CitiMortgage Announces $15 Billion Affordable Housing Commitment for T

CitiMortgage Announces $15 Billion Affordable Housing Commitment for Texas Consumers as Part of its $200 Billion National Commitment

    Business Editors

    SAN ANTONIO--(BUSINESS WIRE)--April 29, 2005--

Commitment May Result in as Many as 150,000 New Texas Homeowners Through the End of the Decade
    CitiMortgage, the residential mortgage lending business of Citigroup, today announced a $15 billion commitment to provide affordable housing to low- and moderate-income, minority, and underserved families throughout the state of Texas through the end of the decade. This commitment is part of Citi's Opportunities Within Neighborhoods(SM) program, which aims to increase homeownership substantially throughout the country under a $200 billion commitment to affordable housing through the end of the decade.
    The announcement, which aims to provide the dream of homeownership for as many 150,000 Texas families, was made at the San Antonio Housing Trust, an organization that shares the same mission of promoting decent and affordable housing.
    "Homeownership is a way Americans build wealth and, at the same time, build stronger neighborhoods. One of the many things CitiMortgage can do through our Opportunities Within Neighborhoods program is further realize its commitment to provide affordable mortgages to qualified homebuyers, thus making the dream of homeownership a reality and strengthening communities," said William E. Brown, Executive Vice President, Retail Banking, Citibank Texas, NA.
    "Making homeownership possible gives opportunity to those who thought "The American Dream" was out of their reach. Congratulations to CitiMortgage for their commitment to our communities," said state Senator Leticia Van de Putte.
    CitiMortgage's Opportunities Within Neighborhoods program encompasses all of the necessary information, resources, products and services that the business offers potential homebuyers in their effort to achieve the dream of homeownership. Opportunities Within Neighborhoods includes everything from first-time homebuyer seminars and information to a wide array of home financing products and services, in an effort to expand homeownership in communities across the country.
    To achieve this goal, CitiMortgage will work with its existing partners and build new relationships with organizations that serve communities throughout the country. These partnerships are an important tool for developing innovative ways to provide home mortgage lending and other services to low- and moderate- income, minority, and underserved markets.
    "Texas is a vibrant and diverse community built on the strength of its neighborhoods. Our goal is to make a difference in the local areas where our employees and customers live and work, and we feel Texas neighborhoods will realize the benefits of this commitment over the years to come," said Ken Villano, Chairman and Chief Executive Officer, Citibank Service Center.
    Just 18 months into the $200B commitment made in 2003, CitiMortgage has already achieved over one-third of its goal.
    "Locally, the Citibank Service Center has been a dedicated partner in the efforts to expand homeownership and financial education opportunities," said John Kenny, Executive Director, San Antonio Housing Trust. "With Citi's future growth locally and in the state, we look forward to continuing to work with the organization to fulfill this considerable commitment. Each of us has a goal to put people in homes and working together, we can make that happen."
    Affordable homeownership lending initiatives will be offered locally through CitiMortgage, its affiliates and its business partners. Unique mortgage products and programs to be offered under this initiative include:

--	Closing Cost Assistance Program (CCA) enables borrowers to become homeowners sooner by reducing closing costs for buyers in certain areas.
--	Up to a $3,000 maximum credit
--	Reduce or eliminate upfront closing costs
--	Combine with other community lending programs that reduce down payment
--	Choose either a Fixed or Adjustable Rate mortgage
--	CitiAffordable Mortgage Program and CitiAffordable Purchase Assistance Program (CAMP/CPAP) each offer low down payment options and flexible qualifying criteria. These marquee CitiMortgage products take into consideration the fact that lower-wealth borrowers experience significant challenges in accumulating funds for down payment and closing costs.

    CitiMortgage will also work closely with one of its partners, Fannie Mae, to make available the following affordable products across marketplaces:

    -- MyCommunityMortgage(TM)* is a Fannie Mae Community Lending
    program designed to meet the needs of low-to-moderate income
    borrowers. My Community Mortgage provides financing up to a
    loan-to-value of 100%.

    -- Expanded Approval/Timely Payment Rewards(SM)*(EA/TPR) allows
    borrowers with past credit difficulties to obtain a mortgage
    rate up to two percent lower than credit-impaired borrowers
    typically pay. Borrowers may also be eligible for an option
    that automatically reduces the mortgage note rate after 24
    months of timely payments.

    Citigroup has had a presence in Texas for many years. In 2004, Citigroup and the Citigroup Foundation awarded more than $2,700,000 in grants and sponsorships to charitable and non-profit organizations in communities across Texas to support financial education, general education, child development, and community development programs, among others. Its businesses in the state include Smith Barney, Citibank's Sales and Service Center in San Antonio, CitiFinancial International, CitiFinancial branches, CitiFinancial Auto and CitiFinancial Home Equity Operations, Citigroup's Industrial Equipment Finance unit, Citicorp Credit Services, Inc., CitiMortgage, CitiStreet, the Citigroup Private Bank, Citigroup Corporate and Investment Banking, and the American Health and Life Insurance Company.
    For more information on the Opportunities Within Neighborhoods program, individuals can contact CitiMortgage at 1-800-MORTGAGE, visit any Citibank branch or utilize CitiMortgage's website (www.citimortgage.com).

    CitiMortgage, a subsidiary of Citigroup, specializes in the nationwide lending of residential home mortgages through Retail, Wholesale, and Correspondent loan origination channels. CitiMortgage and its affiliates are in the top tier of originators and servicers nationwide. CitiMortgage is an equal housing lender.
    Citigroup (NYSE: C), the leading global financial services company, has some 200 million customer accounts and does business in more than 100 countries, providing consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, insurance, securities brokerage, and asset management. Major brand names under Citigroup's trademark red umbrella include Citibank, CitiFinancial, Primerica, Smith Barney, Banamex, and Travelers Life and Annuity. Additional information may be found at www.citigroup.com.
    Certain statements in this document are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from those included in these statements due to a variety of factors. More information about these factors is contained in Citigroup's filings with the Securities and Exchange Commission.

    EA/TPR and MyCommunityMortgage are service marks of Fannie Mae. Unauthorized use of these marks is prohibited.

--30--KL/ny*

CONTACT: Citigroup Anita Gupta, 212-559-0297 guptaa@citigroup.com

KEYWORD: TEXAS INDUSTRY KEYWORD: BANKING REAL ESTATE BUILDING/CONSTRUCTION SOURCE: CitiMortgage

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