16,729 | $ | 18,662 | $ | 18,300 | |
The following table presents realized gains and losses on the sales of investments, which exclude impairment losses:
| |
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Gross realized investment gains | $ | 543 | $ | 533 | $ | 324 | |
| Gross realized investment losses | (72) | (205) | (136) | |
| Net realized gains on sales of investments | $ | 471 | $ | 328 | $ | 188 | |
195 Available-for-Sale (AFS) Debt SecuritiesThe amortized cost and fair value of AFS debt securities were as follows: 
| |
| | December 31, 2025 | |
| In millions of dollars | Amortizedcost | Allowance for credit losses | Grossunrealizedgains | Grossunrealizedlosses | Net unrealized gains (losses) | Fairvalue | |
| AFS debt securities(1) | | | | | |
| Mortgage-backed securities(2) | | | | | |
| U.S. government-sponsored agency guaranteed | $ | 36,967 | $ | | $ | 172 | $ | 383 | $ | (211) | $ | 36,756 | |
| Other | 976 | | 1 | 1 | | 976 | |
| Total mortgage-backed securities | $ | 37,943 | $ | | $ | 173 | $ | 384 | $ | (211) | $ | 37,732 | |
| |
| U.S. Treasury | $ | 35,400 | $ | | $ | 93 | $ | 28 | $ | 65 | $ | 35,465 | |
| |
| |
| State and municipal | 1,589 | | 5 | 57 | (52) | 1,537 | |
| Foreign government | 162,801 | | 902 | 596 | 306 | 163,107 | |
| Corporate | 4,734 | 7 | 20 | 56 | (36) | 4,691 | |
| Asset-backed securities(2) | 1,071 | | 8 | 6 | 2 | 1,073 | |
| Other debt securities | 3,113 | | 2 | | 2 | 3,115 | |
| Total AFS debt securities excluding portfolio-layer cumulative basis adjustments | $ | 246,651 | $ | 7 | $ | 1,203 | $ | 1,127 | $ | 76 | $ | 246,720 | |
| Portfolio-layer cumulative basis adjustments(3) | $ | 133 | $ | | $ | | $ | | $ | (133) | $ | | |
| Total AFS debt securities | $ | 246,784 | $ | 7 | $ | 1,203 | $ | 1,127 | $ | (57) | $ | 246,720 | |
| |
| | December 31, 2024 | |
| In millions of dollars | Amortizedcost | Allowance for credit losses | Grossunrealizedgains | Grossunrealizedlosses | Net unrealized gains (losses) | Fairvalue | |
| AFS debt securities(1) | | | | | |
| Mortgage-backed securities(2) | | | | | |
| U.S. government-sponsored agency guaranteed | $ | 30,401 | $ | | $ | 34 | $ | 1,129 | $ | (1,095) | $ | 29,306 | |
| Other | 627 | | | 2 | (2) | 625 | |
| Total mortgage-backed securities | $ | 31,028 | $ | | $ | 34 | $ | 1,131 | $ | (1,097) | $ | 29,931 | |
| |
| U.S. Treasury | $ | 52,630 | $ | | $ | 13 | $ | 264 | $ | (251) | $ | 52,379 | |
| |
| |
| State and municipal | 1,749 | | 12 | 103 | (91) | 1,658 | |
| Foreign government | 134,002 | | 444 | 1,087 | (643) | 133,359 | |
| Corporate | 4,923 | 6 | 19 | 122 | (103) | 4,814 | |
| Asset-backed securities(2) | 856 | | 3 | 11 | (8) | 848 | |
| Other debt securities | 3,887 | | 1 | 1 | | 3,887 | |
| Total AFS debt securities excluding portfolio-layer cumulative basis adjustments | $ | 229,075 | $ | 6 | $ | 526 | $ | 2,719 | $ | (2,193) | $ | 226,876 | |
| Portfolio-layer cumulative basis adjustments(3) | $ | (193) | $ | | $ | | $ | | $ | 193 | $ | | |
| Total AFS debt securities | $ | 228,882 | $ | 6 | $ | 526 | $ | 2,719 | $ | (2,000) | $ | 226,876 | |
(1)Effective December 31, 2025, cumulative basis adjustments in active portfolio-layer method fair value hedges are reported in a separate line item, which were previously included in amortized cost of mortgage-backed securities and disclosed below the table. The prior period was conformed to reflect this change in presentation.(2)The Company invests in mortgage- and asset-backed securities, which are typically issued by VIEs through securitization transactions. The Companys maximum exposure to loss from these VIEs is equal to the carrying amount of the securities, which is reflected in the tables above. See Note 23 for mortgage- and asset-backed securitizations in which the Company has other involvement.(3)Represents the cumulative basis adjustments in active portfolio-layer method fair value hedges of AFS debt securities in closed portfolios, which are not allocated to individual securities. See Note 24.At December31, 2025, the amortized cost of AFS debt securities for those in a loss position exceeded their fair value by $1,127 million. Of the $1,127 million, $416million represented unrealized losses on AFS debt securities that have been in a gross unrealized loss position for less than a year and, of these, 67% were rated investment grade; and $711million represented unrealized losses on AFS debt securities that have been in a gross unrealized loss position for a year or more and, of these, 83% were rated investment grade. Of the $711 million, $336 million represents foreign government securities.196 The following table presents the fair value of AFS debt securities that have been in an unrealized loss position:
| |
| | Less than 12months | 12months or longer | Total | |
| In millions of dollars | Fairvalue | Grossunrealizedlosses | Fairvalue | Grossunrealizedlosses | Fairvalue | Grossunrealizedlosses | |
| December 31, 2025 | | | | | | | |
| AFS debt securities(1) | | | | | | | |
| Mortgage-backed securities | | | | | | | |
| U.S. government-sponsored agency guaranteed | $ | 8,475 | $ | 110 | $ | 7,156 | $ | 273 | $ | 15,631 | $ | 383 | |
| Other | 28 | | 413 | 1 | 441 | 1 | |
| Total mortgage-backed securities | $ | 8,503 | $ | 110 | $ | 7,569 | $ | 274 | $ | 16,072 | $ | 384 | |
| |
| U.S. Treasury | $ | 1,888 | $ | 6 | $ | 766 | $ | 22 | $ | 2,654 | $ | 28 | |
| |
| |
| State and municipal | 555 | 9 | 661 | 48 | 1,216 | 57 | |
| Foreign government | 42,828 | 260 | 14,394 | 336 | 57,222 | 596 | |
| Corporate | 266 | 25 | 1,400 | 31 | 1,666 | 56 | |
| Asset-backed securities | 537 | 6 | | | 537 | 6 | |
| Other debt securities | | | 85 | | 85 | | |
| Total AFS debt securities(2) | $ | 54,577 | $ | 416 | $ | 24,875 | $ | 711 | $ | 79,452 | $ | 1,127 | |
| December 31, 2024 | | | | | | | |
| AFS debt securities(1) | | | | | | | |
| Mortgage-backed securities | | | | | | | |
| U.S. government-sponsored agency guaranteed | $ | 17,532 | $ | 304 | $ | 8,484 | $ | 825 | $ | 26,016 | $ | 1,129 | |
| Other | 375 | 1 | 217 | 1 | 592 | 2 | |
| Total mortgage-backed securities | $ | 17,907 | $ | 305 | $ | 8,701 | $ | 826 | $ | 26,608 | $ | 1,131 | |
| |
| U.S. Treasury | $ | 13,660 | $ | 166 | $ | 1,710 | $ | 98 | $ | 15,370 | $ | 264 | |
| |
| |
| State and municipal | 855 | 72 | 335 | 31 | 1,190 | 103 | |
| Foreign government | 49,384 | 487 | 19,719 | 600 | 69,103 | 1,087 | |
| Corporate | 455 | 45 | 2,444 | 77 | 2,899 | 122 | |
| Asset-backed securities | 388 | 11 | | | 388 | 11 | |
| Other debt securities | 1,098 | | 939 | 1 | 2,037 | 1 | |
| Total AFS debt securities(2) | $ | 83,747 | $ | 1,086 | $ | 33,848 | $ | 1,633 | $ | 117,595 | $ | 2,719 | |
(1) Effective December 31, 2025, gross unrealized losses exclude the effect of cumulative basis adjustments in active portfolio-layer method fair value hedges, which previously included the effect of the cumulative basis adjustments. The prior period was conformed to reflect this change in presentation.(2)Gross unrealized losses exclude the effect of the cumulative basis adjustments in active portfolio-layer method fair value hedges.197 The following table presents the amortized cost and fair value of AFS debt securities by contractual maturity dates:
| |
| | December 31, 2025 | |
| In millions of dollars | Amortizedcost | Fair value | Weighted- average yield(1) | |
| Mortgage-backed securities(2) | | | |
| Due within 1year | $ | 33 | $ | 33 | 4.56 | % | |
| After 1 but within 5years | 1,205 | 1,205 | 3.90 | |
| After 5 but within 10years | 708 | 697 | 3.97 | |
| After 10years | 35,997 | 35,797 | 4.69 | |
| Total | $ | 37,943 | $ | 37,732 | 4.65 | % | |
| U.S. Treasury and federal agency securities | | | |
| Due within 1year | $ | 17,007 | $ | 17,004 | 3.01 | % | |
| After 1 but within 5years | 18,169 | 18,252 | 4.14 | |
| After 5 but within 10years | 224 | 209 | 3.18 | |
| After 10years | | | | |
| Total | $ | 35,400 | $ | 35,465 | 3.59 | % | |
| State and municipal | | | |
| Due within 1year | $ | 69 | $ | 69 | 3.44 | % | |
| After 1 but within 5years | 71 | 68 | 3.42 | |
| After 5 but within 10years | 340 | 334 | 3.97 | |
| After 10years | 1,109 | 1,066 | 3.74 | |
| Total | $ | 1,589 | $ | 1,537 | 3.76 | % | |
| Foreign government | | | |
| Due within 1year | $ | 70,667 | $ | 70,659 | 4.07 | % | |
| After 1 but within 5years | 86,623 | 87,022 | 4.58 | |
| After 5 but within 10years | 5,008 | 4,980 | 4.74 | |
| After 10years | 503 | 446 | 3.80 | |
| Total | $ | 162,801 | $ | 163,107 | 4.36 | % | |
| All other(3) | | | |
| Due within 1year | $ | 4,283 | $ | 4,266 | 2.78 | % | |
| After 1 but within 5years | 3,925 | 3,927 | 3.88 | |
| After 5 but within 10years | 659 | 658 | 1.63 | |
| After 10years | 51 | 28 | 0.76 | |
| Total | $ | 8,918 | $ | 8,879 | 3.17 | % | |
| Total AFS debt securities | $ | 246,651 | $ | 246,720 | 4.25 | % | |
(1)Weighted-average yields are weighted based on the amortized cost of each security. The effective yield considers the contractual coupon, amortization of premiums and accretion of discounts and excludes the effects of any related hedging derivatives.(2)Includes mortgage-backed securities of U.S. government-sponsored agencies. The Company invests in mortgage- and asset-backed securities, which are typically issued by VIEs through securitization transactions. See Note 23 for additional information about mortgage- and asset-backed securitizations in which the Company has other involvement.(3)Includes corporate, asset-backed and other debt securities.198 Held-to-Maturity (HTM) Debt SecuritiesThe carrying value and fair value of HTM debt securities were as follows:
| |
| In millions of dollars | Amortized cost, net(1) | Grossunrealizedgains | Grossunrealizedlosses | Fairvalue | |
| December 31, 2025 | | | | | |
| HTM debt securities | | | | | |
| Mortgage-backed securities(2) | | | | | |
| U.S. government-sponsored agency guaranteed | $ | 65,631 | $ | 3 | $ | 6,834 | $ | 58,800 | |
| |
| Other | 1,288 | 21 | 115 | 1,194 | |
| Total mortgage-backed securities | $ | 66,919 | $ | 24 | $ | 6,949 | $ | 59,994 | |
| U.S. Treasury securities | $ | 89,494 | $ | | $ | 3,010 | $ | 86,484 | |
| State and municipal | 8,608 | 40 | 469 | 8,179 | |
| Foreign government | 790 | 20 | | 810 | |
| Asset-backed securities(2) | 24,020 | 72 | 39 | 24,053 | |
| Total HTM debt securities, net | $ | 189,831 | $ | 156 | $ | 10,467 | $ | 179,520 | |
| December 31, 2024 | | | | | |
| HTM debt securities | | | | | |
| Mortgage-backed securities(2) | | | | | |
| U.S. government-sponsored agency guaranteed | $ | 72,542 | $ | | $ | 10,291 | $ | 62,251 | |
| |
| Other | 1,247 | 12 | 151 | 1,108 | |
| Total mortgage-backed securities | $ | 73,789 | $ | 12 | $ | 10,442 | $ | 63,359 | |
| U.S. Treasury securities | $ | 126,142 | $ | | $ | 6,934 | $ | 119,208 | |
| State and municipal | 8,903 | 27 | 668 | 8,262 | |
| Foreign government | 988 | 3 | | 991 | |
| Asset-backed securities(2) | 32,560 | 91 | 61 | 32,590 | |
| Total HTM debt securities, net | $ | 242,382 | $ | 133 | $ | 18,105 | $ | 224,410 | |
(1)Amortized cost is reported net of ACL of $146million and $137million at December31, 2025 and 2024, respectively.(2)The Company invests in mortgage- and asset-backed securities. These securitizations are generally considered VIEs. The Companys maximum exposure to loss from these VIEs is equal to the carrying amount of the securities, which is reflected in the table above. See Note 23 for mortgage- and asset-backed securitizations in which the Company has other involvement.The Company has the positive intent and ability to hold these securities to maturity or, where applicable, until the exercise of any issuer call option, absent any unforeseen significant changes in circumstances, including deterioration in credit or changes in regulatory capital requirements.The net unrealized losses classified in AOCI for HTM debt securities primarily relate to debt securities previously classified as AFS that were transferred to HTM, and include any cumulative fair value hedge adjustments. The net unrealized loss amount also includes any non-credit-related changes in fair value of HTM debt securities that have suffered credit impairment recorded in earnings. The AOCI balance related to HTM debt securities is amortized as an adjustment of yield, in a manner consistent with the accretion of any difference between the carrying value at the transfer date and par value of the same debt securities. 199 The following table presents the carrying value and fair value of HTM debt securities by contractual maturity dates:
| |
| | December 31, 2025 | |
| In millions of dollars | Amortizedcost(1) | Fairvalue | Weighted- average yield(2) | |
| Mortgage-backed securities | | | |
| Due within 1year | $ | 138 | $ | 137 | 2.05 | % | |
| After 1 but within 5years | 1,042 | 1,005 | 2.79 | |
| After 5 but within 10years | 1,057 | 1,012 | 2.78 | |
| After 10years | 64,682 | 57,840 | 2.90 | |
| Total | $ | 66,919 | $ | 59,994 | 2.89 | % | |
| U.S. Treasury securities | |
| Due within 1year | $ | 35,893 | $ | 35,349 | 0.98 | % | |
| After 1 but within 5years | 53,601 | 51,135 | 1.29 | |
| After 5 but within 10years | | | | |
| After 10years | | | | |
| Total | $ | 89,494 | $ | 86,484 | 1.16 | % | |
| State and municipal | | | |
| Due within 1year | $ | 16 | $ | 16 | 2.88 | % | |
| After 1 but within 5years | 294 | 294 | 3.46 | |
| After 5 but within 10years | 2,360 | 2,298 | 3.19 | |
| After 10years | 5,938 | 5,571 | 3.78 | |
| Total | $ | 8,608 | $ | 8,179 | 3.60 | % | |
| Foreign government | | | |
| Due within 1year | $ | 182 | $ | 182 | 7.08 | % | |
| After 1 but within 5years | 608 | 628 | 7.50 | |
| After 5 but within 10years | | | | |
| After 10 years | | | | |
| Total | $ | 790 | $ | 810 | 7.40 | % | |
| All other(3) | | | |
| Due within 1year | $ | | $ | | | % | |
| After 1 but within 5years | | | | |
| After 5 but within 10years | 3,337 | 3,338 | 5.22 | |
| After 10years | 20,683 | 20,715 | 5.20 | |
| Total | $ | 24,020 | $ | 24,053 | 5.21 | % | |
| Total HTM debt securities | $ | 189,831 | $ | 179,520 | 2.42 | % | |
(1)Amortized cost is reported net of ACL of $146million at December31, 2025.(2)Weighted-average yields are weighted based on the amortized cost of each security. The effective yield considers the contractual coupon, amortization of premiums and accretion of discounts and excludes the effects of any related hedging derivatives.(3)Includes corporate and asset-backed securities.HTM Debt Securities Delinquency and Non-AccrualDetailsThe total amounts of HTM debt securities that were delinquent or on non-accrual status were not significant at December31, 2025 and 2024.There were no purchased credit-deteriorated HTM debt securities held by the Company as of December31, 2025 and 2024.200 Recognition and Measurement of ImpairmentThe following table presents total impairment on AFS investments recognized in earnings: 
| |
| Year ended | |
| In millions of dollars | 2025 | 2024 | 2023 | |
| |
| |
| |
| |
| |
| Impairment losses recognized in earnings for debt securities that the Company intends to sell, would more-likely-than-not be required to sell or will be subject to an issuer call deemed probable of exercise | $ | 184 | $ | 323 | $ | 188 | |
| Total impairment losses recognized in earnings | $ | 184 | $ | 323 | $ | 188 | |
Allowance for Credit Losses on AFS Debt SecuritiesThe allowance for credit losses on AFS debt securities held that the Company does not intend to sell nor will likely be required to sell was $7million and $6million as of December31, 2025 and 2024, respectively. Non-Marketable Equity Securities Not Carried at Fair ValueNon-marketable equity securities are required to be measured at fair value with changes in fair value recognized in earnings unless (i) the measurement alternative is elected or (ii) the investment represents Federal Reserve Bank and Federal Home Loan Bank stock or certain exchange seats that continue to be carried at cost. The election to measure a non-marketable equity security using the measurement alternative is made on an instrument-by-instrument basis. Under the measurement alternative, an equity security is carried at cost plus or minus changes resulting from observable prices in orderly transactions for the identical or a similar investment of the same issuer. The carrying value of the equity security is adjusted to fair value on the date of an observed transaction. Fair value may differ from the observed transaction price due to a number of factors, including marketability adjustments and differences in rights and obligations when the observed transaction is not for the identical investment held by Citi.Equity securities under the measurement alternative, which are composed of private equity investments, are also assessed for impairment. On a quarterly basis, management qualitatively assesses whether each equity security under the measurement alternative is impaired. Impairment indicators that are considered include, but are not limited to, the following: a significant deterioration in the earnings performance, credit rating, asset quality or business prospects of the investeea significant adverse change in the regulatory, economic or technological environment of the investeea significant adverse change in the general market condition of either the geographical area or the industry in which the investee operatesa bona fide offer to purchase, an offer by the investee to sell or a completed auction process for the same or similar investment for an amount less than the carrying amount of that investmentfactors that raise significant concerns about the investees ability to continue as a going concern, such as negative cash flows from operations, working capital deficiencies or noncompliance with statutory capital requirements or debt covenantsWhen the qualitative assessment indicates that the equity security is impaired, its fair value is determined. If the fair value of the investment is less than its carrying value, the investment is written down to fair value through earnings.Below is the carrying value of non-marketable equity securities measured using the measurement alternative:
| |
| In millions of dollars | December 31, 2025 | December 31, 2024 | |
| Measurement alternative: | |
| Carrying value | $ | 1,707 | $ | 1,574 | |
Below are amounts recognized in earnings and life-to-date amounts for non-marketable equity securities measured using the measurement alternative:
| |
| Year ended December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Measurement alternative(1): | |
| Impairment losses | $ | 154 | $ | 108 | |
| Downward changes for observable prices | 2 | 5 | |
| Upward changes for observable prices | 96 | 84 | |
(1) See Note 26 for additional information on these nonrecurring fair value measurements. 
| |
| Life-to-date amounts on securities still held | |
| In millions of dollars | December 31, 2025 | |
| Measurement alternative: | |
| Impairment losses | $ | 555 | |
| Downward changes for observable prices | 40 | |
| Upward changes for observable prices | 1,062 | |
A similar impairment analysis is performed for non-marketable equity securities carried at cost. For the years ended December31, 2025 and 2024, there was no impairment loss recognized in earnings for non-marketable equity securities carried at cost.201 15.LOANSCitigroup loans are reported in two categories: corporate and consumer. These categories are classified primarily according to the segment that manages the loans (or, if applicable, All OtherLegacy Franchises), in addition to the nature of the obligor, with corporate loans generally made for corporate, institutional and public sector clients and consumer loans to retail and small business customers.CORPORATE LOANSCorporate loans represent loans and leases managed by Services, Markets, Banking and the Mexico SBMM portion of All OtherLegacy Franchises. The following table presents information by corporate loan type:
| |
| In millions of dollars | December 31,2025 | December 31,2024 | |
| In North America offices(1) | | | |
| Commercial and industrial | $ | 57,406 | $ | 57,730 | |
| Financial institutions | 72,154 | 41,815 | |
| Mortgage and real estate(2) | 17,931 | 18,411 | |
| Installment and other(3) | 23,104 | 25,529 | |
| Lease financing | 72 | 235 | |
| Total | $ | 170,667 | $ | 143,720 | |
| In offices outside North America(1) | | |
| Commercial and industrial | $ | 96,886 | $ | 92,856 | |
| Financial institutions | 27,054 | 27,276 | |
| Mortgage and real estate(2) | 9,856 | 8,136 | |
| Installment and other(3) | 34,100 | 25,800 | |
| Lease financing | 47 | 40 | |
| Governments and official institutions | 5,070 | 3,630 | |
| Total | $ | 173,013 | $ | 157,738 | |
| Corporate loans, net of unearned income, excluding portfolio-layer hedges cumulative basis adjustments(4)(5)(6) | $ | 343,680 | $ | 301,458 | |
| Unallocated portfolio-layer hedges cumulative basis adjustments(7) | $ | 17 | $ | (72) | |
| Corporate loans, net of unearned income(4)(5)(6) | $ | 343,697 | $ | 301,386 | |
(1)North America includes the U.S., Canada and Puerto Rico. Mexico is included in offices outside North America. The classification between offices in North America and outside North America is based on the domicile of the booking unit. The difference between the domicile of the booking unit and the risk-based country view is not material for the purposes of classification of corporate loans between offices in North America and outside North America.(2)Loans secured primarily by real estate.(3)Installment and other includes loans to SPEs and TTS commercial cards.(4)Corporate loans are net of unearned income of ($1.1)billion and ($969) million at December31, 2025 and 2024, respectively. Unearned income on corporate loans primarily represents loan origination fees, net of certain direct origination costs, that are deferred and recognized as Interest income over the lives of the related loans. (5)Not included in the balances above is approximately $2billion of accrued interest receivable at December31, 2025 and 2024, which is included in Other assets on the Consolidated Balance Sheet. (6)Accrued interest receivable considered to be uncollectible is reversed through interest income. Amounts reversed were not material for the years ended December31, 2025 and 2024. (7)Represents fair value hedge basis adjustments related to portfolio-layer method hedges of mortgage and real estate loans, which are not allocated to individual loans in the portfolio. See Note 24.The Company sold and/or reclassified to held-for-sale $4.9 billion and $5.2 billion of corporate loans during the years ended December31, 2025 and 2024, respectively. The Company did not have significant purchases of corporate loans classified as held-for-investment for the years ended December31, 2025 or 2024.202 Delinquency StatusCiti generally does not manage corporate loans on a delinquency basis. See LoansCorporate Loans and Allowance for Credit Losses (ACL)Corporate Loans, HTM Securities and Other Assets in Note 1 for Citis policies related to corporate loans, including its non-accrual policy.While corporate loans are generally managed based on their internally assigned risk rating (see further discussion below), the following tables present delinquency information by corporate loan type: Corporate Loan Delinquencies and Non-Accrual Details at December31, 2025
| |
| In millions of dollars | 3089dayspastdueandaccruing(1) | 90dayspastdueandaccruing(1) | Totalpastdueandaccruing | Totalnon-accrual(2) | Totalcurrent(3) | Totalloans(4) | |
| Commercial and industrial | $ | 162 | $ | 53 | $ | 215 | $ | 1,141 | $ | 150,416 | $ | 151,772 | |
| Financial institutions | 5 | | 5 | 65 | 98,808 | 98,878 | |
| Mortgage and real estate | 35 | 2 | 37 | 627 | 27,122 | 27,786 | |
| Lease financing | | 1 | 1 | | 118 | 119 | |
| Other | 107 | 8 | 115 | 168 | 58,038 | 58,321 | |
| Loans at fair value | N/A | N/A | N/A | N/A | N/A | 6,804 | |
| |
| Total(5) | $ | 309 | $ | 64 | $ | 373 | $ | 2,001 | $ | 334,502 | $ | 343,680 | |
Corporate Loan Delinquencies and Non-Accrual Details at December31, 2024
| |
| In millions of dollars | 3089dayspastdueandaccruing(1) | 90dayspastdueandaccruing(1) | Totalpastdueandaccruing | Totalnon-accrual(2) | Totalcurrent(3) | Totalloans(4) | |
| Commercial and industrial | $ | 183 | $ | 35 | $ | 218 | $ | 542 | $ | 147,914 | $ | 148,674 | |
| Financial institutions | 8 | | 8 | 73 | 68,297 | 68,378 | |
| Mortgage and real estate | 6 | 2 | 8 | 567 | 25,971 | 26,546 | |
| Lease financing | | 1 | 1 | | 275 | 276 | |
| Other | 62 | 16 | 78 | 195 | 49,552 | 49,825 | |
| Loans at fair value | N/A | N/A | N/A | N/A | N/A | 7,759 | |
| |
| Total(5) | $ | 259 | $ | 54 | $ | 313 | $ | 1,377 | $ | 292,009 | $ | 301,458 | |
(1)Corporate loans that are 90days or more past due are generally classified as non-accrual. Corporate loans are considered past due when principal or interest is contractually due but unpaid.(2)Non-accrual loans generally include those loans that are 90days or more past due or those loans for which Citi believes, based on actual experience and a forward-looking assessment of the collectibility of the loan in full, that the payment of interest and/or principal is doubtful.(3)Loans less than 30days past due are presented as current.(4)The Total loans column includes loans at fair value, which are not included in the various delinquency columns and, therefore, the tables total rows will not cross-foot. (5)Excludes $17 million and $(72)million of unallocated portfolio-layer hedges cumulative basis adjustments at December31, 2025 and 2024, respectively.N/A Not applicableCitigroup has a risk management process to monitor, evaluate and manage the principal risks associated with its corporate loan portfolio. As part of its risk management process, Citi assigns numeric risk ratings to its corporate loan facilities based on quantitative and qualitative assessments of the obligor and facility. These risk ratings are reviewed at least annually or more often if material events related to the obligor or facility warrant. Factors considered in assigning the risk ratings include the following:financial condition of the obligorqualitative assessment of management and strategyamount and sources of repaymentamount and type of collateral and guarantee arrangementsamount and type of any contingencies associated with the obligorthe obligors industry and geographyThe obligor risk ratings are defined by ranges of default probabilities. The facility risk ratings are defined by ranges of loss norms, which are the product of the probability of default and the loss given default. The investment-grade rating categories are similar to the category BBB-/Baa3 and above as defined by S&P and Moodys. Loans classified according to the bank regulatory definitions as special mention, substandard, doubtful and loss will have risk ratings within the non-investment-grade categories.203 Corporate Loan Credit Quality Indicators 
| |
| | Recorded investment in loans(1) | |
| Term loans by year of origination | Revolving line of credit arrangements(2) | December 31,2025 | |
| In millions of dollars | 2025 | 2024 | 2023 | 2022 | 2021 | Prior | |
| Investment grade(3) | | |
| Commercial and industrial(4) | $ | 40,283 | $ | 7,840 | $ | 5,461 | $ | 3,774 | $ | 2,051 | $ | 3,468 | $ | 28,011 | $ | 90,888 | |
| Financial institutions(4) | 24,577 | 3,979 | 2,525 | 920 | 486 | 1,356 | 51,813 | 85,656 | |
| Mortgage and real estate | 6,073 | 4,968 | 3,738 | 1,830 | 1,483 | 1,482 | 405 | 19,979 | |
| Other(5) | 12,869 | 3,682 | 2,448 | 1,907 | 538 | 3,891 | 26,663 | 51,998 | |
| Total investment grade | $ | 83,802 | $ | 20,469 | $ | 14,172 | $ | 8,431 | $ | 4,558 | $ | 10,197 | $ | 106,892 | $ | 248,521 | |
| Non-investment grade(3) | | |
| Accrual | | |
| Commercial and industrial(4) | $ | 27,614 | $ | 4,692 | $ | 3,746 | $ | 2,235 | $ | 634 | $ | 2,384 | $ | 18,438 | $ | 59,743 | |
| Financial institutions(4) | 4,189 | 989 | 604 | 115 | 246 | 190 | 6,824 | 13,157 | |
| Mortgage and real estate | 951 | 823 | 907 | 1,312 | 1,014 | 1,602 | 571 | 7,180 | |
| Other(5) | 2,964 | 337 | 408 | 183 | 46 | 272 | 2,064 | 6,274 | |
| Non-accrual | |
| Commercial and industrial(4) | 216 | 4 | 99 | 70 | 35 | 61 | 656 | 1,141 | |
| Financial institutions | | | | | 43 | | 22 | 65 | |
| Mortgage and real estate | 3 | | 41 | 199 | 4 | 344 | 36 | 627 | |
| Other(5) | 78 | 14 | 16 | 4 | 13 | 8 | 35 | 168 | |
| Total non-investment grade | $ | 36,015 | $ | 6,859 | $ | 5,821 | $ | 4,118 | $ | 2,035 | $ | 4,861 | $ | 28,646 | $ | 88,355 | |
| Loans at fair value(6) | $ | 6,804 | |
| Corporate loans, net of unearned income(7) | $ | 119,817 | $ | 27,328 | $ | 19,993 | $ | 12,549 | $ | 6,593 | $ | 15,058 | $ | 135,538 | $ | 343,680 | |
204 
| |
| | Recorded investment in loans(1) | |
| Term loans by year of origination | Revolving line of credit arrangements(2) | December 31, 2024 | |
| In millions of dollars | 2024 | 2023 | 2022 | 2021 | 2020 | Prior | |
| Investment grade(3) | | |
| Commercial and industrial(4) | $ | 36,039 | $ | 8,101 | $ | 5,035 | $ | 2,492 | $ | 1,225 | $ | 4,853 | $ | 32,862 | $ | 90,607 | |
| Financial institutions(4) | 13,074 | 2,136 | 1,162 | 326 | 265 | 1,500 | 41,415 | 59,878 | |
| Mortgage and real estate | 5,325 | 3,927 | 3,269 | 2,537 | 1,460 | 1,533 | 248 | 18,299 | |
| Other(5) | 5,773 | 2,643 | 4,036 | 822 | 1,156 | 5,578 | 24,623 | 44,631 | |
| Total investment grade | $ | 60,211 | $ | 16,807 | $ | 13,502 | $ | 6,177 | $ | 4,106 | $ | 13,464 | $ | 99,148 | $ | 213,415 | |
| Non-investment grade(3) | |
| Accrual | |
| Commercial and industrial(4) | $ | 24,937 | $ | 5,082 | $ | 3,576 | $ | 1,583 | $ | 318 | $ | 2,560 | $ | 19,468 | $ | 57,524 | |
| Financial institutions(4) | 4,103 | 529 | 255 | 655 | 41 | 355 | 2,489 | 8,427 | |
| Mortgage and real estate | 801 | 1,112 | 1,936 | 1,400 | 770 | 1,190 | 472 | 7,681 | |
| Other(5) | 1,227 | 592 | 427 | 261 | 190 | 274 | 2,304 | 5,275 | |
| Non-accrual | |
| Commercial and industrial | 43 | 78 | 48 | 17 | 7 | 44 | 305 | 542 | |
| Financial institutions(4) | | | | 55 | | | 18 | 73 | |
| Mortgage and real estate | 16 | 2 | 104 | 107 | 28 | 279 | 31 | 567 | |
| Other(5) | 1 | | 1 | 18 | | 19 | 156 | 195 | |
| Total non-investment grade | $ | 31,128 | $ | 7,395 | $ | 6,347 | $ | 4,096 | $ | 1,354 | $ | 4,721 | $ | 25,243 | $ | 80,284 | |
| Loans at fair value(6) | $ | 7,759 | |
| Corporate loans, net of unearned income(7) | $ | 91,339 | $ | 24,201 | $ | 19,849 | $ | 10,274 | $ | 5,460 | $ | 18,185 | $ | 124,391 | $ | 301,458 | |
(1)Recorded investment in a loan includes net deferred loan fees and costs, unamortized premium or discount, less any direct write-downs.(2)There were no significant revolving line of credit arrangements that converted to term loans during the year.(3)Held-for-investment loans are accounted for on an amortized cost basis.(4)Includes certain short-term loans with less than one year in tenor.(5)Other includes installment and other, lease financing and loans to governments and official institutions. (6)Loans at fair value include loans to commercial and industrial, financial institutions, mortgage and real estate and other.(7)Excludes $17 million and $(72)million of unallocated portfolio-layer hedges cumulative basis adjustments at December31, 2025 and 2024, respectively.205 Corporate Gross Credit LossesThe tables below detail gross credit losses recognized during the years ended December31, 2025 and 2024, by year of loan origination:
| |
| | For the year ended December31, 2025 | |
| In millions of dollars | 2025 | 2024 | 2023 | 2022 | 2021 | Prior | Revolving line of credit arrangement | Total | |
| Commercial and industrial | $ | 24 | $ | 5 | $ | | $ | | $ | | $ | 6 | $ | 139 | $ | 174 | |
| Financial institutions | | | | | | | 9 | 9 | |
| Mortgage and real estate | | | | | | 12 | 10 | 22 | |
| Other(1) | 7 | | 141 | | 62 | 2 | 25 | 237 | |
| Total | $ | 31 | $ | 5 | $ | 141 | $ | | $ | 62 | $ | 20 | $ | 183 | $ | 442 | |
| |
| | For the year ended December31, 2024 | |
| In millions of dollars | 2024 | 2023 | 2022 | 2021 | 2020 | Prior | Revolving line of credit arrangement | Total | |
| Commercial and industrial | $ | 18 | $ | 2 | $ | 3 | $ | 9 | $ | 20 | $ | 15 | $ | 184 | $ | 251 | |
| Financial institutions | | | | | | 1 | 9 | 10 | |
| Mortgage and real estate | 1 | 37 | 11 | 1 | | 85 | 29 | 164 | |
| Other(1) | 1 | | | 12 | | 17 | 38 | 68 | |
| Total | $ | 20 | $ | 39 | $ | 14 | $ | 22 | $ | 20 | $ | 118 | $ | 260 | $ | 493 | |
(1)Other includes installment and other, lease financing and loans to governments and official institutions.Non-Accrual Corporate Loans 
| |
| | December 31, 2025 | December 31, 2024 | |
| In millions of dollars | Recordedinvestment(1)(2) | Related specificallowance | Recordedinvestment(1)(2) | Related specificallowance | |
| Non-accrual corporate loans with specific allowances | | | | | |
| Commercial and industrial | $ | 788 | $ | 295 | $ | 199 | $ | 86 | |
| Financial institutions | | | | | |
| Mortgage and real estate | 44 | 4 | 276 | 42 | |
| Other | 121 | 24 | 185 | 174 | |
| Total non-accrual corporate loans with specific allowances | $ | 953 | $ | 323 | $ | 660 | $ | 302 | |
| Non-accrual corporate loans without specific allowances | | | | | |
| Commercial and industrial | $ | 353 | $ | 343 | | |
| Financial institutions | 65 | 73 | | |
| Mortgage and real estate | 583 | 291 | | |
| Lease financing | | | | |
| Other | 47 | 10 | | |
| Total non-accrual corporate loans without specific allowances | $ | 1,048 | N/A | $ | 717 | N/A | |
(1)Recorded investment in a loan includes net deferred loan fees and costs, unamortized premium or discount, less any direct write-downs.
(2)Interest income recognized for the years ended December 31, 2025, 2024 and 2023 was $35million, $65million and $38million, respectively.
N/A Not applicable
206 
Corporate Loan Modifications to Borrowers Experiencing Financial Difficulty 
Citi evaluates and may modify certain corporate loans to borrowers experiencing financial difficulty to reduce Citis exposure to loss, often providing the borrower with an opportunity to work through financial difficulties. Each modification is unique to the borrowers individual circumstances. The following tables detail corporate loan 
modifications granted during the years ended December31, 2025 and 2024 to borrowers experiencing financial difficulty by type of modification granted and the financial effect of those modifications. Citi defines a corporate loan modification to a borrower experiencing financial difficulty as a modification of a loan classified as substandard or worse at the time of modification.
| |
| For the year ended December31, 2025 | |
| In millions of dollars, except weighted-average term extension | Total modifications balance at December31, 2025(1)(2)(3) | Term extension | Combination:Term extension and payment delay(4) | Weighted-average term extension(months) | |
| Commercial and industrial | $ | 286 | $ | 286 | $ | | 14 | |
| Financial institutions | | | | | |
| Mortgage and real estate | 77 | 77 | | 40 | |
| Other(5) | 6 | 6 | | 49 | |
| Total | $ | 369 | $ | 369 | $ | | |
| |
| For the year ended December31, 2024 | |
| In millions of dollars, except weighted-average term extension | Total modifications balance at December 31, 2024(1)(2)(3) | Term extension | Combination:Term extension and payment delay(4) | Weighted-average term extension(months) | |
| Commercial and industrial | $ | 251 | $ | 251 | $ | | 16 | |
| Financial institutions | | | | | |
| Mortgage and real estate | 105 | 105 | | 18 | |
| Other(5) | | | | | |
| |
| Total | $ | 356 | $ | 356 | $ | | |
(1)The above tables reflect activity for loans outstanding as of the end of the reporting period. The balances are not significant as a percentage of the total carrying values of loans by class of receivable as of December31, 2025 and 2024.(2)Commitments to lend to borrowers experiencing financial difficulty that were granted modifications totaled $418million and $878million as of December31, 2025 and 2024, respectively.(3)The allowance for corporate loans, including modified loans, is based on the borrowers overall financial performance. Charge-offs for amounts deemed uncollectible may be recorded at the time of the modification or may have already been recorded in prior periods such that no charge-off is required at the time of modification.(4)Payment delays either for principal or interest payments had an immaterial financial impact. (5)Other includes installment and other, lease financing and loans to governments and official institutions.207 Performance of Modified Corporate LoansThe following tables present the delinquencies of modified corporate loans to borrowers experiencing financial difficulty, including loans that were modified during the 12 months ended December31, 2025 and 2024:
| |
| | As of December31, 2025(1) | |
| In millions of dollars | Total | Current | 3089 days past due | 90+ days past due | |
| |
| Commercial and industrial | $ | 286 | $ | 278 | $ | 1 | $ | 7 | |
| Financial institutions | | | | | |
| Mortgage and real estate | 77 | 66 | 11 | | |
| Other(2) | 6 | 6 | | | |
| Total | $ | 369 | $ | 350 | $ | 12 | $ | 7 | |
| |
| | As of December 31, 2024(1) | |
| In millions of dollars | Total | Current | 3089 days past due | 90+ days past due | |
| |
| Commercial and industrial | $ | 251 | $ | 251 | $ | | $ | | |
| Financial institutions | | | | | |
| Mortgage and real estate | 105 | 105 | | | |
| Other(2) | | | | | |
| Total | $ | 356 | $ | 356 | $ | | $ | | |
(1)Corporate loans are generally not modified as a result of their delinquency status; rather, they are modified because of events that have impacted the overall financial performance of the borrower. Corporate loans, if past due, are re-aged to current status upon modification. (2)Other includes installment and other, lease financing and loans to governments and official institutions.Defaults of Modified Corporate LoansModified corporate loans to borrowers experiencing financial difficulty that subsequently defaulted during the year ended December31, 2025 were approximately $7million. No modified corporate loans to borrowers experiencing financial difficulty defaulted during the year ended December31, 2024. Default is defined as 60 days past due, except for classifiably managed commercial banking loans, where default is defined as 90 days past due. For a modified corporate loan that is not collateral dependent, expected default rates are considered in the loans individually assessed ACL. CONSUMER LOANSConsumer loans represent loans and leases managed by USPB, Wealth and All OtherLegacy Franchises (except Mexico SBMM). Citi has established a risk management process to monitor, evaluate and manage the principal risks associated with its consumer loan portfolio. Credit quality indicators that are actively monitored include delinquency status, consumer credit scores under Fair Isaac Corporation (FICO) and loan-to-value (LTV) ratios, each as discussed in more detail below.See LoansConsumer Loans and Allowance for Credit Losses (ACL)Consumer Loans in Note 1 for Citis policies related to consumer loans, including non-accrual and charge-off policies.208 The following tables provide Citis consumer loans by type:Consumer Loans, Delinquencies and Non-Accrual Status at December31, 2025
| |
| In millions of dollars | Totalcurrent(1)(2) | 3089days pastdue(3) | 90dayspastdue(3) | Pastduegovernmentguaranteed(4) | Totalloans | Non-accrual loans for which there is no ACLL | Non-accrual loans for which there is an ACLL | Totalnon-accrual | 90dayspastdue andaccruing | |
| In North America offices(5) | | | | | | | |
| Residential first mortgages(6) | $ | 118,264 | $ | 426 | $ | 484 | $ | 215 | $ | 119,389 | $ | 125 | $ | 560 | $ | 685 | $ | 121 | |
| Home equity loans(7)(8) | 2,810 | 26 | 36 | | 2,872 | 23 | 82 | 105 | | |
| Credit cards | 168,738 | 2,373 | 2,545 | | 173,656 | | | | 2,545 | |
| Personal, small business and other(9) | 33,084 | 96 | 31 | | 33,211 | 5 | 152 | 157 | 1 | |
| Total | $ | 322,896 | $ | 2,921 | $ | 3,096 | $ | 215 | $ | 329,128 | $ | 153 | $ | 794 | $ | 947 | $ | 2,667 | |
| In offices outside North America(5) | | | | | | | |
| Residential mortgages(6) | $ | 23,928 | $ | 35 | $ | 78 | $ | | $ | 24,041 | $ | | $ | 180 | $ | 180 | $ | | |
| Credit cards(10) | 14,128 | 256 | 317 | | 14,701 | | 323 | 323 | 93 | |
| Personal, small business and other(9) | 40,143 | 128 | 49 | | 40,320 | | 168 | 168 | | |
| Total | $ | 78,199 | $ | 419 | $ | 444 | $ | | $ | 79,062 | $ | | $ | 671 | $ | 671 | $ | 93 | |
| Total excluding portfolio-layer hedges cumulative basis adjustments | $ | 401,095 | $ | 3,340 | $ | 3,540 | $ | 215 | $ | 408,190 | $ | 153 | $ | 1,465 | $ | 1,618 | $ | 2,760 | |
| Unallocated portfolio-layer hedges cumulative basis adjustments(11) | $ | 343 | |
| Total Citigroup(12)(13) | $ | 408,533 | |
Consumer Loans, Delinquencies and Non-Accrual Status at December31, 2024
| |
| In millions of dollars | Totalcurrent(1)(2) | 3089days pastdue(3) | 90dayspastdue(3) | Pastduegovernmentguaranteed(4) | Totalloans | Non-accrual loans for which there is no ACLL | Non-accrual loans for which there is an ACLL | Totalnon-accrual | 90dayspastdue andaccruing | |
| In North America offices(5) | | | | | | | | |
| Residential first mortgages(6) | $ | 113,613 | $ | 397 | $ | 349 | $ | 234 | $ | 114,593 | $ | 114 | $ | 409 | $ | 523 | $ | 128 | |
| Home equity loans(7)(8) | 3,060 | 23 | 58 | | 3,141 | 25 | 114 | 139 | | |
| Credit cards | 166,021 | 2,333 | 2,705 | | 171,059 | | | | 2,705 | |
| Personal, small business and other(9) | 33,010 | 94 | 50 | 1 | 33,155 | 7 | 154 | 161 | 2 | |
| Total | $ | 315,704 | $ | 2,847 | $ | 3,162 | $ | 235 | $ | 321,948 | $ | 146 | $ | 677 | $ | 823 | $ | 2,835 | |
| In offices outside North America(5) | |
| Residential mortgages(6) | $ | 24,358 | $ | 38 | $ | 60 | $ | | $ | 24,456 | $ | | $ | 155 | $ | 155 | $ | | |
| Credit cards(10) | 12,523 | 190 | 214 | | 12,927 | | 211 | 211 | 72 | |
| Personal, small business and other(9) | 33,859 | 100 | 36 | | 33,995 | | 121 | 121 | | |
| Total | $ | 70,740 | $ | 328 | $ | 310 | $ | | $ | 71,378 | $ | | $ | 487 | $ | 487 | $ | 72 | |
| Total excluding portfolio-layer hedges cumulative basis adjustments | $ | 386,444 | $ | 3,175 | $ | 3,472 | $ | 235 | $ | 393,326 | $ | 146 | $ | 1,164 | $ | 1,310 | $ | 2,907 | |
| Unallocated portfolio-layer hedges cumulative basis adjustments(11) | $ | (224) | |
| Total Citigroup(12)(13) | $ | 393,102 | |
(1)Loans less than 30days past due are presented as current.(2)Includes $51 million and $281 million at December31, 2025 and 2024, respectively, of residential first mortgages recorded at fair value.209 (3)Excludes loans guaranteed by U.S.government-sponsored agencies. Excludes delinquencies on $26.0billion and $22.3billion of classifiably managed Private Bank loans in North America and outside North America, respectively, at December31, 2025. Excludes delinquencies on $25.9billion and $17.6billion of classifiably managed Private Bank loans in North America and outside North America, respectively, at December31, 2024.(4)Consists of loans that are guaranteed by U.S.government-sponsored agencies that are 3089days past due of $0.1 billion and $0.1 billion and 90days or more past due of $0.1 billion and $0.1 billion at December31, 2025 and 2024, respectively.(5)North America includes the U.S., Canada and Puerto Rico. Mexico is included in offices outside North America.(6)Includes approximately $0.2 billion and less than $0.1 billion of residential first mortgage loans in process of foreclosure in North America and outside North America, respectively, and $18.6billion of residential mortgages outside North America related to Wealth at December31, 2025. Includes approximately $0.2billion and less than $0.1billion of residential first mortgage loans in process of foreclosure in North America and outside North America, respectively, and $19.1billion of residential mortgages outside North America related to Wealth at December31, 2024.(7)Includes less than $0.1 billion and less than $0.1 billion at December31, 2025 and 2024, respectively, of home equity loans in process of foreclosure.(8)Fixed-rate home equity loans and loans extended under home equity lines of credit, which are typically in junior lien positions.(9)As of December31, 2025, Wealth in North America includes $28.2billion of loans, of which $26.0billion are classifiably managed with 80% rated investment grade, and Wealth outside North America includes $30.6billion of loans, of which $22.3billion are classifiably managed with 56% rated investment grade. As of December31, 2024, Wealth in North America includes $28.1billion of loans, of which $25.9billion are classifiably managed with 83% rated investment grade, and Wealth outside North America includes $25.4billion of loans, of which $17.6billion are classifiably managed with 56% rated investment grade. Such loans are presented as current above. (10)Primarily relates to Mexico Consumer credit cards. While credit cards are generally not subject to non-accrual, Mexico Consumer credit cards cease accruing interest at 90 days past due and are charged off at 180 days past due.(11)Represents fair value hedge basis adjustments related to portfolio-layer method hedges of mortgage and real estate loans, which are not allocated to individual loans in the portfolio. See Note 24.(12)Consumer loans were net of unearned income of $971million and $889million at December31, 2025 and 2024, respectively. Unearned income on consumer loans primarily represents loan origination fees, net of certain direct origination costs, that are deferred and recognized as Interest income over the lives of the related loans, except for credit cards (see Note 5).(13)Not included in the balances above is approximately $1billion and $1billion of accrued interest receivable at December31, 2025 and 2024, respectively, which is included in Other assets on the Consolidated Balance Sheet, except for credit card loans (which include accrued interest and fees). During the years ended December31, 2025 and 2024, the Company reversed accrued interest (primarily related to credit cards) of approximately $1.8billion and $1.7billion, respectively. These reversals of accrued interest are reflected as a reduction to Interest income in the Consolidated Statement of Income. Interest Income Recognized for Non-Accrual Consumer Loans
| |
| For the years ended December 31, | |
| In millions of dollars | 2025 | 2024 | |
| In North America offices(1) | |
| Residential first mortgages | $ | 9 | $ | 9 | |
| Home equity loans | 4 | 5 | |
| |
| Personal, small business and other | 2 | 1 | |
| Total | $ | 15 | $ | 15 | |
| In offices outside North America(1) | |
| Residential mortgages | $ | 9 | $ | 9 | |
| |
| Personal, small business and other | 2 | 2 | |
| Total | $ | 11 | $ | 11 | |
| Total Citigroup | $ | 26 | $ | 26 | |
(1)North America includes the U.S., Canada and Puerto Rico. Mexico is included in offices outside North America.Sales and Purchases of Consumer LoansDuring the years ended December31, 2025 and 2024, the Company sold and/or reclassified to held-for-sale (HFS) approximately $38 million and $335 million of consumer loans, respectively. Accordingly, there were immaterial releases of the associated allowance for credit losses for the years ended December31, 2025 and 2024. The transfers exclude certain consumer mortgage loans for which Citi has elected the fair value option (see Note 27), which do not have an associated allowance for credit losses. The transfers also exclude consumer loans held by businesses HFS (see Significant Disposals in Note 2). Except for the acquisition of an approximate $700million credit card portfolio during the year ended December 31, 2024, the Company did not have significant purchases of consumer loans classified as held-for-investment during the years ended December31, 2025 and 2024. 210 Consumer Credit Scores (FICO)In the U.S., independent credit agencies rate an individuals risk for assuming debt based on the individuals credit history and assign every consumer a Fair Isaac Corporation (FICO) credit score. These scores are continually updated by the agencies based on an individuals credit actions (e.g.,taking out a loan or missed or late payments).The following tables provide details on the FICO scores for Citis U.S.consumer loan portfolio based on end-of-period receivables by year of origination. FICO scores are updated monthly for substantially all of the portfolio or, otherwise, on a quarterly basis for the remaining portfolio. Loans that did not have FICO scores as of the prior period have been updated with FICO scores as they become available.With respect to Citis consumer loan portfolio outside of the U.S. as of December31, 2025 and 2024 ($80.8billion and $72.5billion, respectively), various country-specific or regional credit risk metrics and acquisition and behavior scoring models are leveraged as one of the factors to evaluate the credit quality of customers (see Consumer Loans and Ratios Outside of North America below). As a result, details of relevant credit quality indicators for those loans are not comparable to the below FICO score distribution for the U.S. portfolio.
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| FICO score distributionU.S.portfolio | December 31, 2025 | |
| In millions of dollars | Less than660 | 660to 739 | Greaterthan or equal to 740 | Classifiably managed(1) | FICO not available(2) | Totalloans | |
| Residential first mortgages | |
| 2025 | $ | 112 | $ | 2,309 | $ | 13,564 | |
| 2024 | 143 | 1,600 | 7,973 | |
| 2023 | 227 | 2,045 | 11,184 | |
| 2022 | 368 | 2,877 | 15,199 | |
| 2021 | 327 | 2,483 | 13,891 | |
| Prior | 1,617 | 6,201 | 30,153 | |
| Total residential first mortgages | $ | 2,794 | $ | 17,515 | $ | 91,964 | $ | | $ | 7,116 | $ | 119,389 | |
| Home equity line of credit (pre-reset) | $ | 232 | $ | 682 | $ | 1,506 | |
| Home equity line of credit (post-reset) | 64 | 71 | 69 | |
| Home equity term loans | 39 | 70 | 95 | |
| 2025 | | | | |
| 2024 | | | | |
| 2023 | | | | |
| 2022 | | | | |
| 2021 | | | 1 | |
| Prior | 39 | 70 | 94 | |
| Total home equity loans | $ | 335 | $ | 823 | $ | 1,670 | $ | | $ | 44 | $ | 2,872 | |
| Credit cards | $ | 23,473 | $ | 59,531 | $ | 85,390 | |
| Revolving loans converted to term loans(3) | 1,742 | 843 | 160 | |
| Total credit cards(4) | $ | 25,215 | $ | 60,374 | $ | 85,550 | $ | | $ | 1,969 | $ | 173,108 | |
| Personal, small business and other | |
| 2025 | $ | 43 | $ | 475 | $ | 1,475 | |
| 2024 | 82 | 382 | 616 | |
| 2023 | 59 | 185 | 234 | |
| 2022 | 44 | 99 | 98 | |
| 2021 | 7 | 15 | 14 | |
| Prior | 73 | 158 | 123 | |
| Total personal, small business and other(5)(6) | $ | 308 | $ | 1,314 | $ | 2,560 | $ | 25,168 | $ | 3,029 | $ | 32,379 | |
| Total(7) | $ | 28,652 | $ | 80,026 | $ | 181,744 | $ | 25,168 | $ | 12,158 | $ | 327,748 | |
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| FICO score distributionU.S.portfolio | December 31, 2024 | |
| In millions of dollars | Less than660 | 660to 739 | Greaterthan or equal to 740 | Classifiably managed(1) | FICO not available(2) | Total loans | |
| Residential first mortgages | |
| 2024 | $ | 123 | $ | 2,213 | $ | 10,308 | |
| 2023 | 223 | 2,451 | 12,936 | |
| 2022 | 354 | 3,272 | 16,034 | |
| 2021 | 312 | 2,745 | 14,651 | |
| 2020 | 298 | 1,990 | 12,245 | |
| Prior | 1,473 | 5,034 | 20,573 | |
| Total residential first mortgages | $ | 2,783 | $ | 17,705 | $ | 86,747 | $ | | $ | 7,358 | $ | 114,593 | |
| Home equity line of credit (pre-reset) | $ | 266 | $ | 764 | $ | 1,597 | |
| Home equity line of credit (post-reset) | 58 | 80 | 75 | |
| Home equity term loans | 45 | 87 | 114 | |
| 2024 | | | | |
| 2023 | | | | |
| 2022 | | | | |
| 2021 | | | 1 | |
| 2020 | | 1 | 2 | |
| Prior | 45 | 86 | 111 | |
| Total home equity loans | $ | 369 | $ | 931 | $ | 1,786 | $ | | $ | 55 | $ | 3,141 | |
| Credit cards | $ | 22,855 | $ | 59,574 | $ | 83,935 | |
| Revolving loans converted to term loans(3) | 1,462 | 668 | 129 | |
| Total credit cards(4) | $ | 24,317 | $ | 60,242 | $ | 84,064 | $ | | $ | 1,874 | $ | 170,497 | |
| Personal, small business and other | |
| 2024 | $ | 96 | $ | 398 | $ | 1,219 | |
| 2023 | 132 | 282 | 577 | |
| 2022 | 131 | 180 | 271 | |
| 2021 | 28 | 38 | 54 | |
| 2020 | 2 | 2 | 4 | |
| Prior | 94 | 152 | 150 | |
| Total personal, small business and other(5)(6) | $ | 483 | $ | 1,052 | $ | 2,275 | $ | 25,860 | $ | 2,730 | $ | 32,400 | |
| Total(7) | $ | 27,952 | $ | 79,930 | $ | 174,872 | $ | 25,860 | $ | 12,017 | $ | 320,631 | |
(1)These personal, small business and other loans without a FICO score available include $25.2billion and $25.9billion of Private Bank loans as of December31, 2025 and 2024, respectively, which are classifiably managed within Wealth and are primarily evaluated for credit risk based on their internal risk ratings. As of December31, 2025 and 2024, approximately 80% and 83% of these loans, respectively, were rated investment grade.(2)FICO scores not available are primarily driven by loans associated with clients whose underlying properties are held in trusts or LLCs, for non-U.S. citizens, and loans guaranteed by government-sponsored entities, for which FICO scores are generally not considered by Citi.(3)Not included in the tables above are $52million and $33million of revolving credit card loans outside of the U.S. that were converted to term loans as of December31, 2025 and 2024, respectively. (4)Excludes $548million and $562million of balances related to Canada for December31, 2025 and 2024, respectively. (5)Excludes $832million and $755million of balances related to Canada for December31, 2025 and 2024, respectively. (6)Includes approximately $14million and $22million of personal revolving loans that were converted to term loans for December31, 2025 and 2024, respectively.(7)Excludes $343million and $(224)million of unallocated portfolio-layer hedges cumulative basis adjustments at December31, 2025 and 2024, respectively.212 Consumer Gross Credit LossesThe following tables provide details on gross credit losses recognized during the years ended December31, 2025 and 2024, by year of loan origination: 
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| In millions of dollars | For the year ended December31, 2025 | |
| Residential first mortgages | |
| 2025 | $ | | |
| 2024 | 6 | |
| 2023 | 3 | |
| 2022 | 12 | |
| 2021 | 4 | |
| Prior | 55 | |
| Total residential first mortgages | $ | 80 | |
| Home equity line of credit (pre-reset) | $ | 5 | |
| Home equity line of credit (post-reset) | 1 | |
| Home equity term loans | | |
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| Total home equity loans | $ | 6 | |
| Credit cards | $ | 9,329 | |
| Revolving loans converted to term loans | 311 | |
| Total credit cards | $ | 9,640 | |
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| Personal, small business and other | |
| 2025 | $ | 213 | |
| 2024 | 262 | |
| 2023 | 164 | |
| 2022 | 93 | |
| 2021 | 37 | |
| Prior | 162 | |
| Total personal, small business and other | $ | 931 | |
| Total Citigroup | $ | 10,657 | |
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| In millions of dollars | For the year ended December31, 2024 | |
| Residential first mortgages | |
| 2024 | $ | | |
| 2023 | 1 | |
| 2022 | | |
| 2021 | | |
| 2020 | | |
| Prior | 47 | |
| Total residential first mortgages | $ | 48 | |
| Home equity line of credit (pre-reset) | $ | 15 | |
| Home equity line of credit (post-reset) | 2 | |
| Home equity term loans | 2 | |
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| Total home equity loans | $ | 19 | |
| Credit cards | $ | 9,069 | |
| Revolving loans converted to term loans | 265 | |
| Total credit cards | $ | 9,334 | |
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| Personal, small business and other | |
| 2024 | $ | 171 | |
| 2023 | 204 | |
| 2022 | 165 | |
| 2021 | 64 | |
| 2020 | 25 | |
| Prior | 171 | |
| Total personal, small business and other | $ | 800 | |
| Total Citigroup | $ | 10,201 | |
213 Loan-to-Value (LTV) RatiosU.S. Consumer MortgagesLTV ratios (loan balance divided by appraised value) are calculated at origination and updated by applying market price data.The following tables provide details on the LTV ratios for Citis U.S.consumer mortgage portfolios by year of origination. LTV ratios are updated monthly using the most recent Core Logic Home Price Index data available for substantially all of the portfolio, applied at the Metropolitan Statistical Area level, if available, or the state level if not. The remainder of the portfolio is updated in a similar manner using the Federal Housing Finance Agency indices.
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| LTV distributionU.S.portfolio(1) | December 31, 2025 | |
| In millions of dollars | Less thanor equal to 80% | > 80% but lessthan or equal to 100% | Greaterthan100% | LTV not available(1) | Total | |
| Residential first mortgages | |
| 2025 | $ | 12,061 | $ | 4,163 | $ | | |
| 2024 | 7,845 | 2,181 | 3 | |
| 2023 | 12,637 | 1,288 | 3 | |
| 2022 | 18,144 | 1,378 | 23 | |
| 2021 | 17,495 | 276 | 6 | |
| Prior | 40,567 | 348 | 28 | |
| Total residential first mortgages | $ | 108,749 | $ | 9,634 | $ | 63 | $ | 943 | $ | 119,389 | |
| Home equity loans (pre-reset) | $ | 2,348 | $ | 42 | $ | 32 | |
| Home equity loans (post-reset) | 375 | 13 | 21 | |
| Total home equity loans | $ | 2,723 | $ | 55 | $ | 53 | $ | 41 | $ | 2,872 | |
| Total(2) | $ | 111,472 | $ | 9,689 | $ | 116 | $ | 984 | $ | 122,261 | |
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| LTV distributionU.S.portfolio(1) | December 31, 2024 | |
| In millions of dollars | Less thanor equal to 80% | > 80% but lessthan or equal to 100% | Greaterthan100% | LTV not available(1) | Total | |
| Residential first mortgages | |
| 2024 | $ | 9,196 | $ | 3,550 | $ | 1 | |
| 2023 | 13,973 | 2,036 | 2 | |
| 2022 | 18,546 | 2,078 | 42 | |
| 2021 | 18,247 | 472 | 33 | |
| 2020 | 15,434 | 226 | 1 | |
| Prior | 28,797 | 351 | 25 | |
| Total residential first mortgages | $ | 104,193 | $ | 8,713 | $ | 104 | $ | 1,583 | $ | 114,593 | |
| Home equity loans (pre-reset) | $ | 2,514 | $ | 26 | $ | 45 | |
| Home equity loans (post-reset) | 435 | 3 | 9 | |
| Total home equity loans | $ | 2,949 | $ | 29 | $ | 54 | $ | 109 | $ | 3,141 | |
| Total(2) | $ | 107,142 | $ | 8,742 | $ | 158 | $ | 1,692 | $ | 117,734 | |
(1)Residential first mortgages with no LTV information available include government-guaranteed loans that do not require LTV information for credit risk assessment and fair value loans.(2)Excludes $343million and $(224)million of unallocated portfolio-layer cumulative basis adjustments at December31, 2025 and 2024, respectively.214 Loan-to-Value (LTV) RatiosOutside of U.S. Consumer MortgagesThe following tables provide details on the LTV ratios for Citis consumer mortgage portfolio outside of the U.S. by year of origination: 
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| LTV distributionoutside of U.S. portfolio(1) | December 31, 2025 | |
| In millions of dollars | Less thanor equal to 80% | > 80% but lessthan or equal to 100% | Greaterthan100% | LTV not available | Total | |
| Residential mortgages | |
| 2025 | $ | 2,576 | $ | 207 | $ | | |
| 2024 | 2,825 | 275 | | |
| 2023 | 2,062 | 727 | 150 | |
| 2022 | 2,283 | 630 | 415 | |
| 2021 | 2,168 | 648 | 345 | |
| Prior | 7,712 | 456 | 67 | |
| Total | $ | 19,626 | $ | 2,943 | $ | 977 | $ | 495 | $ | 24,041 | |
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| LTV distributionoutside of U.S. portfolio(1) | December 31, 2024 | |
| In millions of dollars | Less thanor equal to 80% | > 80% but lessthan or equal to 100% | Greaterthan100% | LTV not available | Total | |
| Residential mortgages | |
| 2024 | $ | 2,808 | $ | 421 | $ | | |
| 2023 | 2,406 | 654 | 412 | |
| 2022 | 2,579 | 462 | 698 | |
| 2021 | 2,505 | 426 | 657 | |
| 2020 | 1,739 | 326 | 176 | |
| Prior | 7,642 | 148 | 8 | |
| Total | $ | 19,679 | $ | 2,437 | $ | 1,951 | $ | 389 | $ | 24,456 | |
(1)Mortgage portfolios outside of the U.S. are primarily in Wealth. As of December31, 2025 and 2024, mortgage portfolios outside of the U.S. had an average LTV of approximately 56% and 58%, respectively.215 Consumer Loans and Ratios Outside of North America
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| Delinquency-managed loans and ratios | |
| In millions of dollars at December31, 2025 | Totalloans outside of North America(1) | Classifiably managed loans(2) | Delinquency-managed loans | 3089days pastdue ratio | 90dayspastdue ratio | 4Q25 NCL ratio | |
| Residential mortgages(3) | $ | 24,041 | $ | | $ | 24,041 | 0.15 | % | 0.32 | % | 0.15 | % | |
| Credit cards | 14,701 | | 14,701 | 1.74 | 2.16 | 6.40 | |
| Personal, small business and other(4) | 40,320 | 22,297 | 18,023 | 0.71 | 0.27 | 1.31 | |
| Total | $ | 79,062 | $ | 22,297 | $ | 56,765 | 0.74 | % | 0.78 | % | 1.87 | % | |
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| Delinquency-managed loans and ratios | |
| In millions of dollars at December31, 2024 | Totalloans outside of North America(1) | Classifiably managed loans(2) | Delinquency-managed loans | 3089days pastdue ratio | 90dayspastdue ratio | 4Q24 NCL ratio | |
| Residential mortgages(3) | $ | 24,456 | $ | | $ | 24,456 | 0.16 | % | 0.25 | % | 0.06 | % | |
| Credit cards | 12,927 | | 12,927 | 1.47 | 1.66 | 4.91 | |
| Personal, small business and other(4) | 33,995 | 17,553 | 16,442 | 0.61 | 0.22 | 1.02 | |
| Total | $ | 71,378 | $ | 17,553 | $ | 53,825 | 0.61 | % | 0.58 | % | 1.39 | % | |
(1)Mexico is included in offices outside of North America.(2)Classifiably managed loans are primarily evaluated for credit risk based on their internal risk classification. As of December31, 2025 and 2024, approximately 56% and 56% of these loans, respectively, were rated investment grade. (3)Includes $18.6billion and $19.1billion as of December31, 2025 and 2024, respectively, of residential mortgages related to Wealth.(4)Includes $30.6billion and $25.4billion as of December31, 2025 and 2024, respectively, of loans related to Wealth.Consumer Loan Modifications to Borrowers Experiencing Financial DifficultyCitis significant consumer modification programs are described below.Credit CardsCiti evaluates and assists credit card borrowers who are experiencing financial difficulty by offering long-term loan modification programs. These modifications generally involve reducing the interest rate on the credit card, placing the customer on a fixed payment plan not to exceed 60 months and canceling the customers available line of credit. Citi also grants modifications to credit card borrowers working with third-party renegotiation agencies that seek to restructure customers entire unsecured debt. In certain situations, Citi may forgive a portion of an outstanding balance if the borrower pays a required amount. Residential MortgagesCiti utilizes a third-party subservicer for the servicing of its residential mortgage loans. Through this third-party subservicer, Citi evaluates and assists residential mortgage borrowers who are experiencing financial difficulty primarily by offering interest rate reductions, principal and/or interest forbearance, term extensions or combinations thereof. Borrowers enrolled in forbearance programs typically have payments suspended until the end of the forbearance period. In the U.S., before permanently modifying the contractual payment terms of a mortgage loan, Citi enters into a trial modification with the borrower, generally a three-month period during which the borrower makes monthly payments under the anticipated modified payment terms. Upon successful completion of the trial period, and the borrowers formal acceptance of the modified terms, Citi and the borrower enter into a permanent modification. Citi expects the majority of loans entering trial modifications to ultimately be enrolled in a permanent modification. During the years ended December31, 2025 and 2024, $41million and $33million, respectively, of mortgage loans were enrolled in trial programs. Mortgage loans of $10million and $9million had gone through Chapter 7 bankruptcy during the years ended December31, 2025 and 2024, respectively.216 Types of Consumer Loan Modifications and Their Financial Effect The following tables provide details on permanent consumer loan modifications granted during the years ended December31, 2025 and 2024 to borrowers experiencing financial difficulty by type of modification granted and the financial effect of those modifications: 
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| | For the year ended December31, 2025 | |
| In millions of dollars, except weighted averages | Modifications as % of loans | Total modifications balance at December31, 2025(1)(2)(3) | Interest rate reduction | Term extension | Payment delay | Combination: interest rate reduction and term extension | Weighted- average interest rate reduction % | Weighted- average term extension (months) | Weighted- average delay in payments (months) | |
| In North America offices(4) | | | | | | |
| Residential first mortgages(5) | 0.32 | % | $ | 380 | $ | 3 | $ | 61 | $ | 301 | $ | 15 | 1 | % | 178 | 10 | |
| Home equity loans | 0.10 | 3 | | | 3 | | | | 9 | |
| Credit cards | 0.88 | 1,525 | 1,525 | | | | 24 | | | |
| Personal, small business and other | 0.09 | 29 | 1 | | | 28 | 8 | 18 | | |
| Total | 0.59 | % | $ | 1,937 | $ | 1,529 | $ | 61 | $ | 304 | $ | 43 | |
| In offices outside North America(4) | |
| Residential mortgages | 0.15 | % | $ | 35 | $ | | $ | | $ | 29 | $ | 6 | 2 | % | 201 | 12 | |
| Credit cards | 0.18 | 27 | 24 | | | 3 | 26 | 22 | | |
| Personal, small business and other | 0.10 | 40 | 11 | | | 29 | 7 | 25 | | |
| Total | 0.13 | % | $ | 102 | $ | 35 | $ | | $ | 29 | $ | 38 | |
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| | For the year ended December31, 2024 | |
| In millions of dollars, except weighted averages | Modifications as % of loans | Total modifications balance at December31, 2024(1)(2)(3) | Interest rate reduction | Term extension | Payment delay | Combination: interest rate reduction and term extension | Weighted- average interest rate reduction % | Weighted- average term extension (months) | Weighted- average delay in payments (months) | |
| In North America offices(4) | | | | | | |
| Residential first mortgages(5) | 0.09 | % | $ | 99 | $ | 1 | $ | 52 | $ | 36 | $ | 10 | 1 | % | 165 | 8 | |
| Home equity loans | 0.10 | 3 | | | 2 | 1 | 2 | 163 | 10 | |
| Credit cards | 0.84 | 1,432 | 1,430 | | 2 | | 24 | | 4 | |
| Personal, small business and other | 0.08 | 25 | 1 | | 1 | 23 | 8 | 18 | 7 | |
| Total | 0.48 | % | $ | 1,559 | $ | 1,432 | $ | 52 | $ | 41 | $ | 34 | |
| In offices outside North America(4) | |
| Residential mortgages | 0.15 | % | $ | 37 | $ | | $ | | $ | 34 | $ | 3 | 2 | % | 189 | 12 | |
| Credit cards | 0.13 | 17 | 17 | | | | 23 | | | |
| Personal, small business and other | 0.09 | 30 | 6 | 5 | | 19 | 7 | 25 | | |
| Total | 0.12 | % | $ | 84 | $ | 23 | $ | 5 | $ | 34 | $ | 22 | |
(1)The above tables reflect activity for loans outstanding as of the end of the reporting period. During the years ended December31, 2025 and 2024, Citi granted forgiveness of $1million and $1million in residential first mortgage loans, $134million and $81million in credit card loans and $3million and $3million in personal, small business and other loans, respectively. As a result, there were no outstanding balances as of December31, 2025 and 2024. (2)Commitments to lend to borrowers experiencing financial difficulty that were granted modifications included in the tables above were immaterial at December31, 2025 and 2024.(3)For major consumer portfolios, the ACLL is based on macroeconomic-sensitive models that rely on historical performance and macroeconomic scenarios to forecast expected credit losses. Modifications of consumer loans impact expected credit losses by affecting the likelihood of default.(4)North America includes the U.S., Canada and Puerto Rico. Mexico is included in offices outside North America.(5)Excludes residential first mortgages discharged in Chapter 7 bankruptcy in the years ended December31, 2025 and 2024.217 Performance of Modified Consumer Loans The following tables present the delinquencies and gross credit losses of permanently modified consumer loans to borrowers experiencing financial difficulty, including loans that were modified during the years ended December31, 2025 and 2024: 
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| As of December31, 2025 | |
| In millions of dollars | Total | Current | 3089 days past due | 90+ days past due | Gross credit losses | |
| In North America offices(1) | |
| Residential first mortgages | $ | 380 | $ | 128 | $ | 28 | $ | 224 | $ | | |
| Home equity loans | 3 | 1 | | 2 | | |
| Credit cards | 1,525 | 1,190 | 212 | 123 | 277 | |
| Personal, small business and other | 29 | 26 | 2 | 1 | 2 | |
| Total(2) | $ | 1,937 | $ | 1,345 | $ | 242 | $ | 350 | $ | 279 | |
| In offices outside North America(1) | |
| Residential mortgages | $ | 35 | $ | 32 | $ | 2 | $ | 1 | $ | 1 | |
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| Credit cards | 27 | 23 | 3 | 1 | 1 | |
| Personal, small business and other | 40 | 32 | 6 | 2 | 1 | |
| Total(2) | $ | 102 | $ | 87 | $ | 11 | $ | 4 | $ | 3 | |
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| As of December31, 2024 | |
| In millions of dollars | Total | Current | 3089 days past due | 90+ days past due | Gross credit losses | |
| In North America offices(1) | |
| Residential first mortgages | $ | 99 | $ | 40 | $ | 19 | $ | 40 | $ | | |
| Home equity loans | 3 | 1 | | 2 | | |
| Credit cards | 1,432 | 1,081 | 211 | 140 | 291 | |
| Personal, small business and other | 25 | 22 | 2 | 1 | 2 | |
| Total(2) | $ | 1,559 | $ | 1,144 | $ | 232 | $ | 183 | $ | 293 | |
| In offices outside North America(1) | |
| Residential mortgages | $ | 37 | $ | 34 | $ | 2 | $ | 1 | $ | | |
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| Credit cards | 17 | 16 | 1 | | | |
| Personal, small business and other | 30 | 24 | 4 | 2 | 1 | |
| Total(2) | $ | 84 | $ | 74 | $ | 7 | $ | 3 | $ | 1 | |
(1)North America includes the U.S., Canada and Puerto Rico. Mexico is included in offices outside North America.(2)Typically, upon modification a loan re-ages to current. However, FFIEC guidelines for re-aging certain loans require that at least three consecutive minimum monthly payments, or the equivalent amount, be received. In these cases, the loan will remain delinquent until the payment criteria for re-aging have been satisfied.218 Defaults of Modified Consumer Loans The following tables present default activity for permanently modified consumer loans to borrowers experiencing financial difficulty by type of modification granted, including loans that were modified and subsequently defaulted during the years ended December31, 2025 and 2024. Default is defined as 60 days past due:
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| | For the year ended December31, 2025 | |
| In millions of dollars | Total(1)(2) | Interest rate reduction | Termextension | Paymentdelay | Combination: interest rate reduction and term extension | Combination: term extension and payment delay | Combination: interest rate reduction, term extension and payment delay | |
| In North America offices(3) | | | | |
| Residential first mortgages | $ | 34 | $ | 1 | $ | 21 | $ | | $ | 12 | $ | | $ | | |
| Home equity loans | | | | | | | | |
| Credit cards(4) | 165 | 165 | | | | | | |
| Personal, small business and other | 2 | | | | 2 | | | |
| Total | $ | 201 | $ | 166 | $ | 21 | $ | | $ | 14 | $ | | $ | | |
| In offices outside North America(3) | |
| Residential mortgages | $ | 5 | $ | | $ | | $ | 4 | $ | 1 | $ | | $ | | |
| Credit cards(4) | 3 | 3 | | | | | | |
| Personal, small business and other | 9 | 1 | | | 8 | | | |
| Total | $ | 17 | $ | 4 | $ | | $ | 4 | $ | 9 | $ | | $ | | |
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| | For the year ended December31, 2024 | |
| In millions of dollars | Total(1)(2) | Interest rate reduction | Termextension | Paymentdelay | Combination: interest rate reduction and term extension | Combination: term extension and payment delay | Combination: interest rate reduction, term extension and payment delay | |
| In North America offices(3) | | | | |
| Residential first mortgages | $ | 31 | $ | | $ | 28 | $ | | $ | 3 | $ | | $ | | |
| Home equity loans | | | | | | | | |
| Credit cards(4) | 211 | 211 | | | | | | |
| Personal, small business and other | 1 | | | | 1 | | | |
| Total | $ | 243 | $ | 211 | $ | 28 | $ | | $ | 4 | $ | | $ | | |
| In offices outside North America(3) | |
| Residential mortgages | $ | 4 | $ | | $ | | $ | 4 | $ | | $ | | $ | | |
| Credit cards(4) | 1 | 1 | | | | | | |
| Personal, small business and other | 5 | | | | 5 | | | |
| Total | $ | 10 | $ | 1 | $ | | $ | 4 | $ | 5 | $ | | $ | | |
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(1)The above tables reflect activity for loans outstanding as of the end of the reporting period.(2)Modified residential first mortgages that default are typically liquidated through foreclosure or a similar type of liquidation.(3)North America includes the U.S., Canada and Puerto Rico. Mexico is included in offices outside North America.(4)Modified credit card loans that default continue to be charged off in accordance with Citis consumer charge-off policy.219 16. ALLOWANCE FOR CREDIT LOSSES
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| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| Allowance for credit losses on loans (ACLL) at beginning of year | $ | 18,574 | $ | 18,145 | $ | 16,974 | |
| Adjustments to opening balance | |
| Financial instrumentsTDRs and vintage disclosures(1) | | | (352) | |
| Adjusted ACLL at beginning of year | $ | 18,574 | $ | 18,145 | $ | 16,622 | |
| Gross credit losses on loans | $ | (11,099) | $ | (10,694) | $ | (7,881) | |
| Gross recoveries on loans | 2,002 | 1,694 | 1,444 | |
| Net credit losses on loans (NCLs) | $ | (9,097) | $ | (9,000) | $ | (6,437) | |
| Replenishment of NCLs | $ | 9,097 | $ | 9,000 | $ | 6,437 | |
| Net reserve builds (releases) for loans | 368 | 791 | 1,272 | |
| Net specific reserve builds (releases) for loans | 32 | (65) | 77 | |
| Total provision for credit losses on loans (PCLL) | $ | 9,497 | $ | 9,726 | $ | 7,786 | |
| Initial allowance for credit losses on newly purchased credit-deteriorated assets during the period(2) | | 23 | | |
| Other, net (see table below) | 273 | (320) | 174 | |
| ACLL at end of year | $ | 19,247 | $ | 18,574 | $ | 18,145 | |
| Allowance for credit losses on unfunded lending commitments (ACLUC) at beginning of year(3) | $ | 1,601 | $ | 1,728 | $ | 2,151 | |
| |
| Provision (release) for credit losses on ACLUC | 202 | (119) | (425) | |
| Other, net | 30 | (8) | 2 | |
| ACLUC at end of year(3) | $ | 1,833 | $ | 1,601 | $ | 1,728 | |
| Total ACLL and ACLUC | $ | 21,080 | $ | 20,175 | $ | 19,873 | |
| Allowance for credit losses on other assets at beginning of year | $ | 1,865 | $ | 1,788 | $ | 123 | |
| NCLs on other assets | (46) | (26) | (72) | |
| Provision (release) for credit losses on other assets | 467 | 362 | 1,762 | |
| Other, net(4) | (2,139) | (259) | (25) | |
| Allowance for credit losses on other assets at end of year | $ | 147 | $ | 1,865 | $ | 1,788 | |
| Allowance for credit losses on HTM debt securities at beginning of year | $ | 137 | $ | 95 | $ | 120 | |
| Provision (release) for credit losses on HTM debt securities | 12 | 50 | (24) | |
| Other, net | (3) | (8) | (1) | |
| Allowance for credit losses on HTM debt securities at end of year | $ | 146 | $ | 137 | $ | 95 | |
| Total ACL | $ | 21,373 | $ | 22,177 | $ | 21,756 | |
| |
| Other, net details (ACLL) | |
| Inmillionsofdollars | 2025 | 2024 | 2023 | |
| |
| |
| |
| |
| |
| |
| Reclasses of consumer ACLL to HFS | $ | (29) | $ | | $ | | |
| FX translation and other | 302 | (320) | 174 | |
| Other, net (ACLL) | $ | 273 | $ | (320) | $ | 174 | |
(1)See Accounting Changes in Note 1.(2)Upon acquisition, the par value of the purchased credit-deteriorated assets was approximately $24million, $52million and $26million during the years ended December31, 2025, 2024 and 2023, respectively. The related ACLL amounts were immaterial. (3)Represents additional credit loss reserves for unfunded lending commitments and letters of credit recorded in Other liabilities on the Consolidated Balance Sheet.(4)The decrease at December 31, 2025 in Other ACL reflects the $2.6billion reclassification of AO Citibank to held-for-sale, including the related ACL, resulting from Citis planned sale of AO Citibank (which was sold on February 18, 2026) (see Sale of AO Citibank in Note 2), partially offset by FX translation.220 Allowance for Credit Losses on Loans (ACLL) and End-of-Period Loans at December31, 2025
| |
| Inmillionsofdollars | Corporate | Consumer | Total | |
| ACLL at beginning of year | $ | 2,556 | $ | 16,018 | $ | 18,574 | |
| |
| |
| |
| |
| Charge-offs | (442) | (10,657) | (11,099) | |
| Recoveries | 77 | 1,925 | 2,002 | |
| Replenishment of NCLs | 365 | 8,732 | 9,097 | |
| Net reserve builds (releases) | 422 | (54) | 368 | |
| Net specific reserve builds (releases) | 20 | 12 | 32 | |
| |
| Other | 55 | 218 | 273 | |
| Ending balance | $ | 3,053 | $ | 16,194 | $ | 19,247 | |
| ACLL | | | | |
| Collectively evaluated | $ | 2,730 | $ | 16,144 | $ | 18,874 | |
| Individually evaluated | 323 | 51 | 374 | |
| Purchased credit deteriorated | | (1) | (1) | |
| Total ACLL | $ | 3,053 | $ | 16,194 | $ | 19,247 | |
| Loans, net of unearned income | |
| Collectively evaluated | $ | 334,892 | $ | 408,225 | $ | 743,117 | |
| Individually evaluated | 2,001 | 149 | 2,150 | |
| Purchased credit deteriorated | | 108 | 108 | |
| Held at fair value | 6,804 | 51 | 6,855 | |
| Total loans, net of unearned income | $ | 343,697 | $ | 408,533 | $ | 752,230 | |
Changes in the ACL (December31, 2025 vs. December31, 2024)The total allowance for credit losses on loans, leases, unfunded lending commitments, other assets and HTM debt securities (in aggregate, total ACL) as of December31, 2025 was $21,373 million, a decrease of $804million from $22,177 million at December31, 2024, driven by the reclassification of AO Citibank to held-for-sale, including the related ACL, resulting from Citis planned sale of AO Citibank (which was sold on February 18, 2026), largely offset by ACL builds and changes in FX during the year.Consumer ACLLCitis total consumer allowance for credit losses on loans (ACLL) as of December31, 2025 was $16,194 million, an increase of $176million from $16,018 million at December31, 2024. The increase was driven by changes in the macroeconomic outlook, FX translation on the ACLL and higher volume, largely offset by changes in credit quality. Corporate ACLLCitis total corporate ACLL as of December31, 2025 was $3,053 million, an increase of $497million from $2,556 million at December31, 2024. The increase was primarily driven by changes in credit quality, changes in the macroeconomic outlook and higher net lending activity.ACLUCAs of December31, 2025, Citis total allowance for unfunded lending commitments (ACLUC), included in Other liabilities, was $1,833 million, an increase of $232million from $1,601 million at December31, 2024. The increase was primarily driven by changes in the macroeconomic outlook, changes in credit quality and higher net lending activity.ACL on Other AssetsAs of December31, 2025, Citis total allowance on other assets was $147 million, a decrease of $1,718million from $1,865 million at December31, 2024. The decrease was driven by the reclassification of AO Citibank to held-for-sale, including the related ACL, resulting from Citis planned sale of AO Citibank (which was sold on February 18, 2026).221 Allowance for Credit Losses on Loans (ACLL) and End-of-Period Loans at December31, 2024 
| |
| Inmillionsofdollars | Corporate | Consumer | Total | |
| ACLL at beginning of year | $ | 2,714 | $ | 15,431 | $ | 18,145 | |
| |
| |
| |
| Charge-offs | (493) | (10,201) | (10,694) | |
| Recoveries | 96 | 1,598 | 1,694 | |
| Replenishment of NCLs | 397 | 8,603 | 9,000 | |
| Net reserve builds (releases) | (67) | 858 | 791 | |
| Net specific reserve builds (releases) | (63) | (2) | (65) | |
| Initial allowance for credit losses on newly purchased credit-deteriorated assets during the year(1) | | 23 | 23 | |
| Other | (28) | (292) | (320) | |
| Ending balance | $ | 2,556 | $ | 16,018 | $ | 18,574 | |
| ACLL | | | | |
| Collectively evaluated | $ | 2,254 | $ | 15,967 | $ | 18,221 | |
| Individually evaluated | 302 | 38 | 340 | |
| Purchased credit deteriorated | | 13 | 13 | |
| Total ACLL | $ | 2,556 | $ | 16,018 | $ | 18,574 | |
| Loans, net of unearned income | |
| Collectively evaluated | $ | 292,250 | $ | 392,562 | $ | 684,812 | |
| Individually evaluated | 1,377 | 134 | 1,511 | |
| Purchased credit deteriorated | | 125 | 125 | |
| Held at fair value | 7,759 | 281 | 8,040 | |
| Total loans, net of unearned income | $ | 301,386 | $ | 393,102 | $ | 694,488 | |
(1)Upon acquisition, the par value of the purchased credit-deteriorated assets was approximately $52million during the year ended December31, 2024.Allowance for Credit Losses on Loans (ACLL) at December31, 2023 
| |
| Inmillionsofdollars | Corporate | Consumer | Total | |
| ACLL at beginning of year | $ | 2,855 | $ | 14,119 | $ | 16,974 | |
| Adjustments to opening balance: | |
| Financial InstrumentsTDRs and vintage disclosures(1) | | (352) | (352) | |
| Adjusted ACLL at beginning of year | $ | 2,855 | $ | 13,767 | $ | 16,622 | |
| Charge-offs | $ | (328) | $ | (7,553) | $ | (7,881) | |
| Recoveries | 78 | 1,366 | 1,444 | |
| Replenishment of NCLs | 250 | 6,187 | 6,437 | |
| Net reserve builds (releases) | (168) | 1,440 | 1,272 | |
| Net specific reserve builds (releases) | 39 | 38 | 77 | |
| |
| Other | (12) | 186 | 174 | |
| Ending balance | $ | 2,714 | $ | 15,431 | $ | 18,145 | |
(1)See Accounting Changes in Note 1.For the ACL on AFS debt securities, see Note 14. 222 Allowance for Credit Losses on Other Assets
| |
| Year ended December31, 2025 | |
| Inmillionsofdollars | Deposits with banks | Securities borrowed and purchased under agreements to resell | All other assets(1) | Total | |
| Allowance for credit losses on other assets at beginning of year | $ | 25 | $ | 3 | $ | 1,837 | $ | 1,865 | |
| |
| Gross credit losses | | | (80) | (80) | |
| Gross recoveries | | | 34 | 34 | |
| Net credit losses (NCLs) | $ | | $ | | $ | (46) | $ | (46) | |
| Replenishment of NCLs | $ | | $ | | $ | 46 | $ | 46 | |
| Net reserve builds (releases) | (2) | 2 | 421 | 421 | |
| Total provision for credit losses | $ | (2) | $ | 2 | $ | 467 | $ | 467 | |
| Other, net(2) | $ | | $ | | $ | (2,139) | $ | (2,139) | |
| Allowance for credit losses on other assets at end of year | $ | 23 | $ | 5 | $ | 119 | $ | 147 | |
(1)Primarily ACL related to transfer risk associated with exposures outside the U.S. (2)The decrease at December 31, 2025 in Other ACL reflects the $2.6billion reclassification of AO Citibank to held-for-sale, including the related ACL, resulting from Citis planned sale of AO Citibank (which was sold on February 18, 2026) (see Sale of AO Citibank in Note 2), partially offset by FX translation.
| |
| Year ended December31, 2024 | |
| Inmillionsofdollars | Deposits with banks | Securities borrowed and purchased under agreements to resell | All other assets(1) | Total | |
| Allowance for credit losses on other assets at beginning of year | $ | 31 | $ | 27 | $ | 1,730 | $ | 1,788 | |
| |
| |
| Gross credit losses | | | (53) | (53) | |
| Gross recoveries | | | 27 | 27 | |
| Net credit losses (NCLs) | $ | | $ | | $ | (26) | $ | (26) | |
| Replenishment of NCLs | $ | | $ | | $ | 26 | $ | 26 | |
| Net reserve builds (releases) | (7) | (23) | 366 | 336 | |
| Total provision for credit losses | $ | (7) | $ | (23) | $ | 392 | $ | 362 | |
| Other, net | $ | 1 | $ | (1) | $ | (259) | $ | (259) | |
| Allowance for credit losses on other assets at end of year | $ | 25 | $ | 3 | $ | 1,837 | $ | 1,865 | |
(1)Primarily ACL related to transfer risk associated with exposures outside the U.S. 
| |
| Year ended December31, 2023 | |
| Inmillionsofdollars | Deposits with banks | Securities borrowed and purchased under agreements to resell | All other assets(1) | Total | |
| Allowance for credit losses on other assets at beginning of year | $ | 51 | $ | 36 | $ | 36 | $ | 123 | |
| |
| Gross credit losses | | | (97) | (97) | |
| Gross recoveries | | | 25 | 25 | |
| Net credit losses (NCLs) | $ | | $ | | $ | (72) | $ | (72) | |
| Replenishment of NCLs | $ | | $ | | $ | 72 | $ | 72 | |
| Net reserve builds (releases) | (19) | 14 | 1,695 | 1,690 | |
| Total provision for credit losses | $ | (19) | $ | 14 | $ | 1,767 | $ | 1,762 | |
| Other, net | $ | (1) | $ | (23) | $ | (1) | $ | (25) | |
| Allowance for credit losses on other assets at end of year | $ | 31 | $ | 27 | $ | 1,730 | $ | 1,788 | |
(1)Primarily ACL related to transfer risk associated with exposures outside the U.S.223 17.GOODWILL AND INTANGIBLE ASSETSGoodwillThe changes in Goodwill were as follows:
| |
| In millions of dollars | Services | Markets(1) | Banking(1) | USPB | Wealth | All Other | Total | |
| Balance at December 31, 2022 | $ | 2,167 | $ | 5,785 | $ | 1,034 | $ | 5,273 | $ | 4,468 | $ | 964 | $ | 19,691 | |
| Foreign currency translation | 47 | 85 | 5 | 125 | 1 | 144 | 407 | |
| |
| |
| Balance at December 31, 2023 | $ | 2,214 | $ | 5,870 | $ | 1,039 | $ | 5,398 | $ | 4,469 | $ | 1,108 | $ | 20,098 | |
| Foreign currency translation | (162) | (196) | (37) | (179) | (2) | (206) | (782) | |
| Divestitures(2) | | | | | (16) | | (16) | |
| |
| Balance at December 31, 2024 | $ | 2,052 | $ | 5,674 | $ | 1,002 | $ | 5,219 | $ | 4,451 | $ | 902 | $ | 19,300 | |
| Foreign currency translation | 89 | 159 | 26 | 123 | 2 | 125 | 524 | |
| |
| Impairment of goodwill(3) | | | | | | (726) | (726) | |
| |
| |
| Balance at December 31, 2025 | $ | 2,141 | $ | 5,833 | $ | 1,028 | $ | 5,342 | $ | 4,453 | $ | 301 | $ | 19,098 | |
(1)In 2023, goodwill of approximately $537million was transferred from Banking to Markets related to business realignment. Prior-period amounts have beenrevised to conform with the current presentation. See Note 3.(2)Goodwill allocated to the global fiduciary and trust administration services business was classified as HFS during the third quarter of 2024.(3)In connection with the agreed-upon bid received for Banamex, a goodwill impairment of $726million ($714million after-tax) was incurred in the Mexico Consumer/SBMM reporting unit of All OtherLegacy Franchises during the third quarter.Citi tests for goodwill impairment annually as of October 1 (the annual test) and conducts interim assessments between the annual tests if an event occurs or circumstances change that would more-likely-than-not reduce the fair value of a reporting unit below its carrying amount. Citi performed an interim goodwill impairment test during the third quarter of 2025, in connection with the agreed-upon bid received for Banamex. The test resulted in an impairment of $726million ($714million after-tax) in the Mexico Consumer/SBMM reporting unit within All OtherLegacy Franchises, recorded in Other operating expenses. The fair value of that reporting unit was estimated using the agreed-upon bid from the buyer as a key assumption, which was considered a significant unobservable input (Level 3 fair value inputs). There were no additional impairment charges incurred as a result of any other interim goodwill impairment tests performed through the third quarter of 2025.During the fourth quarter of 2025, Citi performed its annual goodwill impairment test, which resulted in no impairment of any of Citis reporting units goodwill. No additional triggering events were identified and no goodwill was impaired during the fourth quarter of 2025.Unanticipated declines in business performance, increases in credit losses, increases in capital requirements and adverse regulatory or legislative changes, and deterioration in economic or market conditions, as well as circumstances related to Citis strategic refresh, are factors that could result in a material impairment loss to earnings in a future period related to some portion of the associated goodwill.Reporting units used for goodwill assessment at the Citigroup consolidated level may differ from the reporting units of its subsidiaries.For additional information regarding Citis goodwill impairment testing process, see Goodwill in Note 1 for Citis accounting policy for goodwill and Note 3 for a description of Citis operating segments.224 Intangible AssetsThe components of intangible assets were as follows:
| |
| | December 31, 2025 | December 31, 2024 | |
| In millions of dollars | Grosscarryingamount | Accumulatedamortization | Netcarryingamount | Grosscarryingamount | Accumulatedamortization | Netcarryingamount | |
| Purchased credit card relationships(1) | $ | 5,315 | $ | 4,639 | $ | 676 | $ | 5,315 | $ | 4,507 | $ | 808 | |
| Credit card contract-related intangibles(2) | 4,579 | 1,987 | 2,592 | 4,586 | 1,905 | 2,681 | |
| |
| Other customer relationships | 321 | 291 | 30 | 325 | 278 | 47 | |
| Present value of future profits | 35 | 35 | | 31 | 30 | 1 | |
| Indefinite-lived intangible assets | 227 | | 227 | 197 | | 197 | |
| |
| Intangible assets (excluding MSRs) | $ | 10,477 | $ | 6,952 | $ | 3,525 | $ | 10,454 | $ | 6,720 | $ | 3,734 | |
| Mortgage servicing rights (MSRs)(3) | 759 | | 759 | 760 | | 760 | |
| Total intangible assets | $ | 11,236 | $ | 6,952 | $ | 4,284 | $ | 11,214 | $ | 6,720 | $ | 4,494 | |
The changes in intangible assets were as follows:
| |
| Net carryingamount at | Acquisitions/renewals/divestitures | Net carryingamount at | |
| In millions of dollars | December 31, 2024 | Amortization | Impairments | FX translation and other | December 31,2025 | |
| Purchased credit card relationships(1) | $ | 808 | $ | | $ | (132) | $ | | $ | | $ | 676 | |
| Credit card contract-related intangibles(2) | 2,681 | 1 | (92) | | 2 | 2,592 | |
| |
| Other customer relationships | 47 | 2 | (20) | | 1 | 30 | |
| Present value of future profits | 1 | | (1) | | | | |
| Indefinite-lived intangible assets | 197 | | | | 30 | 227 | |
| |
| Intangible assets (excluding MSRs) | $ | 3,734 | $ | 3 | $ | (245) | $ | | $ | 33 | $ | 3,525 | |
| Mortgage servicing rights (MSRs)(3) | 760 | 759 | |
| Total intangible assets | $ | 4,494 | $ | 4,284 | |
(1)Reflects intangibles for the value of purchased cardholder relationships, which are discrete from contract-related intangibles. (2)Reflects contract-related intangibles associated with Citis credit card program agreements with partners.(3)See Note 23.Intangible assets amortization expense was $245million, $371 million and $370 million for 2025, 2024 and 2023, respectively. Intangible assets amortization expense is estimated to be $235million in 2026, $226million in 2027, $215million in 2028, $183million in 2029 and $143million in 2030. 225 18.DEPOSITSDeposits consisted of the following:
| |
| December 31, | |
| Inmillionsofdollars | 2025 | 2024 | |
| Non-interest-bearing deposits in U.S. offices | $ | 121,610 | $ | 123,338 | |
| Interest-bearing deposits in U.S. offices (including $1,862 and $1,262 as of December31, 2025 and 2024, respectively, at fair value) | 613,052 | 551,547 | |
| Total deposits in U.S. offices(1) | $ | 734,662 | $ | 674,885 | |
| Non-interest-bearing deposits in offices outside the U.S. (including $1,218 and $383 as of December31, 2025 and 2024, respectively, at fair value) | $ | 87,041 | $ | 84,349 | |
| Interest-bearing deposits in offices outside the U.S. (including $1,142 and $1,963 as of December31, 2025 and 2024, respectively, at fair value) | 581,870 | 525,224 | |
| Total deposits in offices outside the U.S.(1) | $ | 668,911 | $ | 609,573 | |
| Total deposits | $ | 1,403,573 | $ | 1,284,458 | |
(1)The classification between offices in the U.S. and outside the U.S. is based on the domicile of the booking unit, rather than the domicile of the depositor. At December31, 2025 and 2024, time deposits in denominations that met or exceeded the insured limit were as follows:
| |
| December 31, | |
| Inmillionsofdollars | 2025 | 2024 | |
| U.S. offices(1)(2) | $ | 45,271 | $ | 41,153 | |
| Offices outside the U.S.(1)(3)(4) | 151,145 | 146,109 | |
| Total | $ | 196,416 | $ | 187,262 | |
(1)The classification between offices in the U.S. and outside the U.S. is based on the domicile of the booking unit, rather than the domicile of the depositor. (2)Represents time deposits in U.S. offices in denominations that met or exceeded $250,000.(3)Time deposits in offices outside the U.S. are assumed to be a depositors account as single account ownership.(4)The insurance coverage is applied in sequence of checking, savings and short- and long-term time deposits accounts.At December31, 2025, the maturities of time deposits were as follows:
| |
| Inmillionsofdollars | U.S. | Outside U.S. | Total | |
| 2026 | $ | 87,485 | $ | 158,027 | $ | 245,512 | |
| 2027 | 715 | 1,660 | 2,375 | |
| 2028 | 561 | 26 | 587 | |
| 2029 | 242 | 22 | 264 | |
| 2030 | 141 | 51 | 192 | |
| After 5 years | 130 | 4 | 134 | |
| Total | $ | 89,274 | $ | 159,790 | $ | 249,064 | |
226 19.DEBTShort-Term Borrowings
| |
| December 31, | |
| 2025 | 2024 | |
| In millions of dollars | Balance | Weighted- average coupon(1) | Balance | Weighted- average coupon(1) | |
| Commercial paper | |
| Bank(2) | $ | 10,050 | $ | 15,127 | |
| Broker-dealer and other(3) | 9,891 | 13,789 | |
| Total commercial paper | $ | 19,941 | 4.07 | % | $ | 28,916 | 4.85 | % | |
| Other borrowings(4) | 31,937 | 3.79 | 19,589 | 4.67 | |
| Total | $ | 51,878 | $ | 48,505 | |
(1)The weighted-average coupon excludes structured notes accounted for at fair value and the effect of hedges.(2)Represents Citibank entities as well as other bank entities.(3)Represents broker-dealer and other non-bank subsidiaries that are consolidated into CitigroupInc., the parent holding company.(4)Includes borrowings from Federal Home Loan Banks and other market participants. At December31, 2025 and 2024, collateralized short-term advances from Federal Home Loan Banks were $6.0 billion and $5.0 billion, respectively. Some of Citigroups non-bank subsidiaries have credit facilities with Citigroups subsidiary depository institutions, including Citibank. Borrowings under these facilities are secured in accordance with Section 23A of the Federal Reserve Act.Long-Term Debt
| |
| Balances atDecember 31, | |
| In millions of dollars | Weighted-averagecoupon(1) | Maturities | 2025 | 2024 | |
| Citigroup Inc.(2) | |
| Senior debt | 3.91 | % | 20262098 | $ | 147,154 | $ | 133,519 | |
| Subordinated debt(3) | 5.21 | 20262046 | 29,068 | 28,883 | |
| Trust preferred securities | 10.24 | 20362040 | 1,633 | 1,622 | |
| Bank(4) | |
| Senior debt | 4.55 | 20262039 | 36,481 | 35,470 | |
| Broker-dealer(5) | |
| Senior debt | 4.25 | 20262070 | 101,491 | 87,806 | |
| |
| Total | 4.29 | % | $ | 315,827 | $ | 287,300 | |
| Senior debt | $ | 285,126 | $ | 256,795 | |
| Subordinated debt(3) | 29,068 | 28,883 | |
| Trust preferred securities | 1,633 | 1,622 | |
| Total | $ | 315,827 | $ | 287,300 | |
(1)The weighted-average coupon excludes structured notes accounted for at fair value and the effect of hedges.(2)Represents the parent holding company.(3)Includes notes that are subordinated within certain countries, regions or subsidiaries.(4)Represents Citibank entities as well as other bank entities. At December31, 2025 and 2024, collateralized long-term advances from the Federal Home Loan Banks were $3.0 billion and $8.5 billion, respectively.(5)Represents broker-dealer and other non-bank subsidiaries that are consolidated into CitigroupInc., the parent holding company. Certain Citigroup consolidated hedging activities are also included in this line. Balances primarily relate to senior debt.The Company issues both fixed- and variable-rate debt in a range of currencies. It uses derivative contracts, primarily interest rate swaps, to effectively convert a portion of its fixed-rate debt to variable-rate debt. In addition, the Company uses other derivative contracts to manage the foreign exchange impact of certain debt issuances. At December31, 2025, the Companys overall weighted-average interest rate for long-term debt, excluding structured notes accounted for at fair value, was 4.29% on a contractual basis and 4.36% including the effects of derivative contracts.227 Aggregate annual maturities of long-term debt obligations (based on final maturity dates) including trust preferred securities are as follows:
| |
| In millions of dollars | 2026 | 2027 | 2028 | 2029 | 2030 | Thereafter | Total | |
| Citigroup Inc.(1) | $ | 13,826 | $ | 12,482 | $ | 24,460 | $ | 10,107 | $ | 14,942 | $ | 102,038 | $ | 177,855 | |
| Bank | 11,998 | 7,165 | 3,386 | 2,772 | 5,969 | 5,191 | 36,481 | |
| Broker-dealer | 21,031 | 15,620 | 11,539 | 8,422 | 8,626 | 36,253 | 101,491 | |
| Total | $ | 46,855 | $ | 35,267 | $ | 39,385 | $ | 21,301 | $ | 29,537 | $ | 143,482 | $ | 315,827 | |
(1)Represents the parent holding company.The following table summarizes Citis outstanding trust preferred securities at December31, 2025:
| |
| | | | | | | Junior subordinated debentures owned by trust | |
| Trust | Issuancedate | Securitiesissued | Liquidationvalue(1) | Couponrate(2) | Commonsharesissuedto parent | Notional amount | Maturity | Redeemableby issuerbeginning | |
| In millions of dollars, except securities and share amounts | |
| Citigroup Capital III | Dec. 1996 | 194,053 | $ | 194 | 7.625 | % | 6,003 | $ | 200 | Dec.1, 2036 | Not redeemable | |
| Citigroup Capital XIII | Oct. 2010 | 89,840,000 | 2,246 | 3 mo. SOFR +663.161 bps(3) | 1,000 | 2,246 | Oct.30, 2040 | Oct.30, 2015 | |
| |
| Total obligated | | | $ | 2,440 | | $ | 2,446 | | | |
Note: Distributions on the trust preferred securities and interest on the subordinated debentures are payable semiannually for Citigroup Capital III and quarterly for Citigroup Capital XIII.
(1)Represents the notional value received by outside investors from the trusts at the time of issuance. This differs from Citis balance sheet carrying value due primarily to unamortized discount and issuance costs.
(2)In each case, the coupon rate on the subordinated debentures is the same as that on the trust preferred securities. 
(3)The spread incorporates the original contractual spread and a 26.161 bps tenor spread adjustment.
228 
20. REGULATORY CAPITAL 
Citigroup is subject to risk-based capital and leverage standards issued by the Federal Reserve Board, which constitute the U.S. Basel III rules. Citis U.S.-insured depository institution subsidiaries, including Citibank, are subject to similar standards issued by their respective primary bank regulatory agencies. These standards are used to evaluate capital adequacy and include the required minimums 
presented in the following table. The regulatory agencies are required by law to take specific, prompt corrective actions with respect to institutions that do not meet minimum capital standards.
The following table presents for Citigroup and Citibank the regulatory capital tiers, total risk-weighted assets, quarterly adjusted average total assets, Total Leverage Exposure, risk-based capital ratios and leverage ratios:
| |
| Inmillionsofdollars, except ratios | Statedminimum | Citigroup | Citibank | |
| Well-capitalizedminimum | December 31, 2025 | December 31, 2024 | Well-capitalizedminimum | December 31, 2025 | December 31, 2024 | |
| CET1 Capital | | | $ | 157,099 | $ | 155,363 | | $ | 158,202 | $ | 153,483 | |
| Tier 1 Capital | | | 179,675 | 174,527 | | 160,338 | 155,613 | |
| Total Capital (Tier 1 Capital + Tier 2 Capital)Standardized Approach | 216,468 | 205,827 | 175,949 | 173,060 | |
| Total Capital (Tier 1 Capital + Tier 2 Capital)Advanced Approaches | 206,170 | 197,371 | 168,005 | 165,581 | |
| Total risk-weighted assetsStandardized Approach | 1,192,174 | 1,139,988 | 1,006,961 | 998,817 | |
| Total risk-weighted assetsAdvanced Approaches | 1,316,371 | 1,280,190 | 1,104,193 | 1,109,387 | |
| Quarterly adjusted average total assets(1) | | 2,685,119 | 2,433,364 | 1,864,383 | 1,726,312 | |
| Total Leverage Exposure(2) | 3,276,212 | 2,985,418 | 2,374,748 | 2,195,386 | |
| CET1 Capital ratio(3) | 4.5 | % | N/A | 13.18 | % | 13.63 | % | 6.5 | % | 14.33 | % | 13.83 | % | |
| Tier 1 Capital ratio(3) | 6.0 | 6.0 | % | 13.65 | 15.31 | 8.0 | 14.52 | 14.03 | |
| Total Capital ratio(3) | 8.0 | 10.0 | 15.66 | 15.42 | 10.0 | 15.22 | 14.93 | |
| Leverage ratio | 4.0 | N/A | 6.69 | 7.17 | 5.0 | 8.60 | 9.01 | |
| Supplementary Leverage ratio | 3.0 | N/A | 5.48 | 5.85 | 6.0 | 6.75 | 7.09 | |
(1)Leverage ratio denominator. (2)Supplementary Leverage ratio denominator. (3)Citis binding CET1 Capital ratio was derived under the Basel III Standardized Approach, whereas Citis binding Tier 1 Capital and Total Capital ratios were derived under the Basel III Advanced Approaches framework as of December 31, 2025. In prior periods, Citis binding CET1 Capital and Tier 1 Capital ratios were derived under the Basel III Standardized Approach, whereas Citis binding Total Capital ratio was derived under the Basel III Advanced Approaches framework. Citibanks binding CET1 Capital, Tier 1 Capital and Total Capital ratios were derived under the Basel III Advanced Approaches framework for both periods presented.N/A Not applicableAs indicated in the table above, Citigroup and Citibank were well capitalized under the current federal bank regulatory agencies definitions as of December31, 2025 and 2024.Banking SubsidiariesConstraints on DividendsThere are various legal limitations on the ability of Citigroups subsidiary depository institutions to extend credit, pay dividends or otherwise supply funds to Citigroup and its non-bank subsidiaries. The approval of the Office of the Comptroller of the Currency is required if total dividends declared in any calendar year were to exceed amounts specified by the agencys regulations. In determining the dividends, each subsidiary depository institution must also consider its effect on applicable risk-based capital and leverage ratio requirements, as well as policy statements of the federal bank regulatory agencies that indicate that banking organizations should generally pay dividends out of current operating earnings. Citigroup received $12.7billion and $5.5billion in dividends indirectly from Citibank through its holding company during 2025 and 2024, respectively.229 21.CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (AOCI)Changes in each component of Citigroups Accumulated other comprehensive income (loss) were as follows:
| |
| In millions of dollars | Netunrealizedgains (losses)on debt securities | Debt valuation adjustment (DVA)(1) | Cash flow hedges(2) | Benefit plans(3) | CTA, net of hedges(4) | Excluded component of fair value hedges | Long-duration insurance contracts(5) | Accumulatedothercomprehensive income (loss) | |
| Balance, December 31, 2022 | $ | (5,998) | $ | 842 | $ | (2,522) | $ | (5,755) | $ | (33,637) | $ | 8 | $ | | $ | (47,062) | |
| Adjustment to opening balance, net of taxes(6) | | | | | | | 27 | 27 | |
| Adjusted balance, beginning of period | $ | (5,998) | $ | 842 | $ | (2,522) | $ | (5,755) | $ | (33,637) | $ | 8 | $ | 27 | $ | (47,035) | |
| Other comprehensive income before reclassifications | 2,266 | (1,553) | (327) | (416) | 752 | (16) | 7 | 713 | |
| Increase (decrease) due to amounts reclassified from AOCI | (12) | 2 | 1,443 | 121 | | (32) | | 1,522 | |
| Change, net of taxes | $ | 2,254 | $ | (1,551) | $ | 1,116 | $ | (295) | $ | 752 | $ | (48) | $ | 7 | $ | 2,235 | |
| Balance, December 31, 2023 | $ | (3,744) | $ | (709) | $ | (1,406) | $ | (6,050) | $ | (32,885) | $ | (40) | $ | 34 | $ | (44,800) | |
| |
| |
| Other comprehensive income before reclassifications | 913 | (429) | 405 | 242 | (5,162) | 2 | 19 | (4,010) | |
| Increase (decrease) due to amounts reclassified from AOCI | (6) | 17 | 781 | 181 | | (14) | (1) | 958 | |
| Change, net of taxes | $ | 907 | $ | (412) | $ | 1,186 | $ | 423 | $ | (5,162) | $ | (12) | $ | 18 | $ | (3,052) | |
| Balance, December 31, 2024 | $ | (2,837) | $ | (1,121) | $ | (220) | $ | (5,627) | $ | (38,047) | $ | (52) | $ | 52 | $ | (47,852) | |
| |
| |
| Banamex equity interest sale(7) | (34) | | | 214 | 2,243 | 1 | (11) | 2,413 | |
| Other comprehensive income before reclassifications | 1,842 | (1,058) | (202) | (276) | 2,775 | 15 | (11) | 3,085 | |
| Increase (decrease) due to amounts reclassified from AOCI | (211) | 36 | 432 | 185 | 13 | 2 | | 457 | |
| Change, net of taxes | $ | 1,597 | $ | (1,022) | $ | 230 | $ | 123 | $ | 5,031 | $ | 18 | $ | (22) | $ | 5,955 | |
| Balance, December 31, 2025 | $ | (1,240) | $ | (2,143) | $ | 10 | $ | (5,504) | $ | (33,016) | $ | (34) | $ | 30 | $ | (41,897) | |
| |
| Change in Noncontrolling interests AOCI, not included above: | |
| For the years ended December 31, | |
| 2025 | $ | 19 | $ | | $ | | $ | (23) | $ | 129 | $ | | $ | | $ | 125 | |
| 2024 | (11) | | | | (50) | | | (61) | |
| 2023 | 43 | | | | 41 | | | 84 | |
(1)Reflects the after-tax valuation of Citis fair value option liabilities. See Market Valuation Adjustments in Note 26.(2)Primarily driven by Citis pay floating/receive fixed interest rate swap programs that hedge certain floating rates on assets. (3)Primarily reflects adjustments based on actuarial valuations of the Companys pension and postretirement plans and amortization of amounts previously recognized in other comprehensive income. (4)Primarily reflects the movements in (by order of impact) the Mexican peso, euro, Polish zloty, Singapore dollar, Brazilian real and South Korean won against the U.S. dollar and changes in related tax effects and hedges for the year ended December31, 2025. Primarily reflects the movements in (by order of impact) the Mexican peso, Brazilian real, euro, Egyptian pound, Chilean peso, Japanese yen and South Korean won against the U.S. dollar and changes in related tax effects and hedges for the year ended December31, 2024. Primarily reflects the movements in (by order of impact) the Mexican peso, Polish zloty, euro, Brazilian real, Russian ruble and Japanese yen against the U.S. dollar and changes in related tax effects and hedges for the year ended December31, 2023. Amounts recorded in the CTA component of AOCI remain in AOCI until the sale or substantial liquidation of the foreign entity, at which point such amounts related to the foreign entity are reclassified into earnings.(5)Reflects the change in the liability for future policyholder benefits for certain long-duration life-contingent annuity contracts that are issued by a regulated Banamex insurance subsidiary within Mexico Consumer/SBMM and reported within Legacy Franchises. The amount reflects the change in the liability after discounting using an upper-medium-grade fixed income instrument yield that reflects the duration characteristics of the liability. The balance of the liability for future policyholder benefits, which is recorded within Other liabilities, for this insurance subsidiary was approximately $501million and $413million at December31, 2025 and 2024, respectively.(6)See Accounting Changes in Note 1.(7)Represents Banamex equity interest sale on sale effective date. See Sale of 25% Equity Stake in Banamex in Note 2. 230 The pretax and after-tax changes in each component of Accumulated other comprehensive income (loss) were as follows:
| |
| In millions of dollars | Pretax | Tax effect(1) | After-tax | |
| Balance, December 31, 2022 | $ | (55,253) | $ | 8,191 | $ | (47,062) | |
| Adjustment to opening balance(2) | 39 | (12) | 27 | |
| Adjusted balance, beginning of year | $ | (55,214) | $ | 8,179 | $ | (47,035) | |
| Change in net unrealized gains (losses) on debt securities | 3,136 | (882) | 2,254 | |
| Debt valuation adjustment (DVA) | (2,078) | 527 | (1,551) | |
| Cash flow hedges | 1,480 | (364) | 1,116 | |
| Benefit plans | (353) | 58 | (295) | |
| Foreign currency translation adjustment (CTA) | 665 | 87 | 752 | |
| Excluded component of fair value hedges | (70) | 22 | (48) | |
| Long-duration insurance contracts | 12 | (5) | 7 | |
| Change | $ | 2,792 | $ | (557) | $ | 2,235 | |
| Balance, December 31, 2023 | $ | (52,422) | $ | 7,622 | $ | (44,800) | |
| |
| |
| Change in net unrealized gains (losses) on debt securities | 1,160 | (253) | 907 | |
| DVA | (573) | 161 | (412) | |
| Cash flow hedges | 1,570 | (384) | 1,186 | |
| Benefit plans | 576 | (153) | 423 | |
| CTA | (4,759) | (403) | (5,162) | |
| Excluded component of fair value hedges | (19) | 7 | (12) | |
| Long-duration insurance contracts | 28 | (10) | 18 | |
| Change | $ | (2,017) | $ | (1,035) | $ | (3,052) | |
| Balance, December 31, 2024 | $ | (54,439) | $ | 6,587 | $ | (47,852) | |
| |
| |
| Change in net unrealized gains (losses) on debt securities | 2,059 | (462) | 1,597 | |
| DVA | (1,285) | 263 | (1,022) | |
| Cash flow hedges | 290 | (60) | 230 | |
| Benefit plans | 158 | (35) | 123 | |
| CTA | 5,071 | (40) | 5,031 | |
| Excluded component of fair value hedges | 22 | (4) | 18 | |
| Long-duration insurance contracts | (32) | 10 | (22) | |
| Change | $ | 6,283 | $ | (328) | $ | 5,955 | |
| Balance, December 31, 2025 | $ | (48,156) | $ | 6,259 | $ | (41,897) | |
(1)Income tax effects of these items are released from AOCI contemporaneously with the related pretax amount.(2)See Accounting Changes in Note 1.231 The Company recognized pretax (gains) losses related to amounts in AOCI reclassified to the Consolidated Statement of Income as follows:
| |
| Increase (decrease) in AOCI due to amounts reclassified to Consolidated Statement of Income | |
| Year ended December 31, | |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Realized (gains) losses on sales of investments | $ | (471) | $ | (328) | $ | (188) | |
| Gross impairment losses | 184 | 323 | 188 | |
| Subtotal, pretax | $ | (287) | $ | (5) | $ | | |
| Tax effect | 76 | (1) | (12) | |
| Net realized (gains) losses on investments, after-tax(1) | $ | (211) | $ | (6) | $ | (12) | |
| Realized DVA (gains) losses on fair value option liabilities, pretax | $ | 58 | $ | 23 | $ | 3 | |
| Tax effect | (22) | (6) | (1) | |
| Net realized DVA, after-tax | $ | 36 | $ | 17 | $ | 2 | |
| Interest rate contracts | $ | 556 | $ | 1,027 | $ | 1,897 | |
| Foreign exchange contracts | 13 | 3 | 4 | |
| Subtotal, pretax | $ | 569 | $ | 1,030 | $ | 1,901 | |
| Tax effect | (137) | (249) | (458) | |
| Amortization of cash flow hedges, after-tax(2) | $ | 432 | $ | 781 | $ | 1,443 | |
| Amortization of unrecognized: | |
| Prior service cost (benefit) | $ | (16) | $ | (17) | $ | (22) | |
| Net actuarial loss | 262 | 256 | 196 | |
| Curtailment/settlement impact(3) | 6 | 2 | (7) | |
| Subtotal, pretax | $ | 252 | $ | 241 | $ | 167 | |
| Tax effect | (67) | (60) | (46) | |
| Amortization of benefit plans, after-tax(3) | $ | 185 | $ | 181 | $ | 121 | |
| Excluded component of fair value hedges, pretax | $ | 2 | $ | (18) | $ | (43) | |
| Tax effect | | 4 | 11 | |
| Excluded component of fair value hedges, after-tax | $ | 2 | $ | (14) | $ | (32) | |
| Long-duration contracts, pretax | $ | | $ | (1) | $ | | |
| Tax effect | | | | |
| Long-duration contracts, after-tax | $ | | $ | (1) | $ | | |
| CTA, pretax | $ | 14 | $ | | $ | | |
| Tax effect | (1) | | | |
| CTA, after-tax(4) | $ | 13 | $ | | $ | | |
| Total amounts reclassified out of AOCI, pretax | $ | 608 | $ | 1,270 | $ | 2,028 | |
| Total tax effect | (151) | (312) | (506) | |
| Total amounts reclassified out of AOCI, after-tax | $ | 457 | $ | 958 | $ | 1,522 | |
(1)The pretax amount is reclassified to Realized gains (losses) on sales of investments, net and Gross impairment losses in the Consolidated Statement of Income. See Note14.(2)See Note24.(3)See Note 8.(4)The pretax amount is reclassified to Other revenue in the Consolidated Statement of Income. 232 22.PREFERRED STOCKThe following table summarizes the Companys preferred stock outstanding:
| |
| | Dividend rateas of December31, 2025 | Redemptionprice per depositary share | | Carrying value(in millions of dollars) | |
| | Issuance date | Redeemable by issuer beginning | Number of depositaryshares | December 31,2025 | December 31,2024 | |
| Series P(1) | April 24, 2015 | May 15, 2025 | N/A | $ | 1,000 | 2,000,000 | $ | | $ | 2,000 | |
| Series T(2) | April 25, 2016 | August 15, 2026 | 6.250 | % | 1,000 | 1,500,000 | 1,500 | 1,500 | |
| Series V(3) | January 23, 2020 | January 30, 2025 | N/A | 1,000 | 1,500,000 | | 1,500 | |
| Series W(4) | December 10, 2020 | December 10, 2025 | N/A | 1,000 | 1,500,000 | | 1,500 | |
| Series X(5) | February 18, 2021 | February 18, 2026 | 3.875 | 1,000 | 2,300,000 | 2,300 | 2,300 | |
| Series Y(6) | October 27, 2021 | November 15, 2026 | 4.150 | 1,000 | 1,000,000 | 1,000 | 1,000 | |
| Series Z(7) | March 7, 2023 | May 15, 2028 | 7.375 | 1,000 | 1,250,000 | 1,250 | 1,250 | |
| Series AA(8) | September 21, 2023 | November 15, 2028 | 7.625 | 1,000 | 1,500,000 | 1,500 | 1,500 | |
| Series BB(9) | March 6, 2024 | May 15, 2029 | 7.200 | 1,000 | 550,000 | 550 | 550 | |
| Series CC(10) | May 29, 2024 | August 15, 2029 | 7.125 | 1,000 | 1,750,000 | 1,750 | 1,750 | |
| Series DD(11) | July 30, 2024 | August 15, 2034 | 7.000 | 1,000 | 1,500,000 | 1,500 | 1,500 | |
| Series EE(12) | December 3, 2024 | February 15, 2030 | 6.750 | 1,000 | 1,500,000 | 1,500 | 1,500 | |
| Series FF(13) | February 12, 2025 | February 15, 2030 | 6.950 | 1,000 | 2,000,000 | 2,000 | | |
| Series GG(14) | July 23, 2025 | August 15, 2030 | 6.875 | 1,000 | 2,700,000 | 2,700 | | |
| Series HH(15) | December 10, 2025 | February 15, 2031 | 6.625 | 1,000 | 2,500,000 | 2,500 | | |
| | | $ | 20,050 | $ | 17,850 | |
(1)Citi redeemed Series P in its entirety on May 15, 2025.(2)Issued as depositary shares, each representing a 1/25th interest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable semiannually on February 15 and August 15 at a fixed rate until, but excluding, August 15, 2026, thereafter payable quarterly on February 15, May 15, August 15 and November 15 at a floating rate, in each case when, as and if declared by the Citi Board of Directors.(3)Citi redeemed Series V in its entirety on January 30, 2025.(4)Citi redeemed Series W in its entirety on December 10, 2025.(5)Citi redeemed Series X in its entirety on February 18, 2026.(6)Issued as depositary shares, each representing a 1/25thinterest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May15, August 15and November 15 at a fixed rate until, but excluding, November 15, 2026, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series Y reset date and every five years thereafter equal to the five-year treasury rate plus 3.000%, in each case when, as and if declared by the Citi Board of Directors.(7)Issued as depositary shares, each representing a 1/25thinterest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May15, August 15and November 15 at a fixed rate until, but excluding, May 15, 2028, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series Z reset date and every five years thereafter equal to the five-year treasury rate plus 3.209%, in each case when, as and if declared by the Citi Board of Directors. (8)Issued as depositary shares, each representing a 1/25thinterest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May15, August 15and November 15 at a fixed rate until, but excluding, November 15, 2028, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series AA reset date and every five years thereafter equal to the five-year treasury rate plus 3.211%, in each case when, as and if declared by the Citi Board of Directors.(9)Issued as depositary shares, each representing a 1/25thinterest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May15, August 15and November 15 at a fixed rate until, but excluding, May 15, 2029, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series BB reset date and every five years thereafter equal to the five-year treasury rate plus 2.905%, in each case when, as and if declared by the Citi Board of Directors. (10)Issued as depositary shares, each representing a 1/25th interest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May 15, August 15 and November 15 at a fixed rate until, but excluding, August 15, 2029, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series CC reset date and every five years thereafter equal to the five-year treasury rate plus 2.693%, in each case when, as and if declared by the Citi Board of Directors. (11)Issued as depositary shares, each representing a 1/25th interest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May 15, August 15 and November 15 at a fixed rate until, but excluding, August 15, 2034, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series DD reset date and every 10 years thereafter equal to the 10-year treasury rate plus 2.757%, in each case when, as and if declared by the Citi Board of Directors. (12)Issued as depositary shares, each representing a 1/25thinterest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May15, August 15and November 15 at a fixed rate until, but excluding, February 15, 2030, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series EE reset date and every five years thereafter equal to the five-year treasury rate plus 2.572%, in each case when, as and if declared by the Citi Board of Directors.(13)Issued as depositary shares, each representing a 1/25th interest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May 15, August 15 and November 15 at a fixed rate until, but excluding, February 15, 2030, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series FF reset date and every five years thereafter equal to the five-year treasury rate plus 2.726%, in each case when, as and if declared by the Citi Board of Directors.233 (14)Issued as depositary shares, each representing a 1/25th interest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May 15, August 15 and November 15 at a fixed rate until, but excluding, August 15, 2030, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series GG reset date and every five years thereafter equal to the five-year treasury rate plus 2.890%, in each case when, as and if declared by the Citi Board of Directors.(15)Issued as depositary shares, each representing a 1/25th interest in a share of the corresponding series of non-cumulative perpetual preferred stock. Dividends are payable quarterly on February 15, May 15, August 15 and November 15 at a fixed rate until, but excluding, February 15, 2031, thereafter payable quarterly on the same dates at a fixed rate that resets on the Series HH reset date and every five years thereafter equal to the five-year treasury rate plus 3.001%, in each case when, as and if declared by the Citi Board of Directors.N/A Not applicable, as the series has been redeemed. On February 3, 2026, Citi issued $800million of Series II preferred stock and on February 12, 2026, Citi issued $1billion of Series JJ preferred stock.234 23. SECURITIZATIONS AND VARIABLE INTEREST ENTITIESCitigroups involvement with consolidated and unconsolidated VIEs with which the Company holds significant variable interests or has continuing involvement through servicing a majority of the assets in a VIE is presented below:
| |
| As of December 31, 2025 | |
| Maximum exposure to loss in significant unconsolidated VIEs(1) | |
| Funded exposures(2) | Unfunded exposures | |
| In millions of dollars | Totalinvolvementwith SPEassets | ConsolidatedVIE/SPE assets | SignificantunconsolidatedVIE assets(3) | Debtinvestments | Equityinvestments | Fundingcommitments | Guaranteesandderivatives | Total | |
| Credit card securitizations | $ | 27,811 | $ | 27,811 | $ | | $ | | $ | | $ | | $ | | $ | | |
| Mortgage securitizations(4) | |
| U.S. agency-sponsored | 129,615 | | 129,615 | 3,413 | | | 112 | 3,525 | |
| Non-agency-sponsored | 66,060 | | 66,060 | 3,586 | | 435 | | 4,021 | |
| Citi-administered asset-backed commercial paper conduits | 19,188 | 19,188 | | | | | | | |
| Collateralized loan obligations (CLOs) | 492 | | 492 | 208 | | | | 208 | |
| Asset-based financing(5) | 391,983 | 8,738 | 383,245 | 63,351 | 606 | 17,996 | | 81,953 | |
| Municipal securities tender option bond trusts (TOBs) | 3,575 | 3,575 | | | | | | | |
| Municipal investments | 21,953 | | 21,953 | 2,723 | 2,841 | 3,666 | | 9,230 | |
| Client intermediation | 172 | 84 | 88 | 1 | | | 49 | 50 | |
| Investment funds | 5,047 | 5 | 5,042 | 29 | 157 | 90 | | 276 | |
| |
| Total | $ | 665,896 | $ | 59,401 | $ | 606,495 | $ | 73,311 | $ | 3,604 | $ | 22,187 | $ | 161 | $ | 99,263 | |
| |
| As of December 31, 2024 | |
| Maximum exposure to loss in significant unconsolidated VIEs(1) | |
| Funded exposures(2) | Unfunded exposures | |
| In millions of dollars | Totalinvolvementwith SPEassets | ConsolidatedVIE/SPE assets | SignificantunconsolidatedVIE assets(3) | Debtinvestments | Equityinvestments | Fundingcommitments | Guaranteesandderivatives | Total | |
| Credit card securitizations | $ | 29,746 | $ | 29,746 | $ | | $ | | $ | | $ | | $ | | $ | | |
| Mortgage securitizations(4) | |
| U.S. agency-sponsored | 120,568 | | 120,568 | 2,387 | | | 123 | 2,510 | |
| Non-agency-sponsored | 62,378 | | 62,378 | 3,479 | | 566 | | 4,045 | |
| Citi-administered asset-backed commercial paper conduits | 21,306 | 21,306 | | | | | | | |
| Collateralized loan obligations (CLOs) | 3,920 | | 3,920 | 2,019 | | | | 2,019 | |
| Asset-based financing(5) | 268,498 | 7,947 | 260,551 | 54,349 | 735 | 13,185 | | 68,269 | |
| Municipal securities tender option bond trusts (TOBs) | 935 | 935 | | | | | | | |
| Municipal investments | 20,280 | 3 | 20,277 | 2,360 | 2,730 | 2,502 | | 7,592 | |
| Client intermediation | 387 | 81 | 306 | 20 | | | 49 | 69 | |
| Investment funds | 641 | 21 | 620 | 4 | 18 | 98 | | 120 | |
| |
| Total | $ | 528,659 | $ | 60,039 | $ | 468,620 | $ | 64,618 | $ | 3,483 | $ | 16,351 | $ | 172 | $ | 84,624 | |
(1)The definition of maximum exposure to loss is included in the text that follows this table.(2)Included on Citigroups December31, 2025 and 2024 Consolidated Balance Sheet.(3)A significant unconsolidated VIE is an entity in which the Company has any variable interest or continuing involvement considered to be significant, regardless of the likelihood of loss.(4)Citigroup mortgage securitizations also include agency and non-agency (private label) re-securitization activities. These SPEs are not consolidated. See Re-securitizations below for further discussion.(5)Included within this line are loans to third-party-sponsored private equity funds, which represent $138.7billion and $45.5billion in unconsolidated VIE assets and $1.7billion and $824million in maximum exposure to loss as of December31, 2025 and 2024, respectively.235 The previous tables do not include:certain investment funds for which the Company provides investment management services and personal estate trusts for which the Company provides administrative, trustee and/or investment management services;certain third-party-sponsored private equity funds to which the Company provides credit facilities. The Company has no decision-making power and does not consolidate these funds, some of which may meet the definition of a VIE. The Companys maximum exposure to loss is generally limited to a loan or lending-related commitment. As of December31, 2025 and 2024, the Companys maximum exposure to loss related to these transactions was $9.2billion and $8.1billion, respectively (see Notes 15 and 26);certain VIEs structured by third parties in which the Company holds securities in inventory, as these investments are made on arms-length terms;certain positions in mortgage- and asset-backed securities held by the Company, which are classified as Trading account assets, Investments or Loans, in which the Company has no other involvement with the related securitization entity deemed to be significant (see Notes 14, 15 and 26); certain representations and warranties exposures in Citigroup residential mortgage securitizations, in which the original mortgage loan balances are no longer outstanding; andVIEs such as preferred securities trusts used in connection with the Companys funding activities. The Company does not have a variable interest in these trusts.Consolidated VIEsThe Company engages in on-balance sheet securitizations, which are securitizations that do not qualify for sales treatment; thus, the assets remain on Citis Consolidated Balance Sheet, and any proceeds received are recognized as secured liabilities. In general, the third-party investors in the obligations of consolidated VIEs have legal recourse only to the assets of the respective VIEs and do not have such recourse to the Company, except where Citi has provided a guarantee to the investors or is the counterparty to certain derivative transactions involving the VIE. Citigroups maximum legal exposure to loss related to consolidated VIEs is significantly less than the carrying value of the consolidated VIE assets due to outstanding third-party financing.Intercompany assets and liabilities are excluded from Citis Consolidated Balance Sheet. All VIE assets are restricted from being sold or pledged as collateral. The cash flows from these assets are the only source used to pay down the associated liabilities, which are non-recourse to Citis general assets.The asset balances for consolidated VIEs represent the carrying amounts of the assets consolidated by the Company. The carrying amount may represent the amortized cost or the current fair value of the assets depending on the classification of the asset (e.g., loan or security) and the associated accounting model ascribed to that classification.The asset balances for unconsolidated VIEs in which the Company has significant involvement represent the most current information available to the Company. In most cases, the asset balances represent an amortized cost basis without regard to impairments, unless fair value information is readily available to the Company.The maximum funded exposure represents the balance sheet carrying amount of the Companys investment in the VIE. It reflects the initial amount of cash invested in the VIE, adjusted for any accrued interest and cash principal payments received. The carrying amount may also be adjusted for increases or declines in fair value or any impairment in value recognized in earnings. The maximum exposure of unfunded positions represents the remaining undrawn committed amount, including liquidity and credit facilities provided by the Company or the notional amount of a derivative instrument considered to be a variable interest. In certain transactions, the Company has entered into derivative instruments or other arrangements that are not considered variable interests in the VIE (e.g., interest rate swaps, cross-currency swaps or where the Company is the purchaser of credit protection under a credit default swap or total return swap where the Company pays the total return on certain assets to the SPE). Receivables under such arrangements are not included in the maximum exposure amounts.236 The following tables present assets and liabilities related to consolidated VIEs, which are included on Citis Consolidated Balance Sheet. These assets can only be used to settle obligations of consolidated VIEs. In addition, the assets and liabilities of consolidated VIEs include only third-party balances and exclude intercompany balances that eliminate in consolidation. The liabilities also exclude amounts where creditors or beneficial interest holders have recourse to the general credit of Citigroup.
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Assets of consolidated VIEs to be used to settle obligations of consolidated VIEs | | | |
| Cash and due from banks | $ | 105 | $ | 65 | |
| Trading account assets | 7,488 | 6,971 | |
| Investments | 2,724 | 739 | |
| Loans, net of unearned income | | |
| Consumer | 31,181 | 32,958 | |
| Corporate | 19,902 | 21,492 | |
| Loans, net of unearned income | $ | 51,083 | $ | 54,450 | |
| Allowance for credit losses on loans | (2,142) | (2,376) | |
| Total loans, net | $ | 48,941 | $ | 52,074 | |
| Other assets | 143 | 190 | |
| Total assets of consolidated VIEs to be used to settle obligations of consolidated VIEs | $ | 59,401 | $ | 60,039 | |
| |
| December 31, | |
| Inmillionsofdollars | 2025 | 2024 | |
| Liabilities of consolidated VIEs for which creditors or beneficial interest holders do not have recourse to the general credit of Citigroup | | | |
| Short-term borrowings | $ | 9,690 | $ | 13,628 | |
| Long-term debt | 5,419 | 5,271 | |
| Other liabilities | 400 | 920 | |
| Total liabilities of consolidated VIEs for which creditors or beneficial interest holders do not have recourse to the general credit of Citigroup | $ | 15,509 | $ | 19,819 | |
237 Funding Commitments for Significant Unconsolidated VIEsLiquidity Facilities and Loan CommitmentsThe following table presents the notional amount of liquidity facilities and loan commitments that are classified as funding commitments in the VIE tables above:
| |
| December 31, 2025 | December 31, 2024 | |
| In millions of dollars | Liquidityfacilities | Loan/equitycommitments | Liquidityfacilities | Loan/equitycommitments | |
| Non-agency-sponsored mortgage securitizations | $ | | $ | 435 | $ | | $ | 566 | |
| Citi-administered asset-backed commercial paper conduits | | | | | |
| Asset-based financing | | 17,996 | | 13,185 | |
| Municipal securities tender option bond trusts (TOBs) | | | | | |
| Municipal investments | | 3,666 | | 2,502 | |
| Investment funds | | 90 | | 98 | |
| |
| Total funding commitments | $ | | $ | 22,187 | $ | | $ | 16,351 | |
Significant Interests in Unconsolidated VIEsBalance Sheet ClassificationThe following table presents the carrying amounts and classification of significant variable interests in unconsolidated VIEs:
| |
| In billions of dollars | December 31, 2025 | December 31, 2024 | |
| Cash | $ | | $ | | |
| Trading account assets | 3.3 | 3.4 | |
| Investments | 5.4 | 5.6 | |
| Total loans, net of allowance | 67.6 | 58.4 | |
| Other | 0.6 | 0.6 | |
| Total assets | $ | 76.9 | $ | 68.0 | |
238 Credit Card SecuritizationsThe Company securitizes credit card receivables through two revolving master trusts established to purchase the receivables. Citigroup transfers receivables into the trusts on a non-recourse basis. Credit card securitizations are revolving securitizations: as customers pay their credit card balances, the cash proceeds are used to purchase new receivables and replenish the receivables in the trust.The Company continues to maintain the credit card customer account relationships and provides servicing for the receivables transferred to the trusts. These trusts are consolidated entities because, as servicer, Citigroup has the power to direct the activities that most significantly impact the economic performance of the trusts. Citigroup holds a sellers interest and certain securities issued by the trusts, which could result in exposure to potentially significant losses or benefits from the trusts. Accordingly, the transferred credit card receivables remain on Citis Consolidated Balance Sheet with no gain or loss recognized. The debt issued by the trusts to third parties is included on Citis Consolidated Balance Sheet. The following table reflects amounts related to the Companys securitized credit card receivables:
| |
| In billions of dollars | December 31, 2025 | December 31, 2024 | |
| Ownership interests in principal amount of trust credit card receivables | |
| Sold to investors via trust-issued securities | $ | 5.4 | $ | 5.2 | |
| Retained by Citigroup as trust-issued securities | 2.5 | 3.7 | |
| Retained by Citigroup via non-certificated interests | 20.7 | 22.1 | |
| Total | $ | 28.6 | $ | 31.0 | |
The following table summarizes selected cash flow information related to Citigroups credit card securitizations:
| |
| |
| In billions of dollars | 2025 | 2024 | 2023 | |
| Proceeds from new securitizations | $ | 2.0 | $ | | $ | 1.5 | |
| Paydown of maturing notes | (1.9) | (1.7) | (2.4) | |
239 Mortgage SecuritizationsCitigroup provides a wide range of mortgage loan products to a diverse customer base that are securitized through the use of VIEs, which are funded through the issuance of trust certificates backed solely by the transferred assets. These certificates have the same life as the transferred assets. These mortgage loan securitizations are primarily non-recourse, thereby effectively transferring the risk of future credit losses to the purchasers of the securities issued by the trust.The Company securitizes mortgage loans generally through either a U.S. government-sponsored agency, or a private label (non-agency-sponsored mortgages) securitization. Citi does not consolidate the securitization entities when it is not the servicer or its servicing relationship is deemed to be fiduciary (and therefore, does not have the power to direct the activities that most significantly impact the entities economic performance) or does not hold a beneficial interest that could be potentially significant to the securitization entities. Retained interests in non-consolidated agency-sponsored mortgage securitization trusts are classified as Trading account assets, except for MSRs, which are included in Other assets on Citigroups Consolidated Balance Sheet.The following tables summarize selected cash flow information and retained interests related to Citigroup mortgage securitizations:
| |
| |
| 2025 | 2024 | 2023 | |
| In billions of dollars | U.S. agency- sponsored mortgages | Non-agency- sponsored mortgages | U.S. agency- sponsored mortgages | Non-agency- sponsored mortgages | U.S. agency- sponsored mortgages | Non-agency- sponsored mortgages | |
| Principal securitized | $ | 7.3 | $ | 9.8 | $ | 8.0 | $ | 9.4 | $ | 4.9 | $ | 4.8 | |
| Proceeds from new securitizations | 7.5 | 7.3 | 8.2 | 8.8 | 4.9 | 3.5 | |
| Contractual servicing fees received | 0.1 | | 0.1 | | 0.1 | | |
| Cash flows received on retained interests and other net cash flows | | 0.2 | | 0.2 | | 0.2 | |
| Purchases of previously transferred financial assets | 0.1 | | 0.1 | | | | |
Note: Excludes re-securitization transactions.
For non-consolidated mortgage securitization entities where the transfer of loans to the VIE meets the conditions for sale accounting, Citi recognizes a gain or loss based on the difference between the carrying value of the transferred assets and the proceeds received (generally cash but may be beneficial interests or servicing rights).
Agency and non-agency securitization gains for the year ended December31, 2025 were $2.5 million and $247.8 million, respectively. 
Agency and non-agency securitization gains for the year ended December31, 2024 were $0.4 million and $216.2 million, respectively, and $0.4 million and $88.7 million, respectively, for the year ended December31, 2023.
| |
| 2025 | 2024 | |
| Non-agency-sponsored mortgages(1) | Non-agency-sponsored mortgages(1) | |
| In millions of dollars | U.S. agency- sponsored mortgages | Senior interests | Subordinated interests | U.S. agency- sponsored mortgages | Senior interests | Subordinated interests | |
| Carrying value of retained interests(2) | $ | 810 | $ | 879 | $ | 1,079 | $ | 783 | $ | 902 | $ | 1,058 | |
(1)Disclosure of non-agency-sponsored mortgages as senior and subordinated interests is indicative of the interests position in the capital structure of the securitization.(2)Retained interests consist of Level 2 and Level 3 assets depending on the observability of significant inputs. See Note 26 for more information about fair value measurements.240 Key assumptions used in measuring the fair value of retained interests at the date of sale or securitization of mortgage receivables were as follows:
| |
| December 31, 2025 | |
| Non-agency-sponsored mortgages(1) | |
| U.S. agency- sponsored mortgages | Senior interests | Subordinated interests | |
| Weighted-average discount rate | 10.7 | % | 3.3 | % | 6.7 | % | |
| Weighted-average constant prepayment rate | 7.8 | % | 13.8 | % | 13.6 | % | |
| Weighted-average anticipated net credit losses(2) | NM | 0.4 | % | 0.4 | % | |
| Weighted-average life | 7.0 years | 4.0 years | 5.9 years | |
| |
| December 31, 2024 | |
| Non-agency-sponsored mortgages(1) | |
| U.S. agency- sponsored mortgages | Senior interests | Subordinated interests | |
| Weighted-average discount rate | 11.9 | % | 2.6 | % | 6.9 | % | |
| Weighted-average constant prepayment rate | 9.5 | % | 17.7 | % | 10.1 | % | |
| Weighted-average anticipated net credit losses(2) | NM | 0.2 | % | 0.4 | % | |
| Weighted-average life | 6.8 years | 3.2 years | 7.5 years | |
(1)Disclosure of non-agency-sponsored mortgages as senior and subordinated interests is indicative of the interests position in the capital structure of the securitization. 
(2)Anticipated net credit losses represent estimated loss severity associated with defaulted mortgage loans underlying the mortgage securitizations disclosed above. Anticipated net credit losses, in this instance, do not represent total credit losses incurred to date, nor do they represent credit losses expected on retained interests in mortgage securitizations.
NM Anticipated net credit losses are not meaningful due to U.S. agency guarantees.
The interests retained by the Company range from highly rated and/or senior in the capital structure to unrated and/or residual interests. Key assumptions used in measuring the fair value of retained interests in securitizations of mortgage receivables at period end were as follows:
| |
| December 31, 2025 | |
| Non-agency-sponsored mortgages(1) | |
| U.S. agency- sponsored mortgages | Senior interests | Subordinated interests | |
| Weighted-average discount rate | 6.5 | % | NM | 8.8 | % | |
| Weighted-average constant prepayment rate | 9.2 | % | NM | 26.1 | % | |
| Weighted-average anticipated net credit losses(2) | NM | NM | 0.5 | % | |
| Weighted-average life | 6.8 years | NM | 2.6 years | |
| |
| December 31, 2024 | |
| Non-agency-sponsored mortgages(1) | |
| U.S. agency- sponsored mortgages | Senior interests | Subordinated interests | |
| Weighted-average discount rate | 7.2 | % | 23.6 | % | NM | |
| Weighted-average constant prepayment rate | 5.7 | % | 16.4 | % | NM | |
| Weighted-average anticipated net credit losses(2) | NM | NM | NM | |
| Weighted-average life | 7.6 years | 4.5 years | NM | |
(1)Disclosure of non-agency-sponsored mortgages as senior and subordinated interests is indicative of the interests position in the capital structure of the securitization.
(2)Anticipated net credit losses represent estimated loss severity associated with defaulted mortgage loans underlying the mortgage securitizations. Anticipated net credit losses, in this instance, do not represent total credit losses incurred to date, nor do they represent credit losses expected on retained interests in mortgage securitizations.
NMAnticipated net credit losses are not meaningful due to U.S. agency guarantees.
241 
The sensitivity of the fair value to adverse changes of 10% and 20% in each of the key assumptions is presented in the tables below. The negative effect of each change is calculated independently, holding all other assumptions constant. Because the key assumptions may not be independent, the net effect of simultaneous adverse changes in the key assumptions may be less than the sum of the individual effects presented below.
| |
| December 31, 2025 | |
| Non-agency-sponsored mortgages | |
| In millions of dollars | U.S. agency- sponsored mortgages | Senior interests | Subordinated interests | |
| Discount rate | |
| Adverse change of 10% | $ | (25) | $ | | $ | | |
| Adverse change of 20% | (48) | | (1) | |
| Constant prepayment rate | |
| Adverse change of 10% | (27) | | | |
| Adverse change of 20% | (53) | | | |
| Anticipated net credit losses | |
| Adverse change of 10% | NM | | | |
| Adverse change of 20% | NM | | | |
| |
| December 31, 2024 | |
| Non-agency-sponsored mortgages | |
| In millions of dollars | U.S. agency- sponsored mortgages | Senior interests | Subordinated interests | |
| Discount rate | |
| Adverse change of 10% | $ | (28) | $ | | $ | | |
| Adverse change of 20% | (55) | (1) | | |
| Constant prepayment rate | |
| Adverse change of 10% | (19) | | | |
| Adverse change of 20% | (37) | (1) | | |
| Anticipated net credit losses | |
| Adverse change of 10% | NM | | | |
| Adverse change of 20% | NM | | | |
NMAnticipated net credit losses are not meaningful due to U.S. agency guarantees.The following table includes information about loan delinquencies and liquidation losses for assets held in non-consolidated, non-agency-sponsored securitization entities at December 31:
| |
| Securitized assets | 90 days past due | Liquidation (gains) losses | |
| In billions of dollars, except liquidation losses in millions | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | |
| Securitized assets | |
| Residential mortgages(1) | $ | 33.0 | $ | 31.0 | $ | 0.3 | $ | 0.3 | $ | (1.5) | $ | (0.6) | |
| Commercial and other | 30.1 | 31.1 | | | | | |
| Total | $ | 63.1 | $ | 62.1 | $ | 0.3 | $ | 0.3 | $ | (1.5) | $ | (0.6) | |
(1) Securitized assets include $79million of personal loan securitizations as of December31, 2025. 242 Consumer Loan SecuritizationsBeginning in the third quarter of 2023, Citi relaunched a program securitizing other consumer loans into asset-backed securities. The principal securitized and the proceeds from new securitizations for the year ended December 31, 2025 were $1.8billion and $1.8billion, respectively, compared to $1.2billion and $1.2billion, respectively, as of December 31, 2024. The gains recognized on the securitization of consumer loans were $5.2million and $5.1million for the years ended December31, 2025 and 2024. Mortgage Servicing Rights (MSRs)In connection with the securitization of mortgage loans, Citis U.S. consumer mortgage business generally retains the servicing rights, which entitle the Company to a future stream of cash flows based on the outstanding principal balances of the loans and the contractual servicing fee. Failure to service the loans in accordance with contractual requirements may lead to a termination of the servicing rights and the loss of future servicing fees. These transactions create intangible assets referred to as MSRs, which are recorded at fair value on Citis Consolidated Balance Sheet (see Note 26 for the valuation of MSRs). The MSRs correspond to principal loan balances of $59 billion and $56 billion as of December31, 2025 and 2024, respectively. The Company receives fees during the course of servicing previously securitized mortgages. The amounts of these fees were as follows:
| |
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Servicing fees | $ | 147 | $ | 127 | $ | 129 | |
| Late fees | 2 | 1 | 4 | |
| |
| Total MSR fees | $ | 149 | $ | 128 | $ | 133 | |
In the Consolidated Statement of Income these fees are primarily classified as Commissions and fees, and changes in MSR fair values are classified as Other revenue.Re-securitizationsThe Company engages in re-securitization transactions backed by either residential or commercial mortgages in which debt securities are transferred to a VIE in exchange for new beneficial interests. Citi did not transfer non-agency (private label) securities to re-securitization entities, nor did Citi hold retained interests in such securitizations, during the years ended December31, 2025 and 2024. As of December31, 2025 and 2024, Citi held no retained interests in private label re-securitization transactions structured by Citi. The Company also re-securitizes U.S. government-agency-guaranteed mortgage-backed (agency) securities. During the years ended December31, 2025 and 2024, Citi transferred agency securities with a fair value of approximately $31.8 billion and $22.8 billion, respectively, to re-securitization entities. As of December31, 2025, the fair value of Citi-retained interests in agency re-securitization transactions structured by Citi totaled approximately $2.6 billion (including $1.9 billion related to re-securitization transactions executed in 2025), compared to $1.6 billion as of December31, 2024 (including $977 million related to re-securitization transactions executed in 2024), which is recorded in Trading account assets. The original fair values of agency re-securitization transactions in which Citi holds a retained interest as of December31, 2025 and 2024 were approximately $83.4 billion and $76.8 billion, respectively.As of December31, 2025 and 2024, the Company did not consolidate any private label or agency re-securitization entities.Citi-Administered Asset-Backed Commercial Paper ConduitsCiti acts as the administrator of multi-seller commercial paper conduits that provide clients with access to funding in the commercial paper markets by issuing commercial paper to third-party investors.As administrator, the Company is responsible for selecting and structuring assets purchased or financed by the conduits, making decisions regarding the funding of the conduits, monitoring the quality and performance of the conduits assets and facilitating the operations and cash flows of the conduits. In return, the Company earns structuring fees from customers for individual transactions and earns an administration fee from the conduit.The assets are privately negotiated and structured transactions that are generally designed to be held by the conduit, rather than actively traded and sold. The yield earned by the conduit on each asset is generally tied to the rate on the commercial paper issued by the conduit, thus passing interest rate risk to the client. Each asset purchased by the conduit is structured with transaction-specific credit enhancement features provided by the third-party client, including overcollateralization, cash and excess spread collateral accounts, direct recourse or third-party guarantees. At December31, 2025 and 2024, the commercial paper conduits administered by Citi had approximately $19.2 billion and $21.3 billion of purchased assets outstanding and unfunded commitments of approximately $17.5 billion and $16.7 billion, respectively.At December31, 2025 and 2024, the weighted-average remaining maturities of the commercial paper issued by the conduits were approximately 58 and 82 days, respectively.The conduits have obtained letters of credit from the Company that total approximately $2.0 billion and $2.1 billion as of December31, 2025 and 2024, respectively. In the event that defaulted assets exceed the credit enhancements described above, any losses in each conduit are allocated first to the Company and then to the commercial paper investors.Citigroup also provides the conduits with two forms of liquidity agreements that are used to provide funding to the conduits in the event of a market disruption, among other events. Each asset of the conduits is supported by a transaction-specific liquidity facility in the form of an asset purchase agreement (APA). Under the APA, the Company has generally agreed to purchase non-defaulted eligible receivables from the conduit at par. In addition, the Company provides the conduits with program-wide liquidity in the form of short-term lending commitments, where the Company has agreed to lend to the conduits in the event of a short-term 243 disruption in the commercial paper market, subject to specified conditions.In the normal course of business, Citi purchases commercial paper, including commercial paper issued by Citigroups conduits. At December31, 2025 and 2024, the Company owned $9.2 billion and $6.4 billion, respectively, of the commercial paper issued by its administered conduits. The Companys investments were not driven by market illiquidity and the Company is not obligated under any agreement to purchase the commercial paper issued by the conduits.The asset-backed commercial paper conduits are consolidated by Citi as primary beneficiary. The Company has determined that, through its roles as administrator and liquidity provider, it has both the power to direct the activities that most significantly impact the entities economic performance and an economic interest that could potentially be significant. No assets of any conduit are available to satisfy the creditors of Citigroup or any of its other subsidiaries.Collateralized Loan Obligations (CLOs)A collateralized loan obligation (CLO) is a VIE that purchases a portfolio of assets consisting primarily of non-investment-grade corporate loans, financed through the issuance of multiple tranches of debt and equity to investors. A third-party asset manager is contracted by the CLO to purchase the underlying assets from the open market and monitor the credit risk associated with those assets. Over the term of a CLO, the asset manager directs purchases and sales of assets in a manner consistent with the CLOs asset management agreement and indenture. Citi serves as a structuring and placement agent with respect to certain CLOs. Typically, the debt and equity of the CLOs are sold to third-party investors. On occasion, certain Citi entities may purchase some portion of a CLOs liabilities for investment purposes. In addition, Citi may purchase, typically in the secondary market, certain securities issued by the CLOs to support its market-making activities.The Company generally does not have the power to direct the activities that most significantly impact the economic performance of the CLOs, as this power is generally held by a third-party asset manager of the CLO. As such, those CLOs are not consolidated.The following tables summarize selected cash flow information and retained interests related to Citigroup CLOs:
| |
| In billions of dollars | 2025 | 2024 | 2023 | |
| |
| |
| Cash flows received on retained interests and other net cash flows | $ | 0.1 | $ | 0.3 | $ | 0.1 | |
| Purchases of previously transferred financial assets | | | | |
| |
| In millions of dollars | Dec. 31, 2025 | Dec. 31, 2024 | Dec. 31, 2023 | |
| Carrying value of retained interests | $ | 207 | $ | 275 | $ | 604 | |
All of Citis retained interests were held-to-maturity securities as of December31, 2025, 2024 and 2023.Municipal Securities Tender Option Bond (TOB) TrustsMunicipal TOB trusts are consolidated VIEs that hold fixed- or floating-rate, taxable or tax-exempt securities issued by state and local governments and municipalities. TOB trusts finance the purchase of their municipal assets by issuing two classes of certificates: long-dated, floating rate certificates (Floaters) that are putable at par pursuant to a liquidity facility and residual interest certificates (Residuals). The Floaters are purchased by third-party investors, typically tax-exempt money market funds, and the Residuals are purchased by the Company and provide the Company with the unilateral power to cause the sale of the bonds held by a TOB trust. Approximately $2.9billion and $0.8billion of putable Floaters issued by consolidated TOB trusts are reflected in Short-term borrowings at December 31, 2025 and 2024, respectively.Municipal InvestmentsMunicipal investment transactions include debt and equity interests in partnerships that:finance the construction and rehabilitation of low-income housing;facilitate lending in new or underserved markets; or finance the construction or operation of renewable municipal energy facilities. Citi generally invests in these partnerships as a limited partner and earns a return primarily through the receipt of tax credits and grants earned from the investments made by the partnership. The Company may also provide construction loans or permanent loans for the development or operation of real estate properties held by partnerships. These entities are generally considered VIEs. The power to direct the activities of these entities is typically held by the general partner. Accordingly, these entities are not consolidated by Citigroup.Client IntermediationClient intermediation transactions represent a range of transactions designed to provide investors with specified returns based on the returns of an underlying security, referenced asset or index. These transactions include credit-linked notes and equity-linked notes. In these transactions, the VIE typically obtains exposure to the underlying security, referenced asset or index through a derivative instrument, such as a total-return swap or a credit-default swap. In turn, the VIE issues notes to investors that pay a return based on the specified underlying security, referenced asset or index. The VIE invests the proceeds in a financial asset or a guaranteed insurance contract that serves as collateral for the derivative contract over the term of the transaction. The Companys involvement in these transactions includes being the counterparty to the VIEs derivative instruments and investing in a portion of the notes issued by the VIE. In certain transactions, the investors maximum risk of loss is limited and the Company absorbs risk of loss above a specified level. Citi does not have the power to direct the activities of the VIEs that most significantly impact their economic performance and thus it does not consolidate them.244 Citis maximum risk of loss in these transactions is defined as the amount invested in notes issued by the VIE and the notional amount of any risk of loss absorbed by Citi through a separate instrument issued by the VIE. The derivative instrument held by the Company may generate a receivable from the VIE (e.g., where the Company purchases credit protection from the VIE in connection with the VIEs issuance of a credit-linked note), which is collateralized by the assets owned by the VIE. These derivative instruments are not considered variable interests and any associated receivables are not included in the calculation of maximum exposure to the VIE.Investment FundsThe Company is the investment manager for certain investment funds and retirement funds that invest in various asset classes including private equity, hedge funds, real estate, fixed income and infrastructure. Citigroup earns a management fee, which is a percentage of capital under management, and may earn performance fees. In addition, for some of these funds the Company has an ownership interest in the investment funds. Citi has also established a number of investment funds as opportunities for qualified employees to invest in private equity investments. The Company acts as investment manager for these funds and may provide employees with financing on both recourse and non-recourse bases for a portion of the employees investment commitments.Asset-Based FinancingThe Company provides loans and other forms of financing to VIEs that hold assets. Those loans are subject to the same credit approvals as all other loans originated or purchased by the Company. Financings in the form of debt securities or derivatives are, in most circumstances, reported in Trading account assets and accounted for at fair value through earnings. The Company generally does not have the power to direct the activities that most significantly impact these VIEs economic performance; thus, it does not consolidate them.The primary types of Citis asset-based financings, total assets of the unconsolidated VIEs with significant involvement and Citis maximum exposure to loss are presented below. For Citi to realize the maximum loss, the VIE (borrower) would have to default with no recovery from the assets held by the VIE.
| |
| December 31, 2025 | December 31, 2024 | |
| In millions of dollars | Total unconsolidated VIE assets | Maximum exposure to unconsolidated VIEs | Total unconsolidated VIE assets | Maximum exposure to unconsolidated VIEs | |
| Type | |
| Commercial and other real estate | $ | 71,990 | $ | 12,699 | $ | 61,322 | $ | 9,693 | |
| Corporate loans | 65,905 | 34,785 | 45,542 | 21,009 | |
| Other (including investment funds, airlines and shipping) | 245,350 | 34,469 | 153,687 | 37,567 | |
| Total | $ | 383,245 | $ | 81,953 | $ | 260,551 | $ | 68,269 | |
245 24.DERIVATIVESIn the ordinary course of business, Citigroup enters into various types of derivative transactions, which include: Futures and forward contracts, which are commitments to buy or sell at a future date a financial instrument, commodity or currency at a contracted price that may be settled in cash or through delivery of an item readily convertible to cash.Swap contracts, which are commitments to settle in cash at a future date or dates that may range from a few days to a number of years, based on differentials between specified indices or financial instruments, as applied to a notional principal amount.Option contracts, which give the purchaser, for a premium, the right, but not the obligation, to buy or sell within a specified time a financial instrument, commodity or currency at a contracted price that may also be settled in cash, based on differentials between specified indices or prices.Swaps, forwards and some option contracts are over-the-counter (OTC) derivatives that are bilaterally negotiated with counterparties and settled with those counterparties, except for swap contracts that are novated and cleared through central counterparties (CCPs). Futures contracts and other option contracts are standardized contracts that are traded on an exchange with a CCP as the counterparty from the inception of the transaction. Citigroup enters into derivative contracts relating to interest rate, foreign currency, commodity and other market/credit risks for the following reasons:Trading Purposes: Citigroup trades derivatives as an active market maker. Citigroup offers its customers derivatives in connection with their risk management actions to transfer, modify or reduce their interest rate, foreign exchange and other market/credit risks or for their own trading purposes. Citigroup also manages its derivative risk positions through offsetting trade activities.Hedging: Citigroup uses derivatives in connection with its own risk management activities to hedge certain risks or reposition the risk profile of the Company. Hedging may be accomplished by applying hedge accounting in accordance with ASC 815, Derivatives and Hedging. For example, Citigroup issues fixed-rate long-term debt and then enters into a receive-fixed, pay-variable-rate interest rate swap with the same tenor and notional amount to synthetically convert the interest payments to a net variable-rate basis. This strategy is the most common form of an interest rate hedge, as it minimizes net interest cost in certain yield curve environments. Derivatives are also used to manage market risks inherent in specific groups of on-balance sheet assets and liabilities, including AFS securities, commodities and borrowings, as well as other interest-sensitive assets and liabilities. In addition, foreign exchange contracts are used to hedge non-U.S.-dollar-denominated debt, foreign currency-denominated AFS securities and net investment exposures. Derivatives may expose Citigroup to market, credit or liquidity risks in excess of the amounts recorded on the Consolidated Balance Sheet. Market risk on a derivative product is the exposure created by potential fluctuations in interest rates, market prices, foreign exchange rates and other factors and is a function of the type of product, the volume of transactions, the tenor and terms of the agreement and the underlying volatility. Credit risk is the exposure to loss in the event of nonperformance by the other party to satisfy a derivative liability where the value of any collateral held by Citi is not adequate to cover such losses. The recognition in earnings of unrealized gains on derivative transactions is subject to managements assessment of the probability of counterparty default. Liquidity risk is the potential exposure that arises when the size of a derivative position may affect the ability to monetize the position in a reasonable period of time and at a reasonable cost in periods of high volatility and financial stress. Derivative transactions are customarily documented under industry standard master netting agreements, which provide that following an event of default, the non-defaulting party may promptly terminate all transactions between the parties and determine the net obligation due to be paid to, or by, the defaulting party. These net obligations under master netting agreements are often secured by collateral posted under an industry standard credit support annex to the master netting agreement. The netting and collateral rights incorporated in the master netting agreements are considered to be legally enforceable if a supportive legal opinion has been obtained from counsel of recognized standing that provides (i) the requisite level of certainty regarding enforceability and (ii) that the exercise of rights by the non-defaulting party to terminate and close-out transactions on a net basis under these agreements will not be stayed or avoided under applicable law upon an event of default, including bankruptcy, insolvency or similar proceeding. A legal opinion may not be sought for certain jurisdictions where local law is silent or unclear as to the enforceability of such rights or where adverse case law or conflicting regulation may cast doubt on the enforceability of such rights. In some jurisdictions and for some counterparty types, the insolvency law may not provide the requisite level of certainty. For example, this may be the case for certain sovereigns, municipalities, central banks and U.S. pension plans. Exposure to credit risk on derivatives is affected by market volatility, which may impair the ability of counterparties to satisfy their obligations to the Company. Credit limits are established and closely monitored for customers engaged in derivatives transactions. Citi considers the level of legal certainty regarding enforceability of its offsetting rights under master netting agreements and credit support annexes to be an important factor in its risk management process. Specifically, Citi generally transacts much lower volumes of derivatives under master netting agreements where Citi does not have the requisite level of legal certainty regarding enforceability, because such derivatives consume greater amounts of single counterparty credit limits than those executed under enforceable master netting agreements. 246 Cash collateral and security collateral in the form of G10 government debt securities are often posted by a party to a master netting agreement to secure the net open exposure of the other party; the receiving party is free to commingle/rehypothecate such collateral in the ordinary course of its business. Nonstandard collateral such as corporate bonds, municipal bonds, U.S. agency securities and/or MBS may also be pledged as collateral for derivative transactions. Security collateral posted to open and maintain a master netting agreement with a counterparty, in the form of cash and/or securities, may from time to time be segregated in an account at a third-party custodian pursuant to a tri-party account control agreement.Information pertaining to Citigroups derivatives activities, based on notional amounts, is presented in the table below. Derivative notional amounts are reference amounts from which contractual payments are derived and do not represent a complete measure of Citis exposure to derivative transactions. Citis derivative exposure arises primarily from market fluctuations (i.e., market risk), counterparty failure (i.e., credit risk) and/or periods of high volatility or financial stress (i.e., liquidity risk), as well as any market valuation adjustments that may be required on the transactions. Moreover, notional amounts presented below do not reflect the netting of offsetting trades. For example, if Citi enters into a receive-fixed interest rate swap with $100 million notional, and offsets this risk with an identical but opposite pay-fixed position with a different counterparty, $200 million in derivative notionals is reported, although these offsetting positions may result in de minimis overall market risk. In addition, aggregate derivative notional amounts can fluctuate from period to period in the normal course of business based on Citis market share, levels of client activity and other factors. All derivatives are recorded in Trading account assets/Trading account liabilities on the Consolidated Balance Sheet.247 Derivative Notionals
| |
| | Hedging instruments under ASC815 | Trading derivative instruments | |
| In millions of dollars | December 31,2025 | December 31,2024 | December 31,2025 | December 31,2024 | |
| Interest rate contracts | | | | | |
| Swaps | $ | 412,754 | $ | 276,939 | $ | 16,768,436 | $ | 15,245,212 | |
| Futures and forwards | | | 3,219,583 | 3,006,869 | |
| Written options | | | 3,089,023 | 2,799,577 | |
| Purchased options | | | 2,814,873 | 2,526,165 | |
| Total interest rate contracts | $ | 412,754 | $ | 276,939 | $ | 25,891,915 | $ | 23,577,823 | |
| Foreign exchange contracts | |
| Swaps | $ | 42,205 | $ | 36,421 | $ | 9,307,564 | $ | 7,422,309 | |
| Futures, forwards and spot | 59,253 | 55,671 | 5,108,296 | 4,028,135 | |
| Written options | | | 885,093 | 1,022,109 | |
| Purchased options | | | 851,426 | 1,013,884 | |
| Total foreign exchange contracts | $ | 101,458 | $ | 92,092 | $ | 16,152,379 | $ | 13,486,437 | |
| Equity contracts | |
| Swaps | $ | | $ | | $ | 520,623 | $ | 323,751 | |
| Futures and forwards | | | 107,399 | 73,437 | |
| Written options | | | 809,293 | 581,659 | |
| Purchased options | | | 654,093 | 436,702 | |
| Total equity contracts | $ | | $ | | $ | 2,091,408 | $ | 1,415,549 | |
| Commodity and other contracts | |
| Swaps | $ | | $ | | $ | 78,205 | $ | 80,582 | |
| Futures and forwards | 11,102 | 4,403 | 230,619 | 183,494 | |
| Written options | | | 70,154 | 54,673 | |
| Purchased options | | | 67,213 | 55,819 | |
| Total commodity and other contracts | $ | 11,102 | $ | 4,403 | $ | 446,191 | $ | 374,568 | |
| Credit derivatives | |
| Protection sold | $ | | $ | | $ | 475,228 | $ | 439,146 | |
| Protection purchased | | | 600,329 | 531,429 | |
| Total credit derivatives | $ | | $ | | $ | 1,075,557 | $ | 970,575 | |
| Total derivative notionals | $ | 525,314 | $ | 373,434 | $ | 45,657,450 | $ | 39,824,952 | |
The following tables present the gross and net fair values of the Companys derivative transactions and the related offsetting amounts as of December31, 2025 and 2024. Gross positive fair values are offset against gross negative fair values by counterparty, pursuant to enforceable master netting agreements. Under ASC815-10-45, payables and receivables in respect of cash collateral received from or paid to a given counterparty pursuant to a credit support annex are included in the offsetting amount if a legal opinion supporting the enforceability of netting and collateral rights has been obtained. GAAP does not permit similar offsetting for security collateral. In addition, the following tables reflect rules adopted by clearing organizations that require or allow entities to treat certain derivative assets, liabilities and the related variation margin as settlement of the related derivative fair values for legal and accounting purposes, as opposed to presenting gross derivative assets and liabilities that are subject to collateral, whereby the counterparties would also record a related collateral payable or receivable. The tables also present amounts that are not permitted to be offset in the Companys balance sheet presentation, such as security collateral or cash collateral posted at third-party custodians, but which would be eligible for offsetting to the extent that an event of default has occurred and a legal opinion supporting enforceability of the netting and collateral rights has been obtained.248 Derivative Mark-to-Market (MTM) Receivables/Payables 
| |
| Derivatives classified in Trading account assets/liabilities(1)(2) | |
| In millions of dollars at December 31, 2025 | Assets | Liabilities | |
| Derivatives instruments designated as ASC815 hedges | |
| Over-the-counter | $ | 342 | $ | 152 | |
| Cleared | 52 | 134 | |
| |
| Interest rate contracts | $ | 394 | $ | 286 | |
| Over-the-counter | $ | 893 | $ | 1,082 | |
| Cleared | | | |
| |
| Foreign exchange contracts | $ | 893 | $ | 1,082 | |
| |
| |
| |
| |
| Total derivatives instruments designated as ASC815 hedges | $ | 1,287 | $ | 1,368 | |
| Derivatives instruments not designated as ASC815 hedges | |
| Over-the-counter | $ | 93,346 | $ | 82,794 | |
| Cleared | 132,155 | 134,275 | |
| Exchange traded | 16 | 17 | |
| Interest rate contracts | $ | 225,517 | $ | 217,086 | |
| Over-the-counter | $ | 157,116 | $ | 147,903 | |
| Cleared | 3,672 | 3,877 | |
| Exchange traded | 3 | 2 | |
| Foreign exchange contracts | $ | 160,791 | $ | 151,782 | |
| Over-the-counter | $ | 23,600 | $ | 35,370 | |
| Cleared | | | |
| Exchange traded | 45,707 | 43,831 | |
| Equity contracts | $ | 69,307 | $ | 79,201 | |
| Over-the-counter | $ | 22,131 | $ | 23,989 | |
| |
| Exchange traded | 557 | 593 | |
| Commodity and other contracts | $ | 22,688 | $ | 24,582 | |
| Over-the-counter | $ | 7,499 | $ | 8,952 | |
| Cleared | 2,224 | 2,280 | |
| |
| Credit derivatives | $ | 9,723 | $ | 11,232 | |
| Total derivatives instruments not designated as ASC815 hedges | $ | 488,026 | $ | 483,883 | |
| Total derivatives | $ | 489,313 | $ | 485,251 | |
| Less: Netting agreements(3) | $ | (406,408) | $ | (406,408) | |
| Less: Netting cash collateral received/paid(4) | (27,471) | (20,629) | |
| Net receivables/payables included on the Consolidated Balance Sheet(5) | $ | 55,434 | $ | 58,214 | |
| Additional amounts subject to an enforceable master netting agreement, but not offset on the Consolidated Balance Sheet | |
| |
| Less: Cash collateral received/paid | $ | (1,363) | $ | (58) | |
| Less: Non-cash collateral received/paid | (5,047) | (4,386) | |
| Total net receivables/payables(5) | $ | 49,024 | $ | 53,770 | |
(1)The derivatives fair values are also presented in Note26. (2)OTC derivatives are derivatives executed and settled bilaterally with counterparties without the use of an organized exchange or central clearing house. Cleared derivatives include derivatives executed bilaterally with a counterparty in the OTC market, but then novated to a central clearing house, whereby the central clearing house becomes the counterparty to both of the original counterparties. Exchange-traded derivatives include derivatives executed directly on an organized exchange that provides pre-trade price transparency.(3)Represents the netting of balances with the same counterparty under enforceable netting agreements. Approximately $227 billion, $136 billion and $43 billion of the netting against trading account asset/liability balances is attributable to each of the OTC, cleared and exchange-traded derivatives, respectively.(4)Represents the netting of cash collateral paid and received by counterparties under enforceable credit support annexes with appropriate legal opinion supporting enforceability of netting. Substantially all netting of cash collateral received and paid is against OTC derivative assets and liabilities, respectively.(5)The net receivables/payables include approximately $11 billion of derivative asset and $15 billion of derivative liability fair values not subject to enforceable master netting agreements, respectively.249 
| |
| Derivatives classified in Trading account assets/liabilities(1)(2) | |
| In millions of dollars at December 31, 2024 | Assets | Liabilities | |
| Derivatives instruments designated as ASC 815 hedges | |
| Over-the-counter | $ | 695 | $ | 1 | |
| Cleared | 154 | 19 | |
| |
| Interest rate contracts | $ | 849 | $ | 20 | |
| Over-the-counter | $ | 2,951 | $ | 1,117 | |
| Cleared | | | |
| |
| Foreign exchange contracts | $ | 2,951 | $ | 1,117 | |
| |
| |
| |
| |
| Total derivatives instruments designated as ASC 815 hedges | $ | 3,800 | $ | 1,137 | |
| Derivatives instruments not designated as ASC 815 hedges | |
| Over-the-counter | $ | 95,907 | $ | 88,776 | |
| Cleared | 33,447 | 33,269 | |
| Exchange traded | 75 | 67 | |
| Interest rate contracts | $ | 129,429 | $ | 122,112 | |
| Over-the-counter | $ | 210,755 | $ | 202,582 | |
| Cleared | 2,329 | 2,298 | |
| Exchange traded | 10 | 20 | |
| Foreign exchange contracts | $ | 213,094 | $ | 204,900 | |
| Over-the-counter | $ | 19,262 | $ | 25,950 | |
| Cleared | | | |
| Exchange traded | 35,882 | 35,786 | |
| Equity contracts | $ | 55,144 | $ | 61,736 | |
| Over-the-counter | $ | 11,945 | $ | 13,804 | |
| |
| Exchange traded | 675 | 826 | |
| Commodity and other contracts | $ | 12,620 | $ | 14,630 | |
| Over-the-counter | $ | 6,907 | $ | 5,569 | |
| Cleared | 1,808 | 1,684 | |
| |
| Credit derivatives | $ | 8,715 | $ | 7,253 | |
| Total derivatives instruments not designated as ASC 815 hedges | $ | 419,002 | $ | 410,631 | |
| Total derivatives | $ | 422,802 | $ | 411,768 | |
| Less: Netting agreements(3) | $ | (334,900) | $ | (334,900) | |
| Less: Netting cash collateral received/paid(4) | (27,303) | (28,570) | |
| Net receivables/payables included on the Consolidated Balance Sheet(5) | $ | 60,599 | $ | 48,298 | |
| Additional amounts subject to an enforceable master netting agreement, but not offset on the Consolidated Balance Sheet | |
| |
| Less: Cash collateral received/paid | $ | (808) | $ | (52) | |
| Less: Non-cash collateral received/paid | (6,017) | (3,376) | |
| Total net receivables/payables(5) | $ | 53,774 | $ | 44,870 | |
(1)The derivative fair values are also presented in Note 26.(2)OTC derivatives are derivatives executed and settled bilaterally with counterparties without the use of an organized exchange or central clearing house. Cleared derivatives include derivatives executed bilaterally with a counterparty in the OTC market, but then novated to a central clearing house, whereby the central clearing house becomes the counterparty to both of the original counterparties. Exchange-traded derivatives include derivatives executed directly on an organized exchange that provides pre-trade price transparency.(3)Represents the netting of balances with the same counterparty under enforceable netting agreements. Approximately $264 billion, $36 billion and $35 billion of the netting against trading account asset/liability balances is attributable to each of the OTC, cleared and exchange-traded derivatives, respectively.(4)Represents the netting of cash collateral paid and received by counterparties under enforceable credit support annexes with appropriate legal opinion supporting enforceability of netting. Substantially all netting of cash collateral received and paid is against OTC derivative assets and liabilities, respectively.(5)The net receivables/payables include approximately $13 billion of derivative asset and $15 billion of derivative liability fair values not subject to enforceable master netting agreements, respectively.250 For the years ended December31, 2025, 2024 and 2023, amounts recognized in Principal transactions in the Consolidated Statement of Income include certain derivatives not designated in a qualifying hedging relationship. Citigroup presents this disclosure by business classification, showing derivative gains and losses related to its trading activities together with gains and losses related to non-derivative instruments within the same trading portfolios, as this represents how these portfolios are risk managed. See Note6 for further information.Fair Value HedgesThe following table summarizes the gains (losses) on the Companys fair value hedges: 
| |
| | Gains (losses) on fair value hedges(1) | |
| Year ended December 31, | |
| 2025 | 2024 | 2023 | |
| In millions of dollars | Principal transactions | Net interest income | Principal transactions | Net interest income | Principal transactions | Net interest income | |
| Gain (loss) on the hedging derivatives included in assessment of the effectiveness of fair value hedges | |
| Interest rate hedges | $ | | $ | (750) | $ | | $ | (1,073) | $ | | $ | (804) | |
| Foreign exchange hedges | 570 | | (112) | | 1,433 | | |
| Commodity hedges | (3,351) | | 657 | | (46) | | |
| Total gain (loss) on the hedging derivatives included in assessment of the effectiveness of fair value hedges | $ | (2,781) | $ | (750) | $ | 545 | $ | (1,073) | $ | 1,387 | $ | (804) | |
| Gain (loss) on the hedged item in designated and qualifying fair value hedges | |
| Interest rate hedges | $ | | $ | 745 | $ | | $ | 1,071 | $ | | $ | 795 | |
| Foreign exchange hedges | (570) | | 112 | | (1,433) | | |
| Commodity hedges | 3,351 | | (657) | | 46 | | |
| Total gain (loss) on the hedged item in designated and qualifying fair value hedges | $ | 2,781 | $ | 745 | $ | (545) | $ | 1,071 | $ | (1,387) | $ | 795 | |
| Net gain (loss) on the hedging derivatives excluded from assessment of the effectiveness of fair value hedges | |
| Interest rate hedges | $ | | $ | | $ | | $ | | $ | | $ | | |
| Foreign exchange hedges(2) | 205 | | 36 | | 2 | | |
| Commodity hedges(3) | 523 | | 396 | | 312 | | |
| Total net gain (loss) on the hedging derivatives excluded from assessment of the effectiveness of fair value hedges | $ | 728 | $ | | $ | 432 | $ | | $ | 314 | $ | | |
(1)Gain (loss) amounts for interest rate risk hedges are included in Interest income/Interest expense. The accrued interest income on fair value hedges is recorded in Net interest income and is excluded from this table. Amounts included both hedges of AFS securities and long-term debt on a net basis, which largely offset in the current period.(2)Amounts related to the forward points (i.e., the spot-forward difference) that are excluded from the assessment of hedge effectiveness and are generally reflected directly in earnings under the mark-to-market approach. Amounts related to cross-currency basis, which are recognized in AOCI, are not reflected in the table above. The amount of cross-currency basis included in AOCI was $21 million and $(19) million for the years ended December31, 2025 and 2024, respectively.(3)Amounts related to the forward points (i.e., the spot-forward difference) that are excluded from the assessment of hedge effectiveness and are generally reflected directly in earnings under the mark-to-market approach or recorded in AOCI under the amortization approach. The year ended December31, 2025 includes a gain (loss) of approximately $476million and $47million under the mark-to-market approach and amortization approach, respectively. The year ended December31, 2024 includes a gain (loss) of approximately $321million and $75million under the mark-to-market approach and amortization approach, respectively.251 Cumulative Basis AdjustmentThe table below presents the carrying amount of Citis hedged assets and liabilities under qualifying fair value hedges at December31, 2025 and 2024, along with the cumulative basis adjustments included in the carrying value of those hedged assets and liabilities that would reverse through earnings in future periods:
| |
| Balance sheet line item in whichhedged item is recorded (in millions of dollars) | Carrying amount of hedged asset/ liability(1) | Cumulative basis adjustment increasing (decreasing) the carrying amount | |
| Active | De-designated | |
| As of December 31, 2025 | |
| AFS debt securitiesspecifically hedged(2) | $ | 41,914 | $ | 177 | $ | 100 | |
| AFS debt securitiesportfolio-layer method(2)(3) | 35,528 | 133 | 132 | |
| Consumer loansportfolio-layer method(4) | 50,455 | 343 | | |
| |
| Corporate loansportfolio-layer method(5) | 4,164 | 17 | (18) | |
| |
| Long-term debt | 162,666 | 72 | (2,978) | |
| As of December 31, 2024 | |
| AFS debt securitiesspecifically hedged(2) | $ | 55,786 | $ | (348) | $ | (100) | |
| AFS debt securitiesportfolio-layer method(2)(3) | 28,554 | (193) | (67) | |
| Consumer loansportfolio-layer method(4) | 53,700 | (224) | | |
| Corporate loansportfolio-layer method(5) | 4,269 | (72) | (12) | |
| Long-term debt | 147,910 | (1,051) | (4,499) | |
(1)Excludes physical commodities inventories with a carrying value of approximately $11.2billion and $11.4billion as of December31, 2025 and 2024, respectively, which includes cumulative basis adjustments of approximately $0.1billion and $0.8billion, respectively, for active hedges.(2)Carrying amount represents the amortized cost basis of the hedged securities or portfolio layers.(3)The Company designated approximately $24.0billion and $12.9billion as the hedged amount in the portfolio-layer hedging relationship as of December31, 2025 and 2024, respectively.(4)The Company designated approximately $26.0billion and $17.0billion as the hedged amount in the portfolio-layer hedging relationship as of December31, 2025 and 2024, respectively.(5)The Company designated approximately $2.8billion and $3.0billion as the hedged amount in the portfolio-layer hedging relationship as of December31, 2025 and 2024, respectively.252 Cash Flow HedgesThe pretax change in AOCI from cash flow hedges is presented below:
| |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Amount of gain (loss) recognized in AOCI on derivatives | |
| Interest rate contracts | $ | (293) | $ | 476 | $ | (434) | |
| Foreign exchange contracts | 14 | (7) | 13 | |
| Total gain (loss) recognized in AOCI | $ | (279) | $ | 469 | $ | (421) | |
| | Net interest income | Net interest income | Net interest income | |
| Amount of gain (loss) reclassified from AOCI to earnings(1) | |
| Interest rate contracts | $ | (556) | $ | (1,027) | $ | (1,897) | |
| Foreign exchange contracts | (13) | (3) | (4) | |
| Total gain (loss) reclassified from AOCI into earnings | $ | (569) | $ | (1,030) | $ | (1,901) | |
| Net pretax change in cash flow hedges included within AOCI | $ | 290 | $ | 1,499 | $ | 1,480 | |
(1)The amounts reclassified to earnings are included primarily in Net interest income in the Consolidated Statement of Income. The net gain (loss) associated with cash flow hedges expected to be reclassified from AOCI within 12months of December31, 2025 is approximately $(0.1)billion. The maximum length of time over which forecasted cash flows are hedged is 13 years.The after-tax impact of cash flow hedges on AOCI is presented in Note21.253 Net Investment HedgesThe pretax gain (loss) recorded in CTA within AOCI, related to net investment hedges, was $(2.5)billion, $2.8billion and $(1.4)billion for the years ended December31, 2025, 2024 and 2023, respectively. The year ended December 31, 2025 includes a $1million pretax loss and $464 million pretax loss related to net investment hedges, which were reclassified from AOCI into earnings (recorded in Other revenue) and Noncontrolling interest, respectively. See Notes 2 and 21. Credit DerivativesCiti is a market maker and trades a range of credit derivatives. Through these contracts, Citi either purchases or writes protection on either a single name or a portfolio of reference credits. Citi also uses credit derivatives to help mitigate credit risk in its corporate and consumer loan portfolios and other cash positions and to facilitate client transactions. Citi manages counterparty credit risk arising from credit derivative contracts primarily through master netting agreements, credit support annexes and daily margin settlement requirements. A majority of Citis counterparties are central clearing houses, banks, financial institutions or other dealers. Contracts with these counterparties do not include ratings-based termination events. However, counterparty ratings downgrades may have an incremental effect by lowering the threshold at which Citi may call for additional collateral. The range of credit derivatives entered into includes credit default swaps, total return swaps, credit options and credit-linked notes: A credit default swap is a contract in which, for a fee, a protection seller agrees to reimburse a protection buyer for any losses that occur due to a predefined credit event on a reference entity. These credit events are defined by the terms of the derivative contract and the reference entity and are generally limited to the market standard of failure to pay on indebtedness and bankruptcy of the reference entity and, in a more limited range of transactions, debt restructuring. Credit derivative transactions that reference emerging market entities also typically include additional credit events to cover the acceleration of indebtedness and the risk of repudiation or a payment moratorium. In certain transactions, protection may be provided on a portfolio of reference entities or asset-backed securities. If there is no credit event, as defined by the specific derivative contract, then the protection seller makes no payments to the protection buyer and receives only the contractually specified fee. However, if a credit event occurs as defined in the specific derivative contract sold, the protection seller will be required to make a payment to the protection buyer. Under certain contracts, the seller of protection may not be required to make a payment until a specified amount of losses has occurred with respect to the portfolio and/or may only be required to pay for losses up to a specified amount.A total return swap typically transfers the total economic performance of a reference asset, which includes all associated cash flows, as well as capital appreciation or depreciation. The protection buyer receives a floating rate of interest and any depreciation on the reference asset from the protection seller and, in return, the protection seller receives the cash flows associated with the reference asset plus any appreciation. Thus, according to the total return swap agreement, the protection seller will be obligated to make a payment any time the floating interest rate payment plus any depreciation of the reference asset exceeds the cash flows associated with the underlying asset. A total return swap may terminate upon a default of the reference asset or a credit event with respect to the reference entity, subject to the provisions of the related total return swap agreement between the protection seller and the protection buyer.A credit option is a credit derivative that allows investors to trade or hedge changes in the credit quality of a reference entity. For example, in a credit spread option, the option writer assumes the obligation to purchase or sell credit protection on the reference entity at a specified strike spread level. The option purchaser buys the right to sell credit default protection on the reference entity to, or purchase it from, the option writer at the strike spread level. The payments on credit spread options depend either on a particular credit spread or the price of the underlying credit-sensitive asset or other reference entity. The options usually terminate if a credit event occurs with respect to the underlying reference entity. A credit-linked note is a form of credit derivative structured as a debt security with an embedded credit default swap. The purchaser of the note effectively provides credit protection to the issuer by agreeing to receive a return that could be negatively affected by credit events on the underlying reference entity. If the reference entity defaults, the note may be cash settled or physically settled by delivery of a debt security of the reference entity. Thus, the maximum amount of the note purchasers exposure is the amount paid for the credit-linked note.254 The following tables summarize the key characteristics of Citis credit derivatives portfolio by derivative form, rating of reference entity and maturity:
| |
| | Fair values | Notionals | |
| In millions of dollars at December 31, 2025 | Receivable(1) | Payable(2) | Protectionpurchased | Protectionsold | |
| |
| |
| |
| |
| |
| |
| By instrument | |
| Credit default swaps and options | $ | 7,691 | $ | 8,008 | $ | 529,748 | $ | 457,932 | |
| Total return swaps and other | 2,032 | 3,224 | 70,581 | 17,296 | |
| Total by instrument | $ | 9,723 | $ | 11,232 | $ | 600,329 | $ | 475,228 | |
| By rating of reference entity | |
| Investment grade | $ | 4,673 | $ | 4,701 | $ | 451,504 | $ | 382,219 | |
| Non-investment grade | 5,050 | 6,531 | 148,825 | 93,009 | |
| Total by rating of reference entity | $ | 9,723 | $ | 11,232 | $ | 600,329 | $ | 475,228 | |
| By maturity | |
| Within 1year | $ | 1,366 | $ | 2,817 | $ | 173,546 | $ | 135,335 | |
| From 1 to 5years | 6,495 | 6,469 | 360,174 | 311,311 | |
| After 5years | 1,862 | 1,946 | 66,609 | 28,582 | |
| Total by maturity | $ | 9,723 | $ | 11,232 | $ | 600,329 | $ | 475,228 | |
(1)The fair value amount receivable is composed of $3,899 million under protection purchased and $5,824 million under protection sold.(2)The fair value amount payable is composed of $9,275 million under protection purchased and $1,957 million under protection sold.
| |
| | Fair values | Notionals | |
| In millions of dollars at December 31, 2024 | Receivable(1) | Payable(2) | Protectionpurchased | Protectionsold | |
| |
| |
| |
| |
| |
| |
| By instrument | |
| Credit default swaps and options | $ | 6,765 | $ | 6,545 | $ | 486,901 | $ | 431,005 | |
| Total return swaps and other | 1,950 | 708 | 44,528 | 8,141 | |
| Total by instrument | $ | 8,715 | $ | 7,253 | $ | 531,429 | $ | 439,146 | |
| By rating of reference entity | |
| Investment grade | $ | 4,578 | $ | 3,450 | $ | 405,271 | $ | 350,124 | |
| Non-investment grade | 4,137 | 3,803 | 126,158 | 89,022 | |
| Total by rating of reference entity | $ | 8,715 | $ | 7,253 | $ | 531,429 | $ | 439,146 | |
| By maturity | |
| Within 1year | $ | 1,606 | $ | 1,166 | $ | 140,541 | $ | 118,885 | |
| From 1 to 5years | 5,625 | 4,906 | 342,608 | 295,503 | |
| After 5years | 1,484 | 1,181 | 48,280 | 24,758 | |
| Total by maturity | $ | 8,715 | $ | 7,253 | $ | 531,429 | $ | 439,146 | |
(1)The fair value amount receivable is composed of $3,864 million under protection purchased and $4,851 million under protection sold. (2)The fair value amount payable is composed of $5,403 million under protection purchased and $1,850 million under protection sold.Fair values included in the above tables are prior to application of any netting agreements and cash collateral. For notional amounts, there is generally a difference between the total notional amounts of protection purchased and sold, and Citi may hold the reference assets directly rather than entering into offsetting credit derivative contracts as and when desired. The open risk exposures from credit derivative contracts are largely matched after certain cash positions in reference assets are considered and after notional amounts are adjusted, either to a duration-based equivalent basis or to reflect the level of subordination in tranched structures. The ratings of the credit derivatives portfolio presented in the tables and used to evaluate payment/performance risk are based on the assigned internal or external ratings of the reference asset or entity. Where external ratings are used, investment-grade ratings are considered to be Baa/BBB and above, while anything below is considered non-investment grade. Citis internal ratings are in line with the related external rating system. Citigroup evaluates the payment/performance risk of the credit derivatives for which it stands as a protection seller based on the credit rating assigned to the underlying reference credit. Credit derivatives written on an underlying non-investment-grade reference entity represent greater payment risk to the Company. The non-investment-grade category in the table above also includes credit derivatives where the 255 underlying reference entity has been downgraded subsequent to the inception of the derivative. The maximum potential amount of future payments under credit derivative contracts presented in the table above is based on the notional value of the derivatives. The Company believes that the notional amount for credit protection sold is not representative of the actual loss exposure based on historical experience. This amount has not been reduced by the value of the reference assets and the related cash flows. In accordance with most credit derivative contracts, should a credit event occur, the Company usually is liable for the difference between the protection sold and the value of the reference assets. Furthermore, the notional amount for credit protection sold has not been reduced for any cash collateral paid to a given counterparty, as such payments would be calculated after netting all derivative exposures, including any credit derivatives with that counterparty in accordance with a related master netting agreement. Due to such netting processes, determining the amount of collateral that corresponds to credit derivative exposures alone is not possible. The Company actively monitors open credit-risk exposures and manages this exposure by using a variety of strategies, including purchased credit derivatives, cash collateral or direct holdings of the referenced assets. This risk mitigation activity is not captured in the table above.Credit Risk-Related Contingent Features in DerivativesCertain derivative instruments contain provisions that require the Company to either post additional collateral or immediately settle any outstanding liability balances upon the occurrence of a specified event related to the credit risk of the Company. These events, which are defined by the existing derivative contracts, are primarily downgrades in the credit ratings of the Company and its affiliates. The fair value (excluding CVA) of all derivative instruments with credit risk-related contingent features that were in a net liability position at December31, 2025 and 2024 was $16 billion and $15 billion, respectively. The Company posted $13 billion and $13 billion as collateral for this exposure in the normal course of business as of December31, 2025 and 2024, respectively.A downgrade could trigger additional collateral or cash settlement requirements for the Company and certain affiliates. In the event that Citigroup and Citibank were downgraded a single notch by all three major rating agencies as of December31, 2025, the Company could be required to post an additional $0.2 billion as either collateral or settlement of the derivative transactions. In addition, the Company could be required to segregate with third-party custodians collateral previously received from existing derivative counterparties, resulting in aggregate cash obligations and collateral requirements of approximately $0.2 billion.Derivatives Accompanied by Financial Asset TransfersThe Company executes total return swaps that provide it with synthetic exposure to substantially all of the economic return of the securities or other financial assets referenced in the contract. In certain cases, the derivative transaction is accompanied by the Companys transfer of the referenced financial asset to the derivative counterparty, most typically in response to the derivative counterpartys desire to hedge, in whole or in part, its synthetic exposure under the derivative contract by holding the referenced asset in funded form. In certain jurisdictions these transactions qualify as sales, resulting in derecognition of the securities transferred (see Transfers of Financial Assets in Note 1 for further discussion of the related sale conditions for transfers of financial assets). For a significant portion of the transactions, the Company has also executed another total return swap where the Company passes on substantially all of the economic return of the referenced securities to a different third party seeking the exposure. In those cases, the Company is not exposed, on a net basis, to changes in the economic return of the referenced securities.These transactions generally involve the transfer of the Companys liquid government bonds, convertible bonds or publicly traded corporate equity securities from the trading portfolio and are executed with third-party financial institutions. The accompanying derivatives are typically total return swaps. The derivatives are cash settled and subject to ongoing margin requirements.When the conditions for sale accounting are met, the Company reports the transfer of the referenced financial asset as a sale and separately reports the accompanying derivative transaction. These transactions generally do not result in a gain or loss on the sale of the security, because the transferred security was held at fair value in the Companys trading portfolio. For transfers of financial assets accounted for as a sale by the Company, and for which the Company has retained substantially all of the economic exposure to the transferred asset through a total return swap executed with the same counterparty in contemplation of the initial sale (and still outstanding), the asset amounts derecognized and the gross cash proceeds received as of the date of derecognition were $8.2 billion and $6.2 billion as of December31, 2025 and 2024, respectively. At December31, 2025, the fair value of these previously derecognized assets was $8.0 billion. The fair value of the total return swaps as of December31, 2025 was $103 million recorded as gross derivative assets and $69 million recorded as gross derivative liabilities. At December 31, 2024, the fair value of these previously derecognized assets was $5.8 billion, and the fair value of the total return swaps was $179 million recorded as gross derivative assets and $29 million recorded as gross derivative liabilities. The balances for the total return swaps are on a gross basis, before the application of counterparty and cash collateral netting, and are included primarily as equity derivatives in the tabular disclosures in this Note.256 25. CONCENTRATIONS OF CREDIT RISK Concentrations of credit risk exist when changes in economic, industry or geographic factors similarly affect groups of counterparties whose aggregate credit exposure is material in relation to Citigroups total credit exposure. Although Citigroups portfolio of financial instruments is broadly diversified along industry, product and geographic lines, material transactions are completed with other financial institutions, particularly in the securities trading, derivatives and foreign exchange businesses.In connection with the Companys efforts to maintain a diversified portfolio, the Company limits its exposure to any one geographic region, country or individual creditor and monitors this exposure on a continuous basis. At December31, 2025, Citigroups most significant concentration of credit risk was in Trading-related assets (trading securities) and AFS and HTM securities (collectively referred to below as securities exposure) with the U.S. government and its agencies, foreign governments, and states and municipalities. At December 31, 2025 and 2024, the Companys securities exposure to the U.S. government and its agencies was $464billion and $493billion; to foreign governments was $287billion and $209billion; and to states and municipalities was $10billion and $11billion, respectively. 257 26.FAIR VALUE MEASUREMENTASC 820-10, Fair Value Measurement, defines fair value, establishes a consistent framework for measuring fair value and requires disclosures about fair value measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, and therefore represents an exit price. Among other things, the standard requires the Company to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.Under ASC 820-10, the probability of counterparty default is factored into the valuation of derivatives and other positions, and the impact of Citigroups own credit risk is factored into the valuation of derivatives and other liabilities that are measured at fair value. For more information regarding the fair value hierarchy and how the Company measures fair value, see Fair Value in Note 1. The following section describes the valuation methodologies used by the Company to measure various financial instruments. Where appropriate, the description includes details of the valuation models, the key inputs to those models and any significant assumptions.Market Valuation AdjustmentsThe unit of account for a financial instrument is generally the individual financial instrument. The Company applies market valuation adjustments that are consistent with the unit of account, which do not include adjustments due to the size of the Companys position, except where ASC 820-10 permits an exception, to measure the fair value of a portfolio of financial assets and financial liabilities on the basis of the net open risk position when certain criteria are met. Valuation adjustments are applied to items classified as Level 2 or Level 3 in the fair value hierarchy to ensure that the fair value reflects the price at which the net open risk position could be exited. These valuation adjustments are based on the bid/offer spread for an instrument in the market. When Citi has elected to measure certain portfolios of financial instruments, such as derivatives, on the basis of the net open risk position, the valuation adjustment may take into account the size of the position.Credit valuation adjustments (CVA) and funding valuation adjustments (FVA) are applied to certain over-the-counter (OTC) derivative instruments where adjustments to reflect counterparty credit risk, own credit risk and term funding risk are required to estimate fair value (e.g., uncollateralized interest rate swaps). The CVA represents a portfolio-level adjustment to reflect the risk premium associated with the counterpartys (assets) or Citis (liabilities) non-performance risk. The FVA represents a market funding risk premium inherent in the uncollateralized portion of a derivative portfolio and in certain collateralized derivative portfolios that do not include standard credit support annexes (CSAs), such as where the CSA does not permit the reuse of collateral received. Citis CVA and FVA methodologies primarily consist of two steps: First, the exposure profile for each counterparty is determined using the terms of all individual derivative positions, and a Monte Carlo simulation or other quantitative analysis is used to generate a series of expected cash flows at future points in time. The calculation of this exposure profile considers the effect of credit risk mitigants and sources of funding, including pledged cash or other collateral and any legal right of offset that exists with a counterparty through arrangements such as netting agreements. Second, for CVA, market-based views of default probabilities and recovery estimates are applied to the expected future cash flows determined in step one. Citis own credit CVA is determined using Citi-specific CDS spreads for the relevant tenor. Proxy approaches are applied where counterparty-specific CDS data are not available. For FVA, a term structure of spreads is applied to the expected funding exposures (e.g., the market liquidity spread used to represent the term funding premium associated with certain OTC derivatives).The CVA and FVA are designed to incorporate a market view of the credit and funding risk, respectively, inherent in the derivative portfolio. The table below summarizes the CVA and FVA applied to the fair value of derivative instruments (recorded in Trading account assets and Trading account liabilities on the Consolidated Balance Sheet) at December31, 2025 and 2024:
| |
| | Credit and funding valuation adjustmentscontra-liability (contra-asset) | |
| In millions of dollars | December 31,2025 | December 31,2024 | |
| Counterparty CVA | $ | (561) | $ | (561) | |
| Asset FVA | (573) | (539) | |
| Citigroup (own credit) CVA | 331 | 346 | |
| Liability FVA | 185 | 209 | |
| Total CVA and FVAderivative instruments | $ | (618) | $ | (545) | |
258 The table below summarizes pretax gains (losses) related to changes in CVA and FVA on derivative instruments, net of hedges (recorded in Principal transactions revenue in the Consolidated Statement of Income), and changes in debt valuation adjustments (DVA) on Citis own fair value option (FVO) liabilities (recorded in Other comprehensive income in the Consolidated Statement of Comprehensive Income) for the years indicated:
| |
| | Credit/funding/debt valuationadjustments gain (loss) | |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Counterparty CVA | $ | (90) | $ | (63) | $ | (31) | |
| Asset FVA | 22 | 68 | 64 | |
| Own credit CVA | (18) | (56) | (212) | |
| Liability FVA | 14 | (46) | (23) | |
| Total CVA and FVAderivative instruments | $ | (72) | $ | (97) | $ | (202) | |
| DVA related to own FVO liabilities(1) | $ | (1,285) | $ | (573) | $ | (2,078) | |
| Total CVA, DVA and FVA | $ | (1,357) | $ | (670) | $ | (2,280) | |
(1)See Note 21.Securities Purchased Under Agreements to Resell and Securities Sold Under Agreements to RepurchaseFair value is determined using a discounted cash flow technique. Cash flows are estimated, taking into account any embedded derivatives or other features. These cash flows are discounted using interest rates appropriate to the maturity of the instrument as well as the nature of the underlying collateral. Generally, when such instruments are recorded at fair value, they are classified within Level2 of the fair value hierarchy, as the inputs used in the valuation are readily observable. However, certain long-dated positions may be classified as Level3.Trading Account Assets and LiabilitiesTrading Securities and Trading LoansWhen quoted market prices in active markets are available, the Company uses those prices to determine the fair value of trading securities, and such instruments are classified within Level 1 of the fair value hierarchy. For securities and loans that do not have quoted prices in an active market, the Company determines fair value by maximizing the use of observable market information. The valuation process places priority on observable market transactions in the same instrument or observable transactions in instruments with similar risk characteristics such as comparable credit, structural features, seniority or rating. In some cases, alternative valuation techniques are applied, such as discounted cash flow analysis, or net asset value when observable inputs are limited. These instruments are classified as either Level 2 or 3 depending on the observability of the significant inputs to the valuation.Trading Account Assets and LiabilitiesDerivativesDerivatives with a quoted price in an active market, such as certain exchange traded derivatives, are classified as Level 1.Derivatives without a quoted price in an active market and derivatives executed over the counter are valued using internal valuation techniques. These derivative instruments are classified as either Level2 or Level3 depending on the observability of the significant inputs to the valuation.The valuation techniques depend on the type of derivative and the nature of the underlying instrument. The principal techniques used to value these instruments are discounted cash flows and internal models, such as derivative pricing models (e.g., Black-Scholes and Monte Carlo simulations). The key inputs depend upon the type of derivative and the nature of the underlying instrument and include yield curves, foreign exchange rates, volatilities and correlation.InvestmentsThe investments category includes available-for-sale debt and marketable equity securities whose fair values are generally determined by utilizing similar procedures described for trading securities above or, in some cases, using vendor pricing as the primary source.Also included in investments are nonpublic investments in private equity and real estate entities. Determining the fair value of nonpublic securities involves a significant degree of management judgment, as no quoted prices exist and such securities are not generally traded. In addition, there may be transfer restrictions on private equity securities. The Companys process for determining the fair value of such securities utilizes commonly accepted valuation techniques, including guideline public company analysis and comparable transactions. In determining the fair value of nonpublic securities, the Company also considers events such as a proposed sale of the investee company, initial public offerings, equity issuances or other observable transactions. Private equity securities are generally classified within Level3 of the fair value hierarchy.Mortgage Servicing RightsThe fair value of the mortgage servicing rights (MSRs), included in Intangible assets, is primarily affected by changes in prepayments of mortgages that result from shifts in mortgage interest rates. Specifically, higher interest rates tend to lead to declining prepayments, which causes the fair value of the MSRs to increase. See Note 23 for additional information on Citis MSRs.Short-Term Borrowings and Long-Term DebtWhere fair value accounting has been elected, the fair value of non-structured liabilities is determined by utilizing internal models using the appropriate discount rate for the applicable maturity. Such instruments are classified within Level2 of the fair value hierarchy when all significant inputs are readily observable.The Company determines the fair value of hybrid financial instruments, including structured liabilities, using the appropriate derivative valuation methodology (described above in Trading Account Assets and LiabilitiesDerivatives) given the nature of the embedded risk profile. Such instruments are classified within Level2 or Level3 depending on the observability of significant inputs to the valuation.259 Items Measured at Fair Value on a Recurring BasisThe following tables present for each of the fair value hierarchy levels the Companys assets and liabilities that are measured at fair value on a recurring basis at December31, 2025 and 2024. The Company may hedge positions that have been classified in the Level3 category with other financial instruments (hedging instruments) that may be classified as Level3, but also with financial instruments classified as Level1 or Level2. These hedges are presented gross in the following tables:Fair Value Levels
| |
| In millions of dollars at December 31, 2025 | Level1 | Level2 | Level3 | Grossinventory | Netting(1) | Netbalance | |
| Assets | | | | | | | |
| Securities borrowed and purchased under agreements to resell | $ | 485 | $ | 590,615 | $ | 49 | $ | 591,149 | $ | (385,039) | $ | 206,110 | |
| Trading non-derivative assets | |
| Trading mortgage-backed securities | |
| U.S. government-sponsored agency guaranteed | | 92,074 | 382 | 92,456 | | 92,456 | |
| Residential | | 798 | 99 | 897 | | 897 | |
| Commercial | | 597 | 55 | 652 | | 652 | |
| Total trading mortgage-backed securities | $ | | $ | 93,469 | $ | 536 | $ | 94,005 | $ | | $ | 94,005 | |
| U.S. Treasury and federal agency securities | $ | 140,671 | $ | 3,051 | $ | | $ | 143,722 | $ | | $ | 143,722 | |
| State and municipal | | 171 | 1 | 172 | | 172 | |
| Foreign government | 65,966 | 57,390 | 35 | 123,391 | | 123,391 | |
| Corporate | 1,161 | 20,412 | 270 | 21,843 | | 21,843 | |
| Equity securities | 61,986 | 8,110 | 287 | 70,383 | | 70,383 | |
| Asset-backed securities | | 2,308 | 225 | 2,533 | | 2,533 | |
| Other trading assets | | 25,243 | 413 | 25,656 | | 25,656 | |
| Total trading non-derivative assets | $ | 269,784 | $ | 210,154 | $ | 1,767 | $ | 481,705 | $ | | $ | 481,705 | |
| Trading derivatives | |
| Interest rate contracts | $ | 9 | $ | 224,077 | $ | 1,825 | $ | 225,911 | |
| Foreign exchange contracts | | 161,072 | 612 | 161,684 | |
| Equity contracts | 31 | 67,453 | 1,823 | 69,307 | |
| Commodity contracts | | 21,675 | 1,013 | 22,688 | |
| Credit derivatives | | 8,580 | 1,143 | 9,723 | |
| Total trading derivativesbefore netting and collateral | $ | 40 | $ | 482,857 | $ | 6,416 | $ | 489,313 | |
| Netting agreements | $ | (406,408) | |
| Netting of cash collateral received | (27,471) | |
| Total trading derivativesafter netting and collateral | $ | 40 | $ | 482,857 | $ | 6,416 | $ | 489,313 | $ | (433,879) | $ | 55,434 | |
| Investments | |
| Mortgage-backed securities | |
| U.S. government-sponsored agency guaranteed | $ | | $ | 36,725 | $ | 31 | $ | 36,756 | $ | | $ | 36,756 | |
| Other | | 976 | | 976 | | 976 | |
| |
| Total investment mortgage-backed securities | $ | | $ | 37,701 | $ | 31 | $ | 37,732 | $ | | $ | 37,732 | |
| U.S. Treasury and federal agency securities | $ | 35,465 | $ | | $ | | $ | 35,465 | $ | | $ | 35,465 | |
| State and municipal | | 1,033 | 504 | 1,537 | | 1,537 | |
| Foreign government | 80,048 | 83,034 | 25 | 163,107 | | 163,107 | |
| Corporate | 3,193 | 1,183 | 315 | 4,691 | | 4,691 | |
| Marketable equity securities | 342 | 2 | 131 | 475 | | 475 | |
| Asset-backed securities | | 1,072 | 1 | 1,073 | | 1,073 | |
| Other debt securities | 64 | 3,051 | | 3,115 | | 3,115 | |
| Non-marketable equity securities(2) | | | 409 | 409 | | 409 | |
| Total investments | $ | 119,112 | $ | 127,076 | $ | 1,416 | $ | 247,604 | $ | | $ | 247,604 | |
Table continues on the next page.260 
| |
| In millions of dollars at December 31, 2025 | Level1 | Level2 | Level3 | Grossinventory | Netting(1) | Netbalance | |
| Loans | $ | | $ | 6,733 | $ | 122 | $ | 6,855 | $ | | $ | 6,855 | |
| Mortgage servicing rights | | | 759 | 759 | | 759 | |
| |
| |
| |
| Other financial assets | $ | 6,130 | $ | 10,551 | $ | | $ | 16,681 | $ | | $ | 16,681 | |
| Total assets | $ | 395,551 | $ | 1,427,986 | $ | 10,529 | $ | 1,834,066 | $ | (818,918) | $ | 1,015,148 | |
| Total as a percentage of gross assets(3) | 21.5 | % | 77.9 | % | 0.6 | % | |
| Liabilities | |
| Deposits | $ | | $ | 3,983 | $ | 239 | $ | 4,222 | $ | | $ | 4,222 | |
| Securities loaned and sold under agreements to repurchase | | 426,084 | 952 | 427,036 | (227,614) | 199,422 | |
| Trading account liabilities | |
| Securities sold, not yet purchased | 89,352 | 15,177 | 45 | 104,574 | | 104,574 | |
| Other trading liabilities | | 10 | | 10 | | 10 | |
| Total trading account liabilities | $ | 89,352 | $ | 15,187 | $ | 45 | $ | 104,584 | $ | | $ | 104,584 | |
| Trading derivatives | |
| Interest rate contracts | $ | 5 | $ | 215,562 | $ | 1,805 | $ | 217,372 | |
| Foreign exchange contracts | | 152,202 | 662 | 152,864 | |
| Equity contracts | 49 | 74,365 | 4,787 | 79,201 | |
| Commodity contracts | | 23,713 | 869 | 24,582 | |
| Credit derivatives | | 9,670 | 1,562 | 11,232 | |
| Total trading derivativesbefore netting and collateral | $ | 54 | $ | 475,512 | $ | 9,685 | $ | 485,251 | |
| Netting agreements | $ | (406,408) | |
| Netting of cash collateral paid | (20,629) | |
| Total trading derivativesafter netting and collateral | $ | 54 | $ | 475,512 | $ | 9,685 | $ | 485,251 | $ | (427,037) | $ | 58,214 | |
| Short-term borrowings | $ | | $ | 21,275 | $ | 292 | $ | 21,567 | $ | | $ | 21,567 | |
| Long-term debt | | 106,767 | 23,959 | 130,726 | | 130,726 | |
| |
| |
| |
| |
| Other financial liabilities | $ | 5,437 | $ | 55 | $ | | $ | 5,492 | $ | | $ | 5,492 | |
| Total liabilities | $ | 94,843 | $ | 1,048,863 | $ | 35,172 | $ | 1,178,878 | $ | (654,651) | $ | 524,227 | |
| Total as a percentage of gross liabilities(3) | 8.0 | % | 89.0 | % | 3.0 | % | |
(1)Represents netting of (i)the amounts due under securities purchased under agreements to resell and the amounts owed under securities sold under agreements to repurchase and (ii)derivative exposures covered by a qualifying master netting agreement and cash collateral offsetting.(2)Amounts exclude $37million of investments measured at net asset value (NAV) in accordance with ASU 2015-07, Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent).(3)Because the amount of the cash collateral paid/received has not been allocated to the Level 1, 2 and 3 subtotals, these percentages are calculated based on total assets and liabilities measured at fair value on a recurring basis, excluding the cash collateral paid/received on derivatives.261 Fair Value Levels
| |
| In millions of dollars at December 31, 2024 | Level 1 | Level 2 | Level 3 | Grossinventory | Netting(1) | Netbalance | |
| Assets | | | | | | | |
| Securities borrowed and purchased under agreements to resell | $ | | $ | 462,542 | $ | 128 | $ | 462,670 | $ | (321,815) | $ | 140,855 | |
| Trading non-derivative assets | |
| Trading mortgage-backed securities | |
| U.S. government-sponsored agency guaranteed | | 63,365 | 301 | 63,666 | | 63,666 | |
| Residential | | 528 | 67 | 595 | | 595 | |
| Commercial | | 631 | 36 | 667 | | 667 | |
| Total trading mortgage-backed securities | $ | | $ | 64,524 | $ | 404 | $ | 64,928 | $ | | $ | 64,928 | |
| U.S. Treasury and federal agency securities | $ | 142,837 | $ | 6,517 | $ | 1 | $ | 149,355 | $ | | $ | 149,355 | |
| State and municipal | | 168 | 11 | 179 | | 179 | |
| Foreign government | 35,805 | 39,035 | 15 | 74,855 | | 74,855 | |
| Corporate | 1,197 | 13,474 | 269 | 14,940 | | 14,940 | |
| Equity securities | 41,163 | 7,479 | 166 | 48,808 | | 48,808 | |
| Asset-backed securities | | 2,131 | 178 | 2,309 | | 2,309 | |
| Other trading assets | | 26,441 | 333 | 26,774 | | 26,774 | |
| Total trading non-derivative assets | $ | 221,002 | $ | 159,769 | $ | 1,377 | $ | 382,148 | $ | | $ | 382,148 | |
| Trading derivatives | |
| Interest rate contracts | $ | 17 | $ | 128,562 | $ | 1,699 | $ | 130,278 | |
| Foreign exchange contracts | | 215,330 | 715 | 216,045 | |
| Equity contracts | 44 | 53,734 | 1,366 | 55,144 | |
| Commodity contracts | | 11,546 | 1,074 | 12,620 | |
| Credit derivatives | | 7,993 | 722 | 8,715 | |
| Total trading derivativesbefore netting and collateral | $ | 61 | $ | 417,165 | $ | 5,576 | $ | 422,802 | |
| Netting agreements | $ | (334,900) | |
| Netting of cash collateral received | (27,303) | |
| Total trading derivativesafter netting and collateral | $ | 61 | $ | 417,165 | $ | 5,576 | $ | 422,802 | $ | (362,203) | $ | 60,599 | |
| Investments | |
| Mortgage-backed securities | |
| U.S. government-sponsored agency guaranteed | $ | | $ | 29,270 | $ | 36 | $ | 29,306 | $ | | $ | 29,306 | |
| Other | | 597 | 28 | 625 | | 625 | |
| |
| Total investment mortgage-backed securities | $ | | $ | 29,867 | $ | 64 | $ | 29,931 | $ | | $ | 29,931 | |
| U.S. Treasury and federal agency securities | $ | 51,501 | $ | 878 | $ | | $ | 52,379 | $ | | $ | 52,379 | |
| State and municipal | | 1,230 | 428 | 1,658 | | 1,658 | |
| Foreign government | 62,106 | 71,241 | 12 | 133,359 | | 133,359 | |
| Corporate | 3,163 | 1,505 | 146 | 4,814 | | 4,814 | |
| Marketable equity securities | 130 | 7 | 14 | 151 | | 151 | |
| Asset-backed securities | | 846 | 2 | 848 | | 848 | |
| Other debt securities | | 3,881 | 6 | 3,887 | | 3,887 | |
| Non-marketable equity securities(2) | | | 404 | 404 | | 404 | |
| Total investments | $ | 116,900 | $ | 109,455 | $ | 1,076 | $ | 227,431 | $ | | $ | 227,431 | |
Table continues on the next page. 262 
| |
| In millions of dollars at December 31, 2024 | Level 1 | Level 2 | Level 3 | Grossinventory | Netting(1) | Netbalance | |
| Loans | $ | | $ | 7,778 | $ | 262 | $ | 8,040 | $ | | $ | 8,040 | |
| Mortgage servicing rights | | | 760 | 760 | | 760 | |
| |
| |
| |
| Other financial assets | $ | 5,373 | $ | 9,424 | $ | 15 | $ | 14,812 | $ | | $ | 14,812 | |
| Total assets | $ | 343,336 | $ | 1,166,133 | $ | 9,194 | $ | 1,518,663 | $ | (684,018) | $ | 834,645 | |
| Total as a percentage of gross assets(3) | 22.6 | % | 76.8 | % | 0.6 | % | |
| Liabilities | |
| Deposits | $ | | $ | 3,569 | $ | 39 | $ | 3,608 | $ | | $ | 3,608 | |
| Securities loaned and sold under agreements to repurchase | | 260,286 | 390 | 260,676 | (211,522) | 49,154 | |
| Trading account liabilities | |
| Securities sold, not yet purchased | 72,324 | 13,184 | 28 | 85,536 | | 85,536 | |
| Other trading liabilities | | 12 | | 12 | | 12 | |
| Total trading account liabilities | $ | 72,324 | $ | 13,196 | $ | 28 | $ | 85,548 | $ | | $ | 85,548 | |
| Trading derivatives | |
| Interest rate contracts | $ | 6 | $ | 120,097 | $ | 2,029 | $ | 122,132 | |
| Foreign exchange contracts | | 205,487 | 530 | 206,017 | |
| Equity contracts | 40 | 58,642 | 3,054 | 61,736 | |
| Commodity contracts | | 13,960 | 670 | 14,630 | |
| Credit derivatives | | 6,635 | 618 | 7,253 | |
| Total trading derivativesbefore netting and collateral | $ | 46 | $ | 404,821 | $ | 6,901 | $ | 411,768 | |
| Netting agreements | $ | (334,900) | |
| Netting of cash collateral paid | (28,570) | |
| Total trading derivativesafter netting and collateral | $ | 46 | $ | 404,821 | $ | 6,901 | $ | 411,768 | $ | (363,470) | $ | 48,298 | |
| Short-term borrowings | $ | | $ | 12,187 | $ | 297 | $ | 12,484 | $ | | $ | 12,484 | |
| Long-term debt | | 91,619 | 21,100 | 112,719 | | 112,719 | |
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| |
| |
| Other financial liabilities | $ | 4,478 | $ | 744 | $ | | $ | 5,222 | $ | | $ | 5,222 | |
| Total liabilities | $ | 76,848 | $ | 786,422 | $ | 28,755 | $ | 892,025 | $ | (574,992) | $ | 317,033 | |
| Total as a percentage of gross liabilities(3) | 8.6 | % | 88.2 | % | 3.2 | % | |
(1)Represents netting of (i)the amounts due under securities purchased under agreements to resell and the amounts owed under securities sold under agreements to repurchase and (ii)derivative exposures covered by a qualifying master netting agreement and cash collateral offsetting.(2)Amounts exclude $23million of investments measured at NAV in accordance with ASU 2015-07, Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent).(3)Because the amount of the cash collateral paid/received has not been allocated to the Level 1, 2 and 3 subtotals, these percentages are calculated based on total assets and liabilities measured at fair value on a recurring basis, excluding the cash collateral paid/received on derivatives. 263 Changes in Level3 Fair Value CategoryThe following tables present the changes in the Level3 fair value category for the years ended December31, 2025 and 2024. The gains and losses presented below include changes in the fair value related to both observable and unobservable inputs.The Company often hedges positions with offsetting positions that are classified in a different level. For example, the gains and losses for assets and liabilities in the Level3 category presented in the tables below do not reflect the effect of offsetting losses and gains on hedging instruments that may be classified in the Level1 and Level2 categories. In addition, the Company hedges items classified in the Level3 category with instruments also classified in Level3 of the fair value hierarchy. The hedged items and related hedges are presented gross in the following tables:Level3 Fair Value Rollforward
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| | | Net realized/unrealizedgains (losses) included in(1) | Transfers | | | | | | Unrealizedgains (losses)still held(3) | |
| In millions of dollars | Dec. 31, 2024 | Principaltransactions | Other(1)(2) | intoLevel 3 | out ofLevel 3 | Purchases | Issuances | Sales | Settlements | Dec. 31, 2025 | |
| Assets | |
| Securities borrowed and purchased under agreements to resell | $ | 128 | $ | 46 | $ | | $ | | $ | (181) | $ | 637 | $ | | $ | | $ | (581) | $ | 49 | $ | 1 | |
| Trading non-derivative assets | |
| Trading mortgage-backed securities | |
| U.S. government-sponsored agency guaranteed | 301 | 24 | | 347 | (426) | 625 | | (489) | | 382 | (13) | |
| Residential | 67 | (3) | | 66 | (139) | 232 | | (124) | | 99 | (4) | |
| Commercial | 36 | (7) | | 62 | (81) | 68 | | (23) | | 55 | (2) | |
| Total trading mortgage-backed securities | $ | 404 | $ | 14 | $ | | $ | 475 | $ | (646) | $ | 925 | $ | | $ | (636) | $ | | $ | 536 | $ | (19) | |
| U.S. Treasury and federal agency securities | $ | 1 | $ | | $ | | $ | | $ | (1) | $ | | $ | | $ | | $ | | $ | | $ | | |
| State and municipal | 11 | 1 | | | (11) | | | | | 1 | | |
| Foreign government | 15 | 5 | | 62 | (36) | 19 | | (30) | | 35 | 3 | |
| Corporate | 269 | (15) | | 105 | (184) | 368 | | (273) | | 270 | (55) | |
| Marketable equity securities | 166 | 26 | | 74 | (53) | 260 | | (186) | | 287 | 12 | |
| Asset-backed securities | 178 | (42) | | 74 | (139) | 373 | | (219) | | 225 | (18) | |
| Othertrading assets | 333 | 93 | | 69 | (56) | 468 | 42 | (503) | (33) | 413 | 10 | |
| Total trading non-derivative assets | $ | 1,377 | $ | 82 | $ | | $ | 859 | $ | (1,126) | $ | 2,413 | $ | 42 | $ | (1,847) | $ | (33) | $ | 1,767 | $ | (67) | |
| Trading derivatives, net(4) | |
| Interest rate contracts | $ | (330) | $ | 306 | $ | | $ | 108 | $ | 31 | $ | (150) | $ | 10 | $ | (91) | $ | 136 | $ | 20 | $ | 362 | |
| Foreign exchange contracts | 185 | 12 | | 68 | (152) | 32 | | (190) | (5) | (50) | 36 | |
| Equity contracts | (1,688) | (149) | | 73 | 777 | (2,780) | | (66) | 869 | (2,964) | (1,530) | |
| Commodity contracts | 404 | 418 | | (250) | 188 | (308) | | (10) | (298) | 144 | 219 | |
| Credit derivatives | 104 | (107) | | 4 | 157 | (776) | | | 199 | (419) | (114) | |
| Total trading derivatives, net(4) | $ | (1,325) | $ | 480 | $ | | $ | 3 | $ | 1,001 | $ | (3,982) | $ | 10 | $ | (357) | $ | 901 | $ | (3,269) | $ | (1,027) | |
Table continues on the next page.264 
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| | | Net realized/unrealizedgains (losses) included in(1) | Transfers | | | | | | Unrealizedgains (losses)still held(3) | |
| In millions of dollars | Dec. 31, 2024 | Principaltransactions | Other(1)(2) | intoLevel 3 | out ofLevel 3 | Purchases | Issuances | Sales | Settlements | Dec. 31, 2025 | |
| Investments | |
| Mortgage-backed securities | |
| U.S. government-sponsored agency guaranteed | $ | 36 | $ | | $ | (1) | $ | 10 | $ | (15) | $ | 4 | $ | | $ | (3) | $ | | $ | 31 | $ | (3) | |
| Other | 28 | | | | (15) | | | (13) | | | | |
| |
| Total investment mortgage-backed securities | $ | 64 | $ | | $ | (1) | $ | 10 | $ | (30) | $ | 4 | $ | | $ | (16) | $ | | $ | 31 | $ | (3) | |
| U.S. Treasury and federal agency securities | $ | | $ | | $ | | $ | | $ | | $ | | $ | | $ | | $ | | $ | | $ | | |
| State and municipal | 428 | | 35 | 91 | (16) | 261 | | (295) | | 504 | 10 | |
| Foreign government | 12 | | (5) | 20 | (2) | | | | | 25 | 1 | |
| Corporate | 146 | | (9) | 262 | (112) | 279 | | (251) | | 315 | (3) | |
| Marketable equity securities | 14 | | (21) | | | 218 | | (80) | | 131 | | |
| Asset-backed securities | 2 | | | | (2) | 1 | | | | 1 | | |
| Otherdebtsecurities | 6 | | | | | 1 | | (7) | | | | |
| Non-marketable equity securities | 404 | | (20) | | (8) | 53 | | (20) | | 409 | (2) | |
| Total investments | $ | 1,076 | $ | | $ | (21) | $ | 383 | $ | (170) | $ | 817 | $ | | $ | (669) | $ | | $ | 1,416 | $ | 3 | |
| Loans | $ | 262 | $ | | $ | 109 | $ | 7 | $ | (171) | $ | | $ | 189 | $ | | $ | (274) | $ | 122 | $ | 34 | |
| Mortgage servicing rights | 760 | | (21) | | | | 103 | | (83) | 759 | (22) | |
| Other financial assets | 15 | | 1 | 2 | | 62 | 30 | (64) | (46) | | | |
| Liabilities | |
| Deposits | $ | 39 | $ | | $ | (34) | $ | 10 | $ | | $ | | $ | 259 | $ | | $ | (103) | $ | 239 | $ | (141) | |
| Securities loaned and sold under agreements to repurchase | 390 | (11) | | | (100) | 1,486 | | | (835) | 952 | | |
| Trading account liabilities | |
| Securities sold, not yet purchased | 28 | 19 | | 27 | (39) | 116 | | | (68) | 45 | 45 | |
| Other trading liabilities | | 1 | | | (2) | 25 | | | (22) | | | |
| Short-term borrowings | 297 | 51 | | 78 | (144) | 13 | 928 | | (829) | 292 | (92) | |
| Long-term debt | 21,100 | (1,156) | | 3,120 | (4,158) | | 5,064 | | (2,323) | 23,959 | (866) | |
| Other financial liabilities measured on a recurring basis | | | | 15 | (1) | 50 | 1 | | (65) | | | |
(1)Net realized/unrealized gains (losses) are presented as increase (decrease) to Level 3 assets and as (increase) decrease to Level 3 liabilities. Changes in fair value of available-for-sale debt securities are recorded in AOCI, unless related to credit impairment, while gains and losses from sales are recorded in Realized gains (losses) from sales of investments in the Consolidated Statement of Income.(2)Unrealized gains (losses) on MSRs are recorded in Other revenue in the Consolidated Statement of Income.(3)Represents the amount of total gains or losses for the period, included in earnings (and AOCI for changes in fair value of available-for-sale debt securities and DVA on fair value option liabilities), attributable to the change in fair value relating to assets and liabilities classified as Level3 that are still held at December31, 2025.(4)Total Level3 trading derivative assets and liabilities have been netted in these tables for presentation purposes only.265 
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| | | Net realized/unrealizedgains (losses) included in(1) | Transfers | | | | | | Unrealizedgains(losses)still held(3) | |
| In millions of dollars | Dec. 31, 2023 | Principaltransactions | Other(1)(2) | intoLevel 3 | out ofLevel 3 | Purchases | Issuances | Sales | Settlements | Dec. 31, 2024 | |
| Assets | | | | | | | | | | | | |
| Securities borrowed and purchased under agreements to resell | $ | 139 | $ | (4) | $ | | $ | | $ | | $ | 111 | $ | | $ | | $ | (118) | $ | 128 | $ | (4) | |
| Trading non-derivative assets | | | | | | | | | | | | |
| Trading mortgage-backed securities | | | | | | | | | | | | |
| U.S. government-sponsored agency guaranteed | 581 | (50) | | 456 | (856) | 667 | | (497) | | 301 | (18) | |
| Residential | 116 | (8) | | 84 | (79) | 159 | | (205) | | 67 | (1) | |
| Commercial | 202 | 17 | | 56 | (189) | 162 | | (212) | | 36 | (4) | |
| Total trading mortgage-backed securities | $ | 899 | $ | (41) | $ | | $ | 596 | $ | (1,124) | $ | 988 | $ | | $ | (914) | $ | | $ | 404 | $ | (23) | |
| U.S. Treasury and federal agency securities | $ | 7 | $ | 4 | $ | | $ | 1 | $ | (1) | $ | | $ | | $ | | $ | (10) | $ | 1 | $ | | |
| State and municipal | 3 | 2 | | 20 | (10) | | | (4) | | 11 | 1 | |
| Foreign government | 54 | (9) | | 21 | (49) | 192 | | (194) | | 15 | | |
| Corporate | 500 | 155 | | 188 | (484) | 587 | | (669) | (8) | 269 | 97 | |
| Marketable equity securities | 292 | 5 | | 239 | (75) | 169 | | (464) | | 166 | (8) | |
| Asset-backed securities | 531 | (53) | | 54 | (210) | 273 | | (417) | | 178 | (21) | |
| Othertradingassets | 833 | 174 | | 200 | (440) | 377 | 34 | (829) | (16) | 333 | 42 | |
| Total trading non-derivative assets | $ | 3,119 | $ | 237 | $ | | $ | 1,319 | $ | (2,393) | $ | 2,586 | $ | 34 | $ | (3,491) | $ | (34) | $ | 1,377 | $ | 88 | |
| Trading derivatives, net(4) | |
| Interest rate contracts | $ | (1,085) | $ | (875) | $ | | $ | 275 | $ | 462 | $ | 94 | $ | 19 | $ | (35) | $ | 815 | $ | (330) | $ | (381) | |
| Foreign exchange contracts | 295 | 600 | | 100 | (485) | 13 | | (197) | (141) | 185 | (474) | |
| Equity contracts | (1,634) | 68 | | (135) | 1,022 | (954) | | (77) | 22 | (1,688) | (459) | |
| Commodity contracts | 279 | 460 | | 46 | (210) | (104) | | (66) | (1) | 404 | 512 | |
| Credit derivatives | (73) | 155 | | (20) | 29 | (4) | | | 17 | 104 | 81 | |
| Total trading derivatives, net(4) | $ | (2,218) | $ | 408 | $ | | $ | 266 | $ | 818 | $ | (955) | $ | 19 | $ | (375) | $ | 712 | $ | (1,325) | $ | (721) | |
| Investments | |
| Mortgage-backed securities | |
| U.S. government-sponsored agency guaranteed | $ | 75 | $ | | $ | 4 | $ | 3 | $ | | $ | 7 | $ | | $ | (53) | $ | | $ | 36 | $ | 5 | |
| Other | 116 | | (3) | 5 | (90) | | | | | 28 | (3) | |
| |
| Total investment mortgage-backed securities | $ | 191 | $ | | $ | 1 | $ | 8 | $ | (90) | $ | 7 | $ | | $ | (53) | $ | | $ | 64 | $ | 2 | |
| U.S. Treasury and federal agency securities | $ | | $ | | $ | | $ | | $ | | $ | | $ | | $ | | $ | | $ | | $ | | |
| State and municipal | 542 | | (31) | | (8) | 14 | | (89) | | 428 | (14) | |
| Foreign government | 194 | | (16) | 8 | (174) | 36 | | (36) | | 12 | (3) | |
| Corporate | 362 | | (24) | 78 | (348) | 183 | | (105) | | 146 | (7) | |
| Marketable equity securities | 27 | | (13) | | | | | | | 14 | | |
| Asset-backed securities | | | | 2 | | 3 | | (3) | | 2 | | |
| Otherdebtsecurities | | | | | | 6 | | | | 6 | | |
| Non-marketable equity securities | 483 | | (3) | | | 187 | | (263) | | 404 | (7) | |
| Total investments | $ | 1,799 | $ | | $ | (86) | $ | 96 | $ | (620) | $ | 436 | $ | | $ | (549) | $ | | $ | 1,076 | $ | (29) | |
Table continues on the next page.266 
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| | | Net realized/unrealizedgains (losses) included in(1) | Transfers | | | | | | Unrealizedgains(losses)still held(3) | |
| In millions of dollars | Dec. 31, 2023 | Principaltransactions | Other(1)(2) | intoLevel 3 | out ofLevel 3 | Purchases | Issuances | Sales | Settlements | Dec. 31, 2024 | |
| Loans | $ | 427 | $ | | $ | (85) | $ | 664 | $ | (896) | $ | | $ | 250 | $ | | $ | (98) | $ | 262 | $ | (6) | |
| Mortgage servicing rights | 691 | | 37 | | | | 104 | | (72) | 760 | 44 | |
| Other financial assets | 30 | | (1) | | | 5 | 51 | (5) | (65) | 15 | (1) | |
| Liabilities | |
| Deposits | $ | 29 | $ | 1 | $ | 4 | $ | 51 | $ | (40) | $ | | $ | 39 | $ | | $ | (35) | $ | 39 | $ | 1 | |
| Securities loaned and sold under agreements to repurchase | 390 | 5 | | | | 976 | | | (971) | 390 | 5 | |
| Trading account liabilities | |
| Securities sold, not yet purchased | 35 | (14) | | 35 | (30) | 116 | | | (142) | 28 | 5 | |
| Other trading liabilities | | | | | | | | | | | | |
| Short-term borrowings | 481 | (94) | | 88 | (560) | 1 | 479 | | (286) | 297 | (37) | |
| Long-term debt | 38,380 | 1,757 | | 4,626 | (22,923) | | 5,995 | | (3,221) | 21,100 | 1,731 | |
| Other financial liabilities | 6 | | | | | | 5 | | (11) | | | |
(1)Net realized/unrealized gains (losses) are presented as increase (decrease) to Level 3 assets and as (increase) decrease to Level 3 liabilities. Changes in fair value of available-for-sale debt securities are recorded in AOCI, unless related to credit impairment, while gains and losses from sales are recorded in Realized gains (losses) from sales of investments in the Consolidated Statement of Income.(2)Unrealized gains (losses) on MSRs are recorded in Other revenue in the Consolidated Statement of Income.(3)Represents the amount of total gains or losses for the period, included in earnings (and AOCI for changes in fair value of available-for-sale debt securities and DVA on fair value option liabilities), attributable to the change in fair value relating to assets and liabilities classified as Level3 that are still held at December31, 2024.(4)Total Level3 derivative assets and liabilities have been netted in these tables for presentation purposes only.Level3 Fair Value Transfers The following were the significant Level 3 transfers for the period December31, 2024 to December31, 2025:During the 12 months ended December31, 2025, transfers of Long-term debt were $4.2billion from Level 3 to Level 2, and $3.1billion from Level 2 to Level 3. The Level 3 to Level 2 transfers were primarily the result of certain unobservable inputs becoming less significant to the overall valuation of these instruments. The Level 2 to Level 3 transfers were primarily the result of certain unobservable inputs becoming more significant to the overall valuation of these instruments. The following were the significant Level 3 transfers for the period December31, 2023 to December31, 2024:During the 12 months ended December 31, 2024, transfers of Long-term debt were $22.9billion from Level 3 to Level 2, and $4.6billion from Level 2 to Level 3. The Level 3 to Level 2 transfers were primarily the result of enhanced significance testing of unobservable inputs for certain structured debt instruments. The Level 2 to Level 3 transfers were primarily the result of certain unobservable inputs becoming more significant to the overall valuation of these instruments. The Level 3 to Level 2 transfers of $1.0billion related to Equity contracts were primarily the result of certain unobservable inputs related to equity options becoming less significant to the overall valuation of these instruments.267 Valuation Techniques and Inputs for Level3 Fair Value MeasurementsThe following tables present the valuation techniques covering the majority of Level3 inventory and the most significant unobservable inputs used in Level3 fair value measurements. Differences between these tables and amounts presented in the Level3 Fair Value Rollforward tables represent individually immaterial items that have been measured using a variety of valuation techniques other than those listed.
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| As of December 31, 2025 | Fair value(1)(in millions) | Methodology | Input | Low(2)(3) | High(2)(3) | Weightedaverage(4) | |
| Assets | | | | | | | |
| |
| |
| Mortgage-backed securities | $ | 352 | Price-based | Price | $ | 0.80 | $ | 145.12 | $ | 37.47 | |
| 214 | Yield analysis | Yield | 4.78 | % | 26.14 | % | 12.86 | % | |
| State and municipal, foreign government, corporate and other debt securities | $ | 866 | Price-based | Price | $ | 20.77 | $ | 194.45 | $ | 114.31 | |
| 389 | Model-based | Credit spread | 167.00 bps | 508.30 bps | 399.15 bps | |
| 159 | Cash flow | Yield | 2.30 | % | 9.30 | % | 8.72 | % | |
| WAL | 3.24 years | 8.14 years | 6.80 years | |
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| Interest rate contracts (gross) | $ | 3,608 | Model-based | IR normal volatility | 0.06 | % | 2.98 | % | 0.65 | % | |
| Equity volatility | 12.00 | % | 48.92 | % | 26.43 | % | |
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| Foreign exchange contracts (gross) | $ | 1,217 | Model-based | IR normal volatility | 0.49 | % | 0.86 | % | 0.74 | % | |
| IR basis | (20.15) | % | 11.17 | % | (0.05) | % | |
| FX volatility | 0.32 | % | 74.14 | % | 7.91 | % | |
| Yield | 1.05 | % | 14.90 | % | 6.43 | % | |
| Equity contracts (gross)(7) | $ | 6,597 | Model-based | Equity volatility | 2.81 | % | 184.01 | % | 42.80 | % | |
| Equity forward | 53.29 | % | 373.46 | % | 111.14 | % | |
| Equity-FX correlation | (75.75) | % | 70.00 | % | (13.61) | % | |
| Equity-Equity correlation | (36.22) | % | 99.00 | % | 52.48 | % | |
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| Commodity and other contracts (gross) | $ | 1,881 | Model-based | Forward price | 0.11 | % | 395.49 | % | 98.83 | % | |
| Commodity volatility | 8.40 | % | 316.56 | % | 42.29 | % | |
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| Credit derivatives (gross) | $ | 1,720 | Model-based | Credit spread | 5.20 bps | 592.93 bps | 74.28 bps | |
| Recovery rate | 0.50 | % | 40.00 | % | 34.87 | % | |
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| 985 | Price-based | Price | $ | 8.00 | $ | 119.13 | $ | 85.45 | |
| Upfront points | 5.05 | % | 106.23 | % | 61.00 | % | |
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| Mortgage servicing rights | $ | 676 | Cash flow | WAL | 3.24 years | 8.14 years | 6.80 years | |
| 82 | Model-based | Yield | (0.40) | % | 12.00 | % | 6.35 | % | |
| Liabilities | |
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| Securities loaned and sold under agreements to repurchase | $ | 952 | Model-based | Interest rate | 3.47 | % | 5.43 | % | 3.85 | % | |
| IR normal volatility | 0.46 | % | 0.89 | % | 0.78 | % | |
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| Short-term borrowings and long-term debt | $ | 24,126 | Model-based | IR normal volatility | 0.06 | % | 2.98 | % | 0.74 | % | |
| FX volatility | 5.26 | % | 14.01 | % | 9.08 | % | |
| Equity volatility | 5.50 | % | 92.67 | % | 20.95 | % | |
| IR-FX correlation | (34.00) | % | 60.00 | % | 46.37 | % | |
| Equity-IR correlation | | % | 56.64 | % | 36.32 | % | |
| IR-IR correlation | 40.00 | % | 40.00 | % | 40.00 | % | |
| Equity-FX correlation | (60.00) | % | 70.00 | % | (16.57) | % | |
268 
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| As of December 31, 2024 | Fair value(1)(in millions) | Methodology | Input | Low(2)(3) | High(2)(3) | Weightedaverage(4) | |
| Assets | | | | | | | |
| Securities borrowed and purchased under agreements to resell | $ | 128 | Model-based | Credit spread | 10 bps | 10 bps | 10 bps | |
| Interest rate | 3.81 | % | 3.81 | % | 3.81 | % | |
| Mortgage-backed securities | $ | 230 | Yield analysis | Yield | 5.24 | % | 18.43 | % | 9.25 | % | |
| 214 | Price-based | Price | $ | 0.01 | $ | 99.81 | $ | 35.24 | |
| State and municipal, foreign government, corporate and other debt securities | $ | 560 | Price-based | Price | $ | | $ | 173.20 | $ | 98.52 | |
| 489 | Model-based | Credit spread | 35 bps | 550 bps | 277 bps | |
| Yield | 4.20 | % | 10.60 | % | 9.88 | % | |
| 140 | Cash flow | WAL | 3.59 years | 8.82 years | 7.57 years | |
| Marketable equity securities(5) | $ | 131 | Price-based | Price | $ | | $ | 14,382.07 | $ | 442.64 | |
| 22 | Model-based | WAL | 2.40 years | 2.40 years | 2.40 years | |
| Recovery (in millions) | $ | 8,628 | $ | 8,628 | $ | 8,628 | |
| Asset-backed securities | $ | 132 | Price-based | Price | $ | 3.46 | $ | 132.54 | $ | 74.86 | |
| 47 | Yield analysis | Yield | 5.85 | % | 12.76 | % | 8.07 | % | |
| Non-marketable equities | $ | 222 | Comparable analysis | Illiquidity discount | 7.40 | % | 33.00 | % | 16.47 | % | |
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| Revenue multiple | 4.50x | 16.31x | 11.97x | |
| EBITDA multiples | 16.20x | 16.20x | 16.20x | |
| 81 | Price-based | Price | $ | 0.54 | $ | 2,960.96 | $ | 432.84 | |
| 50 | Cash flow | Discount rate | 9.75 | % | 17.50 | % | 13.38 | % | |
| 50 | Model-based | |
| Derivativesgross(6) | |
| Interest rate contracts (gross) | $ | 3,574 | Model-based | IR normal volatility | 0.16 | % | 20.00 | % | 2.18 | % | |
| Yield | 1.69 | % | 46.32 | % | 5.64 | % | |
| Equity forward | 71.78 | % | 334.29 | % | 106.48 | % | |
| Foreign exchange contracts (gross) | $ | 1,247 | Model-based | IR normal volatility | 0.67 | % | 1.13 | % | 0.93 | % | |
| IR basis | (7.50) | % | 64.75 | % | 5.01 | % | |
| FX volatility | 3.33 | % | 27.64 | % | 12.55 | % | |
| Yield | 1.69 | % | 46.32 | % | 9.26 | % | |
| Equity contracts (gross)(7) | $ | 4,345 | Model-based | Equity volatility | | % | 145.41 | % | 32.89 | % | |
| Equity forward | 71.78 | % | 334.29 | % | 105.90 | % | |
| Equity-FX correlation | (93.33) | % | 70.00 | % | (14.52) | % | |
| Equity-Equity correlation | (36.22) | % | 99.00 | % | 72.43 | % | |
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| Commodity and other contracts (gross) | $ | 1,716 | Model-based | Forward price | 1.84 | % | 244.41 | % | 115.84 | % | |
| Commodity volatility | 7.14 | % | 285.61 | % | 35.86 | % | |
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| Credit derivatives (gross) | $ | 869 | Model-based | Recovery rate | 20.00 | % | 72.00 | % | 41.54 | % | |
| Credit spread | 5.00 bps | 747.27 bps | 100.50 bps | |
| Credit spread volatility | 29.85 | % | 81.44 | % | 67.58 | % | |
| |
| 468 | Price-based | Price | $ | 43.71 | $ | 103.53 | $ | 85.76 | |
| Upfront points | (6.25) | % | 110.52 | % | 43.93 | % | |
| |
| |
| |
| |
| Other financial assets and liabilities (gross) | $ | 14 | Price-based | Price | $ | 91.12 | $ | 104.49 | $ | 100.04 | |
| Loans and leases | $ | 177 | Model-based | Equity volatility | 35.42 | % | 41.94 | % | 37.21 | % | |
| Forward price | 1.84 | % | 244.41 | % | 102.92 | % | |
269 
| |
| 82 | Price-based | Price | $ | 73.88 | $ | 99.25 | $ | 85.09 | |
| |
| |
| Mortgage servicing rights | $ | 671 | Cash flow | WAL | 3.59 years | 8.82 years | 7.57 years | |
| 84 | Model-based | Yield | 0.30 | % | 12.00 | % | 6.82 | % | |
| Liabilities | |
| Interest-bearing deposits | $ | 39 | Model-based | Forward price | 100.00 | % | 100.00 | % | 100.00 | % | |
| Securities loaned and sold under agreements to repurchase | $ | 390 | Model-based | Interest rate | 4.25 | % | 4.85 | % | 4.28 | % | |
| IR normal volatility | 0.67 | % | 1.13 | % | 0.93 | % | |
| Trading account liabilities | |
| Securities sold, not yet purchased and other trading liabilities | $ | 27 | Price-based | Price | $ | | $ | 14,382.07 | $ | 91.47 | |
| |
| |
| Short-term borrowings and long-term debt | $ | 20,883 | Model-based | IR normal volatility | 0.04 | % | 20.00 | % | 1.54 | % | |
| Equity volatility | | % | 145.41 | % | 19.81 | % | |
| Equity-IR correlation | (34.00) | % | 60.00 | % | 27.29 | % | |
(1)The tables above include the fair values for the items listed and may not represent the total population for each category.
(2)Some inputs are shown as zero due to rounding.
(3)When the low and high inputs are the same, there is either a constant input applied to all positions, or the methodology involving the input applies to only one large position.
(4)Weighted averages are calculated based on the fair values of the instruments.
(5)For marketable equity securities, the price inputs are expressed on an absolute basis, not as a percentage of the notional amount.
(6)Both trading and non-trading account derivativesassets and liabilitiesare presented on a gross absolute value basis.
(7)Includes hybrid products.
270 
Uncertainty of Fair Value Measurements Relating to Unobservable Inputs
Valuation uncertainty arises when there is insufficient or dispersed market data to allow a precise determination of the exit value of a fair-valued position or portfolio in todays market. This is especially prevalent in Level 3 fair value instruments, where uncertainty exists in valuation inputs that may be both unobservable and significant to the instruments (or portfolios) overall fair value measurement. The uncertainties associated with key unobservable inputs on the Level3 fair value measurements may not be independent of one another. In addition, the amount and direction of the uncertainty on a fair value measurement for a given change in an unobservable input depends on the nature of the instrument as well as whether the Company holds the instrument as an asset or a liability. For certain instruments, the pricing, hedging and risk management are sensitive to the correlation between various inputs rather than on the analysis and aggregation of the individual inputs.
The following section describes some of the most significant unobservable inputs used by the Company in Level3 fair value measurements.
Correlation
Correlation is a measure of the extent to which two or more variables change in relation to each other. A variety of correlation-related assumptions are required for a wide range of instruments, including equity and credit baskets, foreign exchange options, credit index tranches and many other instruments. For almost all of these instruments, correlations are not directly observable in the market and must be calculated using alternative sources, including historical information. Estimating correlation can be especially difficult where it may vary over time, and calculating correlation information from market data requires significant assumptions regarding the informational efficiency of the market (e.g., swaption markets). Uncertainty therefore exists when an estimate of the appropriate level of correlation as an input into some fair value measurements is required.
Changes in correlation levels can have a substantial impact, favorable or unfavorable, on the value of an instrument, depending on its nature. A change in the default correlation of the fair value of the underlying bonds comprising a CDO structure would affect the fair value of the senior tranche. For example, an increase in the default correlation of the underlying bonds would reduce the fair value of the senior tranche, because highly correlated instruments produce greater losses in the event of default and a portion of these losses would become attributable to the senior tranche. That same change in default correlation would have a different impact on junior tranches of the same structure.
Volatility
Volatility represents the speed and severity of market price changes and is a key factor in pricing options. Volatility generally depends on the tenor of the underlying instrument 
and the strike price or level defined in the contract. Volatilities for certain combinations of tenor and strike are not observable and need to be estimated using alternative methods, such as comparable instruments, historical analysis or other sources of 
market information. This leads to uncertainty around the final fair value measurement of instruments with unobservable volatilities. 
The general relationship between changes in the value of an instrument (or a portfolio) to changes in volatility also depends on changes in interest rates and the level of the underlying index. Generally, long option positions (assets) benefit from increases in volatility, whereas short option positions (liabilities) will suffer losses. Some instruments are more sensitive to changes in volatility than others. For example, an at-the-money option would experience a greater percentage change in its fair value than a deep-in-the-money option. In addition, the fair value of an option with more than one underlying security (e.g., an option on a basket of equities) depends on the volatility of the individual underlying securities as well as their correlations.
Yield
In some circumstances, the yield of an instrument is not observable in the market and must be estimated from historical data or from yields of similar securities. This estimated yield may need to be adjusted to capture the characteristics of the security being valued. Whenever the amount of the adjustment is significant to the value of the security, the fair value measurement is classified as Level3.
Adjusted yield is generally used to discount the projected future principal and interest cash flows on instruments, such as asset-backed securities. Adjusted yield is impacted by changes in the interest rate environment and relevant credit spreads. 
Prepayment
Voluntary unscheduled payments (prepayments) change the future cash flows for the investor and thereby change the fair value of the security. The effect of prepayments is more pronounced for residential mortgage-backed securities. Prepayment is generally negatively correlated with delinquency and interest rate. A combination of low prepayments and high delinquencies amplifies each inputs negative impact on a mortgage securitys valuation. As prepayment speeds change, the weighted-average life of the security changes, which impacts the valuation either positively or negatively, depending upon the nature of the security and the direction of the change in the weighted-average life.
Recovery
Recovery is the proportion of the total outstanding balance of a bond or loan that is expected to be collected in a liquidation scenario. For many credit securities (e.g., commercial mortgage-backed securities), the expected recovery amount of a defaulted property is typically unknown until a liquidation of the property is imminent. The assumed recovery of a security may differ from its actual recovery that will be observable in the future. Generally, an increase in the recovery rate assumption increases the fair value of the security. An increase in loss severity, the inverse of the recovery rate, reduces the amount of principal available for distribution and, as a result, decreases the fair value of the security.
271 
Credit Spread
Credit spread is a component of the security representing its credit quality. Credit spread reflects the market perception of changes in prepayment, delinquency and recovery rates, therefore capturing the impact of other variables on the fair value. Changes in credit spread affect the fair value of securities differently depending on the characteristics and maturity profile of the security. For example, credit spread is a more significant driver of the fair value measurement of a high-yield bond as compared to an investment-grade bond. Generally, the credit spread for an investment-grade bond is also more observable and less volatile than its high-yield counterpart.
Items Measured at Fair Value on a Nonrecurring Basis
Certain assets and liabilities are measured at fair value on a nonrecurring basis and, therefore, are not included in the tables above. These include assets measured at cost that have been written down to fair value during the periods as a result of an impairment. These also include non-marketable equity securities that have been measured using the measurement alternative and are either (i) written down to fair value during the periods as a result of an impairment or (ii) adjusted upward or downward to fair value as a result of a transaction observed during the periods for an identical or similar investment in the same issuer. In addition, these assets include loans held-for-sale and other real estate owned that are measured at the lower of cost or market value.
The following tables present the carrying amounts of all assets that were still held as of the balance sheet date for which a nonrecurring fair value measurement was recorded during the period. The amounts reflect the fair values of the assets as of their respective remeasurement dates, which are generally prior to the balance sheet date. The following tables exclude certain consumer mortgage loans for which Citi has elected the fair value option (see Note 27), and consumer loans and other assets held by businesses held-for-sale (see Significant Disposals in Note 2):
| |
| In millions of dollars | Fair value | Level2 | Level3 | |
| December 31, 2025 | | | | |
| Loans HFS(1) | $ | 641 | $ | 188 | $ | 453 | |
| Other real estate owned | | | | |
| Loans(2) | 272 | | 272 | |
| Non-marketable equity securities measured using the measurement alternative | 350 | | 350 | |
| Total assets at fair value on a nonrecurring basis | $ | 1,263 | $ | 188 | $ | 1,075 | |
| |
| In millions of dollars | Fair value | Level2 | Level3 | |
| December 31, 2024 | | | | |
| Loans HFS(1) | $ | 684 | $ | 413 | $ | 271 | |
| Other real estate owned | 1 | | 1 | |
| Loans(2) | 353 | | 353 | |
| Non-marketable equity securities measured using the measurement alternative | 184 | | 184 | |
| Total assets at fair value on a nonrecurring basis | $ | 1,222 | $ | 413 | $ | 809 | |
(1)Net of mark-to-market amounts on the unfunded portion of loans HFS recognized as Other liabilities on the Consolidated Balance Sheet. (2)Represents collateral-dependent loans held-for-investment for which the fair value of collateral is used to estimate expected credit losses, and whose carrying amount is based on the fair value of the underlying collateral less costs to sell, as applicable (primarily real estate).The fair value of loans HFS is determined where possible using quoted secondary-market prices. If no such quoted price exists, the fair value of a loan is determined using quoted prices for a similar asset or assets, adjusted for the specific attributes of that loan. Fair value for the other real estate owned is based on appraisals. For loans whose carrying amount is based on the fair value of the underlying collateral, the fair values depend on the type of collateral. Fair value of the collateral is typically estimated based on quoted market prices if available, appraisals or other internal valuation techniques.Where the fair value of the related collateral is based on an appraised value, the loan is generally classified as Level3. In addition, for corporate loans, appraisals of the collateral are often based on sales of similar assets; however, because the prices of similar assets require significant adjustments to reflect the unique features of the underlying collateral, these fair value measurements are generally classified as Level3.The fair value of non-marketable equity securities under the measurement alternative is based on observed transaction prices for the identical or similar investment of the same issuer, or an internal valuation technique in the case of an impairment. Where there are insufficient market observations to conclude the inputs are observable, where significant adjustments are made to the observed transaction prices or when an internal valuation technique is used, the security is classified as Level 3. Fair value may differ from the observed transaction price due to a number of factors, including marketability adjustments and differences in rights and obligations when the observed transaction is not for the identical investment held by Citi.272 Valuation Techniques and Inputs for Level3 Nonrecurring Fair Value Measurements The following tables present the valuation techniques covering the majority of Level3 nonrecurring fair value measurements and the most significant unobservable inputs used in those measurements:
| |
| As of December 31, 2025 | Fairvalue(1)(inmillions) | Methodology | Input | Low(2) | High | Weightedaverage(3) | |
| Loans HFS | $ | 453 | Price-based | Price | $ | 83.00 | $ | 100.00 | $ | 98.66 | |
| Loans(4) | $ | 271 | Recovery analysis | Appraised value(5) | $ | 10,000 | $ | 75,424,500 | $ | 30,328,429 | |
| Recovery rate | 35.10 | % | 85.20 | % | 60.55 | % | |
| Non-marketable equity securities measured using the measurement alternative | $ | 254 | Price-based | Price | $ | 4.57 | $ | 205.01 | $ | 70.91 | |
| 96 | Comparable analysis | Revenue multiple | 2.07x | 27.20x | 15.51x | |
| |
| |
| |
| |
| |
| As of December 31, 2024 | Fairvalue(1)(inmillions) | Methodology | Input | Low(2) | High | Weightedaverage(3) | |
| Loans HFS | $ | 271 | Price-based | Price | $ | | $ | 101.00 | $ | 96.61 | |
| Loans(4) | $ | 353 | Recovery analysis | Appraised value(5) | $ | 10,000 | $ | 104,049,422 | $ | 58,636,070 | |
| |
| Non-marketable equity securities measured using the measurement alternative | $ | 136 | Price-based | Price | $ | 1.50 | $ | 2,961.00 | $ | 258.00 | |
| 29 | Comparable analysis | Revenue multiple | 3.80x | 9.19x | 6.67x | |
| |
| |
| 19 | Recovery analysis | Appraised value(5) | $ | 503,332 | $ | 7,220,000 | $ | 4,309,976 | |
| |
(1)The tables above include the fair values for the items listed and may not represent the total population for each category.(2)Some inputs are shown as zero due to rounding.(3)Weighted averages are calculated based on the fair values of the instruments.(4)Represents collateral-dependent loans held-for-investment for which the fair value of collateral is used to estimate expected credit losses, and whose carrying amount is based on the fair value of the underlying collateral less costs to sell, as applicable (primarily real estate).(5)Appraised values are disclosed in whole dollars.Nonrecurring Fair Value ChangesThe following table presents total nonrecurring fair value measurements for the period, included in earnings, attributable to the change in fair value relating to assets that were still held:
| |
| Year ended December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Loans HFS | $ | (38) | $ | (10) | |
| Other real estate owned | | | |
| Loans(1) | (10) | (44) | |
| Non-marketable equity securities measured using the measurement alternative | (60) | (29) | |
| Total nonrecurring fair value gains (losses) | $ | (108) | $ | (83) | |
(1)Represents collateral-dependent loans held-for-investment for which the fair value of collateral is used to estimate expected credit losses, and whose carrying amount is based on the fair value of the underlying collateral less costs to sell, as applicable (primarily real estate).273 Estimated Fair Value of Financial Instruments Not Carried at Fair ValueThe following tables present the carrying value and fair value of Citigroups financial instruments that are not carried at fair value. The tables below therefore exclude items measured at fair value on a recurring basis presented in the tables above.The disclosure also excludes leases, affiliate investments, pension and benefit obligations, certain insurance contracts and tax-related items. Also, as required, the disclosure excludes the effect of taxes, any premium or discount that could result from offering for sale at one time the entire holdings of a particular instrument, excess fair value associated with deposits with no fixed maturity and other expenses that would be incurred in a market transaction. In addition, the tables exclude the values of non-financial assets and liabilities, as well as a wide range of franchise, relationship and intangible values, which are integral to a full assessment of Citigroups financial position and the value of its net assets. Fair values vary from period to period based on changes in a wide range of factors, including interest rates, credit quality and market perceptions of value, and as existing assets and liabilities run off and new transactions are entered into. 
| |
| | December 31, 2025 | Estimated fair value | |
| | Carryingvalue | Estimatedfair value | |
| In billions of dollars | Level1 | Level2 | Level3 | |
| Assets | | | | | | |
| HTM debt securities, net of allowance(1) | $ | 194.9 | $ | 184.7 | $ | 87.3 | $ | 95.2 | $ | 2.2 | |
| Securities borrowed and purchased under agreements to resell | 150.1 | 150.1 | | 150.1 | | |
| Loans(2)(3) | 726.0 | 742.1 | | | 742.1 | |
| Other financial assets(3)(4)(5) | 448.0 | 448.0 | 349.6 | 98.4 | | |
| Liabilities | | | | | | |
| Deposits | $ | 1,399.4 | $ | 1,399.3 | $ | | $ | 1,399.3 | $ | | |
| Securities loaned and sold under agreements to repurchase | 148.7 | 148.7 | | 148.7 | | |
| Long-term debt(6) | 185.0 | 189.9 | | 183.8 | 6.1 | |
| Other financial liabilities(5)(7) | 141.8 | 141.8 | | 141.8 | | |
| |
| | December 31, 2024 | Estimated fair value | |
| | Carryingvalue | Estimatedfair value | |
| In billions of dollars | Level1 | Level2 | Level3 | |
| Assets | | | | | | |
| HTM debt securities, net of allowance(1) | $ | 247.6 | $ | 229.8 | $ | 120.2 | $ | 107.4 | $ | 2.2 | |
| Securities borrowed and purchased under agreements to resell | 133.2 | 133.2 | | 133.2 | | |
| Loans(2)(3) | 667.6 | 673.5 | | | 673.5 | |
| Other financial assets(3)(4) | 362.2 | 362.2 | 260.6 | 15.9 | 85.7 | |
| Liabilities | | | | | | |
| Deposits | $ | 1,280.9 | $ | 1,280.9 | $ | | $ | 1,280.9 | $ | | |
| Securities loaned and sold under agreements to repurchase | 205.6 | 205.6 | | 205.6 | | |
| Long-term debt(6) | 174.5 | 178.0 | | 162.1 | 15.9 | |
| Other financial liabilities(7) | 137.7 | 137.7 | | 34.7 | 103.0 | |
(1)Includes $5.1billion and $5.2billion of non-marketable equity securities carried at cost at December31, 2025 and 2024, respectively.(2)The carrying value of loans is net of the allowance for credit losses on loans of $19.2 billion for December31, 2025 and $18.6 billion for December31, 2024. In addition, the carrying values exclude $0.1 billion and $0.3 billion of lease finance receivables at December31, 2025 and 2024, respectively.(3)Includes items measured at fair value on a nonrecurring basis.(4)Includes cash and due from banks, deposits with banks, brokerage receivables, reinsurance recoverables and other financial instruments included in Other assets on the Consolidated Balance Sheet, for all of which the carrying value is a reasonable estimate of fair value.(5)As a result of Citis refining its application of fair value hierarchy methodologies, certain other financial assets and other financial liabilities that were previously classified as Level 2 or 3 are now classified as Level 1 or 2.(6)The carrying value includes long-term debt balances under qualifying fair value hedges.(7)Includes brokerage payables, separate and variable accounts, short-term borrowings (carried at cost) and other financial instruments included in Other liabilities on the Consolidated Balance Sheet, for all of which the carrying value is a reasonable estimate of fair value.The estimated fair values of the Companys corporate unfunded lending commitments at December31, 2025 and 2024 were off-balance sheet liabilities of $10.8 billion and $13.5 billion, respectively, substantially all of which are classified as Level3. The Company does not estimate the fair values of consumer unfunded lending commitments, which are generally cancelable by providing notice to the borrower.274 27.FAIR VALUE ELECTIONSThe Company may elect to report most financial instruments and certain other items at fair value on an instrument-by-instrument basis with changes in fair value reported in earnings, other than DVA (see below). The election is made upon the initial recognition of an eligible financial asset, financial liability or firm commitment or when certain specified reconsideration events occur. The fair value election may not otherwise be revoked once an election is made. The changes in fair value are recorded in current earnings. Movements in DVA are reported as a component of AOCI. The Company has elected fair value accounting for its mortgage servicing rights (MSRs). See Note23 for additional details on Citis MSRs. Additional discussion regarding other applicable areas in which fair value elections were made is presented in Note 26.The following table presents the changes in fair value of those items for which the fair value option has been elected:
| |
| Changes in fair valuegains (losses) for the years ended December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Assets | |
| Securities borrowed and purchased under agreements to resell | $ | 184 | $ | 77 | |
| Trading account assets | 46 | (28) | |
| Investments | 7 | | |
| Loans | |
| Corporate loans | 1,250 | 1,137 | |
| Consumer loans | 4 | (10) | |
| Total loans | $ | 1,254 | $ | 1,127 | |
| Other assets | |
| MSRs | $ | (22) | $ | 37 | |
| Mortgage loans HFS(1) | 65 | 16 | |
| Total other assets | $ | 43 | $ | 53 | |
| Total assets | $ | 1,534 | $ | 1,229 | |
| Liabilities | |
| Deposits | $ | (572) | $ | (38) | |
| Securities loaned and sold under agreements to repurchase | (61) | 46 | |
| Trading account liabilities | (402) | (190) | |
| Short-term borrowings(2) | (3,421) | (524) | |
| Long-term debt(2) | (10,524) | (6,285) | |
| Total liabilities | $ | (14,980) | $ | (6,991) | |
(1)Includes gains (losses) associated with interest rate lock commitments for originated loans for which the Company has elected the fair value option.(2) Includes DVA that is included in AOCI. See Notes 21 and 26. 275 Own Debt Valuation Adjustments (DVA)Own debt valuation adjustments are recognized on Citis liabilities for which the fair value option has been elected using Citis credit spreads observed in the bond market. Changes in fair value of fair value option liabilities related to changes in Citigroups own credit spreads (DVA) are reflected as a component of AOCI. See Note 21. Among other variables, the fair value of liabilities for which the fair value option has been elected (other than non-recourse debt and similar liabilities) is impacted by the narrowing or widening of the Companys credit spreads. The estimated changes in the fair value of these non-derivative liabilities due to such changes in the Companys own credit spread (or instrument-specific credit risk) were a loss of $(1,285) million and $(573) million for the years ended December31, 2025 and 2024, respectively. Changes in fair value resulting from changes in instrument-specific credit risk were estimated by incorporating the Companys current credit spreads observable in the bond market into the relevant valuation technique used to value each liability as described above.The Fair Value Option for Financial Assets and Financial LiabilitiesSelected Portfolios of Securities Purchased Under Agreements to Resell, Securities Borrowed, Securities Sold Under Agreements to Repurchase, Securities Loaned and Certain Uncollateralized Short-Term BorrowingsThe Company elected the fair value option for certain portfolios of fixed income securities purchased under agreements to resell and fixed income securities sold under agreements to repurchase, securities borrowed, securities loaned and certain uncollateralized short-term borrowings held primarily by broker-dealer entities in the U.S., the U.K. and Japan. In each case, the election was made to more effectively manage risk and earnings volatility that arise from other trading and hedging activities that are accounted for on a fair value basis.Changes in fair value for transactions in these portfolios are recorded in Principal transactions. The related interest income and interest expense are measured based on the contractual rates specified in the transactions and are reported as Interest income and Interest expense in the Consolidated Statement of Income.Loans and Other Credit ProductsCitigroup has also elected the fair value option for certain other originated and purchased loans, including certain unfunded loan products, such as guarantees and letters of credit, executed by Citigroups lending and trading businesses. Significant groups of transactions include loans and unfunded loan products that are expected to be either sold or securitized in the near term, or transactions where the economic risks are hedged with derivative instruments, such as purchased credit default swaps or total return swaps where the Company pays the total return on the underlying loans to a third party. Citigroup has elected the fair value option to mitigate accounting mismatches in cases where hedge accounting is complex and to achieve operational simplifications. Fair value was not elected for most lending transactions across the Company.The following table provides information about certain credit products carried at fair value:
| |
| | December 31, 2025 | December 31, 2024 | |
| In millions of dollars | Trading assets | Loans | Trading assets | Loans | |
| Carrying amount reported on the Consolidated Balance Sheet | $ | 4,902 | $ | 6,855 | $ | 5,025 | $ | 8,040 | |
| Aggregate unpaid principal balance in excess of (less than) fair value | 149 | (176) | 137 | (55) | |
| Balance of non-accrual loans or loans more than 90days past due | | 2 | | 2 | |
| Aggregate unpaid principal balance in excess of (less than) fair value for non-accrual loans or loans more than 90days past due | | | | | |
In addition to the amounts reported above, $225million and $280million of unfunded commitments related to certain credit products selected for fair value accounting were outstanding as of December31, 2025 and 2024, respectively.276 Changes in the fair value of funded and unfunded credit products are classified in Principal transactions in Citis Consolidated Statement of Income. Related interest income is measured based on the contractual interest rates and reported as Interest income on Trading account assets or Interest income on Loans depending on the balance sheet classifications of the credit products, except for hybrid instruments, where interest is recorded in Principal transactions. The changes in fair value for the years ended December31, 2025 and 2024 due to instrument-specific credit risk were a gain of $19 million and a loss of $38million, respectively. Changes in fair value due to instrument-specific credit risk are estimated based on changes in borrower-specific credit spreads and recovery assumptions.Certain Investments in Unallocated Precious MetalsCitigroup invests in unallocated precious metals accounts (e.g., gold, silver, platinum and palladium) as part of its commodity trading activities. Under ASC 815, the investment is bifurcated into a debt host contract and a commodity derivative instrument. Citigroup elects the fair value option for the debt host contract and reports the contract within Trading account assets on the Companys Consolidated Balance Sheet. The total carrying amount of debt host contracts across unallocated precious metals accounts was approximately $0.8 billion and $0.9 billion at December31, 2025 and 2024, respectively.As part of its commodity trading activities, Citi trades unallocated precious metals investments and executes forward purchase and forward sale derivative contracts with trading counterparties. When Citi sells an unallocated precious metals investment, Citis receivable from its depository bank is repaid and Citi derecognizes its investment in the unallocated precious metal. The forward purchase or sale contract with the trading counterparty indexed to unallocated precious metals is accounted for as a derivative, at fair value through earnings. Certain Mortgage Loans Held-for-Sale (HFS)Citigroup has elected the fair value option for certain purchased and originated prime fixed-rate and conforming adjustable-rate first mortgage loans HFS. These loans are intended for sale or securitization and are economically hedged with derivative instruments. The Company has elected the fair value option to mitigate accounting mismatches in cases where hedge accounting is complex and to achieve operational simplifications.The following table provides information about certain mortgage loans HFS carried at fair value:
| |
| In millions of dollars | December 31,2025 | December 31, 2024 | |
| Carrying amount reported on the Consolidated Balance Sheet | $ | 923 | $ | 692 | |
| Aggregate fair value in excess of (less than) unpaid principal balance | 18 | 4 | |
| Balance of non-accrual loans or loans more than 90days past due | 1 | 1 | |
| Aggregate unpaid principal balance in excess of fair value for non-accrual loans or loans more than 90days past due | | | |
The changes in the fair values of these mortgage loans are reported in Other revenue in the Companys Consolidated Statement of Income. There was no net change in fair value during the years ended December31, 2025 and 2024 due to instrument-specific credit risk. Changes in fair value due to instrument-specific credit risk are estimated based on changes in the borrower default, prepayment and recovery forecasts in addition to instrument-specific credit spread. Related interest income continues to be measured based on the contractual interest rates and reported as Interest income in the Consolidated Statement of Income.277 Certain Deposit LiabilitiesThe Company has elected the fair value option for certain customer-driven structured deposit arrangements that contain embedded derivatives with underlyings referencing market indices, foreign exchange rates, commodity prices or other risks. The Company has elected the fair value option to mitigate accounting mismatches in cases where hedge accounting is complex and to achieve operational simplifications.Certain Debt LiabilitiesThe Company has elected the fair value option for certain debt liabilities, because these exposures are considered to be trading-related positions and, therefore, are managed on a fair value basis. These positions are classified as Trading account liabilities, Long-term debt or Short-term borrowings on the Companys Consolidated Balance Sheet.The following table provides information about the carrying value of notes carried at fair value, disaggregated by type of risk:
| |
| In billions of dollars | December 31, 2025 | December 31, 2024 | |
| Interest rate linked | $ | 66.9 | $ | 58.0 | |
| Foreign exchange linked | 0.1 | 0.1 | |
| Equity linked | 49.6 | 41.8 | |
| Commodity linked | 7.0 | 6.9 | |
| Credit linked | 7.1 | 5.9 | |
| Total | $ | 130.7 | $ | 112.7 | |
The portion of the changes in fair value attributable to changes in Citigroups own credit spreads (DVA) is reflected as a component of AOCI while all other changes in fair value are reported in Principal transactions. Changes in the fair value of these liabilities include accrued interest, which is also included in the change in fair value reported in Principal transactions.Certain Non-Structured LiabilitiesThe Company has elected the fair value option for certain non-structured liabilities with fixed and floating interest rates. The Company has elected the fair value option where the interest rate risk of such liabilities may be economically hedged with derivative contracts or the proceeds are used to purchase financial assets that will also be accounted for at fair value through earnings. The elections have been made to mitigate accounting mismatches and to achieve operational simplifications. These positions are reported in Short-term borrowings and Long-term debt on the Companys Consolidated Balance Sheet. The portion of the changes in fair value attributable to changes in Citigroups own credit spreads (i.e., DVA) is reflected as a component of AOCI while all other changes in fair value are reported in Principal transactions.Interest expense on non-structured liabilities is measured based on the contractual interest rates and reported as Interest expense in the Consolidated Statement of Income.The following table provides information about long-term debt and short-term borrowings carried at fair value:
| |
| In millions of dollars | December 31, 2025 | December 31, 2024 | |
| Long-term debt | |
| Carrying amount reported on the Consolidated Balance Sheet | $ | 130,726 | $ | 112,719 | |
| Aggregate unpaid principal balance in excess of (less than) fair value | 1,704 | (1,943) | |
| Short-term borrowings | |
| Carrying amount reported on the Consolidated Balance Sheet | $ | 21,567 | $ | 12,484 | |
| Aggregate unpaid principal balance in excess of (less than) fair value | (134) | (87) | |
278 28.PLEDGED ASSETS, RESTRICTED CASH, COLLATERAL, GUARANTEES AND COMMITMENTSPledged AssetsIn connection with Citis financing and trading activities, Citi has pledged assets to collateralize its obligations under repurchase agreements, secured financing agreements, secured liabilities of consolidated VIEs and other borrowings. The approximate carrying values of the significant components of pledged assets recognized on Citis Consolidated Balance Sheet included the following:
| |
| In billions of dollars | December 31, 2025 | December 31,2024 | |
| Investment securities | $ | 194.1 | $ | 244.2 | |
| Loans | 302.5 | 294.4 | |
| Trading account assets | 234.9 | 195.7 | |
| Total | $ | 731.5 | $ | 734.3 | |
At December31, 2025 and 2024, $497.6billion and $535.6billion, respectively, of these pledged assets may not be sold or repledged by the secured parties.Restricted CashCitigroup defines restricted cash (as cash subject to withdrawal restrictions) to include cash deposited with central banks that must be maintained to meet minimum regulatory requirements, and cash set aside for the benefit of customers or for other purposes such as compensating balance arrangements or debt retirement. Restricted cash may include minimum reserve requirements at certain central banks and cash segregated to satisfy rules regarding the protection of customer assets as required by Citigroup broker-dealers primary regulators, including the SEC, the Commodity Futures Trading Commission and the United Kingdoms Prudential Regulation Authority.Restricted cash is included on the Consolidated Balance Sheet within the following balance sheet lines:
| |
| Inmillionsofdollars | December 31,2025 | December 31,2024 | |
| Cash and due from banks | $ | 3,337 | $ | 3,325 | |
| Deposits with banks, net of allowance | 21,081 | 16,217 | |
| Total | $ | 24,418 | $ | 19,542 | |
In addition to the restricted cash amounts presented above, at December31, 2025 and 2024, approximately $12.5billion and $7.2billion, respectively, was held at the Russian Deposit Insurance Agency (DIA) and was subject to restrictions imposed by the Russian government. These restricted amounts are reported as held-for-sale within Other assets on the Consolidated Balance Sheet.CollateralAt December31, 2025 and 2024, the approximate fair value of securities collateral received by Citi that may be resold or repledged, excluding the impact of allowable netting, was $1,064billion and $844.8billion, respectively. This collateral was received in connection with resale agreements, securities borrowings and loans, securities for securities lending transactions, derivative transactions and margined broker loans.At December31, 2025 and 2024, a substantial portion of the collateral received by Citi had been sold or repledged in connection with repurchase agreements, securities sold, not yet purchased, securities lendings, pledges to clearing organizations, segregation requirements under securities laws and regulations, derivative transactions and bank loans.279 GuaranteesCiti provides a variety of guarantees and indemnifications to its customers to enhance their credit standing and enable them to complete a wide range of business transactions. Forcertain contracts meeting the definition of a guarantee, the guarantor must recognize, at inception, a liability for the fair value of the obligation undertaken in issuing the guarantee.In addition, the guarantor must disclose the maximum potential amount of future payments that the guarantor could be required to make under the guarantee, if there were a total default by the guaranteed parties. The determination of the maximum potential future payments is based on the notional amount of the guarantees without consideration of possible recoveries under recourse provisions or from collateral held or pledged. As such, Citi believes such amounts bear no relationship to the anticipated losses, if any, on these guarantees.The following tables present information about Citis guarantees:
| |
| | Maximum potential amount of future payments | | |
| In billions of dollars at December31, 2025 | Expire within1year | Expire after1year | Total amountoutstanding | Carrying value(in millions of dollars) | |
| Financial standby letters of credit | $ | 15.1 | $ | 68.1 | $ | 83.2 | $ | 546 | |
| Performance guarantees | 4.9 | 6.4 | 11.3 | 25 | |
| Derivative instruments considered to be guarantees | 14.5 | 31.8 | 46.3 | 542 | |
| Loans sold with recourse | | 0.9 | 0.9 | | |
| Securities lending indemnifications(1) | 134.0 | | 134.0 | | |
| Card merchant processing(2) | 38.2 | | 38.2 | | |
| Credit card arrangements with partners(3) | 2.1 | 19.4 | 21.5 | | |
| Guarantees under the Fixed Income Clearing Corporation sponsored member repo program | 306.1 | | 306.1 | | |
| Other(4)(5) | | 8.2 | 8.2 | 100 | |
| Total | $ | 514.9 | $ | 134.8 | $ | 649.7 | $ | 1,213 | |
| |
| | Maximum potential amount of future payments | | |
| In billions of dollars at December31, 2024 | Expire within1year | Expire after1year | Total amountoutstanding | Carrying value(in millions of dollars) | |
| Financial standby letters of credit | $ | 15.5 | $ | 63.5 | $ | 79.0 | $ | 546 | |
| Performance guarantees | 4.2 | 5.8 | 10.0 | 27 | |
| Derivative instruments considered to be guarantees | 15.8 | 27.3 | 43.1 | 332 | |
| Loans sold with recourse | | 1.0 | 1.0 | | |
| Securities lending indemnifications(1) | 96.3 | | 96.3 | | |
| Card merchant processing(2) | 124.3 | | 124.3 | | |
| Credit card arrangements with partners(3) | 0.2 | 21.5 | 21.7 | 2 | |
| Guarantees under the Fixed Income Clearing Corporation sponsored member repo program | 139.5 | | 139.5 | | |
| Other(4)(5) | 0.1 | 8.4 | 8.5 | 57 | |
| Total | $ | 395.9 | $ | 127.5 | $ | 523.4 | $ | 964 | |
(1)The carrying values of securities lending indemnifications were not material for either period presented, as the probability of potential liabilities arising from these guarantees is minimal.(2)At December31, 2025 and 2024, this maximum potential exposure was estimated to be approximately $38.2billion and $124.3billion, respectively. However, Citi believes that the maximum exposure is not representative of the actual potential loss exposure based on its historical experience. This contingent liability is unlikely to arise, as most products and services are delivered when purchased and amounts are refunded when items are returned to merchants. See Card Merchant Processing below.(3)Includes additional guarantees entered into as part of the extension and amendment of the American Airlines co-branded credit card partnership agreement, executed in December 2024. See Credit Card Arrangements with Partners below. Citi believes that the maximum exposure is not representative of actual potential loss exposure based on historical and expected future performance of the portfolio.(4)Includes guarantees of subsidiaries.(5)In the fourth quarter of 2024, the Company entered into an agreement that indemnifies certain subsidiaries of the Company against certain matters related to the business operated by the Company through other subsidiaries, including certain existing, as well as potential future, legal proceedings, including tax matters. Certain of such indemnification obligations have no stated expiration date and are not subject to specific limitations on the maximum potential amount of future payments that the Company could be required to make. The Company is not able to estimate the maximum potential amount of future payments to be made under this agreement because the triggering events are not predictable.280 Financial Standby Letters of CreditCiti issues standby letters of credit, which substitute its own credit for that of the borrower. If a letter of credit is drawn down, the borrower is obligated to repay Citi. Standby letters of credit protect a third party from defaults on contractual obligations. Financial standby letters of credit include the following:guarantees of payment of insurance premiums and reinsurance risks that support industrial revenue bond underwritingsettlement of payment obligations to clearing houses, including futures and over-the-counter derivatives clearing (see further discussion below)support options and purchases of securities in lieu of escrow deposit accountsletters of credit that backstop loans, credit facilities, promissory notes and trade acceptancesPerformance GuaranteesPerformance guarantees and letters of credit are issued to guarantee a customers performance under an obligating agreement. Examples of performance guarantees include a customers obligation to tender bid on a project, complete such projects in accordance with their contractual terms and supply specified products to third parties.Derivative Instruments Considered to Be GuaranteesDerivatives are financial instruments whose cash flows are based on a notional amount and an underlying instrument, reference credit or index, where there is little or no initial investment and whose terms require or permit net settlement. See Note 24 for a discussion of Citis derivatives activities.Derivative instruments considered to be guarantees include only those instruments that require Citi to make payments to the counterparty based on changes in an underlying instrument that is related to an asset, a liability or an equity security held by the guaranteed party. More specifically, derivative instruments considered to be guarantees include certain over-the-counter written put options where the counterparty is not a bank, hedge fund or broker-dealer (such counterparties are considered to be dealers in these markets and may, therefore, not hold the underlying instruments). Credit derivatives sold by Citi are excluded from the tables above as they are disclosed separately in Note24. In instances where Citis maximum potential future payment is unlimited, the notional amount of the contract is disclosed.Loans Sold with RecourseLoans sold with recourse represent Citis obligations to reimburse the buyers for loan losses under certain circumstances. Recourse refers to the clause in a sales agreement under which a seller/lender will fully reimburse the buyer/investor for any losses resulting from the purchased loans. This may be accomplished by the sellers taking back any loans that become delinquent.In addition to the amounts presented in the tables above, Citi has recorded a repurchase reserve for its potential repurchases or make-whole liability regarding residential mortgage representation and warranty claims related to its whole loan sales to U.S. government-sponsored agencies and, to a lesser extent, private investors. The repurchase reserve was approximately $13million and $12million at December31, 2025 and 2024, respectively, and these amounts are included in Other liabilities on the Consolidated Balance Sheet.Securities Lending IndemnificationsOwners of securities frequently lend those securities for a fee to other parties who may sell them short or deliver them to another party to satisfy some other obligation. Banks may administer such securities lending programs for their clients. Securities lending indemnifications are issued by the bank to guarantee that a securities lending customer will be made whole in the event that the security borrower does not return the security subject to the lending agreement and collateral held is insufficient to cover the market value of the security.Card Merchant ProcessingCard merchant processing guarantees represent the Companys indirect obligations in connection with (i) providing transaction processing services to various merchants with respect to its private label cards and (ii) potential liability for bank card transaction processing services. The nature of the liability in either case arises as a result of a billing dispute between a merchant and a cardholder that is ultimately resolved in the cardholders favor. The merchant is liable to refund the amount to the cardholder. In general, if the card processing company is unable to collect this amount from the merchant, the card processing company bears the loss for the amount of the credit or refund paid to the cardholder.With regard to (i) above, Citi has the primary contingent liability with respect to its portfolio of private label merchants. The risk of loss is mitigated as the cash flows between Citi and the merchant are settled on a net basis, and Citi has the right to offset any payments with cash flows otherwise due to the merchant. To further mitigate this risk, Citi may:delay settlement; require a merchant to make an escrow deposit; include event triggers to provide Citi with more financial and operational control in the event of the financial deterioration of the merchant; or require various credit enhancements (including letters of credit and bank guarantees). In the unlikely event that a private label merchant is unable to deliver products, services or a refund to its private label cardholders, Citi is contingently liable to credit or refund cardholders.With regard to (ii) above, Citi has a potential liability for bank card transactions where Citi provides the transaction processing services as well as those where a third party provides the services and Citi acts as a secondary guarantor, should that processor fail to perform.Citis maximum potential contingent liability related to both bank card and private label merchant processing services is estimated to be the total volume of card transactions that meet the requirements to be valid charge-back transactions at any given time. At December31, 2025 and 2024, this 281 maximum potential exposure was estimated to be $38.2billion and $124.3billion, respectively.However, Citi believes that the maximum exposure is not representative of the actual potential loss exposure based on its historical experience. This contingent liability is unlikely to arise, as most products and services are delivered when purchased and amounts are refunded when items are returned to merchants. Citi assesses the probability and amount of its contingent liability related to merchant processing based on the financial strength of the primary guarantor, the extent and nature of unresolved charge-backs and its historical loss experience. At December31, 2025 and 2024, the losses incurred and the carrying amounts of Citis contingent obligations related to merchant processing activities were immaterial.Credit Card Arrangements with PartnersCiti, in one of its credit card partner arrangements, provides guarantees to the partner regarding the volume of certain customer originations and a minimum revenue target to be achieved by the program during the term of the agreement. To the extent that such origination and revenue targets are not met, the guarantees serve to compensate the partner for certain payments that otherwise would have been generated in connection with such originations and revenues generated by the program.Other Guarantees and Indemnifications Credit Card Protection ProgramsCiti, through its credit card businesses, provides various cardholder protection programs on several of its card products, including programs that provide coverage for certain losses associated with purchased products, and protection for certain travel-related purchases. These guarantees are not included in the table, since the total outstanding amount of the guarantees and Citis maximum exposure to loss cannot be quantified. The protection is limited to certain types of purchases and losses, and it is not possible to quantify the purchases that would qualify for these benefits at any given time. Citi assesses the probability and amount of its potential liability related to these programs based on the extent and nature of its historical loss experience. At December31, 2025 and 2024, the actual and estimated losses incurred and the carrying value of Citis obligations related to these programs were immaterial.Guarantees of SubsidiariesThe Company, on a contract-by-contract basis, may enter into agreements that contain indemnifications between legal entities within the consolidated group, whereupon payment may become due if certain external events occur. In the fourth quarter of 2024, the Company entered into an agreement that indemnifies certain subsidiaries of the Company against certain matters related to the business operated by the Company through other subsidiaries, including certain existing and future legal actions and other matters, such as tax matters. Certain of such indemnification obligations have no stated expiration date and are not subject to specific limitations on the maximum potential amount of future payments that the Company could be required to make. The Company is not able to estimate the maximum potential amount of future payments to be made under this agreement because the triggering events are not predictable.Other Representation and Warranty IndemnificationsIn the normal course of business, Citi provides standard representations and warranties to counterparties in contracts in connection with numerous transactions and also provides indemnifications, including indemnifications that protect the counterparties to the contracts in the event that additional taxes are owed, due either to a change in the tax law or an adverse interpretation of the tax law. Counterparties to these transactions provide Citi with comparable indemnifications. While such representations, warranties and indemnifications are essential components of many contractual relationships, they do not represent the underlying business purpose for the transactions. The indemnification clauses are often standard contractual terms related to Citis own performance under the terms of a contract and are entered into in the normal course of business based on an assessment that the risk of loss is remote. Often these clauses are intended to ensure that terms of a contract are met at inception. No compensation is received for these standard representations and warranties, and it is not possible to determine their fair value because they rarely, if ever, result in a payment. In many cases, there are no stated or notional amounts included in the indemnification clauses, and the contingencies potentially triggering the obligation to indemnify have not occurred and are not expected to occur. As a result, these indemnifications are not included in the tables above.Value-Transfer Networks (Including Exchanges and Clearing Houses) (VTNs)Citi is a member of, or shareholder in, hundreds of value-transfer networks (VTNs) (payment, clearing and settlement systems as well as exchanges) around the world. As a condition of membership, many of these VTNs require that members stand ready to pay a pro rata share of the losses incurred by the organization due to another members default on its obligations. Citis potential obligations may be limited to its membership interests in the VTNs, contributions to the VTNs funds, or, in certain narrow cases, to the full pro rata share. The maximum exposure is difficult to estimate as this would require an assessment of claims that have not yet occurred; however, Citi believes the risk of loss is remote given historical experience with the VTNs. Accordingly, Citis participation in VTNs is not reported in the guarantees tables above, and there are no amounts reflected on the Consolidated Balance Sheet as of December31, 2025 or 2024 for potential obligations that could arise from Citis involvement with VTN associations.Long-Term Care Insurance IndemnificationIn 2000, Travelers Life & Annuity (Travelers), then a subsidiary of Citi, entered into a reinsurance agreement to transfer the risks and rewards of its long-term care (LTC) business to GE Life (now Genworth Financial Inc., or Genworth), then a subsidiary of the General Electric Company (GE). As part of this transaction, the reinsurance obligations 282 were provided by two regulated insurance subsidiaries of GE Life, which funded two collateral trusts with securities. Presently, as discussed below, the trusts are referred to as the Genworth Trusts. As part of GEs spin-off of Genworth in 2004, GE retained the risks and rewards associated with the 2000 Travelers reinsurance agreement by providing a reinsurance contract to Genworth through GEs Union Fidelity Life Insurance Company (UFLIC) subsidiary that covers the Travelers LTC policies. In addition, GE provided a capital maintenance agreement in favor of UFLIC that is designed to assure that UFLIC will have the funds to pay its reinsurance obligations. As a result of these reinsurance agreements and the spin-off of Genworth, Genworth has reinsurance protection from UFLIC (supported by GE) and has reinsurance obligations in connection with the Travelers LTC policies. As noted below, the Genworth reinsurance obligations now benefit Brighthouse Financial, Inc. (Brighthouse). While neither Brighthouse nor Citi are direct beneficiaries of the capital maintenance agreement between GE and UFLIC, Brighthouse and Citi benefit indirectly from the existence of the capital maintenance agreement, which helps assure that UFLIC will continue to have funds necessary to pay its reinsurance obligations to Genworth.In connection with Citis 2005 sale of Travelers to MetLife Inc. (MetLife), Citi provided an indemnification to MetLife for losses (including policyholder claims) relating to the LTC business for the entire term of the Travelers LTC policies, which, as noted above, are reinsured by subsidiaries of Genworth. In 2017, MetLife spun off its retail insurance business to Brighthouse. As a result, the Travelers LTC policies now reside with Brighthouse. The original reinsurance agreement between Travelers (now Brighthouse) and Genworth remains in place and Brighthouse is the sole beneficiary of the Genworth Trusts. The Genworth Trusts are designed to provide collateral to Brighthouse in an amount equal to the statutory liabilities of Brighthouse in respect of the Travelers LTC policies. The assets in the Genworth Trusts are evaluated and adjusted periodically to ensure that the fair value of the assets continues to provide collateral in an amount equal to these estimated statutory liabilities, as the liabilities change over time.If both (i) Genworth fails to perform under the original Travelers/GE Life reinsurance agreement for any reason, including its insolvency or the failure of UFLIC to perform under its reinsurance contract or GE to perform under the capital maintenance agreement, and (ii) the assets of the two Genworth Trusts are insufficient or unavailable, then Citi, through its LTC reinsurance indemnification, must reimburse Brighthouse for any losses incurred in connection with the LTC policies. Since both events would have to occur before Citi would become responsible for any payment to Brighthouse pursuant to its indemnification obligation, and the likelihood of such events occurring is currently not probable, there is no liability reflected on the Consolidated Balance Sheet as of December31, 2025 and 2024 related to this indemnification. However, if both events become reasonably possible (meaning more than remote but less than probable), Citi will be required to estimate and disclose a reasonably possible loss or range of loss to the extent that such an estimate could be made. In addition, if both events become probable, Citi will be required to accrue for such liability in accordance with applicable accounting principles. Futures and Over-the-Counter Derivatives ClearingCiti provides clearing services on central clearing parties (CCP) for clients that need to clear exchange-traded and over-the-counter (OTC) derivatives contracts with CCPs. Based on all relevant facts and circumstances, Citi has concluded that it acts as an agent for accounting purposes in its role as clearing member for these client transactions. As such, Citi does not reflect the underlying exchange-traded or OTC derivatives contracts in its Consolidated Financial Statements. See Note 24 for a discussion of Citis derivatives activities that are reflected in its Consolidated Financial Statements.As a clearing member, Citi collects and remits cash and securities collateral (margin) between its clients and the respective CCP. In certain circumstances, Citi collects a higher amount of cash (or securities) from its clients than it needs to remit to the CCPs. This excess cash is then held at depository institutions such as banks or carry brokers.There are two types of margin: initial and variation. Where Citi obtains benefits from or controls cash initial margin (e.g., retains an interest spread), cash initial margin collected from clients and remitted to the CCP or depository institutions is reflected within Brokerage payables (payables to customers) and Brokerage receivables (receivables from brokers, dealers and clearing organizations) or Cash and due from banks, respectively. However, for exchange-traded and OTC-cleared derivatives contracts where Citi does not obtain benefits from or control the client cash balances, the client cash initial margin collected from clients and remitted to the CCP or depository institutions is not reflected on Citis Consolidated Balance Sheet. These conditions are met when Citi has contractually agreed with the client that: Citi will pass through to the client all interest paid by the CCP or depository institutions on the cash initial margin;Citi will not utilize its right as a clearing member to transform cash margin into other assets;Citi does not guarantee and is not liable to the client for the performance of the CCP or the depository institution; andthe client cash balances are legally isolated from Citis bankruptcy estate. The total amount of cash initial margin collected and remitted in this manner was approximately $12.9billion and $14.9billion as of December31, 2025 and 2024, respectively.Variation margin due from clients to the respective CCP, or from the CCP to clients, reflects changes in the value of the clients derivative contracts for each trading day. As a clearing member, Citi is exposed to the risk of non-performance by clients (e.g., failure of a client to post variation margin to the CCP for negative changes in the value of the clients derivative contracts). In the event of non-performance by a client, Citi would move to close out the clients positions. The CCP would typically utilize initial margin posted by the client and held by the CCP, with any remaining shortfalls required to 283 be paid by Citi as clearing member. Citi generally holds incremental cash or securities margin posted by the client, which would typically be expected to be sufficient to mitigate Citis credit risk in the event that the client fails to perform.As required by ASC 860-30-25-5, securities collateral posted by clients is not recognized on Citis Consolidated Balance Sheet.FICC Sponsored Member Repo ProgramCiti acts as a sponsoring member of the Government Securities Division of the Fixed Income Clearing Corporation (FICC) to clear eligible resale and repurchase agreements on behalf of its clients that become sponsored members of the FICC. Citi, as sponsoring member, is required to provide a guarantee to the FICC with respect to the prompt payment and performance of its sponsored members. Because Citi obtains a security interest in the cash or high-quality securities collateral that the clients place with the clearing house, Citi expects the risk of loss from this guarantee to be remote. See Note 12 for additional information on Citis resale and repurchase agreements, including risk mitigation practices for these transactions.Carrying ValueGuarantees and IndemnificationsAt December31, 2025 and 2024, the total carrying amounts of the liabilities related to the guarantees and indemnifications included in the tables above amounted to approximately $1.2 billion and $1.0 billion, respectively. The carrying value of financial and performance guarantees is included in Other liabilities. For loans sold with recourse, the carrying value of the liability is included in Other liabilities.CollateralCash collateral available to Citi to reimburse losses realized under these guarantees and indemnifications amounted to $61.3billion and $49.0billion at December31, 2025 and 2024, respectively. Securities and other marketable assets held as collateral amounted to $90.8billion and $62.5billion at December31, 2025 and 2024, respectively. The majority of collateral is held to reimburse losses realized under securities lending indemnifications. In addition, letters of credit in favor of Citi held as collateral amounted to $2.5billion and $3.1billion at December31, 2025 and 2024, respectively. Other property may also be available to Citi to cover losses under certain guarantees and indemnifications; however, the value of such property has not been determined.Performance RiskCiti evaluates the performance risk of its guarantees based on the assigned referenced counterparty internal or external ratings. Where external ratings are used, investment-grade ratings are considered to be Baa/BBB and above, while anything below is considered non-investment grade. Citis internal ratings are in line with the related external rating system. On certain underlying referenced assets or entities, ratings are not available. Such referenced assets are included in the not rated category. The maximum potential amount of the future payments related to the outstanding guarantees is determined to be the notional amount of these contracts, which is the par amount of the assets guaranteed.Presented in the tables below are the maximum potential amounts of future payments that are classified based on internal and external credit ratings. The determination of the maximum potential future payments is based on the notional amount of the guarantees without consideration of possible recoveries under recourse provisions or from collateral held or pledged. As such, Citi believes such amounts bear no relationship to the anticipated losses, if any, on these guarantees.
| |
| | Maximum potential amount of future payments | |
| In billions of dollars at December 31, 2025 | Investmentgrade | Non-investmentgrade | Notrated | Total | |
| Financial standby letters of credit | $ | 70.0 | $ | 13.2 | $ | | $ | 83.2 | |
| |
| |
| Loans sold with recourse | | | 0.9 | 0.9 | |
| |
| |
| |
| Other | | 8.2 | | 8.2 | |
| Total | $ | 70.0 | $ | 21.4 | $ | 0.9 | $ | 92.3 | |
| |
| | Maximum potential amount of future payments | |
| In billions of dollars at December 31, 2024 | Investmentgrade | Non-investmentgrade | Notrated | Total | |
| Financial standby letters of credit | $ | 63.2 | $ | 15.6 | $ | 0.2 | $ | 79.0 | |
| |
| |
| Loans sold with recourse | | | 1.0 | 1.0 | |
| |
| |
| |
| Other | | 8.4 | | 8.4 | |
| Total | $ | 63.2 | $ | 24.0 | $ | 1.2 | $ | 88.4 | |
284 Credit Commitments and Lines of CreditThe table below summarizes Citigroups credit commitments:
| |
| In millions of dollars | U.S. | Outside ofU.S.(1) | December 31,2025 | December 31, 2024 | |
| Commercial and similar letters of credit | $ | 356 | $ | 3,778 | $ | 4,134 | $ | 4,031 | |
| One- to four-family residential mortgages | 852 | 669 | 1,521 | 967 | |
| Revolving open-end loans secured by one- to four-family residential properties | 5,002 | 1 | 5,003 | 5,271 | |
| Commercial real estate, construction and land development | 12,379 | 2,432 | 14,811 | 14,107 | |
| Credit card lines | 629,102 | 65,492 | 694,594 | 676,749 | |
| Commercial and other consumer loan commitments | 256,284 | 115,533 | 371,817 | 325,329 | |
| Other commitments and contingencies(2) | 5,278 | 58 | 5,336 | 4,908 | |
| Total | $ | 909,253 | $ | 187,963 | $ | 1,097,216 | $ | 1,031,362 | |
(1)Consumer commitments related to the business HFS countries under sales agreements are reflected in their original categories until the respective sales are completed.(2)Other commitments and contingencies include commitments to purchase certain debt and equity securities.The majority of unused commitments are contingent upon customers maintaining specific credit standards. Commercial commitments generally have floating interest rates and fixed expiration dates and may require payment of fees. Such fees (net of certain direct costs) are deferred and, upon exercise of the commitment, amortized over the life of the loan or, if exercise is deemed remote, amortized over the commitment period. Commercial and Similar Letters of CreditA commercial letter of credit is an instrument by which Citigroup substitutes its credit for that of a customer to enable the customer to finance the purchase of goods or to incur other commitments. Citigroup issues a letter on behalf of its client to a supplier and agrees to pay the supplier upon presentation of documentary evidence that the supplier has performed in accordance with the terms of the letter of credit. When a letter of credit is drawn, the customer is then required to reimburse Citigroup. One- to Four-Family Residential MortgagesA one- to four-family residential mortgage commitment is a written confirmation from Citigroup to a seller of a property that the bank will advance the specified sums enabling the buyer to complete the purchase. Revolving Open-End Loans Secured by One- to Four-Family Residential PropertiesRevolving open-end loans secured by one- to four-family residential properties are essentially home equity lines of credit. A home equity line of credit is a loan secured by a primary residence or second home to the extent of the excess of fair market value over the debt outstanding for the first mortgage.Commercial Real Estate, Construction and Land DevelopmentCommercial real estate, construction and land development include unused portions of commitments to extend credit for the purpose of financing commercial and multifamily residential properties as well as land development projects. Both secured-by-real-estate and unsecured commitments are included in this line, as well as undistributed loan proceeds, where there is an obligation to advance for construction progress payments. However, this line only includes those extensions of credit that, once funded, will be classified as Total loans, net on the Consolidated Balance Sheet. Credit Card LinesCitigroup provides credit to customers by issuing credit cards. The credit card lines are cancelable by providing notice to the cardholder or without such notice as permitted by local law. Commercial and Other Consumer Loan CommitmentsCommercial and other consumer loan commitments include overdraft and liquidity facilities as well as commercial commitments to make or purchase loans, purchase third-party receivables, provide note issuance or revolving underwriting facilities and invest in the form of equity. Other CommitmentsAs a Federal Reserve member bank, Citi is required to subscribe to half of a certain amount of shares issued by its Federal Reserve District Bank. As of December31, 2025 and 2024, Citi holds shares with a carrying value of $4.5billion, with the remaining half subject to call by the Federal Reserve District Bank Board. In the normal course of business, Citi enters into reverse repurchase and securities borrowing agreements, as well as repurchase and securities lending agreements, which settle at a future date. At December31, 2025 and 2024, Citi had approximately $189.3billion and $117.7billion of unsettled reverse repurchase and securities borrowing agreements, and approximately $186.9billion and $126.8billion of unsettled repurchase and securities lending agreements, respectively. See Note 12 for a further discussion of securities purchased under agreements to resell and securities borrowed, and securities sold under agreements to repurchase and securities loaned, including the Companys policy for offsetting repurchase and reverse repurchase agreements.These amounts are not included in the table above.285 29. LEASESThe Companys operating leases, where Citi is a lessee, include real estate, such as office space and branches, and various types of equipment. These leases may contain renewal and extension options and early termination features; however, these options do not impact the lease term unless the Company is reasonably certain that it will exercise options. These leases have a weighted-average remaining lease term of approximately 7 years as of December31, 2025 and 6.5 years as of December 31, 2024. For additional information regarding Citis leases, see Leases in Note 1.The following table presents information on the right-of-use (ROU) asset and lease liabilities included in Premises and equipment and Other liabilities, respectively:
| |
| In millions of dollars | December 31,2025 | December 31,2024 | |
| ROU asset | $ | 3,009 | $ | 2,836 | |
| Lease liability | 3,163 | 3,013 | |
The Company recognizes fixed lease costs on a straight-line basis throughout the lease term in the Consolidated Statement of Income. In addition, variable lease costs are recognized in the period in which the obligation for those payments is incurred. The following table presents the total operating lease expense (principally for offices, branches and equipment) included in the Consolidated Statement of Income:
| |
| In millions of dollars | Dec. 31, 2025 | Dec. 31, 2024 | Dec. 31, 2023 | |
| Operating lease expense | $ | 817 | $ | 842 | $ | 842 | |
| Variable lease expense | 195 | 204 | 208 | |
| Total lease costs(1) | $ | 1,012 | $ | 1,046 | $ | 1,050 | |
(1) Balances do not include $10million, $9million and $3million of sublease income for the years ended December 31, 2025, 2024 and 2023, respectively.The table below provides the supplemental Statement of Cash Flows information:
| |
| Inmillionsofdollars | December 31,2025 | December 31,2024 | |
| Cash paid for amounts included in the measurement of lease liabilities | $ | 719 | $ | 729 | |
| ROU assets obtained in exchange for new operating lease liabilities(1) | 713 | 777 | |
(1) Represents non-cash activity and, accordingly, is not reflected in the Consolidated Statement of Cash Flows.Citis future lease payments are as follows:
| |
| In millions of dollars | |
| 2026 | $ | 718 | |
| 2027 | 635 | |
| 2028 | 546 | |
| 2029 | 441 | |
| 2030 | 363 | |
| Thereafter | 1,008 | |
| Total future lease payments | $ | 3,711 | |
| Less imputed interest (based on weighted-average discount rate of 4.4%) | $ | (548) | |
| Lease liability | $ | 3,163 | |
286 30.CONTINGENCIESAccounting and Disclosure FrameworkASC 450 governs the disclosure and recognition of loss contingencies, including potential losses from litigation, regulatory, tax and other matters. ASC 450 defines a loss contingency as an existing condition, situation, or set of circumstances involving uncertainty as to possible loss to an entity that will ultimately be resolved when one or more future events occur or fail to occur. It imposes different requirements for the recognition and disclosure of loss contingencies based on the likelihood of occurrence of the contingent future event or events. It distinguishes among degrees of likelihood using the following three terms:probable, meaning that the future event or events are likely to occurremote, meaning that the chance of the future event or events occurring is slightreasonably possible, meaning that the chance of the future event or events occurring is more than remote but less than likely These three terms are used below as defined in ASC 450.Accruals. ASC 450 requires accrual for a loss contingency when it is probable that one or more future events will occur confirming the fact of loss and the amount of the loss can be reasonably estimated. In accordance with ASC 450, Citigroup establishes accruals for contingencies, including any litigation, regulatory or tax matters disclosed herein, when Citigroup believes it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. When the reasonable estimate of the loss is within a range of amounts, the minimum amount of the range is accrued, unless some higher amount within the range is a better estimate than any other amount within the range. Once established, accruals are adjusted from time to time, as appropriate, in light of additional information. The amount of loss ultimately incurred in relation to those matters may be substantially higher or lower than the amounts accrued for those matters.Disclosure. ASC 450 requires disclosure of a loss contingency if there is at least a reasonable possibility that a loss or an additional loss may have been incurred and there is no accrual for the loss because the conditions described above are not met or an exposure to loss exists in excess of the amount accrued. In accordance with ASC 450, if Citigroup has not accrued for a matter because Citigroup believes that a loss is reasonably possible but not probable, or that a loss is probable but not reasonably estimable, and the reasonably possible loss is material, it discloses the loss contingency. In addition, Citigroup discloses matters for which it has accrued if it believes a reasonably possible exposure to material loss exists in excess of the amount accrued. In accordance with ASC 450, Citigroups disclosure includes an estimate of the reasonably possible loss or range of loss for those matters as to which an estimate can be made. ASC 450 does not require disclosure of an estimate of the reasonably possible loss or range of loss where an estimate cannot be made. Neither accrual nor disclosure is required for losses that are deemed remote.Litigation, Regulatory and Other Contingencies Overview. In addition to the matters described below, in the ordinary course of business, Citigroup, its affiliates and subsidiaries, and current and former officers, directors and employees (for purposes of this section, sometimes collectively referred to as Citigroup and Related Parties) routinely are named as defendants in, or as parties to, various legal actions and proceedings. Certain of these actions and proceedings assert claims or seek relief in connection with alleged violations of consumer protection, fair lending, securities, banking, antifraud, antitrust, anti-money laundering, employment and other statutory and common laws. Certain of these actual or threatened legal actions and proceedings include claims for substantial or indeterminate compensatory or punitive damages, or for injunctive relief, and in some instances seek recovery on a class-wide basis.In the ordinary course of business, Citigroup and Related Parties also are subject to governmental and regulatory examinations, information-gathering requests, investigations and proceedings (both formal and informal), certain of which may result in adverse judgments, settlements, fines, penalties, restitution, disgorgement, injunctions or other relief. In addition, certain affiliates and subsidiaries of Citigroup are banks, registered broker-dealers, futures commission merchants, investment advisors or other regulated entities and, in those capacities, are subject to regulation by various U.S., state and foreign securities, banking, commodity futures, consumer protection and other regulators. In connection with formal and informal inquiries by these regulators, Citigroup and such affiliates and subsidiaries receive numerous requests, subpoenas and orders seeking documents, testimony and other information in connection with various aspects of their regulated activities. From time to time Citigroup and Related Parties also receive grand jury subpoenas and other requests for information or assistance, formal or informal, from federal or state law enforcement agencies including, among others:various United States Attorneys Offices;the Money Laundering and Asset Recovery Section and other divisions of the Department of Justice;the Financial Crimes Enforcement Network of the United States Department of the Treasury; and the Federal Bureau of Investigation, relating to Citigroup and its customers.Because of the global scope of Citigroups operations and its presence in countries around the world, Citigroup and Related Parties are subject to litigation and governmental and regulatory examinations, information-gathering requests, investigations and proceedings (both formal and informal) in multiple jurisdictions with legal, regulatory and tax regimes that may differ substantially, and present substantially different risks, from those Citigroup and Related Parties are subject to in the United States. In some instances, Citigroup and Related Parties may be involved in proceedings involving the same subject matter in multiple jurisdictions, which may result in overlapping, cumulative or inconsistent outcomes.Citigroup seeks to resolve all litigation, regulatory, tax and other matters in the manner management believes is in the best interests of Citigroup and its shareholders, and contests 287 liability, allegations of wrongdoing and, where applicable, the amount of damages or scope of any penalties or other relief sought as appropriate in each pending matter.Inherent Uncertainty of the Matters Disclosed. Certain of the matters disclosed below involve claims for substantial or indeterminate damages. The claims asserted in these matters typically are broad, often spanning a multiyear period and sometimes a wide range of business activities, and the plaintiffs or claimants alleged damages frequently are not quantified or factually supported in the complaint or statement of claim. Other matters relate to regulatory investigations or proceedings, as to which there may be no objective basis for quantifying the range of potential fine, penalty or other remedy. As a result, Citigroup is often unable to estimate the loss in such matters, even if it believes that a loss is probable or reasonably possible, until developments in the case, proceeding or investigation have yielded additional information sufficient to support a quantitative assessment of the range of reasonably possible loss. Such developments may include, among other things, discovery from adverse parties or third parties, rulings by the court on key issues, analysis by retained experts and engagement in settlement negotiations.Depending on a range of factors, such as the complexity of the facts, the novelty of the legal theories, the pace of discovery, the courts scheduling order, the timing of court decisions and the adverse partys, regulators or other authoritys willingness to negotiate in good faith toward a resolution, it may be months or years after the filing of a case or commencement of a proceeding or an investigation before an estimate of the range of reasonably possible loss can be made.Matters as to Which an Estimate Can Be Made. For some of the matters disclosed below, Citigroup is currently able to estimate a reasonably possible loss or range of loss in excess of amounts accrued (if any). For some of the matters included within this estimation, an accrual has been made because a loss is believed to be both probable and reasonably estimable, but a reasonably possible exposure to loss exists in excess of the amount accrued. In these cases, the estimate reflects the reasonably possible range of loss in excess of the accrued amount. For other matters included within this estimation, no accrual has been made because a loss, although estimable, is believed to be reasonably possible, but not probable; in these cases, the estimate reflects the reasonably possible loss or range of loss. As of December 31, 2025, Citigroup estimates that the reasonably possible unaccrued loss for these matters ranges up to approximately $1.2billion in the aggregate.These estimates are based on currently available information. As available information changes, the matters for which Citigroup is able to estimate will change, and the estimates themselves will change. In addition, while many estimates presented in financial statements and other financial disclosures involve significant judgment and may be subject to significant uncertainty, estimates of the range of reasonably possible loss arising from litigation, regulatory and tax proceedings are subject to particular uncertainties. For example, at the time of making an estimate:Citigroup may have only preliminary, incomplete or inaccurate information about the facts underlying the claim;its assumptions about the future rulings of the court, other tribunal or authority on significant issues, or the behavior and incentives of adverse parties, regulators or other authorities, may prove to be wrong; andthe outcomes it is attempting to predict are often not amenable to the use of statistical or other quantitative analytical tools. In addition, from time to time an outcome may occur that Citigroup had not accounted for in its estimate because it had deemed such an outcome to be remote. For all of these reasons, the amount of loss in excess of amounts accrued in relation to matters for which an estimate has been made could be substantially higher or lower than the range of loss included in the estimate. Matters as to Which an Estimate Cannot Be Made. For other matters disclosed below, Citigroup is not currently able to estimate the reasonably possible loss or range of loss. Many of these matters remain in very preliminary stages (even in some cases where a substantial period of time has passed since the commencement of the matter), with few or no substantive legal decisions by the court, tribunal or other authority defining the scope of the claims, the class (if any) or the potentially available damages or other exposure, and fact discovery is still in progress or has not yet begun. In many of these matters, Citigroup has not yet answered the complaint or statement of claim or asserted its defenses, nor has it engaged in any negotiations with the adverse party (whether a regulator, taxing authority or a private party). For all these reasons, Citigroup cannot at this time estimate the reasonably possible loss or range of loss, if any, for these matters.Opinion of Management as to Eventual Outcome. Subject to the foregoing, it is the opinion of Citigroups management, based on current knowledge and after taking into account its current accruals, that the eventual outcome of all matters described in this Note would not likely have a material adverse effect on the consolidated financial condition of Citigroup.Nonetheless, given the substantial or indeterminate amounts sought in certain of these matters, and the inherent unpredictability of such matters, an adverse outcome in certain of these matters could, from time to time, have a material adverse effect on Citigroups consolidated results of operations or cash flows in particular quarterly or annual periods.Foreign Exchange MattersIn 2019, two applications, captioned MICHAEL OHIGGINS FX CLASS REPRESENTATIVE LIMITED v. BARCLAYS BANK PLC AND OTHERS and PHILLIP EVANS v. BARCLAYS BANK PLC AND OTHERS, were made to the U.K.s Competition Appeal Tribunal requesting permission to commence collective proceedings against Citigroup, Citibank, and other defendants. On February 8, 2024, Michael OHiggins FX Class Representative Limited withdrew its application. The Evans application seeks compensatory damages for losses alleged to have arisen from the actions at issue in the European Commissions foreign exchange spot 288 trading infringement decision (European Commission Decision of May 16, 2019 in Case AT.40135-FOREX (Three Way Banana Split) C(2019) 3631 final). Following appeals to the Court of Appeal and to the U.K. Supreme Court, the U.K. Supreme Court, on December 18, 2025, reinstated the U.K. Competition Appeal Tribunals decision to refuse to certify the Evans application on an opt-out basis, and issued instructions in a final order on February 17, 2026. Additional information concerning these actions is publicly available in court filings under the case numbers 1329/7/7/19 and 1336/7/7/19 in the U.K. Competition Appeal Tribunal, CA-2022-002002 and CA-2022-002003 in the Court of Appeal, and UKSC 2023/0177 in the U.K. Supreme Court.In 2019, a putative class action was filed against Citibank and other defendants, captioned J WISBEY & ASSOCIATES PTY LTD v. UBS AG & ORS, in the Federal Court of Australia. Plaintiffs alleged that defendants manipulated the foreign exchange markets. Plaintiffs asserted claims under antitrust laws and sought compensatory damages and declaratory and injunctive relief. On August 15, 2025, the court approved a settlement reached between the parties. Additional information concerning this action is publicly available in court filings under the docket number VID567/2019. In 2019, two motions for certification of class actions filed against Citigroup, Citibank, Citicorp, and other defendants were consolidated, under the caption GERTLER, ET AL. v. DEUTSCHE BANK AG, in the Tel Aviv Central District Court in Israel. Plaintiffs allege that defendants manipulated the foreign exchange markets. In August 2021, Citibanks motion to dismiss plaintiffs petition for certification was denied. In April 2022, the Supreme Court of Israel denied Citibanks motion for leave to appeal the Tel Aviv Central District Courts denial of its motion to dismiss. On February 20, 2024, the parties filed a motion for the Central District Court to approve a settlement. On October 9, 2025, the court appointed an examiner to review the terms of the settlement. Additional information concerning this action is publicly available in court filings under the docket number CA 29013-09-18. On December 13, 2021, a Dutch foundation filed a writ of summons against Citigroup, Citibank, and other defendants, captioned STICHTING FX CLAIMS v. NATWEST MARKETS N.V., ET AL., in the Amsterdam District Court in the Netherlands. Claimant seeks damages on behalf of certain institutional investors for losses alleged to have arisen from the actions at issue in the European Commissions foreign exchange spot trading infringement decision (European Commission Decision of May 16, 2019 in Case AT.40135-FOREX (Three Way Banana Split) C(2019) 3631 final). In March 2023, the court dismissed claims made on behalf of parties located outside the Netherlands and permitted the other claims to proceed. Claimant appealed that decision and in September 2023 and January 2025 filed new writs of summons asserting similar claims on behalf of additional institutional investors. The proceedings are stayed pending a decision of the European Court of Justice in separate litigation. Additional information concerning this action is publicly available in court filings under the case numbers C/13/718639 / HA ZA 22-460 and C/13/743903 / HA ZA 23-1143 in the Amsterdam District Court and under the case number 200.329.379/01 in the Amsterdam Court of Appeal.Fund Administration MatterIn 2016, an arbitration proceeding was commenced in Brazils Market Arbitration Chamber against an asset manager of a Brazilian real estate investment fund and Citibank Distribuidora de Titulos e Valores Mob S.A. (Citi DTVM). The claimant alleged that the asset manager had engaged in fraud in connection with investments in real estate projects and that Citi DTVM, as fund administrator, should be held jointly and severally liable for its investment losses. In 2020, the arbitration panel concluded that the asset manager had engaged in fraudulent activities in certain real estate projects and that Citi DTVM was jointly and severally liable pursuant to the terms of the fund administration contract. The damages phase of the arbitration proceeding is ongoing.Greek Pension ClaimsBeginning in 2015, four claims were filed in the Court of First Instance of Athens by former Citi employees against Citibank Europe PLC (as a successor to Citibank International PLC, Athens branch) regarding the treatment of their pension benefits following the sale of Citis consumer operations in Greece.In SOULTANA AGGELAKI & OTHERS v. CITIBANK EUROPE PUBLIC LIMITED COMPANY, in February 2017, the Court of First Instance of Athens dismissed the claims. In January 2019, the Athens Court of Appeal affirmed the decision of the Court of First Instance of Athens. On May 14, 2024, following the further appeal by the claimants, the Greek Supreme Court dismissed some claims, allowed others to proceed, and referred others back to the Athens Court of Appeal for further consideration of the calculation methodology. On April 28, 2025, the Athens Court of Appeal followed the Supreme Court decision and provided directions on the calculation methodology of the pension benefits. Additional information concerning this action is available in court filings under the docket numbers 70/2019 and 2096/2025 in the Athens Court of Appeal and 430/2024 in the Greek Supreme Court.In AGGELAKIS CHRISTOS & OTHERS v. CITIBANK EUROPE PUBLIC LIMITED COMPANY, in February 2017, the Court of First Instance of Athens dismissed the claims. The claimants appealed, and on April 15, 2025, the Court of Appeal dismissed some claims and allowed others to proceed with directions on the calculation methodology of the pension benefits. Additional information is available in court filings under the docket numbers 4716/2020 and 1967/2025 in the Athens Court of Appeal.In GIACHOUNTOUDI & OTHERS v. CITIBANK EUROPE PUBLIC LIMITED COMPANY, on October 15, 2024, the Court of First Instance of Athens dismissed the claims. The claimants appealed, and on July 16, 2025, the Court of Appeal dismissed some claims and allowed others to proceed with directions on the calculation methodology of the pension benefits. Additional information is available in court filings under the docket numbers 1086/771/2025 and 3845/2025 in the Athens Court of Appeal.289 In GLYKAS & OTHERS v. CITIBANK EUROPE PUBLIC LIMITED COMPANY, in August 2017, the Court of First Instance of Athens dismissed the claims. The claimants appealed, and on March 26, 2025, the Athens Court of Appeal dismissed some claims and allowed others to proceed with directions on the calculation methodology of the pension benefits. Additional information is available in court filings under the docket numbers 4717/2020 and 1544/2025 in the Athens Court of Appeal.On September 16, 2025 and December 30, 2025, two further claims, captioned ARVANITAKI & OTHERS v. CITIBANK EUROPE PUBLIC LIMITED COMPANY and KARAGIANNIS & OTHERS v. CITIBANK EUROPE PUBLIC LIMITED COMPANY were filed by former Citi employees regarding the treatment of their pension benefits. ARVANITAKI & OTHERS v. CITIBANK EUROPE PUBLIC LIMITED COMPANY is scheduled for hearing on June 4, 2026 and KARAGIANNIS & OTHERS v. CITIBANK EUROPE PUBLIC LIMITED COMPANY on September 28, 2026. Additional information is available in court filings under the docket numbers 183297/2300/2025 and 322736/3983/2025 in the Court of First Instance of Athens.Interchange Fee LitigationBeginning in 2005, several putative class actions were filed against Citigroup, Citibank, and Citicorp, together with Visa, MasterCard, and other banks and their affiliates, in various federal district courts and consolidated with other related individual cases in a multi-district litigation proceeding in the United States District Court for the Eastern District of New York. This proceeding is captioned IN RE PAYMENT CARD INTERCHANGE FEE AND MERCHANT DISCOUNT ANTITRUST LITIGATION.The plaintiffs, merchants that accept Visa and MasterCard branded payment cards, as well as various membership associations that claim to represent certain groups of merchants, allege, among other things, that defendants have engaged in conspiracies to set the price of interchange and merchant discount fees on credit and debit card transactions and to restrain trade unreasonably through various Visa and MasterCard rules governing merchant conduct, all in violation of Section 1 of the Sherman Act and certain California statutes. Plaintiffs further allege violations of Section 2 of the Sherman Act. Supplemental complaints also were filed against defendants in the putative class actions alleging that Visas and MasterCards respective initial public offerings were anticompetitive and violated Section 7 of the Clayton Act, and that MasterCards initial public offering constituted a fraudulent conveyance.In 2014, the district court entered a final judgment approving the terms of a class settlement. Various objectors appealed from the final class settlement approval order to the United States Court of Appeals for the Second Circuit. In 2016, the Court of Appeals reversed the district courts approval of the class settlement and remanded for further proceedings. The district court thereafter appointed separate counsel for a putative class seeking damages and a putative class seeking injunctive relief. Amended or new complaints on behalf of the putative classes and various individual merchants were subsequently filed, including a further amended complaint on behalf of a putative damages class and a new complaint on behalf of a putative injunctive class, both of which named Citigroup, Citibank, and Citicorp LLC. In addition, numerous merchants have filed amended or new complaints against Visa, MasterCard, and in some instances one or more issuing banks, including Citigroup, Citibank, and Citicorp Payment Services. In 2019, the district court granted the damages class plaintiffs motion for final approval of a new settlement with the defendants. The settlement involves the damages class only and does not settle the claims of the injunctive relief class or any actions brought on a non-class basis by individual merchants. The settlement provided for a cash payment to the damages class of $6.24 billion, later reduced by $700 million based on the transaction volume of class members that opted out from the settlement. Several merchants and merchant groups appealed the final approval order. In September 2021, the court granted the injunctive relief class plaintiffs motion to certify a non-opt-out class. On March 15, 2023, the United States Court of Appeals for the Second Circuit affirmed the district courts final approval of the damages class settlement and remanded the case to the district court for administration of the settlement claims process. On January 8, 2024, the district court issued decisions on two pending motions for summary judgment: it granted in part and denied in part defendants motions for summary judgment. The district court also denied Mastercards motion for summary judgment as to Mastercards lack of market power. From February to April 2024, the court issued opinions regarding the parties remaining respective summary judgment motions. On November 10, 2025, the injunctive relief class plaintiffs filed a motion seeking preliminary approval of the parties Superseding and Amended Class Settlement Agreement to settle the injunctive relief class claims. That motion remains pending. Beginning on June 25, 2024, the district court issued orders concluding the multi-district litigation proceedings and remanding the cases to other districts for further proceedings including trials in GRUBHUB HOLDINGS, INC., ET AL. v. VISA INC., ET AL.; TARGET CORP., ET AL. v. VISA INC., ET AL.; and 7-ELEVEN, INC., ET AL. v. VISA INC., ET AL. Additional information concerning these actions is publicly available in court filings under the docket numbers 25-2105 (2d Cir.); 1:05-md-01720 (E.D.N.Y.) (Cogan, J.); 1:13-cv-04442 (S.D.N.Y.) (Hellerstein, J.); 1:13-cv-03477 (S.D.N.Y.) (Hellerstein, J.); and 1:19-cv-07273 (N.D. Ill.) (Chang, J.). Madoff-Related LitigationIn 2008, a Securities Investor Protection Act (SIPA) trustee was appointed for the SIPA liquidation of Bernard L. Madoff Investment Securities LLC (BLMIS) in the United States Bankruptcy Court for the Southern District of New York. Beginning in 2010, the SIPA trustee commenced actions against multiple Citi entities, including Citibank, Citicorp North America, Inc., and CGML, captioned PICARD v. CITIBANK, N.A., ET AL., seeking recovery of monies that originated at BLMIS and were allegedly received by the Citi entities as subsequent transferees. 290 In February 2022, the SIPA trustee filed an amended complaint against Citibank, Citicorp North America, Inc., and CGML. In April 2022, these Citi entities moved to dismiss the amended complaint, which the bankruptcy court denied. In November 2022, the remaining Citi entities moved to file an interlocutory appeal of the bankruptcy courts decision, which the district court denied in March 2024, and answered the amended complaint. Additional information concerning these actions is publicly available in court filings under the docket numbers 10-5345 (Bankr. S.D.N.Y.) (Beckerman, J.) and 22-9597 (S.D.N.Y.) (Gardephe, J.).Beginning in 2010, the British Virgin Islands liquidators of Fairfield Sentry Limited, whose assets were invested with BLMIS, commenced multiple actions against CGML, Citibank (Switzerland) AG, Citibank, NA London, Citivic Nominees Ltd., Cititrust Bahamas Ltd., and Citibank Korea Inc., captioned FAIRFIELD SENTRY LTD., ET AL. v. CITIGROUP GLOBAL MARKETS LTD., ET AL.; FAIRFIELD SENTRY LTD., ET AL. v. CITIBANK (SWITZERLAND) AG, ET AL.; FAIRFIELD SENTRY LTD., ET AL. v. ZURICH CAPITAL MARKETS COMPANY, ET AL.; FAIRFIELD SENTRY LTD., ET AL. v. CITIBANK NA LONDON, ET AL.; FAIRFIELD SENTRY LTD., ET AL. v. CITIVIC NOMINEES LTD., ET AL.; FAIRFIELD SENTRY LTD., ET AL. v. DON CHIMANGO SA, ET AL.; and FAIRFIELD SENTRY LTD., ET AL. v. CITIBANK KOREA INC. ET AL., in the United States Bankruptcy Court for the Southern District of New York. The actions seek recovery of monies that were allegedly received directly or indirectly from Fairfield Sentry.In August 2022, the United States District Court for the Southern District of New York affirmed various decisions of the bankruptcy court, which dismissed claims against CGML, Citibank (Switzerland) AG, Citibank, NA London, Citivic Nominees Ltd., Cititrust Bahamas Ltd., and Citibank Korea Inc., and permitted a single claim against Citibank, NA London, CGML, Citivic Nominees Ltd., and Citibank (Switzerland) AG to proceed. In September 2022, the liquidators appealed the district courts decision dismissing the liquidators claims. In September 2022, CGML, Citibank (Switzerland) AG, Citibank, NA London, and Citivic Nominees Ltd. moved for leave to appeal the district courts decision permitting the single claim to proceed against them. In July 2023, the United States Court of Appeals for the Second Circuit granted CGML, Citibank (Switzerland) AG, Citivic Nominees Ltd., and Citibank, NA London leave to appeal the district courts decision permitting a single claim to proceed against them and ordered those appeals to be heard in tandem with the liquidators pending consolidated direct appeal.In May 2023, the liquidators voluntarily dismissed the single pending claim against Citibank (Switzerland) AG and Citivic Nominees Ltd. without prejudice, but the action continued against other defendants. On January 9, 2025, the liquidators voluntarily dismissed the entire action with prejudice, thereby permanently disposing of the single pending claim the liquidators previously voluntarily dismissed without prejudice. On August 5, 2025, the United States Court of Appeals for the Second Circuit reversed the portion of the decision of the district court that permitted a single claim to proceed against CGML, Citibank (Switzerland) AG, Citivic Nominees Ltd., and Citibank, NA London, and otherwise affirmed the district courts decision dismissing the liquidators remaining claims against CGML, Citibank (Switzerland) AG, Citibank, NA London, Citivic Nominees Ltd., Cititrust Bahamas Ltd., and Citibank Korea Inc. On September 18, 2025, the liquidators petitioned the court of appeals for rehearing, which was denied on October 16, 2025. On December 31, 2025, the liquidators requested an extension of time to file a petition for a writ of certiorari from the United States Supreme Court, which the Supreme Court granted. Additional information is publicly available in court filings under the docket numbers 10-13164, 10-3496, 10-3622, 10-3634, 10-4100, 10-3640, 11-2770, 12-1142, 12-1298 (Bankr. S.D.N.Y.) (Mastando, J.); 19-3911, 19-4267, 19-4396, 19-4484, 19-5106, 19-5135, 19-5109, 21-2997, 21-3243, 21-3526, 21-3529, 21-3530, 21-3998, 21-4307, 21-4498, 21-4496 (S.D.N.Y.) (Broderick, J.); 22-2101 (consolidated lead appeal), 22-2557, 22-2122, 23-697, 22-2562, 22-2216, 22-2545, 22-2308, 22-2591, 22-2502, 22-2553, 22-2398, 22-2582, 23-965 (consolidated lead appeal), 23-549, 23-572, 23-573, 23-975, 23-982, and 23-987 (2d Cir.).New York Attorney General Unauthorized Wire LitigationOn January 30, 2024, the New York Attorney Generals Office filed an action against Citibank captioned THE PEOPLE OF THE STATE OF NEW YORK v. CITIBANK, N.A. in the United States District Court for the Southern District of New York. The action alleges that Citi has failed to comply with the Electronic Funds Transfer Act (EFTA) and certain New York state laws in its treatment of unauthorized wire transfers and seeks an injunction, restitution, disgorgement of profits, civil penalties under New York state law, and monetary damages. On April 2, 2024, Citibank filed a motion to dismiss. On January 21, 2025, the court entered an order granting in part and denying in part Citibanks motion to dismiss, holding that consumer wire transfers are covered by EFTA. On February 18, 2025, Citibank filed a motion to certify the courts order for interlocutory appeal. On April 22, 2025, the court granted Citibanks motion to certify the order for interlocutory appeal and stayed the case in the District Court pending appeal. On September 3, 2025, the Second Circuit granted Citibanks petition to hear the appeal. Additional information concerning this action is publicly available in court filings under the docket numbers 1:24-cv-00659-JPO (S.D.N.Y.) (Oetken, J.), and 25-2105 (2d. Cir.).Parmalat LitigationIn 2004, an Italian commissioner appointed to oversee the administration of various Parmalat companies filed a complaint against Citigroup, Citibank, and related parties, alleging that the defendants facilitated a number of frauds by Parmalat insiders. In 2008, a jury rendered a verdict in Citigroups favor and awarded Citi $431million. In 2019, the Italian Supreme Court affirmed the decision in the full amount of $431million. Citigroup has taken steps to enforce the judgment in Italian and Belgian courts. On January 12, 2026, the Italian Supreme Court issued a decision determining that Parmalat could not be compelled to issue and allot new shares 291 in satisfaction of the amounts owed to Citi but clarified that Citi may seek damages for Parmalats breach of the Italian Concordato. Additional information concerning these actions is publicly available in court filings under the docket numbers 27618/2014 and 3023/2024 (Italy), and 20/3617/A (Belgium).In 2015, Parmalat filed a claim in an Italian civil court in Milan claiming damages of 1.8 billion against Citigroup, Citibank, and related parties. The Milan court dismissed Parmalats claim on grounds that it was duplicative of Parmalats previously unsuccessful claims. In 2019, the Milan Court of Appeal rejected Parmalats appeal of the Milan courts dismissal. On March 18, 2025, the Italian Supreme Court issued a decision rejecting Parmalats 1.8 billion damages claim. Additional information concerning this action is publicly available in court filings under the docket numbers 1009/2018 and 20598/2019.On January 29, 2020, Parmalat, its three directors, and its sole shareholder, Sofil S.a.s., as co-plaintiffs, filed a claim before the Italian civil court in Milan seeking a declaratory judgment that they do not owe compensatory damages of 990 million to Citibank. On November 5, 2020, Citibank joined the proceedings, seeking dismissal of the declaratory judgment application and raised a counterclaim, seeking 990 million as damages. These proceedings are currently stayed. Additional information concerning this action is publicly available in court filings under the docket number 8611/2020.Shareholder Derivative and Securities LitigationBeginning in October 2020, four derivative actions were filed in the United States District Court for the Southern District of New York, purportedly on behalf of Citigroup (as nominal defendant) against certain of Citigroups current and former directors. The actions were later consolidated under the case name IN RE CITIGROUP INC. SHAREHOLDER DERIVATIVE LITIGATION. The consolidated complaint asserts claims for breach of fiduciary duty, unjust enrichment, and contribution and indemnification in connection with defendants alleged failures to implement adequate internal controls. In addition, the consolidated complaint asserts derivative claims for violations of Sections 10(b) and 14(a) of the Securities Exchange Act of 1934 in connection with statements in Citigroups 2019 and 2020 annual meeting proxy statements. In February 2021, the court stayed the action pending resolution of defendants motion to dismiss in IN RE CITIGROUP SECURITIES LITIGATION. In April 2023, after defendants motion to dismiss was granted in IN RE CITIGROUP SECURITIES LITIGATION, the court maintained the stay in this action pending resolution of the securities plaintiffs motion for leave to amend the complaint. In January 2026, after the motion for leave to amend was denied, the court maintained the stay further pending the resolution of the appeal in IN RE CITIGROUP SECURITIES LITIGATION. Additional information concerning this action is publicly available in court filings under the docket number 1:20-CV-09438 (S.D.N.Y.) (Preska, J.).Beginning in December 2020, two derivative actions were filed in the Supreme Court of the State of New York, purportedly on behalf of Citigroup (as nominal defendant) against certain of Citigroups current and former directors, and certain current and former officers. The actions were later consolidated under the case name IN RE CITIGROUP INC. DERIVATIVE LITIGATION, and the court stayed the action pending resolution of defendants motion to dismiss in IN RE CITIGROUP SECURITIES LITIGATION. In April 2023, a third related derivative action also filed in the Supreme Court of the State of New York was consolidated for all purposes into this action. That same month, following the dismissal of the securities complaint in IN RE CITIGROUP SECURITIES LITIGATION, the court maintained the stay in this action pending resolution of the securities plaintiffs motion for leave to amend the complaint. In January 2026, after the motion for leave to amend was denied, the court maintained the stay until issuance of the mandate in the appeal in IN RE CITIGROUP SECURITIES LITIGATION. Additional information concerning this action is publicly available in court filings under the docket number 656759/2020 (N.Y. Sup. Ct.) (Schecter, J.).On August 2, 2022, a shareholder derivative action captioned LIPSHUTZ ET AL. v. COSTELLO ET AL. was filed in the United States District Court for the Eastern District of New York, purportedly on behalf of Citigroup (as nominal defendant) against Citigroups current directors. The action raises substantially the same claims and allegations as IN RE CITIGROUP INC. SHAREHOLDER DERIVATIVE LITIGATION. The LIPSHUTZ action additionally asserts that plaintiffs made a litigation demand on the Citigroup Board of Directors and that the demand was wrongfully refused. In May 2023, on defendants motion, the action was transferred to the United States District Court for the Southern District of New York so that it could be litigated along with IN RE CITIGROUP INC. SHAREHOLDER DERIVATIVE LITIGATION and IN RE CITIGROUP SECURITIES LITIGATION. Additional information concerning this action is publicly available in court filings under the docket number 1:23-CV-04058 (S.D.N.Y.) (Preska, J.).Beginning in October 2020, three putative class action complaints were filed in the United States District Court for the Southern District of New York against Citigroup and certain of its current and former officers, asserting violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 in connection with defendants alleged misstatements concerning Citigroups internal controls. The actions were consolidated under the case name IN RE CITIGROUP SECURITIES LITIGATION. The consolidated complaint later added certain of Citigroups current and former directors as defendants. On March 24, 2023, the court granted defendants motion to dismiss without prejudice. On May 24, 2023, plaintiffs moved for leave to file a second amended complaint against Citigroup and certain of Citigroups current or former officers for alleged violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 based on alleged misstatements concerning risk management and internal controls. On November 13, 2025, the court denied plaintiffs motion for leave to amend. On December 12, 2025, plaintiffs appealed to the United States Court of Appeals for the Second Circuit. Additional information concerning this action is publicly available in court filings under the docket numbers 25-03146 (2d Cir.) and 1:20-CV-09132 (S.D.N.Y.) (Preska, J.).292 Variable Rate Demand Obligation LitigationIn 2019, plaintiffs in the consolidated actions CITY OF PHILADELPHIA v. BANK OF AMERICA CORP, ET AL. and MAYOR AND CITY COUNCIL OF BALTIMORE v. BANK OF AMERICA CORP., ET AL. filed a consolidated complaint naming as defendants Citigroup, Citibank, CGMI, CGML, and numerous other industry participants. The consolidated complaint asserts violations of the Sherman Act, as well as claims for breach of contract, breach of fiduciary duty, and unjust enrichment, and seeks damages and injunctive relief based on allegations that defendants served as remarketing agents for municipal bonds called variable rate demand obligations (VRDOs) and colluded to set artificially high VRDO interest rates. On November 6, 2020, the court granted in part and denied in part defendants motion to dismiss the consolidated complaint. On June 2, 2021, the Board of Directors of the San Diego Association of Governments, acting as the San Diego County Regional Transportation Commission, filed a parallel putative class action against the same defendants named in the already pending nationwide consolidated class action. The two actions were consolidated and on August 6, 2021, plaintiffs in the nationwide putative class action filed a consolidated amended complaint, captioned THE CITY OF PHILADELPHIA, MAYOR AND CITY COUNCIL OF BALTIMORE, THE BOARD OF DIRECTORS OF THE SAN DIEGO ASSOCIATION OF GOVERNMENTS, ACTING AS THE SAN DIEGO COUNTY REGIONAL TRANSPORTATION COMMISSION v. BANK OF AMERICA CORP., ET AL.In September 2021, defendants moved to dismiss the consolidated amended complaint in part. In June 2022, the court granted in part and denied in part defendants partial motion to dismiss the consolidated amended complaint. In October 2022, plaintiffs filed a motion to certify a class of persons and entities who, from February 2008 to November 2015, paid interest rates on VRDOs with respect to the antitrust claim. Plaintiffs also moved to certify a subclass of individuals who entered into remarketing agreements with the defendants during that same period. On September 21, 2023, the court granted plaintiffs motion for class certification, certifying both an antitrust class and a breach-of-contract subclass. On October 5, 2023, defendants filed a Rule 23(f) petition seeking leave to appeal the certification ruling. On November 8, 2023, the plaintiffs voluntarily dismissed certain defendants from the case, including Citigroup, Citibank, and CGML. On February 5, 2024, the United States Court of Appeals for the Second Circuit granted defendants Rule 23(f) petition to appeal the district courts order granting class certification. On August 1, 2025, the United States Court of Appeals for the Second Circuit affirmed the lower courts grant of class certification. Defendants filed a petition for a writ of certiorari with the United States Supreme Court on December 1, 2025. Additional information concerning this action is publicly available in court filings under the docket numbers 19-CV-1608 (S.D.N.Y.) (Furman, J.), 23-7328 (2d Cir.), and 25-639 (S. Ct.).Since April 2018, Citigroup and certain of its affiliates, including Citibank and CGMI, have been named in state court qui tam lawsuits in which Edelweiss Fund, LLC alleges that Citi and other financial institutions defrauded certain state and municipal VRDO issuers in connection with resetting VRDO interest rates. Filed under each states respective false claims act, these actions are pending in state courts in California, New Jersey, and New York, and are captioned STATE OF CALIFORNIA EX REL. EDELWEISS FUND, LLC v. JP MORGAN CHASE & CO., ET AL., STATE OF NEW JERSEY EX REL. EDELWEISS FUND, LLC v. JP MORGAN CHASE & CO., ET AL., and STATE OF NEW YORK EX REL. EDELWEISS FUND, LLC v. JP MORGAN CHASE & CO., ET AL., respectively. In the California state qui tam, a hearing on the parties motions for summary judgment is scheduled for February 19, 2026 and trial is set for June 8, 2026. In the New Jersey state qui tam, on December 27, 2024, the Appellate Division of the New Jersey Superior Court remanded the case to the trial court for the entry of summary judgment in favor of defendants, and on May 16, 2025, the New Jersey Supreme Court granted the plaintiff-relators petition for certification of the appeal. In the New York state qui tam, the trial court granted in part and denied in part defendants and plaintiff-relators cross-motions for summary judgment decision on April 4, 2025. Defendants appealed the decision to the New York Supreme Court Appellate Division, First Judicial Department. Additional information concerning these actions is publicly available in court filings under the docket numbers CGC-14-540777 (Cal. Super. Ct.) (Schulman, J.), A163264 (Cal. 1st App. Div.); L-885-15 (N.J. Super. Ct.) (Hurd, J.), A-1340-23 (N.J. App. Div.), and 090285 (N.J. S. Ct.); and 100559/2014 (N.Y. Sup. Ct.) (Borrok, J.) and 2025-02242 (N.Y. App. Div.).Settlement PaymentsPayments required in settlement agreements described above have been made or are covered by existing litigation or other accruals.293 31.SUBSIDIARY GUARANTEESCitigroup Inc. has fully and unconditionally guaranteed the payments due on debt securities issued by Citigroup Global Markets Holdings Inc. (CGMHI), a wholly owned subsidiary, under the Senior Debt Indenture dated as of March 8, 2016, between CGMHI, Citigroup Inc. and The Bank of New York Mellon, as trustee. In addition, Citigroup Capital III and Citigroup Capital XIII (collectively, the Capital Trusts), each of which is a wholly owned finance subsidiary of Citigroup Inc., have issued trust preferred securities. Citigroup Inc. has guaranteed the payments due on the trust preferred securities to the extent that the Capital Trusts have insufficient available funds to make payments on the trust preferred securities. The guarantee, together with Citigroup Inc.s other obligations with respect to the trust preferred securities, effectively provides a full and unconditional guarantee of amounts due on the trust preferred securities (see Note 19). No other subsidiary of Citigroup Inc. guarantees the debt securities issued by CGMHI or the trust preferred securities issued by the Capital Trusts. Summarized financial information for Citigroup Inc. and CGMHI is presented in the tables below:SUMMARIZED INCOME STATEMENT
| |
| 2025 | |
| In millions of dollars | Citigroup parent company | CGMHI | |
| Total revenues, net of interest expense | $ | 14,682 | $ | 13,171 | |
| Total operating expenses | 222 | 14,246 | |
| Provision for credit losses | | 31 | |
| Equity in undistributed income of subsidiaries | (952) | | |
| Income (loss) from continuing operations before income taxes | $ | 13,508 | $ | (1,106) | |
| Provision (benefit) for income taxes | (798) | (514) | |
| Net income (loss) | $ | 14,306 | $ | (592) | |
SUMMARIZED BALANCE SHEET
| |
| December 31, 2025 | December 31, 2024 | |
| In millions of dollars | Citigroup parent company | CGMHI | Citigroup parent company | CGMHI | |
| Cash and deposits with banks | $ | 6,580 | $ | 24,459 | $ | 4,014 | $ | 19,464 | |
| Securities borrowed and purchased under resale agreements | | 291,384 | | 215,995 | |
| Trading account assets | 85 | 342,203 | 203 | 294,396 | |
| Advances to subsidiaries | 160,188 | | 150,790 | | |
| Investments in subsidiary bank holding company | 185,568 | | 179,253 | | |
| Investments in non-bank subsidiaries | 44,310 | | 46,549 | | |
| Other assets(1) | 15,654 | 180,075 | 14,642 | 158,080 | |
| Total assets | $ | 412,385 | $ | 838,121 | $ | 395,451 | $ | 687,935 | |
| Securities loaned and sold under agreements to repurchase | $ | | $ | 357,524 | $ | | $ | 268,178 | |
| Trading account liabilities | 17 | 107,988 | 69 | 89,146 | |
| Short-term borrowings | | 34,712 | | 29,410 | |
| Long-term debt | 177,855 | 211,029 | 164,024 | 184,516 | |
| Advances from subsidiaries | 19,319 | | 19,974 | | |
| Other liabilities | 2,903 | 91,214 | 2,786 | 80,486 | |
| Stockholders equity | 212,291 | 35,654 | 208,598 | 36,199 | |
| Total liabilities and equity | $ | 412,385 | $ | 838,121 | $ | 395,451 | $ | 687,935 | |
(1)Other assets of CGMHI includes loans to affiliates of $99billion and $91billion at December 31, 2025 and 2024, respectively.294 32.CONDENSED PARENT COMPANY FINANCIAL STATEMENTSThe following are the Condensed Statements of Income and Comprehensive Income for the years ended December 31, 2025, 2024 and 2023, Condensed Balance Sheet as of December31, 2025 and 2024 and Condensed Statement of Cash Flows for the years ended December31, 2025, 2024 and 2023 for Citigroup Inc., the parent holding company.Condensed Statements of Income and Comprehensive Income Parent Company Only
| |
| Year ended December 31, | |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Revenues | |
| Dividends from subsidiaries | $ | 17,523 | $ | 5,549 | $ | 16,811 | |
| Interest revenueintercompany | $ | 7,397 | $ | 7,523 | $ | 6,955 | |
| Interest expense | 7,079 | 6,680 | 6,339 | |
| Interest expenseintercompany | 1,198 | 1,518 | 1,460 | |
| Net interest income | $ | (880) | $ | (675) | $ | (844) | |
| Commissions and fees | $ | | $ | | $ | | |
| Commissions and feesintercompany | (193) | (57) | (31) | |
| Principal transactions | (1,620) | 691 | (928) | |
| Principal transactionsintercompany | (179) | (2,590) | (771) | |
| Other revenue | (13) | 147 | (23) | |
| Other revenueintercompany | 44 | (175) | (135) | |
| Total non-interest revenues | $ | (1,961) | $ | (1,984) | $ | (1,888) | |
| Total revenues, net of interest expense | $ | 14,682 | $ | 2,890 | $ | 14,079 | |
| Operating expenses | |
| Compensation and benefits | $ | 23 | $ | 14 | $ | 9 | |
| Compensation and benefitsintercompany | 8 | 23 | 18 | |
| Other operating | 131 | 207 | 160 | |
| Other operatingintercompany | 60 | 30 | 15 | |
| Total operating expenses | $ | 222 | $ | 274 | $ | 202 | |
| Equity in undistributed income of subsidiaries | $ | (952) | $ | 9,300 | $ | (5,572) | |
| Income from continuing operations before income taxes | $ | 13,508 | $ | 11,916 | $ | 8,305 | |
| Provision (benefit) for income taxes | (798) | (766) | (923) | |
| Net income | $ | 14,306 | $ | 12,682 | $ | 9,228 | |
| Comprehensive income | |
| Add: Other comprehensive income (loss) | 3,542 | (3,052) | 2,235 | |
| Total Citigroup comprehensive income | $ | 17,848 | $ | 9,630 | $ | 11,463 | |
295 Condensed Balance Sheet Parent Company Only
| |
| December 31, | |
| In millions of dollars | 2025 | 2024 | |
| Assets | |
| Cash and due from banks | $ | | $ | | |
| Cash and due from banksintercompany | 5 | 14 | |
| Deposits with banksintercompany | 6,575 | 4,000 | |
| Trading account assets | (14) | (164) | |
| Trading account assetsintercompany | 99 | 367 | |
| Investments, net of allowance | 1 | 1 | |
| Advances to subsidiaries | $ | 160,188 | $ | 150,790 | |
| Investments in subsidiary bank holding company | 185,568 | 179,253 | |
| Investments in non-bank subsidiaries | 44,310 | 46,549 | |
| Other assets, net of allowance(1) | 10,834 | 10,255 | |
| Other assetsintercompany | 4,819 | 4,386 | |
| Total assets | $ | 412,385 | $ | 395,451 | |
| Liabilities and equity | |
| Trading account liabilities | $ | | $ | (159) | |
| Trading account liabilitiesintercompany | 17 | 228 | |
| Long-term debt | 177,855 | 164,024 | |
| Advances from subsidiary bank holding company | 12,733 | 10,948 | |
| Advances from non-bank subsidiaries | 6,586 | 9,026 | |
| Other liabilities | 2,864 | 2,719 | |
| Other liabilitiesintercompany | 39 | 67 | |
| Stockholders equity | 212,291 | 208,598 | |
| Total liabilities and equity | $ | 412,385 | $ | 395,451 | |
(1)Citigroup parent company, inclusive of Citicorp LLC, at December31, 2025 and 2024 included $76.3 billion and $75.4billion, respectively, of placements to Citibank and its branches, of which $64.1 billion and $71.6billion, respectively, had a remaining term of less than 30 days. 296 Condensed Statement of Cash Flows Parent Company Only
| |
| Year ended December 31, | |
| In millions of dollars | 2025 | 2024 | 2023 | |
| Net cash provided by (used in) operating activities of continuing operations | $ | 18,876 | $ | 2,536 | $ | 17,163 | |
| Cash flows from investing activities of continuing operations | |
| Changes in investments and advancesintercompany | $ | (7,849) | $ | (1,287) | $ | (3,450) | |
| |
| Net cash provided by (used in) investing activities of continuing operations | $ | (7,849) | $ | (1,287) | $ | (3,450) | |
| Cash flows from financing activities of continuing operations | |
| Dividends paid | $ | (5,372) | $ | (5,199) | $ | (5,212) | |
| Issuance of preferred stock | 7,186 | 5,282 | 2,739 | |
| Redemption of preferred stock | (5,000) | (5,050) | (4,145) | |
| Treasury stock acquired | (13,250) | (2,474) | (1,977) | |
| Proceeds (repayments) from issuance of long-term debt, net | 9,416 | 4,399 | (6,955) | |
| Net change in short-term borrowings and other advancesintercompany | (661) | 3,250 | 2,162 | |
| |
| Other financing activities | (780) | (454) | (329) | |
| Net cash provided by (used in) financing activities of continuing operations | $ | (8,461) | $ | (246) | $ | (13,717) | |
| Change in cash and due from banks and deposits with banks | $ | 2,566 | $ | 1,003 | $ | (4) | |
| Cash and due from banks and deposits with banks at beginning of year | 4,014 | 3,011 | 3,015 | |
| Cash and due from banks and deposits with banks at end of year | $ | 6,580 | $ | 4,014 | $ | 3,011 | |
| Cash and due from banks (including segregated cash and other deposits) | $ | 5 | $ | 14 | $ | 11 | |
| Deposits with banks, net of allowance | 6,575 | 4,000 | 3,000 | |
| Cash and due from banks and deposits with banks at end of year | $ | 6,580 | $ | 4,014 | $ | 3,011 | |
| Supplemental disclosure of cash flow information for continuing operations | |
| |
| Cash paid during the year for interest | $ | 6,228 | $ | 5,934 | $ | 5,704 | |
297 FINANCIAL DATA SUPPLEMENTRATIOS
| |
| 2025 | 2024 | 2023 | |
| Return on average assets | 0.54 | % | 0.51 | % | 0.38 | % | |
| Return on average common stockholders equity(1) | 6.8 | 6.1 | 4.3 | |
| Return on average total stockholders equity(2) | 6.7 | 6.1 | 4.5 | |
| Total average equity to average assets(3) | 8.0 | 8.4 | 8.5 | |
| Dividend payout ratio(4) | 33 | 37 | 51 | |
(1)Based on Citigroups net income less preferred stock dividends as a percentage of average common stockholders equity. (2)Based on Citigroups net income as a percentage of average total Citigroup stockholders equity.(3)Based on average Citigroup stockholders equity as a percentage of average assets.(4)Dividends declared per common share as a percentage of diluted EPS.AVERAGE DEPOSIT LIABILITIES(1)
| |
| 2025 | 2024 | 2023 | |
| In millions of dollars at year end, except ratios | Average balance | Average interest rate | Average balance | Average interest rate | Average balance | Average interest rate | |
| In U.S. offices | |
| Demand deposits | $ | 334,388 | 3.72 | % | $ | 304,198 | 4.53 | % | $ | 294,081 | 4.30 | % | |
| Time deposits | 92,183 | 3.99 | 100,314 | 4.83 | 103,170 | 4.28 | |
| Savings deposits | 158,940 | 2.26 | 165,536 | 2.47 | 197,337 | 1.79 | |
| Total interest-bearing depositsU.S. | $ | 585,511 | 3.36 | % | $ | 570,048 | 3.99 | % | $ | 594,588 | 3.46 | % | |
| In offices outside the U.S. | |
| Demand deposits | $ | 371,583 | 2.07 | % | $ | 330,118 | 2.95 | % | $ | 317,321 | 2.58 | % | |
| Time and savings deposits | 203,252 | 3.72 | 216,465 | 3.63 | 219,428 | 3.42 | |
| Total interest-bearing depositsoutside the U.S. | $ | 574,835 | 2.66 | % | $ | 546,583 | 3.22 | % | $ | 536,749 | 2.92 | % | |
| Total interest-bearing deposits | $ | 1,160,346 | 3.01 | % | $ | 1,116,631 | 3.61 | % | $ | 1,131,337 | 3.21 | % | |
| Non-interest-bearing deposits | $ | 202,705 | | % | $ | 200,319 | | % | $ | 202,736 | | % | |
| Total deposits | $ | 1,363,051 | 2.57 | % | $ | 1,316,950 | 3.06 | % | $ | 1,334,073 | 2.72 | % | |
(1)Interest rates and amounts include the effects of risk management activities and also reflect the impact of the local interest rates prevailing in certain countries.
UNINSURED DEPOSITS 
The table below presents the estimated amount of uninsured time deposits by maturity profile:
| |
| In millions of dollars at December 31, 2025 | Three months or less | Over 3 months but within 6 months | Over 6 months but within 12 months | Over 12 months | Total | |
| In U.S. offices(1) | |
| Time deposits in excess of FDIC insurance limits(2) | $ | 30,534 | $ | 10,825 | $ | 2,036 | $ | 304 | $ | 43,699 | |
| In offices outside the U.S.(1) | |
| Time deposits in excess of foreign jurisdiction insurance limits(3)(4) | 118,282 | 10,443 | 14,283 | 3,194 | 146,202 | |
| Total uninsured time deposits(5) | $ | 148,816 | $ | 21,268 | $ | 16,319 | $ | 3,498 | $ | 189,901 | |
(1)The classification between offices in the U.S. and outside the U.S. is based on the domicile of the booking unit, rather than the domicile of the depositor. (2)The standard insurance amount is $250,000 per depositor, per insured bank, for single ownership categories.(3)Time deposits in offices outside the U.S. are assumed to be a depositors account as single account ownership.(4)The insurance coverage is applied in sequence of checking, savings and short- and long-term time deposits accounts.(5)The maturity term is based on the remaining term of the time deposit rather than the original maturity date.Total uninsured deposits as of December31, 2025 were $1.11 trillion (see footnotes 1, 2 and 3 to the table above).298 SUPERVISION, REGULATION AND OTHERSUPERVISION AND REGULATIONCiti is subject to regulation under various U.S. federal and state laws, as well as applicable laws in the other jurisdictions in which it does business.GeneralCitigroup is a registered bank holding company and financial holding company and is regulated and supervised by the Federal Reserve Board (FRB). Citigroups nationally chartered subsidiary banks, including Citibank, are regulated and supervised by the Office of the Comptroller of the Currency (OCC). The Federal Deposit Insurance Corporation (FDIC) also has examination authority for banking subsidiaries whose deposits it insures. Overseas branches of Citibank are regulated and supervised by the FRB and OCC and overseas subsidiary banks by the FRB. These overseas branches and subsidiary banks are also regulated and supervised by regulatory authorities in the host countries. In addition, the Consumer Financial Protection Bureau regulates consumer financial products and services. Citi is also subject to laws and regulations concerning the collection, use, sharing and disposition of certain customer, employee and other personal and confidential information, including those imposed by the Gramm-Leach-Bliley Act, the Fair Credit Reporting Act and the EU General Data Protection Regulation. For more information on U.S. and foreign regulation affecting or potentially affecting Citi, see Capital Resources, Managing Global RiskLiquidity Risk and Risk Factors above.Other Bank and Bank Holding Company RegulationCiti, including its banking subsidiaries, is subject to regulatory limitations, including requirements as to liquidity, risk-based capital and leverage (see Capital Resources above and Note 20), restrictions on the types and amounts of loans that may be made and the interest that may be charged, and limitations on investments that can be made and services that can be offered. The FRB may also expect Citi to commit resources to its subsidiary banks in certain circumstances. Citi is also subject to anti-money laundering and financial transparency laws, including standards for verifying client identification at account opening and obligations to monitor client transactions and report suspicious activities.Securities and Commodities RegulationCiti conducts securities underwriting, brokerage and dealing activities in the U.S. through Citigroup Global Markets Inc. (CGMI), its primary broker-dealer, and other broker-dealer subsidiaries, which are subject to regulations of the U.S. Securities and Exchange Commission (SEC), the Financial Industry Regulatory Authority and certain exchanges. Citi conducts similar securities activities outside the U.S., subject to local requirements, through various subsidiaries and affiliates, principally Citigroup Global Markets Limited in London (CGML), which is regulated principally by the U.K. Financial Conduct Authority and Prudential Regulation Authority (PRA), and Citigroup Global Markets Japan Inc. in Tokyo, which is regulated principally by the Financial Services Agency of Japan.Citi also has subsidiaries that are members of futures exchanges and derivatives clearinghouses. In the U.S., CGMI is a member of the principal U.S. futures exchanges and clearinghouses, and Citi has subsidiaries that are registered as futures commission merchants and commodity pool operators with the Commodity Futures Trading Commission (CFTC). Citibank, CGMI, Citigroup Energy Inc., Citigroup Global Markets Europe AG (CGME) and CGML are also registered as swap dealers with the CFTC (see below). CGMI is also subject to SEC and CFTC rules that specify uniform minimum net capital requirements. Compliance with these rules could limit those operations of CGMI that require the intensive use of capital and also limits the ability of broker-dealers to transfer large amounts of capital to parent companies and other affiliates. See Capital Resources above and Note 20 for a further discussion of capital considerations of Citis non-banking subsidiaries.Transactions with AffiliatesTransactions between Citis U.S. subsidiary depository institutions and their non-bank affiliates are regulated by the FRB, and are generally required to be on arms-length terms. See Managing Global RiskLiquidity Risk above.COMPETITIONThe financial services industry is highly competitive. Citis competitors include a variety of financial services and advisory companies, as well as certain non-financial services firms. Citi competes for clients and capital (including deposits and funding in the short- and long-term debt markets) with some of these competitors globally and with others on a regional or product basis. Citis competitive position depends on many factors, including, among others: the value of Citis brand name and reputation, and the types of clients and geographies served; the quality, range, performance, innovation and pricing of products and services; the effectiveness of and access to distribution channels, maintenance of partner relationships, emerging technologies and technology advances, customer service and convenience; the effectiveness of transaction execution, interest rates, lending limits and risk appetite; regulatory constraints and compliance; and changes in the macroeconomic business environment or societal norms. Citis ability to compete effectively also depends upon its ability to attract new employees and retain and motivate existing employees, while managing compensation and other costs. For additional information on competitive factors and uncertainties impacting Citis businesses, see Risk FactorsStrategic Risks above.299 DISCLOSURE PURSUANT TO SECTION 219 OF THE IRAN THREAT REDUCTION AND SYRIA HUMAN RIGHTS ACTPursuant to Section 219 of the Iran Threat Reduction and Syria Human Rights Act of 2012 (Section 219), which added Section 13(r) to the Securities Exchange Act of 1934, as amended, Citi is required to disclose in its annual or quarterly reports, as applicable, whether it or any of its affiliates knowingly engaged in certain activities, transactions or dealings relating to Iran or with certain individuals or entities that are the subject of sanctions under U.S. law. Disclosure may be required even where the activities, transactions or dealings were conducted in compliance with applicable law. To the extent that transactions or dealings for its clients are permitted by U.S. law, Citi may continue to engage in such activities. Citigroup reported one transaction for the first quarter of 2025, no transactions for the second quarter of 2025 and three transactions for the third quarter of 2025. During the fourth quarter of 2025, Citigroup identified three transactions pursuant to Section 219. On November 7, 2025, Citibank Europe plc processed a payment from a client to the Iranian Embassy in Norway for mailing a passport. The total value of the transaction was EUR 40 (approximately USD 46.20). This transaction was permissible under the travel exemption of the Iranian Transactions and Sanctions Regulations. Citi did not realize any fees for the processing of this transaction. On December 11, 2025, Citibank, N.A. processed a payment destined for a U.S.-based law firm for legal services provided to a person designated under Executive Order 13224. The total value of the payment was USD 3,500,000 and the transaction was authorized pursuant to a general license issued by the U.S. Department of the Treasurys Office of Foreign Assets Control (OFAC). Citi did not realize any fees for the processing of this transaction. On December 12, 2025, Citibank, N.A. processed a payment destined for an Asia-based entity for the transportation of oil on a vessel that at the time of the transaction was designated pursuant to Executive Order 13224. The total value of the payment was USD 134,382,544.23 and the transaction was made pursuant to a specific license issued by OFAC on December 4, 2025, which expired on January 21, 2026. The vessel was no longer designated pursuant to Executive Order 13224 as of January 21, 2026. Citi did not realize any fees for the processing of this transaction.300 UNREGISTERED SALES OF EQUITY SECURITIES, REPURCHASES OF EQUITY SECURITIES AND DIVIDENDSUnregistered Sales of Equity SecuritiesNone.Equity Security RepurchasesAll large banks, including Citi, are subject to limitations on capital distributions in the event of a breach of any regulatory capital buffers, including the Stress Capital Buffer, with the degree of such restrictions based on the extent to which the buffers are breached. For additional information, see Capital ResourcesRegulatory Capital Buffers and Risk FactorsStrategic Risks, Operational Risks and Compliance Risks above. The following table summarizes Citis common share repurchases for the fourth quarter of 2025:
| |
| In thousands, except per share amounts and remaining program dollar value | Total shares purchased | Average price paid per share | Cumulative shares purchased as part of publicly announced program(1) | Approximate remaining dollar value of shares that may be purchased under the program(in billions of dollars) | |
| October 2025 | |
| Open market repurchases(1) | 9,415 | $ | 99.13 | 111,703 | $ | 10.4 | |
| Employee transactions(2) | | | | | |
| November 2025 | |
| Open market repurchases(1) | 12,590 | 100.61 | 124,293 | 9.1 | |
| Employee transactions(2) | | | | | |
| December 2025 | |
| Open market repurchases(1) | 19,794 | 116.20 | 144,087 | 6.8 | |
| Employee transactions(2) | | | | | |
| Total for 4Q25 | 41,799 | $ | 107.66 | 144,087 | $ | 6.8 | |
(1)Represents repurchases under the multiyear $20 billion common stock repurchase program that was approved by Citigroups Board of Directors on January 13, 2025 and announced on January 15, 2025. Repurchases by Citigroup under this common stock repurchase program are subject to quarterly approval by Citigroups Board; may be effected from time to time through open market purchases, trading plans established in accordance with SEC rules or other means; and, as determined by Citigroup, may be subject to satisfactory market conditions, Citigroups capital position and capital requirements, applicable legal requirements and other factors. (2)During the fourth quarter, pursuant to the Board authorization, Citi withheld an insignificant number of shares of common stock, added to treasury stock, related to activity from employee stock programs to satisfy the employee tax requirements. DividendsCiti paid common dividends of $0.60 per share for the fourth quarter of 2025 and the first quarter of 2026. Citi intends to maintain a quarterly common dividend of at least $0.60 per share, subject to financial and macroeconomic conditions and its Board of Directors approval.Citis ability to pay common stock dividends is subject to limitations on capital distributions in the event of a breach of any regulatory capital buffers, including the Stress Capital Buffer, with the degree of such restrictions based on the extent to which the buffers are breached. For additional information, see Capital ResourcesRegulatory Capital Buffers and Risk FactorsStrategic Risks, Operational Risks and Compliance Risks above.Any dividend on Citis outstanding common stock would also need to be in compliance with Citis obligations on its outstanding preferred stock.During 2025, Citi distributed $1,114 million in dividends on its outstanding preferred stock. On January 14, 2026, Citi declared preferred dividends of approximately $305 million for the first quarter of 2026.See Note 20 for information on the ability of Citigroups subsidiary depository institutions to pay dividends. 301 OTHER INFORMATIONInsider Trading Policies and Procedures and ArrangementsCiti has insider trading policies and procedures governing the purchase, sale and/or other dispositions of Citi securities by its officers and employees, as well as by members of the Citigroup Board of Directors and Citi itself, that are reasonably designed to promote compliance with insider trading laws, rules and regulations, and listing standards applicable to Citi. A copy of Citis Trading and Material Non-Public Information (MNPI) Standard for Citi Securities, applicable to officers and employees, is filed as Exhibit 19.01 to this Form 10-K. Citis Policy on Transactions in Citigroup Inc. Securities by Non-Management Members of Citigroup Inc.s Board of Directors and the Citigroup Inc. Share Repurchase and Securities Issuance Procedures applicable to Citi itself are filed as Exhibits 19.02 and 19.03, respectively, to this Form 10-K.During the fourth quarter of 2025, no director or executive officer of Citi adopted or terminated any Rule 10b5-1 or non-Rule 10b5-1 trading arrangement (each, as defined in Item 408 of Regulation S-K).302 PERFORMANCE GRAPH Comparison of Five-Year Cumulative Total ReturnThe following graph and table compare the cumulative total return on Citigroups common stock with the cumulative total return of the S&P 500 Index and the S&P Financials Index over the five-year period through December 31, 2025. The graph and table assume that $100 was invested on December 31, 2020 in Citigroups common stock, the S&P 500 Index and the S&P Financials Index, and that all dividends were reinvested. 
| |
| Comparison of Five-Year Cumulative Total ReturnFor the years ended | |
| |
| DATE | Citigroup | S&P 500 Index | S&P Financials Index | |
| 31-Dec-2020 | 100.0 | 100.0 | 100.0 | |
| 31-Dec-2021 | 101.0 | 128.7 | 135.0 | |
| 31-Dec-2022 | 78.7 | 105.4 | 120.8 | |
| 31-Dec-2023 | 93.6 | 133.1 | 135.5 | |
| 31-Dec-2024 | 132.9 | 166.4 | 176.9 | |
| 31-Dec-2025 | 226.3 | 196.2 | 203.5 | |
Note: Citigroups common stock is listed on the NYSE under the ticker symbol C and held by 55,540 registered common stockholders of record as of January 31, 2026.303 CORPORATE INFORMATION EXECUTIVE OFFICERSCitigroups executive officers as of February 20, 2026 are:
| |
| Name | Age | Position and office held | |
| Nadir Darrah | 50 | Chief Auditor | |
| Jane Fraser | 58 | Chair of the Board and Chief Executive Officer, Citigroup Inc. | |
| Sunil Garg | 60 | CEO, Citibank, N.A., and Head of North America | |
| Nicole Giles | 54 | Controller and Chief Accounting Officer | |
| Pam Habner | 60 | Head of U.S. Consumer Cards* | |
| Shahmir Khaliq | 55 | Head of Services | |
| David Livingstone | 62 | Chief Client Officer | |
| Gonzalo Luchetti | 52 | Head of U.S. Personal Banking*+ | |
| Mark A. L. Mason | 56 | Chief Financial Officer+ | |
| Brent McIntosh | 52 | Chief Legal Officer and Corporate Secretary | |
| Andrew Morton | 64 | Head of Markets | |
| Vis Raghavan | 59 | Head of Banking and Executive Vice Chair | |
| Tim Ryan | 62 | Head of Technology and Business Enablement | |
| Anand Selvakesari | 58 | Chief Operating Officer | |
| Andy Sieg | 58 | Head of Wealth* | |
| Edward Skyler | 52 | Head of Enterprise Services & Public Affairs | |
| Ernesto Torres Cant | 61 | Head of International | |
| Zdenek Turek | 61 | Chief Risk Officer | |
| Sara Wechter | 45 | Chief Human Resources Officer | |
* Effective as of the first quarter of 2026, Citi transferred its Retail Banking business from USPB to Wealth, and the remaining USPB businesses were integrated into a new U.S. Consumer Cards (USCC) segment. For additional
information, see Overview above.
+ Mr. Mason will be replaced by Mr. Luchetti as Citigroups Chief Financial Officer effective March 2, 2026. 
Mr. Darrah joined Citi in 2015 and assumed his current position in March 2022. He was previously the Chief Auditor of Citibank, N.A. Data and Transformation. Prior to Citi, he spent several years working at Barclays, GMAC, Kinnevik Group in the U.S., U.K., Europe, Middle East and Africa. He trained as an accountant in Pakistan with A.F. Ferguson and Co. (an affiliate of PricewaterhouseCoopers).
Ms. Fraser joined Citi in 2004 and assumed her current position in March 2021, and in October 2025 was
appointed Chair of Citigroups Board of Directors. Previously, she served as CEO of Global Consumer Banking from October 2019 to December 2020. Before that, she served as CEO of Citi Latin America from June 2015 to October 2019. She held a number of other roles 
across the organization, including CEO of U.S. Consumer and Commercial Banking and CitiMortgage, CEO of Citis Global Private Bank and Global Head of Strategy and M&A.
Mr. Garg joined Citi in 1988 and assumed his current position in February 2021, and in January 2023 also assumed the position of Head of North America. Previously, he was global CEO of the Commercial Bank beginning in 2011. Prior to that, he led the U.S. Commercial Banking business from 2008 until 2011. In addition, he held various other roles at Citi in Operations and Technology, Treasury and Trade Solutions, Corporate and Investment Banking and Commercial Banking.
Ms. Giles joined Citi and assumed her current position in February 2025. Prior to her current role, she spent almost three decades at JPMorgan Chase, where she most recently served as chief financial officer for its commercial and investment banking unit since March 2024. She has also held various other roles at JPMorgan Chase, including as its controller.
Ms. Habner joined Citi in 2020 and assumed her current position in November 2025. Previously, she was Head of Consumer Branch Banking and Wealth Management at JPMorgan Chase where she was responsible for staff, sales and service across its 5,000 branches. Prior to that role, she was President of Branded Cards for Chase Card Services with responsibility for the Chase Sapphire, Freedom, Slate and Ink card portfolios. 
Mr. Khaliq joined Citi in 1991 and assumed his current position in November 2023. He served as the Global Head of TTS from 2021 to 2023. Prior to that, he was Head of TTS Operations and Technology. 
Mr. Livingstone joined Citi in 2016 and assumed his current position in September 2023. Previously, he served as CEO of Citis EMEA region from February 2019, and as Country Officer for Australia and New Zealand from June 2016. Prior to joining Citi, he spent nine years at Credit Suisse, where he was Vice Chairman of the Investment Banking and Capital Markets Division for the EMEA region, Head of M&A and CEO of Credit Suisse Australia, and over 16 years at the Goldman Sachs Group, Inc. in a variety of senior roles in the investment banking division.
Mr. Luchetti joined Citi in 2006 and assumed his current position in February 2021. Mr. Luchetti will become Citigroups Chief Financial Officer effective March 2, 2026. Prior to his current role, he served as Head of the Consumer Bank in Asia and EMEA. He also served as the Head of the Asia Retail Bank and Global Head of Wealth Management and Insurance. Prior to joining Citi, he worked for JPMorgan Chase and Bain & Company.
Mr. Mason joined Citi in 2001 and assumed his current position in 2019. Mr. Mason will become Executive Vice Chair of Citi and Senior Executive Advisor to Citis Chair and CEO (both non-Board roles) effective March 2, 2026. Prior to his current role, he served as CFO of Citis Institutional Clients Group, CEO of Private Bank, CEO of Citi Holdings, and CFO and Head of Strategy for Citis 
304 
Global Wealth Management Division. Prior to joining Citi, he served as Director of Strategy and Business Execution at Lucent Technologies.
Mr. McIntosh joined Citi in his current position in October 2021. Previously, he served as Under Secretary for International Affairs at the U.S. Treasury from 2019 to 2021. From 2017 to 2019, he served as the U.S. Treasurys General Counsel. Prior to that, he was a partner in the law firm of Sullivan & Cromwell and served in the U.S. White House from 2006 until 2009.
Mr. Morton joined Citi in 2008 and assumed his current position in March 2022. Prior to his current role, he was appointed Co-Head of Markets in November 2019, and prior to that, he was Head of the G10 Rates and Financing businesses. Prior to joining Citi, he spent 15 years at Lehman Brothers, holding several positions including European Head of Fixed Income and Global Head of Fixed Income.
Mr. Raghavan joined Citi in his current position in June 2024. Prior to joining Citi, he was Head of Global Investment Banking at JPMorgan, after previously having served as Co-Head of Global Investment and Corporate Banking since 2020. In addition to his global Banking responsibilities, he was also Chief Executive Officer of JPMorgan in Europe, the Middle East and Africa since 2017. He first joined JPMorgan in 2000 and has held senior roles in Debt and Equity Capital Markets globally.
Mr. Ryan joined Citi in his current position in June 2024. He has over 30 years of diversified experience in the financial services industry, both in the U.S. and internationally. Previously, he was the Chairman and Senior Partner at PricewaterhouseCoopers, overseeing the firms strategy and execution. He also served as Vice Chairman, where his responsibilities included strategy, investor relations, regulatory affairs, public policy, corporate responsibility, marketing and sales, and human capital. 
Mr. Selvakesari joined Citi in 1991 and assumed his current position in March 2023. Previously, he served as CEO of Citis Personal Banking and Wealth Management franchise. He also served as Head of the U.S. Consumer Bank from 2019 to 2020, and Head of Consumer Banking for Asia Pacific from 2015 to 2018, as well as in a number of regional and country roles, including Head of Consumer Banking for ASEAN and India, leading the consumer banking businesses in Singapore, Malaysia, Indonesia, the Philippines, Thailand and Vietnam, as well as India. 
Mr. Sieg joined Citi in his current position in November 2023. Previously, he served as the president of Merrill Wealth Management and held various senior strategy, product and field leadership roles in the wealth management business. He served as a senior wealth management executive at Citi from 2005 to 2009, and earlier in his career in the White House as an aide to the Assistant to the President for Economic and Domestic Policy.
Mr. Skyler joined Citi in 2010 and assumed his current position in 2022. Prior to joining Citi, he served as Deputy Mayor for Operations for the City of New York, as a member of Mayor Bloombergs administration. He also previously worked at Bloomberg L.P.
Mr. Torres Cant joined Citi in 1989 and assumed his current position in September 2023. Previously, he served as CEO of Latin America. From 2014 to 2019, he served as CEO of Citibanamex, and from 2012 to 2014 as CEO of Citibanamex Consumer Banking.
Mr. Turek joined Citi in 1991 and assumed his current position in February 2021. Prior to being named Interim Chief Risk Officer for Citi in December 2020, he served as EMEA Chief Risk Officer. He held various other roles at Citi, including CEO of Citibank Europe, as well as leading significant franchises across Citi, including in Russia, South Africa and Hungary.
Ms. Wechter joined Citi in 2004 and assumed her current position in July 2018. Previously, she served as Citis Head of Talent and Diversity as well as Chief of Staff to Citis CEO. She also previously served as Chief of Staff to the Chairman of Citigroups Board of Directors. In addition, she previously held roles in Citis Institutional Clients Group.
Code of Conduct, Code of Ethics
Citi has a Code of Conduct that maintains its commitment to the highest standards of conduct. The Code of Conduct is supplemented by a Code of Ethics for Financial Professionals (including accounting, controllers, financial reporting operations, financial planning and analysis, treasury, capital planning, tax, productivity and strategy, M&A, investor relations and regional/product finance professionals and administrative staff) that applies worldwide. The Code of Ethics for Financial Professionals applies to Citis principal executive officer, principal financial officer and principal accounting officer. Amendments and waivers, if any, to the Code of Ethics for Financial Professionals will be disclosed on Citis website, www.citigroup.com. The Audit Committee has responsibility for the oversight of Citis Code of Ethics for Financial Professionals. 
Both the Code of Conduct and the Code of Ethics for Financial Professionals can be found on the Citi website by clicking on Investors and then Corporate Governance. Citis Corporate Governance Guidelines can also be found there, as well as the charters for the Audit Committee, the Compensation, Performance Management and Culture Committee, the Nomination, Governance and Public Affairs Committee, the Risk Management Committee and the Technology Committee of Citigroups Board of Directors. These materials are also available by writing to Citigroup Inc., Corporate Governance, 388 Greenwich Street, 17th Floor, New York, New York 10013.
305 
CITIGROUP BOARD OF DIRECTORS
| |
| Titi ColeFormer Head of Legacy Franchises, Citigroup Inc. Ellen M. CostelloChair, Citibank, N.A.Grace E. DaileyFormer Senior Deputy Comptroller for Bank Supervision Policy and Chief National Bank ExaminerOffice of the Comptroller of the Currency (OCC)John C. DuganLead Independent DirectorCitigroup Inc.Jane FraserChair of the Board and Chief Executive Officer, Citigroup Inc. | Duncan P. HennesCo-Founder and PartnerAtrevida Partners, LLCPeter Blair HenryClass of 1984 Senior Fellow, Hoover Institution, and Senior Fellow, Freeman Spogli Institute for International Studies, Stanford UniversityRene J. JamesFounder and CEORule42Jonathan MouldsChair, Citigroup Global Markets Limited (CGML) | Gary M. ReinerFormer Operating PartnerGeneral Atlantic LLCDiana L. TaylorFormer Superintendent of BanksState of New YorkJames S. TurleyFormer Chairman and CEOErnst & YoungCasper W. von Koskull Former President and Group Chief Executive Officer Nordea Bank Abp | |
306 
EXHIBIT INDEX
| |
| Number | Description | |
| 3.1+ | Restated Certificate of Incorporation of Citigroup Inc., as amended, as in effect on the date hereof. | |
| |
| 3.02 | By-Laws of Citigroup Inc., as amended, as in effect on the date hereof, incorporated by reference to Exhibit 3.02 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2025 (File No. 001-09924). | |
| |
| 4.01 | Form of Senior Indenture between Citigroup Inc. and The Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.8 to Citigroup Inc.s Registration Statement on Form S-3 filed November 13, 2013 (File No. 333-192302). | |
| |
| 4.02 | First Supplemental Indenture, dated as of February 1, 2016, between Citigroup Inc. and The Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.01 to Citigroup Inc.s Current Report on Form 8-K filed on February 1, 2016 (File No. 001-9924). | |
| |
| 4.03 | Second Supplemental Indenture, dated as of December 29, 2016, between Citigroup Inc. and The Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.01 to Citigroup Inc.s Current Report on Form 8-K filed on December 29, 2016 (File No. 001-9924). | |
| |
| 4.04 | Third Supplemental Indenture dated as of June 26, 2017 among Citigroup Global Markets Holdings Inc., Citigroup Inc. and The Bank of New York Mellon, as trustee, to Indenture dated as of November 13, 2013, incorporated by reference to Exhibit 4.01 to Citigroup Inc.s Quarterly Report on Form 10-Q filed on August 1, 2017 (File No. 001-09924). | |
| |
| 4.05 | Fourth Supplemental Indenture dated as of June 27, 2019, between Citigroup Inc. and The Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.2 to Citigroup Inc.s Current Report on Form 8-K filed on June 28, 2019 (File No. 001-09924). | |
| |
| 4.06 | Fifth Supplemental Indenture dated as of December 18, 2023, between Citigroup Inc. and The Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.1 to Citigroup Inc.s Current Report on Form 8-K filed on December 19, 2023 (File No. 001-09924). | |
| |
| 4.07 | Subordinated Debt Indenture, dated as of April 12, 2001, between Citigroup Inc. and The Bank of New York Mellon, as successor to JP Morgan Chase Bank (formerly Bank One Trust Company, N.A.), as trustee, incorporated by reference to Exhibit 4.1 to Citigroup Inc.s Registration Statement on Form S-3 filed February 4, 2013 (File No. 333-186425). | |
| |
| 4.08 | First Supplemental Indenture, dated as of August 2, 2004, between Citigroup Inc. and J.P. Morgan Trust Company, N.A. (formerly Bank One Trust Company, N.A.), as trustee, incorporated by reference to Exhibit 4.13 to Citigroup Inc.s Registration Statement on Form S-3/A filed August 31, 2004 (File No. 333-117615). | |
| |
| 4.09 | Second Supplemental Indenture, dated as of May 18, 2016, between Citigroup Inc. and The Bank of New York Mellon, as successor to J.P. Morgan Trust Company, N.A. (formerly Bank One Trust Company, N.A.), as trustee, incorporated by reference to Exhibit 4.2 to Citigroup Inc.s Current Report on Form 8-K filed on May 20, 2016 (File No. 001-9924). | |
| |
| 4.10 | Third Supplemental Indenture, dated as of March 1, 2017, between Citigroup Inc. and The Bank of New York Mellon, as successor to J.P. Morgan Trust Company, N.A. (formerly Bank One Trust Company, N.A.), as trustee, incorporated by reference to Exhibit 4.11 to Citigroup Inc.s Registration Statement on Form S-3 filed March 1, 2017 (File No. 333-216372). | |
| |
| 4.11 | Fourth Supplemental Indenture, dated as of June 27, 2019, between Citigroup Inc. and The Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.1 to Citigroup Inc.s Current Report on Form 8-K filed on June 28, 2019 (File No. 001-09924). | |
| |
307 
| |
| 4.12 | Indenture, dated as of March 15, 1987, between Primerica Corporation, a New Jersey corporation, and The Bank of New York, as trustee, incorporated by reference to Exhibit 4.01 to Citigroup Inc.s Registration Statement on Form S-3 filed December 8, 1992 (File No. 03355542). | |
| |
| 4.13 | First Supplemental Indenture, dated as of December 15, 1988, among Primerica Corporation, Primerica Holdings, Inc. and The Bank of New York, as trustee, incorporated by reference to Exhibit 4.02 to Citigroup Inc.s Registration Statement on Form S-3 filed December 8, 1992 (File No. 03355542). | |
| |
| 4.14 | Second Supplemental Indenture, dated as of January 31, 1991, between Primerica Holdings, Inc. and The Bank of New York, as trustee, incorporated by reference to Exhibit 4.03 to Citigroup Inc.s Registration Statement on Form S-3 filed December 8, 1992 (File No. 03355542). | |
| |
| 4.15 | Third Supplemental Indenture, dated as of December 9, 1992, among Primerica Holdings, Inc., Primerica Corporation and The Bank of New York, as trustee, incorporated by reference to Exhibit 5 to Citigroup Inc.s Form 8-A dated December 21, 1992, with respect to its 7 3/4% Notes due June 15, 1999 (File No. 001-09924). | |
| |
| 4.16 | Fourth Supplemental Indenture, dated as of November 2, 1998, between Citigroup Inc. and The Bank of New York, as trustee, incorporated by reference to Exhibit 4.01 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarter ended September 30, 1998 (File No. 001-09924). | |
| |
| 4.17 | Fifth Supplemental Indenture, dated as of December 9, 2008, between Citigroup Inc. and The Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.04 to Citigroup Inc.s Current Report on Form 8-K filed December 11, 2008 (File No. 001-09924). | |
| |
| 4.18 | Sixth Supplemental Indenture, dated as of December 20, 2012, between Citigroup Inc. and The Bank of New York Mellon, as trustee, providing for the issuance of debt securities, incorporated by reference to Exhibit 4.5 to Citigroup Inc.s Current Report on Form 8-K filed December 21, 2012 (File No. 001-09924). | |
| |
| 4.19 | Seventh Supplemental Indenture, dated as of May 18, 2016, between Citigroup Inc. and The Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.1 to Citigroup Inc.s Current Report on Form 8-K filed on May 20, 2016 (File No. 001-9924). | |
| |
| 4.20 | Eighth Supplemental Indenture, dated as of January 9, 2026 between Citigroup Inc. and The Bank of New York Mellon, as trustee (incorporated by reference to Exhibit 4.1 to Citigroup Inc.s Current Report on Form 8-K Filed on January 12, 2026 (File No. 1-9924)). | |
| |
| 4.21 | Senior Debt Indenture, dated as of June 1, 2005, among Citigroup Funding Inc., Citigroup Inc. and The Bank of New York Mellon, as successor trustee to JPMorgan Chase Bank, N.A., incorporated by reference to Exhibit 4(b) to Citigroup Inc.s Registration Statement on Form S-3 filed March 13, 2006 (File No. 333-132370-01). | |
| |
| 4.22 | Second Supplemental Indenture, dated as of December 20, 2012, among Citigroup Funding Inc., Citigroup Inc. and The Bank of New York Mellon, as successor trustee to JPMorgan Chase Bank, N.A., incorporated by reference to Exhibit 4.2 to Citigroup Inc.s Current Report on Form 8-K filed December 21, 2012 (File No. 001-09924). | |
| |
| 4.23 | Third Supplemental Indenture, dated as of January 9, 2026 between Citigroup Inc. and The Bank of New York Mellon, as successor trustee to JPMorgan Chase Bank N.A. (incorporated by reference to Exhibit 4.4 to Citigroup Inc.s Current Report on Form 8-K Filed on January 12, 2026 (File No. 1-9924)). | |
| |
| 4.24 | Indenture, dated as of July 23, 2004, between Citigroup Inc. and The Bank of New York Mellon, as successor trustee to JPMorgan Chase Bank, as trustee, incorporated by reference to Exhibit 4.28 to Citigroup Inc.s Registration Statement on Form S-3 filed July 23, 2004 (File No. 333-117615). | |
| |
| 4.25 | Form of Indenture, between Citigroup Inc. and The Bank of New York Mellon, as successor trustee to JPMorgan Chase Bank (formerly known as The Chase Manhattan Bank), incorporated by reference to Exhibit 4.11 to the Travelers Group Inc. Registration Statement on Form S-3 filed September 20, 1996 (File No. 333-12439). | |
| |
308 
| |
| 4.26 | Senior Debt Indenture, dated as of March 8, 2016, between Citigroup Global Markets Holdings Inc., Citigroup Inc. and The Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.1 to Citigroup Inc.s Current Report on Form 8-K filed March 9, 2016 (File No. 001-09924). | |
| |
| 4.27 | First Supplemental Indenture, dated as of March 1, 2017, between Citigroup Global Markets Holdings Inc., Citigroup Inc. and the Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.24 to Citigroup Inc.s Registration Statement on Form S-3 filed March 1, 2017 (File No. 333-216372). | |
| |
| 4.28 | Second Supplemental Indenture, dated as of April 13, 2020, between Citigroup Global Markets Holdings Inc., Citigroup Inc. and the Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.01 to Citigroup Inc.s Current Report on Form 8-K filed on April 13, 2020 (File No. 001-09924). | |
| |
| 4.29 | Third Supplemental Indenture, dated as of December 18, 2023, between Citigroup Global Markets Holdings Inc., Citigroup Inc. and the Bank of New York Mellon, as trustee, incorporated by reference to Exhibit 4.2 to Citigroup Inc.s Current Report on Form 8-K filed on December 19, 2023 (File No. 001-09924). | |
| |
| 4.30 | Fourth Supplemental Indenture, dated as of January 9, 2026, between Citigroup Global Markets Holdings, Inc., and The Bank of New York Mellon, as trustee (incorporated by reference to Exhibit 4.5 to Citigroup Inc.s Current Report on Form 8-K Filed on January 12, 2026 (File No. 1-9924)). | |
| |
| 4.31 | Form of Capital Securities Guarantee Agreement between Citigroup Inc. as Guarantor, and The Bank of New York Mellon, as Guarantee Trustee, incorporated by reference to Exhibit 4.32 to Citigroup Inc.s Registration Statement on Form S-3 filed July 2, 2004 (File No. 333-117615). | |
| |
| 4.32 | Specimen Physical Common Stock Certificate of Citigroup Inc., incorporated by reference to Exhibit 4.1 to Citigroup Inc.s Current Report on Form 8-K filed May 9, 2011 (File No. 001-09924). | |
| |
| 4.33 | Amended and Restated Declaration of Trust for Citigroup Capital XIII (incorporated by reference to Exhibit 4.02 to Citigroup Inc.s Current Report on Form 8-K filed on September 30, 2010 (File No. 109924)). | |
| |
| 4.34 | Form of Amended and Restated Declaration of Trust for Citigroup Capital III (previously known as Travelers Capital III), incorporated by reference to Exhibit 4.8 to Travelers Group Inc.s Registration Statement on Form S-3 (File No. 333-12439). | |
| |
| 4.35+ | Description of Citigroup Inc.s Securities Registered Pursuant to Section 12 of the Securities Exchange Act of 1934. | |
| |
| 10.01* | Citi Discretionary Incentive and Retention Award Plan (as Amended and Restated Effective as of January 1, 2024), incorporated by reference to Exhibit 10.01 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2024 (File No. 001-09924). | |
| |
| 10.02.1* | Citigroup Inc. 2014 Stock Incentive Plan (as amended and restated effective April 24, 2018), incorporated by reference to Exhibit 10.1 to Citigroup Inc.s Current Report on Form 8-K filed April 30, 2018 (File No. 001-09924). | |
| |
| 10.02.2* | Citigroup Inc. 2019 Stock Incentive Plan (as amended and restated effective April 30, 2024), incorporated by reference to Exhibit 10.1 to Citigroup Inc.s Current Report on Form 8-K filed May 2, 2024 (File No. 001-09924). | |
| |
| 10.03* | Citigroup Inc. Deferred Cash Award Plan (as Amended and Restated Effective as of January 1, 2024), incorporated by reference to Exhibit 10.02 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2024 (File No. 001-09924). | |
| |
| |
| |
| 10.04* | Form of Citigroup Inc. CAP/DCAP Agreement (for awards granted on February 10, 2022 and in future years), incorporated by reference to Exhibit 10.01 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2022 (File No. 001-09924). | |
| |
309 
| |
| 10.05* | Form of Citigroup Inc. CAP Agreement, incorporated by reference to Exhibit 10.01 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2019 (File No. 001-09924). | |
| |
| 10.06* | Citigroup Inc. DCAP Agreement, incorporated by reference to Exhibit 10.04 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2020 (File No. 001-09924). | |
| |
| 10.07* | Form of Citigroup Inc. CAP Agreement (for awards to be granted in February 2025 and future years), incorporated by reference to Exhibit 10.1 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2024 (File No. 001-09924). | |
| |
| 10.08.1* | Form of Citigroup Inc. Performance Share Unit Award Agreement (awards dated February 11, 2021 and in future years), incorporated by reference to Exhibit 10.01 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2021 (File No. 001-09924). | |
| |
| 10.08.2* | Form of Citigroup Inc. Performance Share Unit Award Agreement (awards to be granted in February 2025 and in future years), incorporated by reference to Exhibit 10.2 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2024 (File No. 001-09924). | |
| |
| 10.09* | Employment Termination Notice and Non-Solicitation Policy for U.S. Employees, effective April 1, 2021, incorporated by reference to Exhibit 10.03 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2024 (File No. 001-09924). | |
| |
| 10.10* | Citigroup Inc. Non-Employee Directors Compensation Plan (Effective as of January 1, 2008), incorporated by reference to Exhibit 10.01 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2007 (File No. 001-09924). | |
| |
| 10.11* | Agreement between Bradford Hu and Citibank, N.A. (dated as of March 12, 2021), incorporated by reference to Exhibit 10.03 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2021 (File No. 001-09924). | |
| |
| 10.12* | Form of Transformation Program Agreement (for awards granted on November 1, 2022), incorporated by reference to Exhibit 10.02 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2022 (File No. 001-09924). | |
| |
| 10.13* | Agreement between Andrew Sieg and Citibank, N.A. (dated March 20, 2023), incorporated by reference to Exhibit 10.3 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2024 (File No. 001-09924). | |
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| 10.14* | Agreement between Vis Raghavan and Citibank, N.A. (dated January 14, 2025), incorporated by reference to Exhibit 10.2 to Citigroup Inc.s Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2025 (File No. 001-09924). | |
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| 10.15+ | Award Agreement between Jane Fraser and Citigroup Inc. (dated October 22, 2025). | |
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| 19.01+ | Trading and Material Non-Public Information (MNPI) Standard for Citi Securities. | |
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| 19.02+ | Policy on Transactions in Citigroup Inc. Securities by Non-Management Members of Citigroup Inc.s Board of Directors. | |
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| 19.03+ | Citigroup Inc. Share Repurchase and Securities Issuance Procedures. | |
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| 21.01+ | Subsidiaries of Citigroup Inc. | |
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| 22.01+ | Subsidiary Issuers of Guaranteed Securities. | |
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| 23.01+ | Consent of KPMG LLP, Independent Registered Public Accounting Firm. | |
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| 24.01+ | Powers of Attorney. | |
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| 31.01+ | Certification of principal executive officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. | |
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| 31.02+ | Certification of principal financial officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. | |
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| 32.01+ | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | |
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| 97.01+ | Citigroup Inc. Dodd-Frank Clawback Provisions (effective as of October 2, 2023). | |
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| 99.01+ | List of Securities Registered Pursuant to Section 12(b) of the Securities Exchange Act of 1934, formatted in inline XBRL. | |
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| 101.01+ | Financial statements from the Annual Report on Form 10-K of Citigroup Inc. for the fiscal year ended December 31, 2025, filed on February20, 2026, formatted in inline XBRL: (i) the Consolidated Statement of Income, (ii) the Consolidated Balance Sheet, (iii) the Consolidated Statement of Changes in Stockholders Equity, (iv) the Consolidated Statement of Cash Flows and (v) the Notes to Consolidated Financial Statements. | |
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| 104 | The cover page of this Annual Report on Form 10-K, formatted in inline XBRL. | |
The total amount of securities authorized pursuant to any instrument defining rights of holders of long-term debt of Citigroup Inc. does not exceed 10% of the total assets of Citigroup Inc. and its consolidated subsidiaries. Citigroup Inc. will furnish copies of any such instrument to the SEC upon request.
Copies of any of the exhibits referred to above will be furnished at a cost of $0.25 per page (although no charge will be made for the 2025 Annual Report on Form 10-K) to security holders who make a written request to Citigroup Inc., Corporate Governance, 388 Greenwich Street, New York, NY 10013.
* Denotes a management contract or compensatory plan or arrangement.
+ Filed herewith.
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SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized, on the 20th day of February, 2026.
Citigroup Inc.
(Registrant)
/s/ Mark A. L. Mason
Mark A. L. Mason
Chief Financial Officer
Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities indicated on the 20th day of February, 2026.
Citigroups Principal Executive Officer and Board Chair:
/s/ Jane Fraser
Jane Fraser
Citigroups Principal Financial Officer:
/s/ Mark A. L. Mason
Mark A. L. Mason
Citigroups Principal Accounting Officer:
/s/ Nicole Giles
Nicole Giles
The Directors of Citigroup listed below executed a power of attorney appointing Mark A. L. Mason their attorney-in-fact, empowering him to sign this report on their behalf.
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| Titi Cole | Rene J. James | |
| Ellen M. Costello | Jonathan Moulds | |
| Grace E. Dailey | Gary M. Reiner | |
| John C. Dugan | Diana L. Taylor | |
| Duncan P. Hennes | James S. Turley | |
| Peter Blair Henry | Casper W. von Koskull | |
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| |
/s/ Mark A. L. Mason
Mark A. L. Mason
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GLOSSARY OF TERMS AND ACRONYMS
The following is a list of terms and acronyms that are used in this report and certain other Citigroup presentations. 
* Denotes a Citi metric
2025 Annual Report on Form 10-K: Annual Report on Form 10-K for the year ended December31, 2025, filed with the SEC.
90+ days past due delinquency rate*: Represents consumer loans that are past due by 90 or more days, divided by that periods total EOP loans.
ABS: Asset-backed securities
ACL: Allowance for credit losses, which is composed of the allowance for credit losses on loans (ACLL), allowance for credit losses on unfunded lending commitments (ACLUC), allowance for credit losses on HTM securities and allowance for credit losses on other assets.
ACLL: Allowance for credit losses on loans
ACLUC: Allowance for credit losses on unfunded lending commitments
Advanced Approaches: The Advanced Approaches capital framework, established through Basel III rules by the FRB, requires certain banking organizations to use an internal ratings-based approach and other methodologies to calculate risk-based capital requirements for credit risk and advanced measurement approaches to calculate risk-based capital requirements for operational risk. 
AFS: Available-for-sale
AI: Artificial intelligence
ALCO: Asset and Liability Committee
Amortized cost: Amount at which a financing receivable or investment is originated or acquired, adjusted for accretion or amortization of premium, discount, and net deferred fees or costs, collection of cash, charge-offs, foreign exchange and fair value hedge accounting adjustments. For AFS securities, amortized cost is also reduced by any impairment losses recognized in earnings. Amortized cost is not reduced by the allowance for credit losses, except where explicitly presented net.
AOCI: Accumulated other comprehensive income (loss)
ASC: Accounting Standards Codification under GAAP issued by the FASB.
Asia Consumer: Asia Consumer Banking
ASU: Accounting Standards Update under GAAP issued by the FASB.
AUC/AUA: Assets under custody and administration includes assets for which Citi provides custody or safekeeping services for assets held directly or by a third party on behalf of clients, or assets for which Citi provides administrative services for clients.
Available liquidity resources*: Resources available at the balance sheet date to support Citis client and business needs, 
including HQLA assets; additional unencumbered securities, including excess liquidity held at bank entities that is non-transferable to other entities within Citigroup; and available assets not already accounted for within Citis HQLA to support Federal Home Loan Bank (FHLB) and Federal Reserve Bank discount window borrowing capacity.
Banamex: Grupo Financiero Banamex, S.A. de C.V., the legal entity being divested by Citi
Basel III: Liquidity and capital rules adopted by the FRB based on an internationally agreed set of measures developed by the Basel Committee on Banking Supervision.
Beneficial interests issued by consolidated VIEs: Represents the interest of third-party holders of debt, equity securities or other obligations, issued by VIEs that Citi consolidates.
Benefit obligation: Refers to the projected benefit obligation for pension plans and the accumulated postretirement benefit obligation for OPEB plans.
BHC: Bank holding company
Board: Citigroups Board of Directors
Book value per share*: EOP common equity divided by EOP common shares outstanding.
Bps: Basis points. One basis point equals 1/100th of one percent.
Branded Cards: Citis branded cards business with a portfolio of proprietary cards (Value, Rewards and Cash), co-branded cards (including Costco and American Airlines) and personal installment loans.
Build: A net increase in the ACL through the provision for credit losses.
Card spend volume*: Dollar amount of card customers gross purchases. Also known as purchase sales.
Cards: Citis credit cards businesses or activities.
CCAR: Comprehensive Capital Analysis and Review
CCO: Chief Compliance Officer
CCyB: Countercyclical Capital Buffer
CDS: Credit default swaps
CECL: Current expected credit losses
CEO: Chief Executive Officer
CET1 Capital: Common Equity Tier 1 Capital. See Capital ResourcesComponents of Citigroup Capital above within MD&A for the components of CET1.
CET1 Capital ratio*: Common Equity Tier 1 Capital ratio. A primary regulatory capital ratio representing end-of-period CET1 Capital divided by total risk-weighted assets.
CFO: Chief Financial Officer
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CGMHI: Citigroup Global Markets Holdings Inc.
CGMI: Citigroup Global Markets Inc. 
CGML: Citigroup Global Markets Limited
Citi: Citigroup Inc.
Citibank or CBNA: Citibank, N.A. (National Association) 
Classifiably managed: Loans primarily evaluated for credit risk based on internal risk rating classification. 
Client investment assets: Represent assets under management, trust and custody assets.
Cluster revenues: Cluster revenues are primarily based on where the underlying transaction is managed.
CODM: Chief operating decision maker. For Citi, the Chief Executive Officer. 
Collateral dependent: A loan is considered collateral dependent when repayment of the loan is expected to be provided substantially through the operation or sale of the collateral when the borrower is experiencing financial difficulty, including when foreclosure is deemed probable based on borrower delinquency.
Commercial card spend volume: Represents the total global spend volumes using Citi-issued commercial cards net of refunds and returns.
Commercial cards: Provides a wide range of payment services to corporate and public sector clients worldwide through commercial card products. Services include procurement, corporate travel and entertainment, expense management services and business-to-business payment solutions.
Consent Orders: In October 2020, Citigroup and Citibank entered into consent orders with the FRB and OCC that require Citigroup and Citibank to make improvements in various aspects of enterprise-wide risk management, compliance, data quality management related to governance, and internal controls. In July 2024, the FRB and OCC entered into civil money penalty consent orders with Citigroup and Citibank to address remediation effort shortcomings.
CRE: Commercial real estate
Credit cycle: A period of time over which credit quality improves, deteriorates and then improves again (or vice versa). The duration of a credit cycle can vary from a couple of years to several years.
Credit derivatives: Financial instruments whose value is derived from the credit risk associated with the debt of a third-party issuer (the reference entity), which allow one party (the protection purchaser) to transfer that risk to another party (the protection seller). 
Criticized: Loans, lending-related commitments or derivative receivables that are classified as special mention, substandard or doubtful for regulatory purposes.
Cross-border transaction value: Represents the total value of cross-border FX payments processed through Citis proprietary Worldlink and Cross-Border Funds Transfer 
platforms, including payments from consumer, corporate, financial institution and public sector clients.
CTA: Cumulative translation adjustment (also known as currency translation adjustment). A separate component of equity within AOCI reported net of tax. For Citi, represents the impact of translating non-USD balance sheet items into USD each period. The CTA amount in EOP AOCI is a cumulative balance, net of tax.
CVA: Credit valuation adjustment
DCM: Debt Capital Markets
Delinquency managed: Loans primarily evaluated for credit risk based on delinquencies, FICO scores and the value of underlying collateral.
Digital asset: Anything created and stored digitally that is identifiable and discoverable, establishes ownership and has or provides value (including tokenized deposits, cryptocurrencies, stablecoins and other assets and products that use distributed ledger or blockchain technology).
Divestiture-related impacts: Citis results excluding divestiture-related impacts represent as reported, or GAAP, financial results adjusted for items that are incurred and recognized, which are wholly and necessarily a consequence of actions taken to sell (including through a public offering), dispose of or wind down business activities associated with Citis announced 14 exit markets.
Dividend payout ratio*: Represents dividends declared per common share as a percentage of net income per diluted share.
DPD: Days past due
DTA: Deferred tax asset
DVA: Debt valuation adjustment
ECM: Equity Capital Markets
Efficiency ratio*: A ratio signifying how much of a dollar in expenses (as a percentage) it takes to generate one dollar in revenue. Represents total operating expenses divided by total revenues, net.
EOP: End-of-period
EPS*: Earnings per share
EU: European Union
Fannie Mae: Federal National Mortgage Association
FASB: Financial Accounting Standards Board
FCA: Financial Conduct Authority
FDIC: Federal Deposit Insurance Corporation
Federal Reserve Board (FRB): The Board of the Governors of the Federal Reserve System
FFIEC: Federal Financial Institutions Examination Council
FHA: Federal Housing Administration
FHLB: Federal Home Loan Bank
FICO: Fair Isaac Corporation
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FICO score: A measure of consumer credit risk provided by credit bureaus, typically produced from statistical models by Fair Isaac Corporation utilizing data collected by the credit bureaus.
FINRA: Financial Industry Regulatory Authority
FRB: Federal Reserve Board
Freddie Mac: Federal Home Loan Mortgage Corporation
FVA: Funding valuation adjustment
FX: Foreign exchange
FX translation: The impact of converting non-U.S. dollar currencies into U.S. dollars.
GAAP or U.S. GAAP: Generally accepted accounting principles in the United States of America.
Generative AI: A type of artificial intelligence that uses generative models to create text and other content.
GILTI: Global intangible low-taxed income
Ginnie Mae: Government National Mortgage Association
GSIB: Global Systemically Important Bank
HFI loans: Loans that are held-for-investment (i.e., excludes loans held-for-sale).
HFS: Held-for-sale
HQLA: High-quality liquid assets. Consist of cash and certain high-quality liquid securities as defined in the LCR rule.
HTM: Held-to-maturity
Hyperinflation: Extreme economic inflation with prices rising at a very high rate in a very short time. Under U.S. GAAP, entities operating in a hyperinflationary economy need to change their functional currency to the U.S. dollar. Once the change is made, the CTA balance is frozen.
IMF: International Monetary Fund
Interchange fees: Fees earned from merchants based on Citis credit and debit card customer sales transactions. Interchange fees are presented net of certain transaction processing fees paid, primarily to the networks, on behalf of the merchant.
International region: Comprises six clusters: United Kingdom; Japan, Asia North and Australia (JANA); LATAM; Asia South; Europe; and Middle East, Africa and Russia (MEA).
IPO: Initial public offering
JANA: Japan, Asia North and Australia
KPMG: KPMG LLP, Citis Independent Registered Public Accounting Firm
LATAM: Latin America
LCR: Liquidity Coverage ratio. Represents HQLA divided by net outflows in the period.
LGD: Loss given default
LLC: Limited Liability Company
LTD: Long-term debt
LTV: Loan-to-value. For residential real estate loans, the relationship, expressed as a percentage, between the principal amount of a loan and the estimated value of the collateral (i.e., residential real estate) securing the loan.
Managed basis: Results reflected on a managed basis exclude divestiture-related impacts.
Master netting agreement: A single agreement with a counterparty that permits multiple transactions governed by that agreement to be terminated or accelerated and settled through a single payment in a single currency in the event of a default (e.g., bankruptcy, failure to make a required payment or securities transfer or deliver collateral or margin when due).
MBS: Mortgage-backed securities
MD&A: Managements Discussion and Analysis, a section within an SEC Form 10-Q or 10-K.
MEA: Middle East, Africa and Russia.
Measurement alternative: Measures equity securities without readily determinable fair values at cost less impairment (if any), plus or minus observable price changes from an identical or similar investment of the same issuer.
Mexico Consumer: Mexico Consumer Banking 
Mexico Consumer/SBMM: Mexico Consumer Banking and Small Business and Middle-Market Banking reported within Legacy Franchises in All Other. Mexico Consumer/SBMM operates primarily through Grupo Financiero Banamex, S.A. de C.V. and its consolidated subsidiaries, including Banco Nacional de Mexico, S.A., which provides traditional retail banking and branded card products to consumers and small business customers and traditional middle-market banking products and services to commercial customers, and other affiliated subsidiaries that offer retirement fund administration and insurance products.
Mexico SBMM: Mexico Small Business and Middle-Market Banking
Moodys: Moodys Ratings
MSRs: Mortgage servicing rights
N/A: Data is not applicable or available for the period presented.
NAA: Non-accrual assets. Consists of non-accrual loans and OREO.
NAL: Non-accrual loans. Loans for which interest income is not recognized on an accrual basis. Loans (other than credit card loans and certain consumer loans insured by U.S. government-sponsored agencies) are placed on non-accrual status when full payment of principal and interest is not expected, regardless of delinquency status, or when principal and interest have been in default for a period of 90 days or more unless the loan is both well secured and in the process of collection. Collateral-dependent loans are typically maintained on non-accrual status.
NAV: Net asset value
NCL(s): Net credit losses. Represents gross credit losses, less gross credit recoveries.
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NCL ratio*: Represents net credit losses (recoveries) (annualized), divided by average loans for the reporting period.
Net capital rule: Rule 15c3-1 under the Securities Exchange Act of 1934.
NIM*: Net interest margin expressed as a yield percentage, calculated as annualized net interest income divided by average interest-earning assets for the period.
NM: Not meaningful
NNIA (net new investment asset flows) (Wealth): Represents investment asset inflows, including dividends, interest and distributions, less investment asset outflows. Excluded from the calculation are the impacts of fees and commissions, market movement, internal transfers within Citi specific to systematic upgrades/downgrades with USPB and any impact from strategic decisions by Citi to exit certain markets or services. Also excluded from the calculation are net new investment assets associated with markets for which data was not available for current-period reporting.
Noncontrolling interests: The portion of an investment that has been consolidated by Citi that is not 100% owned by Citi. 
Non-GAAP financial measure: A non-GAAP financial measure is a numerical measure of the Companys historical or future financial performance, financial position or cash flows that (i) excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the most directly comparable measure calculated and presented in accordance with GAAP in the statement of income, balance sheet or statement of cash flows (or equivalent statements) of the Company; or (ii) includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the most directly comparable measure so calculated and presented.
Note: All Note references correspond to the Notes to the Consolidated Financial Statements herein, unless otherwise indicated.
NSFR: Net stable funding ratio
OCC: Office of the Comptroller of the Currency
OCI: Other comprehensive income (loss)
Operating leverage*: Represents the year-over-year growth rate in basis points (bps) of Total revenues, net of interest expense less the year-over-year growth rate of Total operating expenses. A positive operating leverage percentage indicates that the revenue growth rate was greater than the expense growth rate.
OREO: Other real estate owned
Organic growth (Wealth): Organic growth is defined as growth in client investment assets related to net new investment assets (NNIA) and excluding the impact of market growth. It is calculated as the sum of NNIA for each quarter from the first quarter of 2025 through the fourth quarter of 2025 divided by fourth quarter of 2024 client investment assets.
OTTI: Other-than-temporary impairment
Over-the-counter cleared (OTC-cleared) derivatives: Derivative contracts that are negotiated and executed bilaterally, but subsequently settled via a central clearing house, such that each derivative counterparty is only exposed to the default of that clearing house.
Over-the-counter (OTC) derivatives: Derivative contracts that are negotiated, executed and settled bilaterally between two derivative counterparties, where one or both counterparties are derivatives dealers.
Parent company: Citigroup Inc.
Partner payments: Payments made to credit card partners primarily based on program sales and profitability.
PD: Probability of default
PIL: Personal installment loans
Prime balances: Prime balances are defined as clients billable balances where Citi provides cash or synthetic prime brokerage services. Management uses this information in reviewing the businesss size and growth and believes it is useful to investors concerning underlying business size and growth trends.
Principal transactions revenue: Primarily trading-related revenues predominantly generated by the Services, Markets and Banking segments. See Note 6.
Provision for credit losses: Composed of the provision for credit losses on loans, provision for credit losses on HTM investments, provision for credit losses on other assets and provision for credit losses on unfunded lending commitments.
Provisions: Provisions for credit losses and for benefits and claims.
Purchased credit-deteriorated: Purchased credit-deteriorated assets are financial assets that as of the date of acquisition have experienced a more-than-insignificant deterioration in credit quality since origination, as determined by the Company.
R&S forecast period: Reasonable and supportable period over which Citi forecasts future macroeconomic conditions for CECL purposes.
Real GDP: Real gross domestic product is the inflation-adjusted value of the goods and services produced by labor and property located in a country.
Reconciling Items: Divestiture-related impacts excluded from the results of All Other, as well as All OtherLegacy Franchises on a managed basis. The Reconciling Items are fully reflected in Citis Consolidated Statement of Income for each respective line item.
Regulatory VaR: Daily aggregated VaR calculated in accordance with regulatory rules.
Release: A net decrease in the ACL through the provision for credit losses.
Reported basis: Financial statements prepared under U.S. GAAP.
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Results of operations that exclude certain impacts from gains or losses on sale, or one-time charges*: Represents GAAP items, excluding the impact of gains or losses on sales, or one-time charges (e.g., the loss on sale related to the sale of Citis consumer banking business in Australia).
Results of operations that exclude the impact of FX translation*: Represents GAAP items, excluding the impact of FX translation, whereby the prior periods foreign currency balances are translated into U.S. dollars at the current periods conversion rates (also known as constant dollar). GAAP measures excluding the impact of FX translation are non-GAAP financial measures.
Retail Services: Citis U.S. retail services cards business with a portfolio of co-brand and private label relationships (including, among others, The Home Depot, Best Buy and Macys).
RoTCE*: Return on tangible common equity. Represents net income less preferred dividends (both annualized), divided by average tangible common equity for the period.
RWA: Risk-weighted assets. Basel III establishes two comprehensive approaches for calculating RWA (the Standardized Approach and the Advanced Approaches), which include capital requirements for credit risk, market risk and operational risk for Advanced Approaches. Key differences in the calculation of credit risk RWA between the Standardized and Advanced Approaches are that for Advanced, credit risk RWA is based on risk-sensitive approaches that largely rely on the use of internal credit models and parameters, whereas for Standardized, credit risk RWA is generally based on supervisory risk-weightings, which vary primarily by counterparty type and asset class. Market risk RWA is calculated on a generally consistent basis between Basel III Standardized Approach and Basel III Advanced Approaches.
S&P: Standard and Poors Global Ratings
SCB: Stress Capital Buffer
SEC: The U.S. Securities and Exchange Commission
SLR: Supplementary Leverage ratio. Represents Tier 1 Capital divided by Total Leverage Exposure.
SOFR: Secured Overnight Financing Rate
SPEs: Special purpose entities
Standardized Approach: Established through Basel III, the Standardized Approach aligns regulatory capital requirements more closely with the key elements of banking risk by introducing a wider differentiation of risk weights and a wider recognition of credit risk mitigation techniques, while avoiding excessive complexity. Accordingly, the Standardized Approach produces capital ratios more in line with the actual economic risks that banks face. 
Tangible book value per share (TBVPS)*: Represents tangible common equity divided by EOP common shares outstanding.
Tangible common equity (TCE): Represents common stockholders equity less goodwill and identifiable intangible assets, other than MSRs.
Taxable equivalent basis: Represents the total revenue, net of interest expense for the business, adjusted for revenue from investments that receive tax credits and the impact of tax-exempt securities. This metric presents results on a level comparable to taxable investments and securities. GAAP measures on a taxable equivalent basis, including the metrics derived from these measures, are non-GAAP financial measures.
TDR: Troubled debt restructuring. Prior to January 1, 2023, a TDR was deemed to occur when the Company modified the original terms of a loan agreement by granting a concession to a borrower that was experiencing financial difficulty. Loans with short-term and other insignificant modifications that are not considered concessions were not TDRs. The accounting guidance for TDRs was eliminated with the adoption of ASU 2022-02. See Accounting Changes in Note 1.
TEGU: taxable equivalent gross-up adjustments 
TLAC: Total loss-absorbing capacity
Total ACL: Allowance for credit losses, which comprises the allowance for credit losses on loans (ACLL), allowance for credit losses on unfunded lending commitments (ACLUC), allowance for credit losses on HTM securities and allowance for credit losses on other assets.
Total payout ratio*: Represents total common dividends declared plus common share repurchases as a percentage of net income available to common shareholders.
Transactional and product servicing: Comprises costs incurred in ongoing support of products or services, which are predominantly variable costs driven by transaction volumes, client accounts or other variable costs. These costs are primarily composed of brokerage exchange and clearance costs, exchange fees, regulatory memberships, customer-related costs (statement processing, postage, client activity, etc.) and certain indirect, non-income tax payments that are not recorded in Provision for income taxes in the Consolidated Statement of Income.
Transformation: Citi has embarked on a multiyear transformation, with the target outcome to change Citis business and operating models such that they simultaneously strengthen risk and controls and improve Citis value to customers, clients and shareholders.
TTS: Treasury and Trade Solutions
Unaudited: Financial statements and information that have not been subjected to auditing procedures sufficient to permit an independent certified public accountant to express an opinion.
USCC: U.S. Consumer Cards
U.S. dollar clearing volume: Represents the number of U.S. dollar clearing payment instructions processed by Citi on behalf of U.S. and foreign-domiciled entities (primarily financial institutions). 
USPB: U.S. Personal Banking
U.S. Treasury: U.S. Department of the Treasury
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VaR: Value at risk. A measure of the dollar amount of potential loss from adverse market moves in an ordinary market environment.
VIEs: Variable interest entities
Wallet: Proportion of fee revenue based on estimates of investment banking fees generated across the industry (i.e., the revenue wallet) from investment banking transactions in M&A, equity and debt underwriting, and loan syndications.
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