March 5 (Bloomberg) -- Citigroup Inc. won't cut its dividend further or raise more capital and the shares may double over the next two years, investor Robert Olstein said.

Citigroup's stock, which has tumbled 55 percent in the past year, is attractive even if the biggest U.S. bank by assets reports another $60 billion of writedowns and loan-loss provisions over the next two years, Olstein said today in an interview on Bloomberg Television.

Citigroup slashed its dividend by 41 percent in January after posting the widest loss in its 196-year history. The bank has raised about $22 billion since November from investors including the governments of Abu Dhabi and Singapore to shore up its capital after losses related to the collapse of the subprime mortgage market.

``Even though there's bad news still to come in Citibank, it's discounted already,'' said Olstein, who oversees about $1.3 billion as chairman of Olstein Capital Management. ``This stock in two years is going to be in the mid-40s. You've got to be forward looking.''

Citigroup shares fell to the lowest since 1998 yesterday after two analysts predicted a first-quarter loss and a Middle Eastern investment fund said the bank needs more capital. The shares added 5 cents, or 0.2 percent, to $22.15 in New York Stock Exchange trading as of 4 p.m. in New York today.

``They're not cutting the dividend and they are not going to go back for more capital,'' Olstein, whose firm owns 1.7 million Citigroup shares, said after U.S. exchanges closed today. ``They're OK.''

Olstein said in an interview with Bloomberg Television in August that he had been buying shares of Citigroup because the dividend was attractive. The stock declined more than 50 percent since then.

To contact the reporters on this story: Brian Sullivan in New York at bsullivan@bloomberg.net; Michael Patterson in New York at mpatterson10@bloomberg.net.

Last Updated: March 5, 2008 18:27 EST