Citi Enters Strategic Global Treasury Management Agreement With Sinopec
Hong Kong - January 12, 2012 – Citi’s Global Transaction Services has entered into a strategic agreement for global treasury management with China Petrochemical Corporation (Sinopec), China’s largest oil refiner and second largest crude oil and gas producer. This collaboration is a vote of confidence in Citi’s ability to replicate an advanced treasury management system with Sinopec’s global partners across complex markets.
Citi’s Treasury and Trade Solutions enabled Sinopec to replicate its highly centralized and efficient China treasury management system in its overseas operations. Sinopec’s risk control, efficiency and returns were maximized through Citi’s integration of 38 decentralized Sinopec operations worldwide and more than 1,000 accounts with 100 banks. This resulted in better visibility into account information and tighter control of account activities.
Anthony Nappi, Region Head, Asia Pacific, Global Transaction Services, Citi, said, "This is the culmination of a great deal of work by the entire Citi team. Securing this agreement with Sinopec clearly marks Citi as a leader, with a global network, the capability to meet complex challenges, and an in-depth understanding of the energy sector. Our ability to develop a unique approach for Sinopec, ranging from treasury consultancy to product solutions, was also a key factor, and I am confident that this will pave the way for long-term co-operation between Citi and Sinopec."
Citi’s suite of services and solutions include a host-to-host connection and banking relationship, streamlining cross-border cash pooling, trade finance and services, and agency and trust services for acquisitions. Citi will apply its consultation approach and share best practices with Sinopec in order to bring value to the development of its treasury management strategies. These activities will provide Sinopec with accounts visibility, process efficiency and uniform service support globally. Following the Memorandum of Understanding signed between Sinopec and Citi, both parties are currently working closely on the implementation details.
Mr Guangsheng Wang, Deputy Director General, Finance Department, Sinopec Group, said "Sinopec is very pleased with our banking relationship with Citi. They have been a good partner and always demonstrate their commitment to Sinopec by delivering solutions to meet our needs and to bring value to our business. We chose Citi for their experience, capability and innovative spirit and we are very pleased to be working with them on the successful implementation of these solutions."
Citi’s Global Transaction Services, a division of Citi’s Institutional Clients Group, offers integrated cash management, trade, and securities and fund services to multinational corporations, financial institutions and public sector organizations around the world. With a network that spans more than 100 countries, Citi’s Global Transaction Services supports over 65,000 clients.
Citi, the leading global financial services company, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management.
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About Global Transaction Services
Global Transaction Services, a division of Citi’s Institutional Clients Group, offers integrated cash management, trade, and securities and fund services to multinational corporations, financial institutions and public sector organizations around the world. With a network that spans more than 100 countries, Citigroup’s Global Transaction Services supports over 65,000 clients. As of the third quarter of 2011, it held on average $365 billion in liability balances and $12.5 trillion in assets under custody.