Travelers Cos. to replace Citigroup Inc. in Dow Industrials
Seven years after being spun off by Citigroup Inc., Travelers Cos. is supplanting its former parent as a member of the Dow Jones industrial average.
Seven years after being spun off by Citigroup Inc., Travelers Cos. is supplanting its former parent as a member of the Dow Jones industrial average.
Travelers’ selection helps maintain the representation of financial companies in the Dow. The property and casualty insurer has suffered less than many other financial firms during the credit crisis and recession.
Citigroup is the second financial company to be dropped from the Dow after suffering huge losses during the credit crisis and recession. Dow dropped New York-based insurer, American International Group Inc., in September after that firm received a multibillion dollar bailout that gave the government an 80 percent stake in the company.
Citigroup joined the Dow in March 1997 as Citicorp. A year later, Travelers merged with Citicorp to form Citigroup, and it was then spun off as a separate company in 2002.
The change takes effect June 8.
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