Citigroup’s current bonus system is the cause of in-fighting and less co-operation between divisions at the bank according to CEO Vikram Pandit.

If there were one firm on Wall Street that could be expected to weather the credit crisis storm without having to make deep cuts in headcount it would be Goldman Sachs. 

Citigroup’s chief financial officer announced on a investor call that more pain is own the way in the form of further writedowns and losses in the second quarter.

Chuck Prince, Citigroup CEO wants to put the events of the last year behind him and move on, literally.  However the slump in the housing market is not cooperating.

After the downgrade of their triple-A credit ratings by both Moody’s and Standard & Poors last week, the banks most exposed to the bond insurers will take further hits to their bottom lines after thinking the worst was behind them. 

Prodded by regulators, the top 11 investment banks will announce the creation of a clearing house for the settlement of credit derivatives contracts between members. 

Citigroup’s new slogan, “Citi Never Sleeps” may take on a secondary meaning these days.  After writing down almost $41 billion in 2007 and financial landmines lurking around every corne, who could sleep with all that worry. 

After writing off $40bln in assets in 2007 and seeing their stock flirt with single digits, management at Citigroup knows just what the ailing company needs.  Innovation. 

I think its safe to say this is one league table Wall Street firms don’t want to be on.