Interim Management Statement - Part 8 of 10

Quarter ended

31 March 2011

31 December 2010

31 March 2010

Managed 

Reallocation 

of one-off 

 items 

Statutory 

Managed 

Reallocation 

of one-off 

 items 

Statutory 

Managed 

Reallocation 

of one-off 

 items 

Statutory 

£m 

£m

£m 

£m 

£m

£m 

£m 

£m

£m 

Net interest income

3,302 

(1)

3,301 

3,578 

2 

3,580 

3,534 

8 

3,542 

Non-interest income

4,731 

(974)

3,757 

3,881 

361 

4,242 

5,589 

(608)

4,981 

Total income

8,033 

(975)

7,058 

7,459 

363 

7,822 

9,123 

(600)

8,523 

Operating expenses

(4,121)

(194)

(4,315)

(4,081)

(426)

(4,507)

(4,430)

(287)

(4,717)

Profit before other operating charges

3,912 

(1,169)

2,743 

3,378 

(63)

3,315 

4,693 

(887)

3,806 

Insurance net claims

(912)

- 

(912)

(1,182)

- 

(1,182)

(1,136)

- 

(1,136)

Operating profit before impairment losses

3,000 

(1,169)

1,831 

2,196 

(63)

2,133 

3,557 

(887)

2,670 

Impairment losses

(1,947)

- 

(1,947)

(2,141)

- 

(2,141)

(2,675)

- 

(2,675)

Operating profit/(loss)

1,053 

(1,169)

(116)

55 

(63)

(8)

882 

(887)

(5)

Fair value of own debt

(480)

480 

- 

582 

(582)

- 

(169)

169 

- 

Asset Protection Scheme credit default swap - fair value changes

(469)

469 

- 

(725)

725 

- 

(500)

500 

- 

Amortisation of purchased intangible assets

(44)

44 

- 

(96)

96 

- 

(65)

65 

- 

Integration and restructuring costs

(145)

145 

- 

(299)

299 

- 

(168)

168 

- 

Strategic disposals

(23)

23 

- 

502 

(502)

- 

53 

(53)

- 

Bonus tax

(11)

11 

- 

(15)

15 

- 

(54)

54 

- 

Write-down of goodwill and other intangible assets

- 

- 

- 

(10)

10 

- 

- 

- 

- 

RFS Holdings minority interest

3 

(3)

- 

(2)

2 

- 

16 

(16)

- 

Loss before tax

(116)

- 

(116)

(8)

- 

(8)

(5)

- 

(5)

Tax (charge)/credit

(423)

- 

(423)

3 

- 

3 

(107)

- 

(107)

Loss from continuing operations

(539)

- 

(539)

(5)

- 

(5)

(112)

- 

(112)

Profit from discontinued operations, net of tax

10 

- 

10 

55 

- 

55 

313 

- 

313 

(Loss)/profit for the period

(529)

- 

(529)

50 

- 

50 

201 

- 

201 

Non-controlling interests

1 

- 

1 

(38)

- 

(38)

(344)

- 

(344)

Preference share and other dividends

- 

- 

- 

- 

- 

- 

(105)

- 

(105)

(Loss)/profit attributable to ordinary and B shareholders

(528)

- 

(528)

12 

- 

12 

(248)

- 

(248)