Citigroup shares were up 3 cents to $2.65 in afternoon trading on the New York Stock Exchange.

CEO SURVIVAL PROSPECTS

The bank expects to report second-quarter results on July 17, and soon after complete a stock swap that converts much of the government's investment into the 34 per cent stake.

Analysts on average expect Citigroup to lose money over the rest of 2009, according to Reuters Estimates.

Michael Mullaney, who helps invest $9 billion at Fiduciary Trust Corp in Boston, said the management shake-up "enhances Pandit's ability to survive, especially if McQuade's experience at Freddie Mac results in more political clout."

He added, "McGuire is also a traditional consumer banking executive, which will help Citigroup focus on core businesses and get away from the shopping mall approach Citigroup had."

Jeff Harte, an analyst at Sandler O'Neill & Partners LP in Chicago, called Kelly's move unsurprising, saying "Ned would be more interested in strategic decisions and (the) overall running of Citigroup, as opposed to being a number-cruncher."

That label better fits Crittenden, who has also been CFO at American Express Co, Monsanto Co and Sears Roebuck & Co. In a statement, he said he has been interested in private equity for many years, and "the time is right" to move now. Huntsman Gay has an office in Salt Lake City.

Pandit became Citigroup CEO in December 2007. While a number of people at the bank blame predecessor Charles Prince for many of Citigroup's problems, Pandit has been faulted for addressing them too slowly, and for lacking consumer banking experience.

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