The U.S. government has agreed to bolster New York-based Citigroup Inc.’s financial situation by providing $20 billion in fresh capital and guaranteeing $306 billion of high-risk assets, Reuters reported.

The government’s $20 billion in new capital is in addition to the $25 billion it already invested in the bank, and in return, the government will receive preferred shares with an 8 percent dividend.

However, as part of the deal, all other quarterly dividends the company pays will be wiped out. Citigroup has been paying a dividend of 16 cents per share on its common stock, but now cannot pay out more than 1 cent per share per quarter during the next three years without first getting government consent.

This bailout plan has left some investors upset.

“You’re seeing an inept management team being rewarded by the U.S. government,” said William Smith, chief executive of Smith Asset Management in New York.

However, some Citigroup executives, whose salaries will now be determined by the government, claim the bailout was the best solution.

“To stabilize the equity, we had to put behind us the issue of Citigroup’s ability to withstand whatever would come,” said Chief Financial Officer Gary Crittenden.

The bank, which was perceived as being too big to be allowed to fail, has the farthest international reach of any U.S. bank, operating in more than 100 countries.