It always comes back to the compensation.
The firm designed the awards in 2009 after it received a $45bn U.S. bailout to prevent its collapse amid the financial crisis.
Citigroup directors are seeking to explain compensation practices as a non-binding shareholder vote on 2012 executive pay approaches. Investors rejected profit-sharing payouts last year amid concern that they rewarded executives too easily and gave too much cash to former CEO Vikram Pandit. Top managers including Corbat, 52, still stand to collect about $579m from the plan, which began paying out earlier this year.
'The Key Employee Profit Sharing Plan helped retain Citi’s key leaders', the bank said in the filing. 'The new CEO, his leadership team, and other key executives remained with the firm and enabled Citi to return to sustained profitability'.
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