Citigroup cuts CEO Corbat's compensation 6 percent to $15.5 million

By David Henry

(Reuters) - Citigroup Inc (C.N) cut Chief Executive Officer Michael Corbat's compensation by 6 percent to $15.5 million in 2016, a year in which the bank fell short of profitability and efficiency goals and saw one-third of voting shareholders disapprove of the company's prior executive compensation.

Corbat got a base salary of $1.5 million, a $4.2 million cash incentive and $9.8 million of deferred stock and instruments tied to stock prices, according to a filing by the company on Friday.

Directors said in the filing that they considered Corbat's success in winning Federal Reserve approval for the company's capital plan, as well as positive feedback from its resolution plan, and the continued wind down of troubled assets left from the financial crisis.

However, they also said Corbat's compensation should reflect company performance against its financial targets.

They also said they had made changes since last year in their formula for determining executive pay, putting more emphasis on return on equity and earnings per share.

The cut in Corbat's pay compares with raises for some other Wall Street executives who received more compensation. Bank of America Corp (BAC.N) CEO Brian Moynihan got a 25 percent increase in compensation in 2016 to $20 million, the company disclosed on Friday. Profits at Moynihan's bank increased 13 percent during the year.

JPMorgan Chase & Co (JPM.N) CEO Jamie Dimon's compensation went up 3.7 percent to $28 million and Morgan Stanley (MS.N) CEO James Gorman's compensation rose 7 percent to $22.5 million.

(Reporting by David Henry in New York; Editing by Chris Reese and Lisa Shumaker)