Projo Biz Blog

The new chairman of Citizens Financial Group told The Providence Journal this morning the nation's eighth-largest bank will focus on core activities such as commercial and consumer lending as it restructures operations.

During an interview on the 12th floor of Citizens' Providence headquarters, Ellen Alemany said Rhode Island will remain a "core" region for the bank, even as it retrenches in other parts of the country.

"Providence continues to be our home base," said Alemany, who replaced Lawrence K. Fish as Citizens' chairman this month.

Alemany is charged with restructuring the bank amidst the worst economic conditions in nearly 30 years. The bank has $160 billion in assets and $95 billion in deposits, but its performance has been hampered by problems in a Midwestern affiliate and the financial downturn.

Citizens reported a net loss of $929 million for last year. Its parent, Royal Bank of Scotland, has far deeper problems, reporting a record $34-billion loss for last year that forced it to accept a massive capital infusion from the U.K. government and plan drastic cutbacks.

 Tags  banks Citizens Financial Group economy Ellen Alemany employment RBS Rhode Island Royal Bank of Scotland

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