Devoted to Managers and those that seek to improve their management skills

Another CEO of a financial company may be leaving office, as a report from the Wall Street Journal asserts Citigroup (C) head Charles Prince will offer to resign on Sunday. There will be an emergency board meeting held over the weekend, although specifics on what it'll be about aren't being communicated at this time.

Merrill Lynch (MER) CEO Stan O'Neal recently stepped down for similar problems relating to huge write-downs. Other concerns for Citigroup have been the drop in profits and value to shareholders.

According to the Journal, Robert Rubin is being thought of as a possibility to replace Prince on an interim basis. Sources say that Rubin is hesitant to take on the challenge.

This is one of those cases where I don't blame Rubin. There is a ton of downside, and very little upside to motivate someone to take the job. There's not much anybody could do on a short-term timeframe that could add much to the company. The decisions and lack of ability to manage risk has been a problem across the industry. The problem is so deep that it'll take some time for companies to dig out of it.

I would think Rubin would only be hurting himself professionally, taking on a thankless job that won't add anything to his reputation. Currently Rubin is chairman of Citigroup's executive committee, and was the former Treasury secretary.

With an approximate $4 billion in write-downs facing the company for this quarter alone, and a $2.7 billion quarterly dividend due, the potential for profitably is declining. Some feel the company may have to sell off some assets or even limit trading on the stock.

Others even feel the company might cut back on their dividend payout, which could cause an even bigger sell off of the stock.

Meredith Whitney, an analyst at CIBC World Markets, says, "We believe over (the) near term, Citigroup will need to raise over $30 billion in capital through either asset sales, a dividend cut, a capital raise, or combination thereof."

The risky sub-prime loans and collateralized debt problems continue to hamper the financial companies. This isn't going to be something that will disappear over night. It took time to get into trouble, and it'll take a long time to get out of it.