You are viewing this article in the archives. For the latest breaking news and updates in Ann Arbor and the surrounding area, see
Posted on Fri, Apr 29, 2011 : 11:20 a.m.

CitiMortgage cuts 108 jobs in Pittsfield Township

By Nathan Bomey

CitiMortgage confirmed that it announced plans this week to eliminate more than 100 jobs at its Pittsfield Township operation.

St. Louis, Mo.-based CitiMortgage, which manages most of Citigroup Inc.’s $170 billion mortgage portfolio, is cutting 108 positions at its office in Avis Farms South off of State Road, CitiMortgage spokesman Mark Rodgers said in an e-mail.

Those workers will be eligible to apply for positions elsewhere in the national company, including the separate default servicing unit, which is adding 500 jobs in response to new federal regulations.

Overall, CitiMortgage is cutting about 400 jobs at five locations: Ann Arbor, St. Louis, Dallas and Las Vegas. After the cuts are complete, the company will have "more than 850 employees" in Pittsfield Township, Rodgers said.

"Due to ongoing challenges in the housing industry, including decreased consumer demand for new mortgages and refinancing, CitiMortgage is reducing its loan sales and fulfillment staffs by roughly 400 positions," Rodgers said in an emailed response to inquiries.

Mortgage originations, which numbered 1.57 million in 2010, are expected to sink 31.9 percent to 1.07 million in 2011, according to an independent forecast released April 14 by the Mortgage Bankers Association. Mortgages are expected to drop to 966,000 in 2012.

Meanwhile, the number of refinanced mortgages is expected to drop 53.5 percent from 1.09 million in 2010 to 511,000 in 2011. That figure will sink to 236,000 in 2012, according to projections.

The cuts reflect the latest twist in a roller coaster ride for the 255,000-square-foot Pittsfield Township office. In 2008, the company announced plans to consolidate operations into the Pittsfield office only to shelve the plan in the midst of the financial crisis and then decide to press forward after all.

The company's local operation has vacillated from about 710 employees in August 2008 to 450 in December 2008 to 950 in June 2010.

CitiMortgage inherited the Pittsfield Township office after announcing on Jan. 22, 2007 — the same day Pfizer said it was leaving Ann Arbor — that it was acquiring ABN AMRO Mortgage Group Inc. ABN Amro had purchased the building for $37 million in 2005. CitiMortgage spun off from Citi in 2009 into a unit called Citi Holdings.

Rodgers said the workers who are not able to find a job elsewhere inside the company would receive "human resources counseling, including outplacement services and severance and other benefits based on position, length of service and other qualifying considerations."

Contact's Nathan Bomey at (734) 623-2587 or You can also follow him on Twitter or subscribe to's newsletters.



Tue, May 3, 2011 : 5:44 a.m.

If this was a public union shop they would be funded by tax dollars because they "had a contract". "Promises' would have been made with NO concern for productivity, purpose, or use.


Fri, Apr 29, 2011 : 11:06 p.m.

Yet more jobs disappear from Michigan. Gee I wonder why, could it be our business environment?

say it plain

Sun, May 1, 2011 : 12:04 a.m.

Oh c'mon the case of this particular business, could it be, say, that there is less *demand* for mortgage services?!


Fri, Apr 29, 2011 : 9:11 p.m.

again the connection between "low taxes" and "incentives' is a myth...figure it out! attracting and retaining businesses here in michigan - creating jobs is based on one thing: a companies ability to attract and retain a QUALIFIED workforce. Its the WORKFORCE stupid!

Basic Bob

Sat, Apr 30, 2011 : 9:37 a.m.

These 108 people who are losing their jobs are qualified for their positions. However they are still losing their jobs. By your reasoning, mortgage companies will be flocking to Michigan to take advantage of the qualified and available talent released by Citimortgage. Don't hold your breath. The whole industry is contracting nationwide.


Fri, Apr 29, 2011 : 7:23 p.m.

Not surprising, since I have heard horror stories about even well qualified, "above water" refi-applicants having to wait 6 months to complete a simple refi. Also, the customer service has gone down hill since the days of the old Standard Federal. Talk about feeling like a number versus a customer.


Fri, Apr 29, 2011 : 5:55 p.m.

Thank goodness, this with keeping Menard's Hardware out will keep Pittsfield "GREEN". Of course, no one will work there but that seems to be the new zoning plan!

say it plain

Fri, Apr 29, 2011 : 6:04 p.m.

I don't really have an opinion about Menards versus their ubiquitous competitors Home Depot and Lowe's and whomever else, but really, I'm not thinking this is a great time for building supply places?! Who knows, maybe that's exactly what people will need, 'cause they ain't selling anytime soon if they've bought recently! I for one will not be nostalgic for the heady days of the early naughties and the endless obsession with home improvement/house-flipping etc.

Buster W.

Fri, Apr 29, 2011 : 5:21 p.m.

If the MBA's forecast is accurate, this is only the beginning.

David Briegel

Fri, Apr 29, 2011 : 5:09 p.m.

The gravy train of fraud in the mortgage lending business is over. Everyone involved collected their fees for every single mortgage that got approved, no matter how phony or bad. They had zero incentive to exercise ANY fiduciary responsibility. They got paid regardless. The Wall St Banksters had their hired hands at the rating agencies rate the junk AAA. Why not, they still got paid their phony fees? And they want us to believe that it was all the fault of poor people and minorities. They think we are that foolish. In too many instances they were correct! And why aren't Michael Finney and the Rickster responsible?

John of Saline

Fri, Apr 29, 2011 : 4:57 p.m.

Ever seen the building? It's nice.


Fri, Apr 29, 2011 : 8:21 p.m.

Yes, I've seen it. I don't think they want you too though; it's pretty well hidden.


Fri, Apr 29, 2011 : 4:50 p.m.

Pittsfield Board of Trustees must be proud of this.

say it plain

Fri, Apr 29, 2011 : 4:24 p.m.

Oh my god, the news here to me that's shocking is the projected drop in refis...a 50% projected drop from 2011 to 2012?! On top of the 50% drop already from 2010 to 2011?! Wow. LOTS of underwater people, yikes. Hang on tight people, this economy isn't going anywhere fast. At least not for all the regular folks who depend on, say, office jobs and the housing market.

Craig Lounsbury

Fri, Apr 29, 2011 : 4:23 p.m.

"Those workers will be eligible to apply for positions elsewhere in the national company, ..." Like I'm eligible never having worked there before? Or will they be given an "in-house" priority?

Alan Goldsmith

Fri, Apr 29, 2011 : 4:06 p.m.

"Michael Finney, CEO of economic development organization Ann Arbor SPARK, said the CitiMortgage executives he met with six months ago seemed pleased with their decision to maintain a major operation here. "The message was consistent with what we often hear: Talent seems to be reasonably available, and they continue to have just really good performance once they get folks trained and properly up to speed," Finney said." June 2010


Fri, Apr 29, 2011 : 3:46 p.m.

What? Don't they know about the business tax cut coming?