Citigroup to shed nearly $500 billion in assets

And given that Citigroup has $63 billion in exposure to home equity loans, $150 billion to mortgages, $21 billion to auto loans, and exposure to other loans such as credit cards, Mayo estimated that the bank will have to build up its reserves by an additional $5 billion as the U.S. consumer credit climate deteriorates.

Citigroup shares slipped 67 cents, or 2.8 percent, to $23.63 Friday. The stock is down about 18 percent in 2008 and 55 percent over the last 12 months.

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AP Business Writer Stephen Bernard in New York contributed to this report.