Legg Fund shortage could spur change

Published August 6, 2007 4:00am ET



Changes could be in order.

Following Citigroup?s announcement last week that it failed to reach forecasts for the sale of Legg Mason?s mutual funds, a potential renegotiation of the deal that brought the two businesses together could be in order. In a deal agreed to about 18 months ago, Legg Mason contracted Citigroup to distribute its funds through its Smith Barney brokerage arm.

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