Citigroup’s director of retail services, Chubak, left the bank due to outsourcing

Citigroup's director of retail services, Chubak, left the bank due to outsourcing

Citigroup’s David Chubak, who last year took over as head of the company’s store credit card business, is departing for an external opportunity. Chubak will remain with the New York-based bank through the month’s end, as per a memo to staff this week. The firm will lead a quest for his substitution as head of the retail-services business, which gives private-label and co-brand credit cards for merchants including Macy’s and Best Buy.

Chubak joined Citigroup from McKinsey & Co. in 2013 as head of productivity, reporting directly to then-Chief Executive Officer Michael Corbat. Prior to becoming head of retail services in 2021, Chubak oversaw the bank’s U.S. retail-banking arm during the early days of the Covid-19 pandemic, when the firm’s mortgage and wealth-management teams were dealing with a surge in volume.

“With consumers rapidly shifting toward online shopping and digital payments and keen to enjoy a traditional retail experience safely, he helped ensure we were always one step ahead of the evolving dynamics, offering new ways for our partners to engage with and serve their customers,” Gonzalo Luchetti, who oversees Citigroup’s U.S. consumer-banking arm, said in the memo.

Citigroup announced Friday it would rebrand its global consumer-banking unit as personal banking and wealth management, which will include the U.S. cards and retail-banking businesses, as well as those divisions that manage money for wealthy clients. The overarching unit will continue to be led by Anand Selva.

“Retail services spend volumes are up 16%, so very healthy,” Chief Financial Officer Mark Mason told analysts and investors on a conference call. The bank is getting “a very good response in terms of new accounts coming on board.”

The retail-services business saw revenue drop 10% in the final three months of the year as consumers continued to pay down debt and the company faced higher partner payments. Still, new-account acquisitions jumped 6% in the quarter, while spending on the unit’s cards soared 16%.

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