Citigroup, Inc (NYSE: C) announced on Wednesday that it will shut down 375 CitiFinancial branches across the United States and Canada which will lead to the elimination of approximately 700 jobs. The New York-based bank also said that it will convert 182 of its U.S. branches into servicing centers which will provide information to customers with troubled mortgages that are looking to get their mortgages modified.
Citi Financial CEO Mary McDowell said in a quote that “This reorganization will enable CitiFinancial to continue lending to U.S. consumers while better serving its customers in need.”
Citigroup will likely cut between 500 and 600 jobs in the U.S. with 330 branches being totally shut down. The remaining job cuts will happen in Canada, resulting in a net decline of about 6.4% of CitiFinancial’s North American staff.
The news of the unit’s downsizing comes after Citigroup had failed to find any purchasers for the unit.
