Citicorp said Tuesday that it hired the president of General Motors Acceptance Corp. to fill a key corporate banking post.
John R. Rines, 50, was named executive vice president and head of global markets, in a move reinforcing Citicorp's commitment to multinational wholesale activities.
He succeeds Ernst W. Brutsche, 59, who announced his retirement in April after 25 years with the $300 billion-asset banking company.
Mr. Rines reports to Robert A. McCormack and Dennis R. Martin, the executive vice presidents who oversee global corporate banking.
"His experience in managing and growing a large multinational financial company will be of value as we expand our product offerings and serve new customers in the emerging markets," Mr. Martin said.
Mr. Rines had been president of GMAC since 1992. The captive finance subsidiary of General Motors Corp. is a large customer of Citicorp and its Citibank unit. In his new role, Mr. Rines is in charge of worldwide capital markets, trading, and corporate finance product areas.
Citicorp has been working to consolidate the management of capital markets and trading activities to boost sales and improve service, analysts said.
Global markets-one of the business units targeted for reorganization since the New York bank announced sweeping managerial changes last April- accounted for half of the corporate bank's $7.2 billion in revenue in 1996. Citicorp's total 1996 revenue was $21.5 billion.
Observers of the bank said the appointment provides a glimpse into how chairman John S. Reed has been changing the culture of Citicorp's senior management.
Mr. Rines is the fourth executive vice president from nonbank backgrounds to be hired since early 1996.
The others are William I. Campbell, head of the global consumer bank, who joined in January 1996 from Philip Morris Cos.; Mary Alice Taylor, the operations chief who joined in January from Federal Express Co.; and Edward D. Horowitz, the technology chief, who also joined in January from Viacom Inc.
"They are clearly trying to infuse the bank with new and different ideas," said Raphael Soifer, an analyst at Brown Brothers Harriman & Co.
The bank found Mr. Rines attractive precisely because he was a customer, according to a source who asked not to be identified. "Their view is that one way to bring in an extra dose of client service is to bring in a client."
The bank has been trying to bolster its investment banking expertise over the last few years to compete with Wall Street rivals.
"Capital markets has been a growing business for them," said Diane B. Glossman, an analyst at Salomon Brothers. "The mix is clearly moving toward more client-related activity."
Mr. Rines spent the last 27 years at General Motors in various capacities-including a stint as finance director for Brazilian operations.
In 1994 he assumed additional responsibilities as head of GMAC's worldwide operations.
GMAC is best known for financing auto loans and leases for General Motors customers. The company also has insurance and mortgage businesses.
John D. Finnegan, 48, was named to succeed Mr. Rines at GMAC, effective immediately. Mr. Finnegan had been GMAC's vice president and treasurer.