ZEE Business
ZEE BUSINESS
Live TV
Live TV
  • India
    • Economy
    • Politics
    • Markets
  • World
    • Economy
    • Politics
    • Markets
  • Companies
    • Auto
    • Banking & Financial Services
    • Pharma
    • Energy
    • Infrastructure
    • Media
    • IT
    • Telecom
    • Consumer Products
    • Aviation
    • FMCG
  • Market
    • Mutual Funds
    • Commodity
  • Personal Finance
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
  • Technology
  • Automobile
    • Cars
    • Bikes
  • Small Business
    • SME
    • Startups
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS
    • AUTHORS
Home » Companies News

Citigroup cuts CEO Corbat's pay after missing financial targets

  • Twitter
  • Facebook
  • GPlus
Citigroup cuts CEO Corbat's pay after missing financial targets
Michael L. Corbat arrives at the Planalto Palace before a meeting with Dilma Rousseff in Brasilia. Photo: Reuters
By Reuters
Updated: Sat, Feb 18, 2017
11:30 am
Delhi, Reuters
RELATED NEWS
China startup NIO hires eight banks for up to $2 billion US IPO: Sources China startup NIO hires eight banks for up to $2 billion US IPO: Sources
Dow breaches 26,000 mark on robust earnings reports Dow breaches 26,000 mark on robust earnings reports
Trump says he's looking at breaking up big banks Trump says he's looking at breaking up big banks
25bps repo rate cut more likely in Apr than Feb: Citigroup 25bps repo rate cut more likely in Apr than Feb: Citigroup
Deutsche Bank signs $7.2 billion settlement deal with US over risky mortgages Deutsche Bank signs $7.2 billion settlement deal with US over risky mortgages

Citigroup Inc`s board of directors cut Chief Executive Officer Michael Corbat`s compensation by 6% last year after the bank missed financial targets and one-third of its voting shareholders disapproved of his prior pay package.

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% last year. Its shares rose 15% amid a broader rally in financial stocks following the U.S. elections that sent competitors` stock soaring much higher.

At Citigroup`s annual meeting last April, 36% of shareholders who cast votes disapproved of what top executives were paid, partly because of changes the board had made to incentive structures. Directors promised to rework the formula again.

Last month, Corbat asked investors for patience in improving results, arguing Citigroup had fallen short because of unexpectedly high capital requirements and unexpectedly low interest rates.

Other Wall Street CEOs got raises for their work last year, and were paid more in dollar terms.

JPMorgan Chase & Co awarded CEO Jamie Dimon $28 million for his work last year, up 3.7%. Morgan Stanley CEO James Gorman received $22.5 million, a 7% raise, while Bank of America Corp CEO Brian Moynihan got $20 million, a 25% bump.

Citigroup made additional disclosures on Friday indicating other senior executives received approximately these amounts of compensation for 2016:

James Forese, Citigroup president and chief executive of Citi`s Institutional Clients Group: $15.3 million, a 4% decline.

John Gerspach, chief financial officer, $9 million, the same as in 2015.

Stephen Bird, chief executive of global consumer banking, $9 million, up 6%.

Don Callahan, head of operations and technology, $7.3 million, the same as in 2015.

TAGS:
CitigroupMichael CorbatMichael Corbat compensationBanking and FinancialsFederal ReserveJP Morgan ChaseWall StreetMorgan StanleyBanks
Next Article

NEXT STORY: General Motors plans to build, test thousands of self-driving Bolts in 2018: sources

RELATED NEWS
China startup NIO hires eight banks for up to $2 billion US IPO: Sources China startup NIO hires eight banks for up to $2 billion US IPO: Sources
Dow breaches 26,000 mark on robust earnings reports Dow breaches 26,000 mark on robust earnings reports
Trump says he's looking at breaking up big banks Trump says he's looking at breaking up big banks
25bps repo rate cut more likely in Apr than Feb: Citigroup 25bps repo rate cut more likely in Apr than Feb: Citigroup
Deutsche Bank signs $7.2 billion settlement deal with US over risky mortgages Deutsche Bank signs $7.2 billion settlement deal with US over risky mortgages

LATEST NEWS

Google ramps up Gmail privacy controls in major update

Indian Sovereign bond market participants dumbfounded as bond buying at standstill

Big setback for Reliance Metro as MMRDA tells CAG to take this step

Metro to run on Indian Railways broad-gauge tracks? See what is in the works

Mumbai monorail to be run by Delhi Metro? Here is what is on cards

BSE Odisha Matric Result 2018, HSC Orissa 10th Results, orissaresults.nic.in, www.bseodisha.nic.in to be declared today 27 April 2018

US H-1B is not an issue for the Indian IT Sector: Debjani Ghosh, NASSCOM President

'Tallest' tower in Delhi to be built by Versace, Unity Group; set to cost Rs 500 cr

Rahul Gandhi plane develops 'suspicious' technical snag mid-air

YES Bank share price rallies 11% intraday as Q4 profit beats estimates

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Contact Us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • Amazon Prime Day
  • Income Tax
  • Bharti Airtel
  • NPA
  • Home Loan

Trending Topics

  • Farm Loans
  • 7th Pay Commission
  • Sanitary Pads
  • National Stock Exchange
  • GST

Follow us on

zeebiz
zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • DNA
  • WION
Copyright © Zee Media Corporation Ltd. All rights reserved