Citi will be the first major American bank with a female CEO.
Citigroup’s current CEO, Michael Corbat, is set to retire from his position in February of 2021. After 37 years leading the company, Corbat has chosen his successor, and in a first for the banking industry, it’s a woman: Jane Fraser.
“I have worked with Jane for many years and am proud to have her succeed me,” Corbat said in a statement. “With her leadership, experience and values, I know she will make an outstanding CEO.”
“We believe Jane is the right person to build on Mike’s record and take Citi to the next level,” John C. Dugan, Citi’s chairman, agreed in a separate statement. “She has deep experience across our lines of business and regions, and we are highly confident in her.”
Fraser is currently the head of Citi’s consumer banking sector, and has been working with the company for over 16 years. She will be taking over the company at a bit of an unstable time, as both the COVID-19 pandemic and the economic downturn it caused have heavily impacted Citi’s profits and stock values. Pandemic induced price hikes caused Citi’s overall profits to drop by 73%. Despite the tumultuous state of things, Fraser doesn’t seem especially concerned.
“I am honored by the Board’s decision and grateful to Mike for his leadership and support,” Fraser said in the statement. “Citi is an incredible institution with a proud history and a bright future. I am excited to join with my colleagues in writing the next chapter.”
Despite the current hardships, Corbat is satisfied with the work he’s done for Citi, especially his efforts in guiding the company through the 2008 Recession.
“I am extremely proud of what we have accomplished in the past eight years,” Corbat said in a statement. “We completed our transformation from the financial crisis and emerged a simpler, safer and stronger institution.”