WASHINGTON — Citigroup Inc. yesterday repaid $20 billion in bailout money and received a government ruling that it's no longer covered by the pay restrictions imposed on companies receiving the most rescue money.

Kenneth Feinberg, the Obama administration's pay czar, said in a letter to the company that the repayment removes Citigroup from restrictions on executive pay and bonuses that were imposed on companies receiving exceptional assistance from the $700 billion bailout fund.

Those restrictions will now cover only insurance giant American International Group and auto companies Chrysler and General Motors and their financing arms.

Citigroup last week sold common stock to raise the cash it needed to repay $20 billion of the $45 billion stake the government held in Citigroup.

CONSUMERS SPEND MORE, BUT NEW-HOME SALES DIVE

WASHINGTON — Americans are starting to spend a bit more money, but not enough to power a strong economic recovery.

Consumer spending posted its second straight monthly increase in November, rising 0.5 percent, the government said yesterday. But new homes clearly weren't on the shopping list.

New home sales plunged unexpectedly to the lowest level since April.

The reports were evidence that the recovery from a deep recession is proceeding in fits and starts, with households struggling in a bleak job market.

FORD EXPECTS TO WRAP UP SALE OF VOLVO IN EARLY 2010

STOCKHOLM — Ford Motor Co. said it is moving closer to selling its Swedish Volvo brand, even though the U.S. automaker is in far better financial shape than it was when it put the brand up for sale last year.

Ford said yesterday it expects to finalize the sale of Volvo to China's Geely Group early next year if financing and government approvals fall into place.