Citigroup chokes again, Freddie Mac could hit $5 billion

Despite all of the brainpower, experts and money, Citigroup has no clue what they have on their books. Citigroup smells like a company soon to be up for sale with this amount of disorganization.

Goldman Sachs downgraded Citigroup, a Dow component, to "sell" and said the No. 1 U.S. bank may have to write off $15 billion for debt losses over the next two quarters.

Yes, even more losses for the company that just shoveled over a healthy retirement plan to the sacked CEO despite his incompetent management of the company. It just gets better.

Goldman also cut its profit estimates for Citigroup through 2009, saying the bank would likely take additional hits from securities linked to subprime mortgages and other investments.

"It's been guess work as to how big a writedown Citigroup's going to take," said Marc Pado, U.S. market strategist at Cantor Fitzgerald & Co. in San Francisco.

Freddie Mac is also joining the fun to the tune of $5 billion of write-downs. Rumors are floating around that UBS has another $9 billion in bad debt related to the subprime market as well. Brilliant oversight of the financial markets by Greenspan and the Republicans. Decades of crying by the GOP about how clever they are with financial matters and the only expertise they offer is financial collapse.