The future of Sir Win Bischoff, Citigroup’s chairman, hangs in the balance as the company’s struggle to recover from its financial woes has prompted directors to ask for change at the top.
The internal discussions over Sir Win, a veteran banker who took over in December 2007, come as Citi is in advanced talks with Morgan Stanley to spin off its Smith Barney brokerage unit into a joint venture to be controlled by its Wall Street rival.
The deal, which could be announced this week, would enable thousands of brokers to share bonuses totalling hundreds of millions of dollars in return for pledging their long-term future to the new company.