POOR MARKS FOR KADEN

An outside review of Citigroup management has fingered Lewis Kaden for his poor performance. Will the “consummate insider” survive?

Lewis B. Kaden, subject of our detailed May 4, 2009 profile, “The Talented Mr. Kaden,” was handed a poor review of his performance as Citigroup vice chairman, according to sources speaking to the Wall Street Journal.

The review, conducted by Egon Zehnder International for Citigroup's board of directors, was requested by the U.S. government for banks that received large bailout funds.

While strong overall marks were given to Citi’s management team, the review offered “less favorable assessments” of Vice Chairman Kaden and Chief Administrative Officer Don Callahan, the Journal reported.

Citigroup has not released the review, and its exact findings regarding Kaden are a closely guarded secret, according to the newspaper.

Kaden was instrumental in the disassembly of Bethlehem Steel in 2001-03 and now sits on the board of ArcelorMittal. Named Citigroup’s chief administrative officer and vice chairman in 2005, Kaden headed Citi Alternative Investments (CAI), a hedge fund that lost billions of dollars.

Last fall, Citigroup CEO Vikram Pandit gave Kaden wide latitude in negotiating federal bailout money with Timothy Geithner, then president of the New York Federal Reserve Bank, and others.

Kaden was also instrumental in negotiating the controversial naming rights deal for Citi Field, the new Mets baseball stadium.