A rare vote of displeasure roiled Citigroup’s (C) annual meeting today, as shareholders voted down the company’s executive pay package, the Wall Street Journal reported. About 45% of shareholders approved the plan, and absentees are considered “no” votes. The vote is advisory, but nonetheless indicates shareholder disapproval.
CEO Vikram Pandit was awarded about $15 million in total compensation in 2011, along with a retention package that could be worth an additional $40 million. Citigroup President John Havens got $13 million in 2011. Shareholders have grumbled that executive compensation policies are too loose, prompting Chairman Richard Parsons to say that the bank will tighten the rules, Bloomberg reported.
The rejection was a novel occurrence; only 41 firms in the Russell 3000 had their pay proposals rejected last year, according to Bloomberg.
