RENEE MONTAGNE, host: NPR's business news starts with the government's latest attempt to help Citigroup.</s>RENEE MONTAGNE, host: The U.S. Treasury and Citigroup this morning announced they've reached a deal in which the U.S. could take a much greater ownership stake in the floundering bank. No new taxpayer money would be used. Instead, the government will exchange its preferred shares for common stock as long as Citigroup's other major investors, like the governments of Singapore and Abu Dhabi, do the same. A goal of the plan is to increase the amount of Citigroup's common stock to improve its balance sheet.
Citigroup and the U.S. Treasury have reached a deal that would give the government an increased stake in the struggling bank. The government will convert its preferred shares into ordinary stocks. The increase in government ownership will not require additional taxpayer money.