Citigroup Inc Chief Executive Vikram Pandit has resigned effectively immediately, the company said on Tuesday in a statement from Chairman Michael O'Neill.
Michael Corbat, previously chief executive for Europe, Middle East and Africa, was named to replace Pandit, the statement said.
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Chief Operating Officer John Havens, a long-time associate of Pandit, also resigned.
Corbat has "demonstrated outstanding leadership qualities (and) brings deep and varied operating experience across a broad spectrum of the financial services industry," O'Neill stated.
Shares were down 1.8 percent to $36 in premarket trading.
Following are initial reactions of analysts and investors:
PETER JANKOVSKIS, C0-CHIEF INVESTMENT OFFICER AT OAKBROOK INVESTMENTS LLC, LISLE, ILLINOIS
"Interesting, and after the stock reported pretty good numbers yesterday, I'm surprised.
"It does seem strange to me that someone would step away after reporting better-than-expected numbers and certainly do a lot to reconfigure the company for going forward. I would have expected he wanted to stay around and see some of the fruits of his labors there."
MATT MCCORMICK, BANKING ANALYST AND PORTFOLIO MANAGER AT BAHL & GAYNOR, CINCINNATI, OHIO
"Pandit struggled to get an identity for Citigroup and I would say ultimately he was unsuccessful in having people know what Citigroup stands for and what it does."
"He was not beloved by Wall Street. He was the accidental president. He was thrust into that position- he's a hedge fund guy."
ADAM SARHAN, CHIEF EXECUTIVE OF SARHAN CAPITAL, NEW YORK
"The timing of the move is shocking. Why they didn't announce it with the earnings is a question that needs to be answered. But Pandit is leaving at the top of his game and leaving the company in great hands. As an investor, my only question is with the timing. "
(Reporting by Chuck Mikolajczak, Phil Wahba and Ryan Vlastelica)