SHOCKING NEWS: Citi’s Top Executives STUNNED as Bonuses SLASHED by Over HALF!
In a jaw-dropping twist, Citigroup has DECIMATED bonuses for a staggering 250 top honchos amid their desperate scramble to rescue the bank from chaos! The radical move comes as part of a so-called transformation plan designed to save face and make shareholders smile again after a string of spectacular blunders!
FROM GLORY TO GLOOM: Citi’s Transformational Bonus in FREEFALL!
Three years ago, Citi launched its ambitious transformation bonus program to motivate its elite to REWRITE the bank’s disastrous performance and fix its compliance trainwreck. This was after a MIND-BLOWING error caused the bank to accidentally wire a jaw-dropping $900 MILLION to hedge funds! Talk about a PR disaster!
But now? A mere 53% of the target bonus was paid out to these high flyers in 2024 – a SHOCKING drop from 94% just two years ago and 80% in 2023! What happened to the golden opportunities?
CHAOS CONTINUES: Regulatory NIGHTMARES Haunt Citigroup!
Citi’s recent payout is SLIGHTLY boosted due to shareholder returns from the last three years, bringing the bonus total to 68%. But don’t be fooled! The bank’s compensation committee is waving goodbye to the bonus program, throwing the future of its top brass into TOTAL uncertainty!
And the plot thickens! Just last month, Citi was slapped with a staggering $136 MILLION fine by US regulators for its INABILITY to fix long-standing issues in risk control and data management. To top it off, they almost gave a CUSTOMER a mind-boggling $81 TRILLION! Thankfully, they caught the error, which they hilariously dubbed a "near miss," 90 minutes later!
HIGH STAKES: CEO Gets a RAISE as Executives Face Unceremonious Cuts!
In a jaw-dropping twist of fate, Chief Executive Jane Fraser pocketed a 33% raise to a jaw-dropping $34.5 MILLION in 2024! However, she missed out on the transformation bonus—making her pay rise even more shocking given the turmoil! Meanwhile, her Finance Chief Mark Mason saw a 13% bump, bringing his take-home to a whopping $15.1 MILLION!
Fraser is fighting tooth and nail to solve Citi’s debilitating operational woes, slashing jobs left and right while bringing in heavy hitters like Vis Raghavan from JPMorgan Chase, who snagged a jaw-dropping $22.6 MILLION paycheck!
PROFITS UP but WHERE’S the GLORY? Citi’s NUMBERS Tell a Different Story!
While Citi’s profits surged by an eye-popping 37% to $12.7 BILLION last year, the bank’s return on tangible common equity was a dismal 7%, FALLING WAY SHORT of their ambitious 2026 goals of 10-11%! Time is running out for Citi, and they’re racing against the clock to keep up with powerhouses like JP Morgan!
STAY TUNED: The Future of Citigroup is on the Edge!
As the suspense unfolds, will Citi bounce back, or will it spiral further into financial mayhem? Buckle up, folks, because this drama is far from over!
photo credit: www.ft.com
