Citigroup ups CEO pay 48pc to $23 million

New York : Citigroup Inc raised Chief Executive Officer Michael Corbat’s annual compensation by 48 percent to $23 million for 2017, a year in which the bank made more money from operations but still fell short of earlier targets.

Directors considered recent progress toward new targets when setting Corbat’s pay, according to a public filing on Friday.

A year earlier, Corbat’s annual compensation was cut 6 percent to $15.5 million after the bank missed financial performance targets and saw one-third of its voting shareholders disapprove of his prior pay.

After that vote, the company made changes to its pay plan, which was then endorsed by 97 percent of voting shareholders at its annual meeting in April.

In July, Citigroup recast targets set in 2013 as new goals for 2020.

In 2017, Citigroup stock jumped 25 percent and its profit rose 4 percent, excluding a charge for the impact of the U.S. tax law change on the value of its deferred tax assets.

Corbat, 57, has been CEO since 2012. Citigroup is the fourth biggest U.S. bank by assets.

The change in Corbat’s pay compares with annual raises of 5 to 20 percent for some other Wall Street executives. Jamie Dimon, CEO of JPMorgan Chase & Co, the biggest U.S. bank, was paid $29.5 million, a 5.4 percent increase. Morgan Stanley CEO James Gorman’s compensation was raised 20 percent to $27 million.

Lloyd Blankfein, chief executive of Goldman Sachs Group Inc  received a 9 percent raise to $22 million, the company said on Friday. Bank of America Corp CEO Brian Moynihan was paid $23 million, up 15 percent.

Citigroup made additional disclosures on Friday which indicate that other senior executives received approximately these amounts of compensation in 2017:

James Forese, president and chief executive of Citi’s Institutional Clients Group received $20 million, up 31 percent from 2016.

John Gerspach, chief financial officer, got $11 million, up 22 percent.

Stephen Bird, chief executive of global consumer banking, received $10.5 million, up 17 percent.

Jane Fraser, chief executive for Latin America, received $8.5 million, up 8 percent.