Citigroup top executives to forgo bonuses this year: Report

LONDON: Troubled banking major Citigroup's top executives, including Vikram Pandit and Robert Rubin, are likely to skip bonuses this year amid huge losses of the financial firm and the government's $300 billion bailout package.

According to a report published in a financial daily, "Citigroup's top executives and Robert Rubin, a director and senior adviser, are set to forgo their bonuses this year amid growing internal and external pressure to atone for the company's huge losses and a $300 billion government bail-out."

Quoting people close to the situation, the daily said that last week's government rescue had made it impossible for Citi's board to give cash bonuses to its executives, led by chief executive Vikram Pandit and Rubin, a former US Treasury secretary.

Under the deal, the government has to approve Citi's executive compensation plan, including bonuses and long-term awards.

The report stated that no formal decision on bonuses would be taken until January, but added that Citi's executives had to make a significant gesture to defuse criticism.

However, Citi has declined to comment, the daily said. Citi shares have dropped over 75 per cent since January as the company reported billions of dollars in writedowns and credit losses, and laid off thousands of employees.