JCR has removed the ratings on the issuer from Credit Monitor with Developing direction and has affirmed the A- rating on its senior debts and the J-1 rating on its short-term senior debts, respectively. Similarly, JCR has removed the rating on the bonds, which are guaranteed by Citigroup Inc., from Credit Monitor and upgraded it from A- to A. The rating outlook is Stable.

Issuer: Citigroup Japan Holdings Corp.
Senior debts: A-/Stable
Issue Amount (bn) Issue Date Due Date Coupon Rating
bonds no.9 Y50 Nov. 22, 2005 Nov. 22, 2012 1.56% A
(guaranteed by Citigroup Inc.)
Short-term senior debts: J-1

<Rationale>
Citigroup Japan Holdings Corp. (the "Company") is Citigroup's holding company in Japan. The Company has several subsidiaries under its umbrella including Citigroup Global Markets Japan Inc., which is a wholesale investment bank, and CFJ G.K. (CFJ), which is a consumer finance company. The Company's operating base has shrunk owing to the sales of Citigroup's principal subsidiaries, Nikko Cordial Securities and other, in October 2009. JCR considers that a tough business environment will continue hereafter due to its burdens of CFJ's bad debt and refund on excessive interest in addition to its smaller operating base. On the other hand, Citigroup's business performance is beginning to improve. As the Company and Citigroup have relations in many aspects including human affairs and capital, JCR removed the ratings from Credit Monitor, incorporating Citigroup's credit capability in the rating for the Company. Its 9th series unsecured bonds are guaranteed by Citigroup Inc. JCR considers that these series of bonds only have the same credit capability as Citigroup Inc.