INCENTIVE PLANS

6 Months Ended

Jun. 30, 2011

INCENTIVE PLANS

INCENTIVE PLANS

7.    INCENTIVE PLANS

Stock-Based Incentive Compensation

        The Company has adopted a number of equity compensation plans under which it currently administers award programs involving grants of stock options, restricted or deferred stock awards, and stock payments. The award programs are used to attract, retain and motivate officers, employees and non-employee directors, to provide incentives for their contributions to the long-term performance and growth of the Company, and to align their interests with those of stockholders. Certain of these equity issuances also increase the Company's stockholders' equity. The plans and award programs are administered by the Personnel and Compensation Committee of the Citigroup Board of Directors (the Committee), which is composed entirely of independent non-employee directors. Since April 19, 2005, all equity awards have been pursuant to stockholder-approved plans.

Stock Award and Stock Option Programs

        The Company recognized compensation expense related to stock award and stock option programs of $448 million for the three months ended June 30, 2011, and $902 million for the six months ended June 30, 2011.

Profit Sharing Plan

        The Company recognized $97 million of expense related to its Key Employee Profit Sharing Plans (KEPSP) for the three months ended June 30, 2011, and $183 million for the six months ended June 30, 2011.