Citibank may pull out.

Various bank industry sources here say Citibank is looking to close its 17-branch retail operation in Puerto Rico, reports Caribbean Business (June 7, 2007). Reportedly, the plan would not affect other Citigroup business here. Citibank operates 17 out of a total of 350 bank branches in Puerto Rico. Many industry experts consider the island overbanked. Citigroup has had a presence in Puerto Rico since 1918 and operated for decades under the First National City Bank structure. A Citigroup website says it has a base of more than 716,000 accounts in Puerto Rico. Citigroup lent the Puerto Rico Aqueduct &Sewer Authority (Prasa) US$850 million late last year in anticipation of a Prasa bond issue in the U.S. municipal bond market this summer.