Weill says JPMorgan ready for credit crisis

NEW YORK (Reuters) - Sanford "Sandy" Weill, former chief executive and chairman of Citigroup Inc (C.N: Quote, Profile, Research), believes Jamie Dimon's JPMorgan Chase & Co (JPM.N: Quote, Profile, Research) is better positioned than many other Wall Street firms to cope with the credit crisis.

"JPMorgan has positioned themselves better than a lot of others in this crisis," Weill told Reuters on Tuesday.

Weill did not mention Citigroup in an interview but his comments are a vindication for Dimon, who was ousted from Citigroup in 1998. Weill was Dimon's mentor, and the two men worked for more than a decade to build what was once a small consumer lending company in Baltimore into Citigroup.

Weill and Dimon were briefly estranged after the ouster, but reconciled in 1999.

Weill said JPMorgan is in a position to further improve "at a point of time when assets are being put on the market at very low prices."

"I think Jamie has done a very good job in being the leader of JPMorgan," said Weill, who said he last spoke to Dimon a few months ago.

Banks have had a rough year and write-downs from losses on subprime mortgages and complex debt securities remain a concern. JPMorgan has avoided the large writedowns posted by its peers, but conditions remain difficult for banks.

"I am not sure things have settled down for anyone," said Weill, referring to current market conditions.

(Reporting by Elinor Comlay; editing by Toni Reinhold/Jeffrey Benkoe)