CONTACT US

INDUSTRY REPORT

<p>The business environment is complex and navigating constantly changing market conditions while meeting the needs of the evolving consumer is challenging. At Citi Commercial Bank, our global team of industry dedicated bankers leverage Consumer &amp; Retail insights and banking expertise to develop tailored solutions to help your company achieve its commercial and financial goals.</p>

<p>The 2024 Citi Commercial&nbsp;Bank Sector Snapshot Consumer Report, with data from PitchBook, looks beyond the&nbsp;headlines and takes a closer look at the Consumer sector in a&nbsp;time of political and economic uncertainty.</p>
<p>&nbsp;</p>

Sector Snapshot: Consumer

Commercial Banking for Consumer & Retail Companies

*This partner content was produced by the Financial Times on behalf of Citi Commercial Bank No successful company in history ever prospered without taking risks; juggling with potential jeopardy is a part of doing business. But lately, many leaders might agree that turbulent times are creating some of the thorniest challenges they’ve experienced to date. In a 2022 McKinsey report, executives responding to its annual Global Survey cited geopolitical conflict and inflation as the most pressing economic risks. Digging deeper into the data, supply chain challenges and currency fluctuation also loom large as ongoing concerns. Currency fluctuation is a particularly acute problem associated with inflation. Simply put, when inflation increases, the money in the economy will tend to depreciate relative to other currencies – this influences how competitive an affected company can be, and creates potentially expensive headaches when it comes to sending and receiving international payments. One brand that’s familiar with the vagaries of foreign exchange is Tramontina, a Brazilian cookware, cutlery and home appliances company with 10,000 employees, which manufactures 22,000 items and exports to more than 120 countries. Citi Commercial Bank is a global partner of Tramontina and supports the company across continents. “However, when you’re operating in regions like Latin America and Asia, currency fluctuations can be hard to predict. We can’t pass those costs onto customers whose prices we’ve locked in, so we may have to eat those losses for a while but clearly this is unsustainable” says Marcelo Borges, Tramontina’s US CEO Hedging to address volatility Businesses such as Tramontina often employ hedging strategies to protect against potential losses caused by adverse currency movements. These may include forward contracts, options and other financial instruments. A close monitoring of related influencing factors can also help anticipate forthcoming currency movements – looking at elements such as interest rate differentials, inflation rates, geopolitical events and government policies. However, this level of oversight requires specialist attention and analysis and, crucially, deep knowledge of local markets. Borges points to Argentina as one country where currency changes can be challenging: “Only by working with an experienced bank, with a local presence and intimate understanding of the market, can we make the right decisions about product pricing and about buying the commodities to make those products” says Borges. Tramontina’s key banking relationship is with Citi Commercial Bank. Citi has operated internationally for over 200 years, and that has been helping Tramontina navigate in different markets, from Canada to India. Timicka Anderson, Global Head of Consumer & Retail at Citi Commercial Bank, explains that local currency fluctuations can be managed in several ways. “First, we can provide local currency financing – working capital, so they can make payments in the local currency, thus avoiding the additional costs that would come from using money from outside that country,” she says. “We also help with short-term hedging and can use a number of proprietary tools – such as our Citi Velocity digital content, data and analytics platform – to provide a detailed analysis of potential risks across a number of markets in different regions.” A global view for an interconnected analysis Anderson points out that, for manufacturing companies such as Tramontina, it’s not simply Citi’s role to advise on currency challenges, but to look at the interplay of other factors, too. As a company that buys a lot of aluminium, for example, Tramontina must hedge not just its currencies but also its commodities costs. “Our global presence helps us take a macro view across all markets,” says Anderson. “In Tramontina’s case, it could be how aluminium has historically performed against the dollar.” As the US CEO of a company that’s been operating successfully for more than 100 years, Borges has some simple words of advice for those looking to expand internationally: “Play it safe.” He adds that Citi provides him with the sort of detailed local information that isn’t easy to access and which, together with the bank’s financial tools, allows Tramontina to make the most informed decisions possible – and mitigate risk. “We play it safe every day,” he smiles. “Perhaps we don’t grow as quickly as some other companies because of this, but we are in very good shape.” Global commerce is, by its nature, an uncertain affair. But for Tramontina, by putting in place a well-devised risk strategy to address currency fluctuation and commodity costs, it shields itself from volatility and also seizes business opportunities – ensuring this century-old firm could still be supplying the world with products 100 years from now. All opinions expressed by the participants in this article are their own and do not necessarily represent the opinions of Citi Commercial Bank

<p><sup>*This partner content was produced by the Financial Times on behalf of Citi Commercial Bank</sup></p>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px;">No successful company in history ever prospered without taking risks; juggling with potential jeopardy is a part of doing business. But lately, many leaders might agree that turbulent times are creating some of the thorniest challenges they&rsquo;ve experienced to date. In a&nbsp;<a style="box-sizing: inherit; font-weight: bold; text-decoration-line: underline;" href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/economic-conditions-outlook-2022?sp=true" target="_blank" rel="noopener" data-link-source="tiny">2022 McKinsey report</a>, executives responding to its annual Global Survey cited geopolitical conflict and inflation as the most pressing economic risks. Digging deeper into the data, supply chain challenges and currency fluctuation also loom large as ongoing concerns.</span></p>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px;">Currency fluctuation is a particularly acute problem associated with inflation. Simply put, when inflation increases, the money in the economy will tend to depreciate relative to other currencies &ndash; this influences how competitive an affected company can be, and creates potentially expensive headaches when it comes to sending and receiving international payments. One brand that&rsquo;s familiar with the vagaries of foreign exchange is Tramontina, a Brazilian cookware, cutlery and home appliances company with 10,000 employees, which manufactures 22,000 items and exports to more than 120 countries. Citi Commercial Bank is a global partner of Tramontina and supports the company across continents.</span></p>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px;">&ldquo;However, when you&rsquo;re operating in regions like Latin America and Asia, currency fluctuations can be hard to predict. We can&rsquo;t pass those costs onto customers whose prices we&rsquo;ve locked in, so we may have to eat those losses for a while but clearly this is unsustainable&rdquo;&nbsp;says Marcelo Borges, Tramontina&rsquo;s US CEO</span></p>
<h3 style="box-sizing: inherit; line-height: 1.2; font-size: 36px; margin-bottom: 10px; white-space: normal;"><span style="font-size: 24px;">Hedging to address volatility</span></h3>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px;">Businesses such as Tramontina often employ hedging strategies to protect against potential losses caused by adverse currency movements. These may include forward contracts, options and other financial instruments. A close monitoring of related influencing factors can also help anticipate forthcoming currency movements &ndash; looking at elements such as interest rate differentials, inflation rates, geopolitical events and government policies.&nbsp;</span></p>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px; white-space: normal; float: none; display: inline;">However, this level of oversight requires specialist attention and analysis and, crucially, deep knowledge of local markets. Borges points to Argentina as one country where currency changes can be challenging:</span></p>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px;">&ldquo;Only by working with an experienced bank, with a local presence and intimate understanding of the market, can we make the right decisions about product pricing and about buying the commodities to make those products&rdquo; says Borges.</span></p>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px;">Tramontina&rsquo;s key banking relationship is with Citi Commercial Bank. Citi has operated internationally for over 200 years, and that has been helping Tramontina navigate in different markets, from Canada to India. Timicka Anderson, Global Head of Consumer &amp; Retail at Citi Commercial Bank, explains that local currency fluctuations can be managed in several ways. &ldquo;First, we can provide local currency financing &ndash; working capital, so they can make payments in the local currency, thus avoiding the additional costs that would come from using money from outside that country,&rdquo; she says. &ldquo;We also help with short-term hedging and can use a number of proprietary tools &ndash; such as our Citi Velocity digital content, data and analytics platform &ndash; to provide a detailed analysis of potential risks across a number of markets in different regions.&rdquo;</span></p>
<h3 style="box-sizing: inherit; line-height: 1.2; font-size: 36px; margin-bottom: 10px; white-space: normal;"><span style="font-size: 24px;">A global view for an interconnected analysis</span></h3>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px;">Anderson points out that, for manufacturing companies such as Tramontina, it&rsquo;s not simply Citi&rsquo;s role to advise on currency challenges, but to look at the interplay of other factors, too. As a company that buys a lot of aluminium, for example, Tramontina must hedge not just its currencies but also its commodities costs. &ldquo;Our global presence helps us take a macro view across all markets,&rdquo; says Anderson. &ldquo;In Tramontina&rsquo;s case, it could be how aluminium has historically performed against the dollar.&rdquo;&nbsp;</span></p>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px;">As the US CEO of a company that&rsquo;s been operating successfully for more than 100 years, Borges has some simple words of advice for those looking to expand internationally: &ldquo;Play it safe.&rdquo; He adds that Citi provides him with the sort of detailed local information that isn&rsquo;t easy to access and which, together with the bank&rsquo;s financial tools, allows Tramontina to make the most informed decisions possible &ndash; and mitigate risk.</span></p>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px; white-space: normal; float: none; display: inline;">&ldquo;We play it safe every day,&rdquo; he smiles. &ldquo;Perhaps we don&rsquo;t grow as quickly as some other companies because of this, but we are in very good shape.&rdquo; Global commerce is, by its nature, an uncertain affair. But for Tramontina, by putting in place a well-devised risk strategy to address currency fluctuation and commodity costs, it shields itself from volatility and also seizes business opportunities &ndash; ensuring this century-old firm could still be supplying the world with products 100 years from now.</span></p>
<p><sup><strong><em>All opinions expressed by the participants in this article are their own and do not necessarily represent the opinions of Citi Commercial Bank</em></strong></sup></p>
<p>&nbsp;</p>
<p style="box-sizing: inherit; font-size: 20px; white-space: normal;"><span style="font-size: 16px;"><a title="VIEW ALL INSIGHTS" href="https://www.citigroup.com/global/insights/commercial-bank?pk_campaign=view_all_insights" data-link-source="tiny"><img src="/rcs/v1/media/citigpa/akpublic/storage/retrieveMediaFile/64834692ef207e3f74ae09e1.png" alt="VIEW" /></a></span></p>

Global manufacturers can deploy deep local knowledge and working capital to hedge against FX volatility

Steady solutions: how to navigate currency fluctuations

DOWNLOAD

The risks and opportunities surrounding sustainability and environmental, social and governance matters, or “ESG,” are increasingly becoming part of every company’s journey. Regulation, customer preferences, societal shifts, and net zero commitments by many governments, corporations, and financial institutions, are changing the business landscape for many companies, including privately held companies. Currently, we are seeing more and more companies establish net zero commitments and taking steps to promote diversity and inclusivity across their workforce. In turn, this is incentivizing privately held companies to integrate ESG and sustainability into decision making earlier and earlier in their growth trajectory. In this brief note, we highlight the importance of integrating ESG issues into a company’s strategy and discuss the opportunities that can arise from having a coherent ESG strategy as part of a company’s growth journey. The Rise of ESG What started as a trend in ESG and sustainability-linked capital markets is now expanding into other financial services, allowing companies to incorporate ESG considerations throughout their treasury management, capital raising, trade finance and deposits. There has been a sharp increase in capital being raised with sustainable financial instruments. There has been an extraordinary growth in the issuance of green bonds, social, sustainability bonds and sustainability-linked bonds as shown in the diagram on page 2. Sustainability-linked loans and revolving credit facilities, where interest rates can change depending on achievements in sustainability targets, are also becoming well-established, and Sustainable Supply Chain Finance is a growing opportunity for companies. We are also seeing a growing number of companies making net zero commitments and developing transition strategies, which will have impacts across their value chains. Some companies also find it useful to join the Science Based Targets initiative, which is an organization that works with companies to define and promote best practice in emission reductions and net zero targets in line with climate science. As of September 2023, over 6000 companies have either committed to net zero or set science-based targets to reduce their emissions through this initiative*. Many financial institutions, including Citi, have also committed to net zero which will lead to reductions in financed emissions across their lending portfolios over time. This means lenders will seek more detailed ESG and climate disclosures about emissions and business strategies over time from their borrowing clients and their clients’ value chain. New regulations can also create increased demands for companies to calculate and disclose ESG metrics. Much regulation has impacted primarily larger or publicly listed companies. For example, the Corporate Sustainable Reporting Directive (CSRD) in the EU will make businesses more accountable by obliging them to disclose both how sustainability issues affect their performance and their own impacts on people and planet. This directive applies to European companies with any two of the following: over 250 employees, 40 million Euros in turnover and a balance sheet of over 20 million Euros. The directive may also apply to certain parent companies of non EU groups that include a European subsidiary or branch or that are listed in the EU. Another example is the proposed rule by the U.S. Securities and Exchange Committee (SEC) called ‘The Enhancement and Standardization of Climate Related Disclosures for Investors’. While a final rule is expected to be announced later in 2023, the proposal currently has a clause that would ask firms to make climate related disclosures at the time of an initial public offering. These regulations can also affect private companies indirectly who are embedded in the ecosystem as suppliers to public listed companies that will need to provide climate-related disclosures. It is not only the ‘E’ in ESG that is growing, we are also seeing the dramatic ‘Rise of S’, which captures everything from gender diversity to poverty and hunger, with focus not only on a company’s own operations, but also throughout its supply chains. This is a huge opportunity for mid-sized companies to show how their activities impact not only the planet but also people. The ESG landscape mid sized companies are navigating is becoming increasingly complex, with evolving disclosure frameworks in different jurisdictions, as well as escalating expectations from stakeholders. The Opportunities of ESG At Citi, helping our clients navigate the challenges and embrace the opportunities of our rapidly changing world is fundamental to our mission of enabling growth and economic progress. This work is central to how we help our clients fortify themselves for the future. Opportunities that can arise from incorporating ESG into a company’s business strategy include: Improved access to capital – Simply by assessing ESG risks and making improvements – such as becoming more resource and water efficient and using less packaging – companies may be able to lower their cost base and develop more resilient business models. In addition, a well-conceived and communicated ESG strategy that improves strategic opportunities and reduces risk, can help make a company more attractive to ESG-focused investors thus potentially both improving access to capital and reducing the cost of that capital. Increased consumer engagement – The influence of consumers is growing, as they consider what to buy, why they buy it, and where they purchase their goods. Consumers are increasingly demanding to know and understand what ingredients are going into their food products as well as where their products are sourced from2. Understanding how important consumers view ESG is essential for B2C companies. Growth opportunities – A business which commits to become net zero usually will need to ensure that its supply chain and distribution network are also heading toward net zero. In essence, this means companies committed to net zero will often either work with their current suppliers to help them reduce their emissions (with potentially positive pricing/volume/trade finance terms to do so), or at the other extreme, those that will work with them3. A private company that supplies goods and services to these large companies will ultimately need to calculate and disclose their emissions and other ESG issues that are material, if they want to maintain these clients. Incorporating ESG issues early into business strategies also has an added advantage of potentially attracting new clients to their business as these clients look for sustainable suppliers. Attracting and retaining talent – Having a clear purpose, above and beyond maximizing profits, is increasingly an expectation of employees, especially millennials and Gen Z. Embracing ESG can be an important way to bring a significant sense of purpose to employees’ lives, helping to ensure companies can hire the best talent and retain them. ESG is expanding in its complexity, and whilst measuring and disclosing ESG issues might seem daunting at first, it can make business sense to do so. It should be seen as a fundamental part of running a successful business where returns are sustainable in the long-term. Guidance For companies, ESG is a process and a journey which can entail longer-term strategic targets, shorter-term milestones (and reporting on the same), on which they can take all stakeholders, from the providers of capital to customers, consumers, suppliers, and employees. Companies don’t have to do this alone. Citi Commercial Bank has the practical experience of helping clients implement many of the changes including how to embed ESG into an organization’s operational, financing and treasury strategies. In Conclusion It can be advantageous for privately held companies, especially those with global operations or ambitions, to integrate ESG into their business decision making and start early for several reasons. Companies can: Position themselves for new regulations and requirements as they come Benefit from the weight of capital now linked to ESG strategies Adapt to changing consumer preferences to stay attractive to customers and competitive to peers, both public and private Improve business resilience Attract new clients that are looking for sustainable suppliers If privately held companies put in the work and embrace sustainability and ESG into their business strategy, it can help them to build a business with premium returns which are sustainable for the long term, with strong corporate purpose, and a demonstrably positive effect on the environment around us, and on society as a whole. For more information about how Citi Commercial Bank can assist you and your team, please contact us below. Sources: 1. Citi GPS report – Climate Finance 2. Citi GPS report – Food and Climate Change 3. Citi Global Insights – Sustainable Tipping Points — The ‘net zero club’: when sustainability meets margins & supply chains

<p>The risks and opportunities surrounding sustainability and environmental, social and governance matters, or &ldquo;ESG,&rdquo; are increasingly becoming part of every company&rsquo;s journey. Regulation, customer preferences, societal shifts, and net zero commitments by many governments, corporations, and financial institutions, are changing the business landscape for many companies, including privately held companies.</p>
<p>Currently, we are seeing more and more companies establish net zero commitments and taking steps to promote diversity and inclusivity across their workforce. In turn, this is incentivizing privately held companies to integrate ESG and sustainability into decision making earlier and earlier in their growth trajectory. In this brief note, we highlight the importance of integrating ESG issues into a company&rsquo;s strategy and discuss the opportunities that can arise from having a coherent ESG strategy as part of a company&rsquo;s growth journey.</p>
<h4>The Rise of ESG</h4>
<p>What started as a trend in ESG and sustainability-linked capital markets is now expanding into other financial services, allowing companies to incorporate ESG considerations throughout their treasury management, capital raising, trade finance and deposits. There has been a sharp increase in capital being raised with sustainable financial instruments. There has been an extraordinary growth in the issuance of green bonds, social, sustainability bonds and sustainability-linked bonds as shown in the diagram on page 2.</p>
<p>Sustainability-linked loans and revolving credit facilities, where interest rates can change depending on achievements in sustainability targets, are also becoming well-established, and Sustainable Supply Chain Finance is a growing opportunity for companies.</p>
<p>We are also seeing a growing number of companies making net zero commitments and developing transition strategies, which will have impacts across their value chains. Some companies also find it useful to join the Science Based Targets initiative, which is an organization that works with companies to define and promote best practice in emission reductions and net zero targets in line with climate science. As of September 2023, over 6000 companies have either committed to net zero or set science-based targets to reduce their emissions through this initiative*.</p>
<div>Many financial institutions, including Citi, have also committed to net zero which will lead to reductions in financed emissions across their lending portfolios over time. This means lenders will seek more detailed ESG and climate disclosures about emissions and business strategies over time from their borrowing clients and their clients&rsquo; value chain.</div>
<div>&nbsp;</div>
<div>New regulations can also create increased demands for companies to calculate and disclose ESG metrics. Much regulation has impacted primarily larger or publicly listed companies. For example, the Corporate Sustainable Reporting Directive (CSRD) in the EU will make businesses more accountable by obliging them to disclose both how sustainability issues affect their performance and their own impacts on people and planet. This directive applies to European companies with any two of the following: over 250 employees, 40 million Euros in turnover and a balance sheet of over 20 million Euros. The directive may also apply to certain parent companies of non EU groups that include a European subsidiary or branch or that are listed in the EU. Another example is the proposed rule by the U.S. Securities and Exchange Committee (SEC) called &lsquo;The Enhancement and Standardization of Climate Related Disclosures for Investors&rsquo;. While a final rule is expected to be announced later in 2023, the proposal currently has a clause that would ask firms to make climate related disclosures at the time of an initial public offering. These regulations can also affect private companies indirectly who are embedded in the ecosystem as suppliers to public listed companies that will need to provide climate-related disclosures.</div>
<div>&nbsp;</div>
<div>It is not only the &lsquo;E&rsquo; in ESG that is growing, we are also seeing the dramatic &lsquo;Rise of S&rsquo;, which captures everything from gender diversity to poverty and hunger, with focus not only on a company&rsquo;s own operations, but also throughout its supply chains. This is a huge opportunity for mid-sized companies to show how their activities impact not only the planet but also people.</div>
<div>&nbsp;</div>
<div>The ESG landscape mid sized companies are navigating is becoming increasingly complex, with evolving disclosure frameworks in different jurisdictions, as well as escalating expectations from stakeholders.</div>
<div>&nbsp;</div>
<div><img style="display: block; margin-left: auto; margin-right: auto;" src="/rcs/v1/media/citigpa/akpublic/storage/retrieveMediaFile/6528454df22be5320e4541d1.png" alt="Starting" /></div>
<div>
<h4>&nbsp;</h4>
<h4>The Opportunities of ESG</h4>
<p>At Citi, helping our clients navigate the challenges and embrace the opportunities of our rapidly changing world is fundamental to our mission of enabling growth and economic progress. This work is central to how we help our clients fortify themselves for the future. Opportunities that can arise from incorporating ESG into a company&rsquo;s business strategy include:</p>
<div>
<ul>
<li><strong>Improved access to capital</strong> &ndash; Simply by assessing ESG risks and making improvements &ndash; such as becoming more resource and water efficient and using less packaging &ndash; companies may be able to lower their cost base and develop more resilient business models. In addition, a well-conceived and communicated ESG strategy that improves strategic opportunities and reduces risk, can help make a company more attractive to ESG-focused investors thus potentially both improving access to capital and reducing the cost of that capital.</li>
</ul>
<div>
<ul>
<li><strong>Increased consumer engagement</strong> &ndash; The influence of consumers is growing, as they consider what to buy, why they buy it, and where they purchase their goods. Consumers are increasingly demanding to know and understand what ingredients are going into their food products as well as where their products are sourced from<sup>2</sup>. Understanding how important consumers view ESG is essential for B2C companies.</li>
</ul>
<div>
<ul>
<li><strong>Growth opportunities</strong> &ndash; A business which commits to become net zero usually will need to ensure that its supply chain and distribution network are also heading toward net zero. In essence, this means companies committed to net zero will often either work with their current suppliers to help them reduce their emissions (with potentially positive pricing/volume/trade finance terms to do so), or at the other extreme, those that will work with them<sup>3</sup>. A private company that supplies goods and services to these large companies will ultimately need to calculate and disclose their emissions and other ESG issues that are material, if they want to maintain these clients. Incorporating ESG issues early into business strategies also has an added advantage of potentially attracting new clients to their business as these clients look for sustainable suppliers.</li>
</ul>
<div>
<ul>
<li><strong>Attracting and retaining talent</strong> &ndash; Having a clear purpose, above and beyond maximizing profits, is increasingly an expectation of employees, especially millennials and Gen Z. Embracing ESG can be an important way to bring a significant sense of purpose to employees&rsquo; lives, helping to ensure companies can hire the best talent and retain them. ESG is expanding in its complexity, and whilst measuring and disclosing ESG issues might seem daunting at first, it can make business sense to do so. It should be seen as a fundamental part of running a successful business where returns are sustainable in the long-term.</li>
</ul>
<h4>Guidance</h4>
<p>For companies, ESG is a process and a journey which can entail longer-term strategic targets, shorter-term milestones (and reporting on the same), on which they can take all stakeholders, from the providers of capital to customers, consumers, suppliers, and employees. Companies don&rsquo;t have to do this alone.</p>
<p>Citi Commercial Bank has the practical experience of helping clients implement many of the changes including how to embed ESG into an organization&rsquo;s operational, financing and treasury strategies.</p>
<h4><span style="font-size: 20px;">In Conclusion</span></h4>
</div>
</div>
</div>
</div>
</div>
<p>It can be advantageous for privately held companies, especially those with global operations or ambitions, to integrate ESG into their business decision making and start early for several reasons.</p>
<p>Companies can:</p>
<ol style="list-style-type: upper-roman;">
<li>Position themselves for new regulations and requirements as they come</li>
<li>Benefit from the weight of capital now linked to ESG strategies</li>
<li>Adapt to changing consumer preferences to stay attractive to customers and competitive to peers, both public and private</li>
<li>Improve business resilience</li>
<li>Attract new clients that are looking for sustainable suppliers</li>
</ol>
<p>If privately held companies put in the work and embrace sustainability and ESG into their business strategy, it can help them to build a business with premium returns which are sustainable for the long term, with strong corporate purpose, and a demonstrably positive effect on the environment around us, and on society as a whole.</p>
<p>For more information about how Citi Commercial Bank can assist you and your team, please <strong>contact us below</strong>.</p>
<p><img style="display: block; margin-left: auto; margin-right: auto;" src="/rcs/v1/media/citigpa/akpublic/storage/retrieveMediaFile/652d673c0b80f04617f1c231.png" /></p>
<div>
<div>
<div><sup>Sources:</sup></div>
<div><sup>1. Citi GPS report &ndash; <a href="https://www.citigroup.com/global/insights/citigps/climate-finance" target="_blank" rel="noopener" data-link-source="tiny">Climate Finance</a></sup></div>
<div><sup>2. Citi GPS report &ndash;<a href="https://www.citigroup.com/global/insights/citigps/food-and-climate_20220719" target="_blank" rel="noopener" data-link-source="tiny"> Food and Climate Change</a></sup></div>
<div><sup>3. Citi Global Insights &ndash; <a href="https://www.citivelocity.com/rendition/authfilelinksvcs/eppublic/V1/file?paramData=ZmlsZU5hbWU9L2dsaW4vUEpUQi1aQjc4LTY2R1YtUzRNVy1SNUEwX0NDTV8xNTk3MzQ4MDgwOTM5LnBkZiZwbGF0Zm9ybUlkPTc4JmRvY0lkPWdpY29udGVudC9QREYxMzYzNjgyNzg4ODI0NjU0NjQyMg" target="_blank" rel="noopener" data-link-source="tiny">Sustainable Tipping Points &mdash;</a></sup></div>
<div><sup><a href="https://www.citivelocity.com/rendition/authfilelinksvcs/eppublic/V1/file?paramData=ZmlsZU5hbWU9L2dsaW4vUEpUQi1aQjc4LTY2R1YtUzRNVy1SNUEwX0NDTV8xNTk3MzQ4MDgwOTM5LnBkZiZwbGF0Zm9ybUlkPTc4JmRvY0lkPWdpY29udGVudC9QREYxMzYzNjgyNzg4ODI0NjU0NjQyMg" target="_blank" rel="noopener" data-link-source="tiny">The &lsquo;net zero club&rsquo;: when sustainability meets margins &amp; supply chains</a></sup></div>
<div>&nbsp;</div>
<div><a title="VIEW ALL INSIGHTS" href="https://www.citigroup.com/global/insights/commercial-bank?pk_campaign=view_all_insights" data-link-source="tiny"><img src="/rcs/v1/media/citigpa/akpublic/storage/retrieveMediaFile/64834692ef207e3f74ae09e1.png" alt="VIEW" /><br /></a></div>
</div>
</div>

The risks and opportunities surrounding sustainability and “ESG,” are increasingly becoming part of every company’s journey. The business landscape is changing for many companies, including privately held companies.

Starting early on ESG and sustainability strategies can support growth long-term for privately held companies

Standing the test of time: the Chow Sang Sang story

Passion for fashion: the Esprit story

2023 Citi Commercial Bank Consumer & Retail Summit highlights

READ HERE

<p>The 2024 Citi Commercial&nbsp;Bank Sector Snapshot Consumer Report, with data from PitchBook, looks beyond the&nbsp;headlines and takes a closer look at the Consumer sector in a&nbsp;time of political and economic uncertainty.</p>
<p>It assesses market conditions, industry shifts, and key trends in investment, with a focus on M&amp;A, venture flows, consumer funding, deal an exit counts and values.</p>
<p>This raises interesting questions:</p>
<ul>
<li>Will tech stock equity retain its dominance?</li>
<li>Can post money valuations maintain their 2024 record levels?</li>
<li>If interest rates have peaked, will buyout firms become less cautious?</li>
<li>And will pre-seed financing sizes, at their highest to date, continue to rise?&nbsp;</li>
</ul>
<p>These are some of the areas covered in the report which delivers valuable insights and will unlock opportunities.</p>
<p>Read the full report <a href="https://www.citibank.com/icg/sa/flippingbook/2024/Sector-Snapshot-Reports-Key-Trends-in-Dealmaking-Consumer/" target="_blank" rel="noopener" data-link-source="tiny">here.</a></p>
<hr>
<div style="display: flex; flex-direction: row; flex-wrap: wrap;">
<div class="locationBlock" style="flex-basis: 20%; margin: 5px 5% 20px 0; font-weight: 400; font-size: 16px; line-height: 24px;"><img src="/rcs/citigpa/storage/public/timicka-1.png" alt="" width="130" height="150"></div>
<div class="locationBlock" style="flex-basis: 40%; margin: 5px 5% 20px 0; font-weight: 400; font-size: 16px; line-height: 24px;">
<div>&nbsp;</div>
<div><strong>Timicka Anderson</strong><br>Global Head of Consumer and Retail<br>Citi Commercial Bank</div>
</div>
</div>

Key Trends in Dealmaking

<p>Learn about Timicka Anderson, Global Industry Head for Consumer &amp; Retail, what she sees as the biggest trend in consumer and retail, and more in 90 seconds.</p>

Get to Know Our Leaders: Timicka Anderson

Commercial Bank

Banking & International

We provide global banking solutions to mid-sized companies that are looking to grow rapidly and expand internationally. 

Banking, Capital Markets & Advisory

Securities Services

Citi Global Perspectives & Solutions

Global Insights

Leadership

Private Bank

Treasury & Trade Solutions

Markets

Issuer Services

Citi Digital Assets

Research

Wealth

Services

Column 1

Column 2

About Us

Programs

Knowledge Center

Apply for Funding

Column 3

Column 4

Column 5

Links

Footer

Citi Foundation

Businesses

Our Impact

News

Insights

Investors

Careers

My Account

Para Sport

Emergency

Disclosures

Privacy Notices

Hidden

Citi Gpa

Europe, Middle East and Africa

North America

Latin America

Asia Pacific

Social Welfare Funds

Development Organizations

SOEs

Multilateral Development Bank

Central Banks

Central Governments

Ministry of Finance

Local Governments

Ministry of Foreign Affairs

Regional Development Bank

Fraud Prevention

FinTech

iBuyers

Mortgage

Origination

PropTech

Real Estate

Single-Family Rental

Data

GDPR

Privacy

Regulsyion

Auto

Demand

Food

Industrial

Metals

Russia

Shortage

Supply

Supply Chain

Tariff

Ukraine

Asteroids

Imagery

Logistics

Mining

Moon

Rockets

Satellites

Space

Space-Based Solar Power

Aware

Do No Harm

Impact

Investing

Monitoring

Risk

Sustainability

Taxonomies

Augmented Reality

Cryptocurrency

dApps

DeFi

Metaverse

Money

Virtual Reality

VR/AR

Auction

Disruption

Money Laundering

Online

Regulation

Virtual

Entrepreneur

Equal Opportunity

Equality

Global Growth

Innovation

Venture Capital

Women

Women Entrepreneurs

Education

Eliminating Poverty

Health

Multidimensional Index

Poverty

Standard of Living

Sustainability-Linked Bond

UN SDG

Inflation

Just in Case

Just in Time

Production

Transportation

Charity

Donations

Multiplier

Philanthropy

Service

Technology

Growth & Prosperity

Risk & Resilience

Sustainability & Society

Technology & Innovation

Health & Wellness

Citi Blog

Press Release

Regulatory

Product Marketing

Wealth Publications

Newsletter

Global Markets and Economy

Business Strategies

Community Impact

Wealth Management

Retail Banking

Diversity, Equity, and Inclusion

ICG Insight Detail Template

As our premier thought leadership product, Citi Global Perspectives & Solutions (Citi GPS) is designed to help our clients navigate the global economy’s most demanding challenges, identify future themes and trends, and prosper in a fast-changing and interconnected world. 

Keep Exploring CITI GPS Content

Keep up to date with our latest insights.

Subscribe to Citi GPS

gpa-footer

gpa-menu

Citi, the leading global bank, serves more than 200 million customer accounts and does business in more than 160 countries and jurisdictions. Learn more today.

Global Investment Bank and Financial Services | Citi