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2 proxy firms urge voting down Citi pay proposal

  • Egan-Jones and fellow advisory firm Glass Lewis each advise Citigroup (C) owners to vote against the bank's executive-compensation proposal. "Our pay-for-performance analysis indicates that, once again, the Company has been deficient in aligning pay with performance," says Glass Lewis. Naturally cited the recent black eye management suffered when the Fed rejected Citi's capital return proposal.
  • Institutional Shareholder Services earlier this month advised its clients approve the pay proposal.
  • It was two years when Citi management embarrassingly had its pay package rejected by shareholders. CEO Vikram Pandit was out of a job later that year.
Comments (2)
  • Chancer
    , contributor
    Comments (2802) | Send Message
     
    As C shareholder, I voted against the compensation proposal. I always do this as it is one of the few things shareholders can do to express their displeasure. But this is only advisory.

     

    I think it is even more important to vote against incentive stock option plans which are not just advisory.

     

    Unfortunately, most shareholders just complain and fail to act with the limited options they have to express dissatisfaction with management performance.
    9 Apr, 09:56 AM Reply Like
  • Former Citi Employee
    , contributor
    Comments (6) | Send Message
     
    Most CEO's and Senior Executives are grossly overpaid. It's the old I win you Lose philosophy. Always somebody else's fault when results stink, but always their expertise when results are good. We need to get back to equitable compensation in this country. I concur that incentive stock options are bad. All they do is encourage upper management to "cook the books".
    10 Apr, 11:02 AM Reply Like
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