Citigroup issues profits warning

Citigroup, the US's premier financial services firm, said yesterday its third-quarter profits would be cut by insurance claims…

Citigroup, the US's premier financial services firm, said yesterday its third-quarter profits would be cut by insurance claims for the destruction of the World Trade Centre, and loss of revenues due to subsequent exchange and bank closures.

Citigroup has life and property casualty insurance operations and expects to pay $500 million (€544.4 million) after tax, in property, business interruption, workers compensation and life insurance claims.