Public Meeting Regarding Citicorp and Travelers Group
Friday, June 26, 1998
Transcript of Panel Nineteen
485 1 2 MR. LONEY: Thank you very much. 3 I understand from panel 19 scheduled 4 for 9 o'clock we have Robert Sanchez, Carmelo 5 Loran and Truda Cleeves Jewett. Would you come 6 up, please. 7 MR. LONEY: Mr. Sanchez, will you 8 begin with the panel, please? 9 MR. SANCHEZ: I'm Robert Sanchez and 10 I own United Business Forms, we're printers in 11 Long Island City. I'm also vice-chairman of 12 the National Hispanic Business Group. 13 Now, part of our mission at the 14 National Hispanic Business Group is we seek to 15 expand opportunities to our members by 16 fostering a dialogue in economic exchanges with 17 corporate America, about a year ago we reached 18 out to the Travelers Group, and found them 19 very, very accommodating. They met with us. 20 As a matter of fact, they nominated someone 21 from our Hispanic Corporate Achiever Award and 22 then they, most importantly, facilitated a 23 luncheon meeting with an executive from their 24 purchasing department with some of our 25 executive committee members. . 486 1 2 So the point of my testimony this 3 morning was that we found the Travelers Group 4 to be on the right page as far as fostering 5 economic development in the Hispanic community. 6 The national Hispanic business group feels all 7 we need is an opportunity to open the door a 8 little bit and we'll do our job and get 9 business in corporate America. 10 That's the basis of my testimony this 11 morning. 12 MR. LONEY: Thank you Mr. Sanchez. 13 Mr. Loran. 14 MS. LORAN: Thank you. Good morning. 15 I represent the Occupation Training 16 Institution. We are a non-profit organization 17 based in the Bronx. We provide vocational and 18 educational training to adults and youth, 19 specifically youths from the Bronx where I 20 live. 21 The reason I'm here today is to 22 really testify in favor of the merger between 23 Travelers group and Citicorp. We've been 24 involved with Citicorp in expanding our 25 operation. The Citicorp services our parent . 487 1 2 company, and two years ago became its own 3 entity to the division and the entrepreneurship 4 of the executive director and the board of ESS. 5 We identify Citicorp Bank as one of 6 our bankers to be able to help us expand our 7 program. Due to the fact that we provide 8 vocation training in the auto mechanic field 9 which is a very diverse field, and a very 10 lucrative field for those individuals who have 11 a mechanical aptitude. 12 Citibank through its effort to the 13 Community Revitalization Act came to us and 14 provided us with assistance to assist us in how 15 best to serve our need, and reinforce our 16 philosophy of strengthening the community. 17 As some of our panelists have spoken 18 in the past in terms of revitalizing the 19 community, I think Citibank has a sensitivity 20 that needs to be, I think, recognized here 21 today that they help in strengthening the 22 infrastructure. How can a bank or any other 23 entity provide services if individuals are 24 unemployed? 25 They see that as a first step in . 488 1 2 trying to provide help to the community. We 3 provide the vocational training and the job 4 placement. Then the Citibank helps them of 5 course with the banking services of course and 6 maybe they are now available to take out loans. 7 Citibank has been working with me to 8 provide us help with the business plan and 9 other areas. We are in a 24 month process to 10 purchase city land and build a structure 11 multicertification in academic training within 12 the central Bronx, which is the industrial 13 park. Right now we're located in the annex 14 area and we are also expanding part of the 15 operations into the Hub and 129th Street. 16 I know questions were asked of one 17 other panelist. I will say that Citibank has 18 been sensitive to the community needs 19 specifically in the Bronx. We provide services 20 to residents in all five boroughs. I look 21 forward to working with Citibank. I have not 22 worked with Travelers Group, but I know in the 23 marriage between Citigroup and Travelers if 24 Citigroup educates Travelers in some of the 25 needs to the community and be more sensitive to . 489 1 2 the need I believe that the merger will help 3 not only these businesses, but also the 4 community. Thank you very much. 5 MR. LONEY: Yes, Ms. Jewett. 6 MS. JEWETT: Thank you. Thank you 7 for asking me to testify today. I am Truda 8 Jewett, the assistant executive director of the 9 Childrens Aid Society here in New York City. 10 Childrens Aid is one of the oldest 11 and largest social service agency in this city. 12 It's been here for 145 years. It serves more 13 than 120,000 children and their families each 14 year with a budget of about $45 million this 15 year. 16 We could not survive without 17 government help, without individual help, 18 without corporate and foundation help. We've 19 been fortunate, I think in that we've had the 20 good fortune to be involved in what is now all 21 the Travelers Group. We've had less, really 22 less involvement with Citicorp, but between 23 Travelers starting with Primerica, Salomon, 24 Smith Barney and Citicorp, I think in the last 25 few years those organizations have contributed . 490 1 2 more than $500,000 to Childrens Aid Society. 3 That money had gone specifically for 4 child care and for education. Interesting, all 5 of them have been particularly interested in 6 these two very important issues here in the 7 city. 8 Perhaps as important, if not even 9 more important than the financial support is 10 the leadership that this represents, and by 11 that I mean physically the leadership from 12 Mr. Weil and his wife, Mr. Diamond and his 13 wife, Mr. Denim from Salomon and his wife, and 14 Mr. Coleman and his wife from Smith Barney. 15 Between those individuals, their 16 friends and employees, they have contributed 17 more than $1.5 million in the last two years to 18 the Childrens Aid Society. 19 This leadership by example I think is 20 something that's very important in the 21 community, and while we haven't had the close 22 involvement with Citicorp, I can only hope that 23 that would increase with this merger so that I 24 support it. 25 MR. LONEY: Thank you, Ms. Jewett. . 491 1 2 Do we have any questions of this panel? 3 MR. HODGETTS: Mr. Loran, does 4 Citibank have a lending or investment 5 relationship with your organization or with 6 your graduates? 7 MS. LORAN: The parent agency that's 8 referred to currently has their business bank, 9 business account with Citibank, and we haven't 10 reached the next level because of the fact that 11 as I said before, we've just begun the creating 12 of OCI, and we're looking more into eventually 13 in trying to receive more funding. 14 What I hope to do is we are in 15 October of this year starting a program for 16 youth in the Bronx, and to incorporate banking 17 and budgeting, that hopefully the Citibank will 18 help us in terms of that. Thank you. 19 MR. HODGETTS: Thank you. 20 MR. LONEY: Are there any other 21 questions? If not, I will thank the panel for 22 coming.