Pushing for a Promotion?

By pressing hard for more extensive changes in Citi's executive suite, Bair may also be improving her chances to secure an even more powerful position in the new regulatory construct under discussion within the Obama Administration. "This appears to be part of her bid for a bigger role in the regulatory restructuring that's under way," says Daniel Clifton, a Washington policy analyst for institutional broker Strategas Research Partners. "It's a mess right now; everyone is for more regulation, but no one agrees on what should be done." Clifton argues that Bair, who many believe did a better job than other regulators at foreseeing the extent of the crisis and pushing for aggressive policies to contain the damage, wants to ensure that her views are heard. But Clifton considers her push not just politics or the usual infighting. "She firmly believes that what she's doing is the best [for the banking system]; she's not just trying to do it to move up," he says.