Dec 5 (Reuters) - The Student Loan Corp, a unit of Citigroup Inc\'s Citibank
N.A., said it will reduce 91 positions in a bid to cut expenses.
Of the total job cuts, 69 positions will be at Student Loan, while the
remaining 22 positions will be at Citibank, the company said in a statement.
Most of the jobs will be discontinued in December, 2008.
The Stamford Connecticut-based company cut 174 jobs in July after it
stopped lending at certain schools and withdrew from the Federal Consolidation
Loan Market, hurt by market turmoil and Federal legislation.
In April, the U.S. House of Representatives approved a bill calling for
federal intervention to stabilize the student loan market amid turmoil brought
on by the mortgage crisis.
Shares of the company were down one percent at $36.36 in morning trade on
the New York Stock exchange.
They have lost more than 66 percent of their value this year through
Thursday. The shares traded at $148.61 a year ago, Reuters Data show.
(Reporting by Anurag Kotoky in Bangalore; Editing by Jarshad Kakkrakandy)
Keywords: STUDENTLOAN/JOBCUT
(anurag.kotoky@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91
80 4135 5800; Reuters Messaging: anurag.kotoky.thomsonreuters.com@reuters.net)
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