Citigroup Primed for Dividend

Citigroup Primed for Dividend: "

NEW YORK (TheStreet) -- Citigroup is well-positioned to meet stringent Basel III capital requirements years ahead of the deadline and still return capital to investors.

One analyst says the company could easily pay out $2 billion in dividends during 2012 while buying back $4 billion in shares, and still meet the new capital requirement many years in ahead of time.

Of course, $2 billion in dividends would translate roughly to a quarterly payout of 17 cents a share, or a modest yield of 1.79% at Thursday's closing share price of $39.02.. Maybe Citi's board could be persuaded to lean more toward a higher dividend rather than support senior management's stock options through buybacks. But that's another story.











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