Shareholders back Citigroup’s slimmed down pay package

GROU

GROUP executives sailed through a vote on pay yesterday, with less than 10 per cent of shareholders opposing the bank’s remuneration scheme at its annual meeting.

The opposition to the package was far less pronounced than at last year’s meeting, when a majority of shareholders voted against former chief executive Vikram Pandit’s pay package.

Pandit was forced out of Citigroup at the end of last year, and the company has since taken steps to tie pay to performance. For 2012, new chief executive Michael Corbat was handed an $11.5m (£7.5m) package, compared to the $15m Pandit received for 2011, when Citigroup’s shares fell by 44 per cent.

Despite the pay package being approved, Corbat and Citi’s new chairman Michael O’Neill did not walk through the meeting with ease.

Investors unhappy at the level of share price growth in the last few months grilled the board, while activists staged a protest outside the meeting.