Prince's salary and bonus rises 40% to almost $11m
Chuck Prince, chief executive of Citigroup, took home pay and bonuses worth $10.67m (€8m) last year - up 40% on the previous year, despite asking that his total compensation be cut in one of worst years the bank has had with regulators.
Prince's total compensation was $18.8m once $7.8m worth of restricted stock options were added, down 31% on the $27.25m he received in 2003 when he was awarded $19.2m of restricted stock in his first year as the bank's chief executive.
The bank has been hit by regulatory probes in the UK, Germany and Japan and settled over the Worldcom and Enron scandals for almost $5bn.
Details of Prince's compensation are contained in a filing yesterdy to the US Securities and Exchange Commission which said that Prince - and his chief operating officer Robert Willumstad - asked the compensation committee to cut their compensation deals in the light of the bank's difficulties.
The filing said: "Mr Prince and Mr Willumstad discussed with the committee their view that, notwithstanding the relatively strong performance of Citigroup in 2004, in light of several setbacks, like the loss of Citigroup's ability to provide banking services in Japan, it would be appropriate to adjust senior management's compensation to reflect the negative impact such issues had on the franchise."
Last year, Prince travelled to Japan to deliver a personal apology to staff, customers and the regulator after violations of the country's securities law meant it had to shut down its private bank there.
The Financial Services Authority, the UK markets regulator, continues to investigate the investment bank's controversial series of European government bond and futures trades carried out on the EuroMTS dealing system in August last year.
BaFin, the German regulator, has concluded its investigation into the trades and referred the matter to the Frankfurt prosecutor's office for possible criminal action. The prosecutor is expected to decide what action to take early next week.
