Citigroup slashes CEO’s pay
Citigroup has agreed to slash its Chief Executive Officer, Micheal Corbat’s pay after the company fail to meet its financial target.
Citigroup’s board of directors said Michael Corbat will lose his compensation by 6 percent.
Corbat received $15.5 million in total compensation, including a base salary of $1.5 million, a $4.2 million cash award and $9.8 million of stock-related incentives, according to a securities filing on Friday.
Directors said they considered some of the 56-year-old CEO’s successes when setting his pay.
Last year, Citigroup’s capital plan won approval from the Federal Reserve, and it received positive feedback from regulators on its resolution plan. Corbat also continued to wind down troubled assets left from the financial crisis.
However, directors said Corbat’s compensation should reflect performance against financial targets.
Citigroup, the fourth-largest U.S. bank, fell short of goals Corbat set in 2013, shortly after taking the helm, for return on assets, return on tangible common equity and operating efficiency.
Overall, the bank’s profit fell 13 percent last year. Its shares rose 15 percent amid a broader rally in financial stocks following the U.S. elections that sent competitors’ stock soaring much higher. (Aljazeera)
