FACTBOX-U.S. financial companies cutting jobs

U.S. banks and financial service companies are cutting tens of thousands of jobs to reduce costs as the economy weakens and credit conditions tighten, especially for mortgage lending.

CITIGROUP INC (C.N: Quote, Profile, Research, Stock Buzz)

The largest U.S. bank announced an additional 4,200 job cuts on Jan. 15 as part of its plan to shore up the balance sheet after a record $9.83 billion fourth quarter loss. Citi had said in April that it would eliminate 17,000 jobs and move an additional 9,500 jobs to lower-cost locations, hoping to save $4.58 billion annually by 2009. Citi said at the time that it had about 327,000 employees.

BANK OF AMERICA (BAC.N: Quote, Profile, Research, Stock Buzz)

Bank of America, the No.2 U.S. bank, said on Jan. 15 that it would eliminate 650 corporate and investment banking jobs and sell its prime brokerage unit. The cuts affected about 12 percent of capital markets and investment banking workers and were in addition to about 500 cuts made late last year as part of an overall reduction of 3,000 jobs companywide.

COUNTRYWIDE FINANCIAL CORP CFC.N

Countrywide Financial Corp, the largest U.S. mortgage lender, cut 11,000 jobs since mid-2006 to cope with weakened housing demand, rising foreclosures and tightening credit markets, ending the year with 50,600 employees.

NOVASTAR FINANCIAL INC NFI.N

NovaStar Financial Inc NFI.N, which last year halted subprime mortgage lending and is struggling to survive, said it would eliminate 85 percent of its remaining work force, or 170 jobs. NovaStar said it would employ 30 people after the latest cuts, down from 2,048 at the end of 2006. NovaStar specialized in making home loans to customers with weak credit.