News Summary: Citigroup 4Q earns miss expectations

Thursday - 1/17/2013, 11:06am EST

By The Associated Press

(AP) - UP, BUT WEAK: Citigroup's fourth quarter earnings rose in the fourth quarter, but fell short of Wall Street's expectations. Citi earned $1.16 billion after paying preferred dividends, or 38 cents per share, in the three months ended Dec. 31. That compares with $933 million, or 31 cents per share, in the same period a year earlier.

LEGAL BILLS: Part of the reason for Citi's weakness was an increase in legal and related expenses, which reached $1.3 billion in the quarter. Much of that was due to a settlement with federal regulators announced last week in connection with Citigroup's foreclosure practices.

NEW LEADERSHIP: It was Citigroup's first quarter under the leadership of CEO Michael Corbat, who took the helm after Vikram Pandit resigned abruptly in October.

(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)