Citi's directors and pay practices attract criticism

Ahead of Citi's annual shareholder meeting on April 21, three proxy advisory firms have advised shareholders to express their dissatisfaction with the performance of the bank's board and highlight compensation-related issues.
 
San Francisco-headquartered Glass Lewis gives Citi an F grade on its pay-for-performance model, observing that the US bank paid more compensation to its top officers than the median compensation at six large financial companies. Overall Citi paid more than its peers but performed worse than its peers, notes Glass Lewis.
 
Glass Lewis believes Citi board members on the firm's compensation committee did not rectify practices to appropriately link pay with performance. Coupled with the losses Citi has booked due to the subprime...