Citigroup sets exec bonuses, tied to profits
Citigroup Inc, recovering after a series of government bailouts, will pay some top executives millions of dollars of cash bonuses if its core operations earn at least $12 billion before taxes over the next two years.
The awards "are intended to sharpen the executives' focus" on long-term performance without excess risk, and align their interests with those of stockholders, the third-largest U.S. bank by assets said in a regulatory filing on Friday.
John Havens, the bank's chief operating officer and a longtime confidant of Chief Executive Vikram Pandit, could get a $5.2 million bonus under the plan, and the sum could grow significantly higher if the bank performs well.
Friday's filing is the second time this week that Citigroup has discussed long-term compensation for top executives.
The New York-based bank is trying to reward those who helped it recover from the crisis and ensure they do not take risks that might endanger it again.
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