16th Jun 2006 09:30
Barclays PLC16 June 2006 16th June 2006 BARCLAYS PLC GROUP REPORTING CHANGES IN 2006 Barclays PLC today announces the impact of certain changes in Group structureand reporting on 2005 and 2004 results, as advised in the conference call forthe Trading Update on 25th May 2006. Barclays has realigned a number ofreportable business segments based on the reorganisation of certain portfoliosto better reflect the type of client served, the nature of the products offeredand the associated risks and rewards. The Group's policy for the internal costof funding and the segmental disclosure of risk weighted assets was also revisedwith effect from 1st January 2006. The restatements have no impact on the GroupIncome Statement or Balance Sheet. The 2005 and 2004 results for all thebusinesses are restated on pages 4 to 37 to show the effects of all of thesechanges. Group structure changes - effective 1st January 2006 UK Retail Banking comprises Personal Customers, Local Business (formerly SmallBusiness), UK Premier and Home Finance (formerly Mortgages). A number of smallerbusiness clients previously within UK Business Banking are now managed andreported within UK Retail Banking. UK Business Banking comprises Larger Business and Medium Business includingAsset and Sales Finance. A number of financial institution, large corporate andproperty clients previously within UK Business Banking are now managed by andreported in Barclays Capital. A number of smaller business clients previouslywithin UK Business Banking are now managed and reported within UK RetailBanking. Certain portfolios have been reclassified as businesses in transitionand are now managed and reported in Head office functions and other operations. Barclays Capital has added a number of financial institutions, large corporatesand property companies previously managed within UK Business Banking andInternational Retail and Commercial Banking - Absa. International Retail and Commercial Banking - Absa. The majority of AbsaCorporate and Merchant Banking has been relaunched as Absa Capital and is beingmanaged and reported in Barclays Capital. Head office functions and other operations. Certain lending portfoliospreviously managed within UK Business Banking have been reclassified asbusinesses in transition. These businesses are now centrally managed with theobjective of maximising the recovery from these assets. The structure remains unchanged for: Barclays Global Investors; WealthManagement; Wealth Management - closed life assurance activities; Barclaycardand; International Retail and Commercial Banking excluding Absa. Changes to internal cost of funding - effective 1st January 2006 All transactions between the businesses are conducted on an arm's length basis.Internal charges and transfer pricing adjustments are reflected in theperformance of each business. Head office functions and other operationscontains a centralised Treasury function which manages the Group's capital base,generating a net interest income. Previously the net interest income wasallocated to the businesses based on the level of economic capital held by eachbusiness as a proportion of that held by the Group, which ensured a nil netinterest income result in Treasury. The allocation is now determined by applyingTreasury's effective rate of return on capital to the average economic capitalheld by each business. In 2005 this had the effect of retaining a greaterproportion of Treasury income within Head office functions and other operations,reflecting the capital and goodwill balances held centrally. This approach hasbeen applied to all businesses. There is no change to the Group's net interestincome as previously reported. Changes to risk weighted assets by business - effective 1st January 2006 Under the Group's securitisation programme, certain portfolios of loans andadvances to customers and other assets subject to securitisation or similar risktransfer are adjusted in calculating the Group's risk weighted assets. Witheffect from 1st January 2006 the costs associated with each securitisation,which were previously held centrally, will be allocated to the relevantbusinesses. The regulatory capital adjustments arising from the securitisationprogramme will be attributed to the business which bears the costs. Thisapproach has been applied to all businesses. There is no change to the Group'stotal risk weighted assets as previously reported. For further information please contact: Investor Relations Media Relations-------------------- -----------------Mark Merson/James S Johnson Stephen Whitehead/Jason Nisse+44 (0) 20 7116 5752/2927 +44 (0) 20 7116 6060/6223 The information in this announcement does not comprise statutory accounts withinthe meaning of Section 240 of the Companies Act 1985 (the 'Act'). Statutoryaccounts for the year ended 31 December 2005, which also include certaininformation required for the joint Annual Report on Form 20-F of Barclays PLCand Barclays Bank PLC to the US Securities and Exchange Commission, have beendelivered to the Registrar of Companies in accordance with Section 242 of theAct. International Financial Reporting Standards The Group has applied International Financial Reporting Standards (IFRS) from1st January 2004, with the exception of the standards relating to financialinstruments and insurance contracts which are applied only with effect from 1stJanuary 2005. Therefore the impacts of adopting IAS 32, IAS 39 and IFRS 4 arenot included in the 2004 comparatives in accordance with IFRS 1 and financialinstruments and insurance contracts are accounted for under UK GAAP in 2004. The results for 2005 are therefore not entirely comparable to those for 2004 inaffected areas. For a fuller disclosure of the transitional impacts of IFRS,please refer to the 2005 Annual Report, which contains re-measurement andreclassification reconciliations in the Notes to the Accounts. A summary of theGroup's significant accounting policies can also be found in the 2005 AnnualReport. The financial information in this announcement has been prepared inaccordance with these accounting policies. Dashes have been used to indicatewhere changes in policy cause an item to be not applicable and where there is noamount to report. Business analysis of profit before tax net of restatements Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £m UK Banking 2,455 (82) (173) 2,200 2,086 -------- -------- -------- -------- --------UK Retail Banking 1,027 (35) 48 1,040 1,002UK Business Banking 1,428 (47) (221) 1,160 1,084 -------- -------- -------- -------- --------Barclays Capital 1,272 (33) 192 1,431 1,142Barclays GlobalInvestors 542 (2) - 540 336Wealth Management 172 (6) - 166 108Wealth Management -closed life assuranceactivities (6) (1) - (7) (53)Barclaycard 687 (47) - 640 830International Retail andCommercial Banking 690 (18) (39) 633 288 -------- -------- -------- -------- --------International Retail andCommercial Banking - exAbsa 355 (20) - 335 288International Retail andCommercial Banking -Absa1,2 335 2 (39) 298 - -------- -------- -------- -------- --------Head office functionsand other operations (532) 189 20 (323) (157) -------- -------- -------- -------- --------Profit before tax 5,280 - - 5,280 4,580 -------- -------- -------- -------- -------- Post-tax return onaverage shareholders'equity 21.1% 21.1% 21.7%Cost:income ratio3 61% 61% 61%Cost:net income ratio4 67% 67% 66% 1 Period from 27th July until 31st December 2005. 2 In 2005, International Retail and Commercial Banking - Absa bore an internalcharge equivalent to Barclays cost of funding the acquisition of the business.The net impact of this policy in 2005 was similar to that reflected in thisdocument, resulting in a modest change in internal cost of funding relative tothat experienced by other businesses. 3 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 4 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. UK Banking Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £m Net interest income 3,990 (82) (164) 3,744 3,348Net fee andcommission income 1,776 - (56) 1,720 1,855 -------- -------- -------- -------- --------Net trading income - - - - -Net investment income 31 - (5) 26 - -------- -------- -------- -------- --------Principaltransactions 31 - (5) 26 -Net premiums frominsurance contracts 280 - - 280 249Other income 26 - 7 33 43 -------- -------- -------- -------- --------Total income 6,103 (82) (218) 5,803 5,495Net claims andbenefits on insurancecontracts (58) - - (58) (46) -------- -------- -------- -------- --------Total income net ofinsurance claims 6,045 (82) (218) 5,745 5,449Impairment charge andother creditprovisions (344) - 17 (327) (188) -------- -------- -------- -------- --------Net income 5,701 (82) (201) 5,418 5,261 -------- -------- -------- -------- --------Operating expensesexcludingamortisation ofintangible assets (3,240) - 28 (3,212) (3,220)Amortisation ofintangible assets (3) - - (3) (2) -------- -------- -------- -------- --------Operating expenses (3,243) - 28 (3,215) (3,222)Share of post-taxresults of associatesand joint ventures (3) - - (3) 5Profit on disposal ofassociates and jointventures - - - - 42 -------- -------- -------- -------- --------Profit before tax 2,455 (82) (173) 2,200 2,086 -------- -------- -------- -------- -------- Cost:income ratio1 54% 56% 59%Cost:net incomeratio2 57% 59% 61%Return on averageeconomic capital 33% 33% 35% Loans and advances to customers £129.1bn £118.2bn £106.7bnCustomer accounts £133.6bn £129.7bn £111.1bn Staff numbers 39,900 39,800 41,700 Total assets £141.2bn £130.3bn £114.9bnRisk weighted assets £94.2bn £79.9bn £80.5bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. UK Retail Banking Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £m Net interest income 2,174 (35) 69 2,208 2,107Net fee and commissionincome 1,112 - 19 1,131 1,149 -------- -------- -------- -------- --------Net trading income - - - - -Net investment income 9 - - 9 - -------- -------- -------- -------- --------Principal transactions 9 - - 9 -Net premiums frominsurance contracts 280 - - 280 249Other income 17 - (1) 16 29 -------- -------- -------- -------- --------Total income 3,592 (35) 87 3,644 3,534Net claims and benefitson insurance contracts (58) - - (58) (46) -------- -------- -------- -------- --------Total income net ofinsurance claims 3,534 (35) 87 3,586 3,488Impairment charge andother credit provisions (142) - (8) (150) (69) -------- -------- -------- -------- --------Net income 3,392 (35) 79 3,436 3,419Operating expenses (2,359) - (31) (2,390) (2,461)Share of post-taxresults of associatesand joint ventures (6) - - (6) 2Profit on disposal ofassociates and jointventures - - - - 42 -------- -------- -------- -------- --------Profit before tax 1,027 (35) 48 1,040 1,002 -------- -------- -------- -------- -------- Cost:income ratio1 67% 67% 71%Cost:net income ratio2 70% 70% 72%Return on averageeconomic capital 34% 35% 32% Loans and advances to customers £63.6bn £64.8bn £66.7bnCustomer accounts £77.6bn £78.8bn £73.6bn Staff numbers 31,900 32,000 34,500 Total assets £69.2bn £70.4bn £72.7bnRisk weighted assets £32.3bn £32.8bn £38.2bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. UK Business Banking Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £mNet interestincome 1,816 (47) (233) 1,536 1,241Net fee andcommissionincome 664 - (75) 589 706 -------- -------- -------- -------- --------Net trading income - - - - -Netinvestment income 22 - (5) 17 - -------- -------- -------- -------- --------Principaltransactions 22 - (5) 17 -Other income 9 - 8 17 14 -------- -------- -------- -------- --------Total income 2,511 (47) (305) 2,159 1,961Impairmentcharge andother creditprovisions (202) - 25 (177) (119) -------- -------- -------- -------- --------Net income 2,309 (47) (280) 1,982 1,842 -------- -------- -------- -------- --------Operatingexpensesexcludingamortisationof intangibleassets (881) - 59 (822) (759)Amortisationof intangible assets (3) - - (3) (2) -------- -------- -------- -------- --------Operatingexpenses (884) - 59 (825) (761)Share ofpost-taxresults ofassociatesand joint ventures 3 - - 3 3 -------- -------- -------- -------- --------Profit before tax 1,428 (47) (221) 1,160 1,084 -------- -------- -------- -------- -------- Cost:incomeratio1 35% 38% 39%Cost:netincome ratio2 38% 42% 41%Return onaverageeconomiccapital 32% 31% 37% Loans and advances tocustomers £65.5bn £53.4bn £40.0bnCustomer accounts £56.0bn £50.9bn £37.5bn Staff numbers 8,000 7,800 7,200 Total assets £72.0bn £59.9bn £42.2bnRisk weighted assets £61.9bn £47.1bn £42.3bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. Barclays Capital Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £mNet interestincome 926 (33) 172 1,065 1,068Net fee andcommissionincome 724 - 52 776 670 -------- -------- -------- -------- --------Net tradingincome 2,194 - 37 2,231 1,463Netinvestment income 401 - 12 413 302 -------- -------- -------- -------- --------Principaltransactions 2,595 - 49 2,644 1,765Other income 25 - (5) 20 15 -------- -------- -------- -------- --------Total income 4,270 (33) 268 4,505 3,518Impairmentcharge andother creditprovisions (103) - (8) (111) (106) -------- -------- -------- -------- --------Net income 4,167 (33) 260 4,394 3,412 -------- -------- -------- -------- --------Operatingexpensesexcludingamortisationof intangibleassets (2,894) - (67) (2,961) (2,270)Amortisationof intangible assets (1) - (1) (2) - -------- -------- -------- -------- -------- Operatingexpenses (2,895) - (68) (2,963) (2,270) -------- -------- -------- -------- --------Profitbefore tax 1,272 (33) 192 1,431 1,142 -------- -------- -------- -------- -------- Cost:incomeratio1 68% 66% 65%Cost:netincome ratio2 69% 67% 67%Return onaverageeconomiccapital 34% 34% 34% Average netincome permember of staff ('000) £496 £498 £490 Staff numbers 9,000 9,900 7,900 Total assets £581.9bn £601.2bn £353.2bnRisk weightedassets £96.1bn £116.7bn £90.1bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. Barclays Global Investors Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £mNet interestincome 17 (2) - 15 5Net fee andcommissionincome 1,297 - - 1,297 882 -------- -------- -------- -------- --------Net tradingincome 2 - - 2 3Netinvestment income 4 - - 4 3 -------- -------- -------- -------- --------Principaltransactions 6 - - 6 6Other income - - - - - -------- -------- -------- -------- --------Total income 1,320 (2) - 1,318 893 -------- -------- -------- -------- --------Operatingexpensesexcludingamortisationof intangible assets (775) - - (775) (555)Amortisationof intangible assets (4) - - (4) (1) -------- -------- -------- -------- --------Operatingexpenses (779) - - (779) (556)Share ofpost-taxresults ofassociatesand joint ventures 1 - - 1 (2)Profit ondisposal ofassociatesand jointventures - - - - 1 -------- -------- -------- -------- --------Profitbefore tax 542 (2) - 540 336 -------- -------- -------- -------- -------- Cost:incomeratio1 59% 59% 62%Return onaverageeconomiccapital 248% 248% 166% Averageincome per member of staff ('000) 629 £628 £464 Staff numbers 2,300 2,300 1,900 Total assets £80.9bn £80.9bn £1.0bnRisk weightedassets £1.7bn £1.5bn £1.2bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. Wealth Management Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £mNet interestincome 335 (6) - 329 301Net fee andcommissionincome 589 - - 589 529 -------- -------- -------- -------- --------Net trading income - - - - -Netinvestment income 5 - - 5 - -------- -------- -------- -------- --------Principaltransactions 5 - - 5 -Other income (1) - - (1) 7 -------- -------- -------- -------- --------Total income 928 (6) - 922 837Impairmentcharge andother creditprovisions (2) - - (2) 1 -------- -------- -------- -------- --------Net income 926 (6) - 920 838 -------- -------- -------- -------- --------Operatingexpensesexcludingamortisationof intangible assets (752) - - (752) (729)Amortisationof intangible assets (2) - - (2) (1) -------- -------- -------- -------- --------Operatingexpenses (754) - - (754) (730) -------- -------- -------- -------- --------Profitbefore tax 172 (6) - 166 108 -------- -------- -------- -------- -------- Cost:incomeratio1 81% 82% 87%Cost:netincome ratio2 81% 82% 87%Return onaverageeconomiccapital 38% 38% 31% Loans and advances tocustomers £4.7bn £4.7bn £4.1bnCustomer accounts £23.1bn £23.1bn £21.3bn Staff numbers 7,200 7,200 7,200 Total assets £6.1bn £6.1bn £5.6bnRisk weightedassets £4.5bn £4.1bn £4.0bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. Wealth Management - closed life assurance activities Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £mNet interestexpense (13) (1) - (14) (54)Net fee andcommissionincome 44 - - 44 - -------- -------- -------- -------- --------Net trading income - - - - -Netinvestment income 259 - - 259 596 -------- -------- -------- -------- --------Principaltransactions 259 - - 259 596Net premiumsfrom insurance contracts 195 - - 195 362Other income 11 - - 11 4 -------- -------- -------- -------- --------Total income 496 (1) - 495 908Net claimsand benefits on insurance contracts (375) - - (375) (818) -------- -------- -------- -------- --------Total incomenet ofinsuranceclaims 121 (1) - 120 90Operatingexpenses (127) - - (127) (143) -------- -------- -------- -------- --------Loss before tax (6) (1) - (7) (53) -------- -------- -------- -------- -------- Return onaverageeconomiccapital (3)% (3)% (53)% Total assets £7.3bn £7.3bn £6.4bn Barclaycard Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £mNet interestincome 1,773 (47) - 1,726 1,587Net fee andcommissionincome 972 - - 972 790Net premiumsfrom insurance contracts 24 - - 24 22 -------- -------- -------- -------- --------Total income 2,769 (47) - 2,722 2,399Net claimsand benefits on insurance contracts (7) - - (7) (5) -------- -------- -------- -------- --------Total incomenet ofinsuranceclaims 2,762 (47) - 2,715 2,394Impairmentcharge andother creditprovisions (1,098) - - (1,098) (761) -------- -------- -------- -------- --------Net income 1,664 (47) - 1,617 1,633 -------- -------- -------- -------- --------Operatingexpensesexcludingamortisationof intangible assets (961) - - (961) (804)Amortisationof intangible assets (17) - - (17) (3) -------- -------- -------- -------- --------Operatingexpenses (978) - - (978) (807)Share ofpost-taxresults ofassociatesand joint ventures 1 - - 1 4 -------- -------- -------- -------- --------Profitbefore tax 687 (47) - 640 830 -------- -------- -------- -------- --------Cost:incomeratio1 35% 36% 34%Cost:netincome ratio2 59% 60% 49%Return onaverageeconomiccapital 16% 16% 24% Loans and advances tocustomers £24.0bn £24.0bn £22.3bn Staff numbers 7,800 7,800 6,700 Total assets £25.8bn £25.8bn £23.4bnRisk weightedassets £20.4bn £21.8bn £20.2bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. International Retail and Commercial Banking Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £mNet interestincome 1,096 (18) (28) 1,050 529Net fee andcommissionincome 711 - (6) 705 288 -------- -------- -------- -------- --------Net tradingincome 40 - (37) 3 -Netinvestment 150 - (7) 143 135income -------- -------- -------- -------- --------Principaltransactions 190 - (44) 146 135Net premiumsfrominsurance 227 - - 227 300contractsOther income 62 - (2) 60 25 -------- -------- -------- -------- --------Total income 2,286 (18) (80) 2,188 1,277Net claimsand benefits on insurance contracts (205) - - (205) (390) -------- -------- -------- -------- --------Total incomenet ofinsuranceclaims 2,081 (18) (80) 1,983 887Impairmentcharge andother creditprovisions (33) - 1 (32) (31) -------- -------- -------- -------- --------Net income 2,048 (18) (79) 1,951 856 -------- -------- -------- -------- --------Operatingexpensesexcludingamortisationof intangible assets (1,356) - 39 (1,317) (616)Amortisationof intangible assets (48) - 1 (47) (1) -------- -------- -------- -------- --------Operatingexpenses (1,404) - 40 (1,364) (617)Share ofpost-taxresults ofassociatesand joint ventures 46 - - 46 49 -------- -------- -------- -------- --------Profitbefore tax 690 (18) (39) 633 288 -------- -------- -------- -------- --------Cost:incomeratio1 67% 69% 70%Cost:netincome ratio2 69% 70% 72%Return onaverageeconomiccapital 23% 23% 21% Loans and advances tocustomers £54.3bn £49.3bn £20.7bnCustomer accounts £33.4bn £22.6bn £10.1bn Staff numbers 46,200 45,400 12,100 Total assets £73.6bn £63.6bn £28.5bnRisk weightedassets £50.1bn £41.2bn £19.3bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. International Retail and Commercial Banking - excluding Absa Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £mNet interestincome 582 (20) - 562 529Net fee andcommissionincome 377 - - 377 288 -------- -------- -------- -------- --------Net tradingincome 31 - - 31 -Netinvestment income 88 - - 88 135 -------- -------- -------- -------- --------Principaltransactions 119 - - 119 135Net premiumsfrom insurance contracts 129 - - 129 300Other income 23 - - 23 25 -------- -------- -------- -------- --------Total income 1,230 (20) - 1,210 1,277Net claimsand benefits on insurance contracts (161) - - (161) (390) -------- -------- -------- -------- --------Total incomenet ofinsuranceclaims 1,069 (20) - 1,049 887Impairmentcharge andother creditprovisions (13) - - (13) (31) -------- -------- -------- -------- --------Net income 1,056 (20) - 1,036 856 -------- -------- -------- -------- --------Operatingexpensesexcludingamortisationof intangible assets (734) - - (734) (616)Amortisationof intangible assets (6) - - (6) (1) -------- -------- -------- -------- --------Operatingexpenses (740) - - (740) (617)Share ofpost-taxresults ofassociatesand joint ventures 39 - - 39 49 -------- -------- -------- -------- --------Profitbefore tax 355 (20) - 335 288 -------- -------- -------- -------- --------Cost:incomeratio1 69% 71% 70%Cost:netincome ratio2 70% 71% 72%Return onaverageeconomiccapital 20% 20% 21% Loans and advances tocustomers £25.4bn £25.4bn £20.7bnCustomer accounts £10.4bn £10.4bn £10.1bn Staff numbers 12,700 12,700 12,100 Total assets £34.2bn £34.2bn £28.5bnRisk weightedassets £21.6bn £20.4bn £19.3bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. International Retail and Commercial Banking - Absa1 Changes to internal Group 2005 as cost of structure 2005 published funding2 changes restated £m £m £m £m Net interest income 514 2 (28) 488Net fee and commissionincome 334 - (6) 328 -------- -------- -------- --------Net trading income 9 - (37) (28)Net investment income 62 - (7) 55 -------- -------- -------- --------Principal transactions 71 - (44) 27Net premiums frominsurance contracts 98 - - 98Other income 39 - (2) 37 -------- -------- -------- --------Total income 1,056 2 (80) 978Net claims and benefitson insurance contracts (44) - - (44) -------- -------- -------- --------Total income net ofinsurance claims 1,012 2 (80) 934Impairment charge andother credit provisions (20) - 1 (19) -------- -------- -------- --------Net income 992 2 (79) 915 -------- -------- -------- --------Operating expensesexcluding amortisationof intangible assets (622) - 39 (583)Amortisation ofintangible assets (42) - 1 (41) -------- -------- -------- --------Operating expenses (664) - 40 (624) -------- -------- -------- --------Share of post-taxresults of associates and joint ventures 7 - - 7 -------- -------- -------- --------Profit before tax 335 2 (39) 298 -------- -------- -------- -------- Cost:income ratio3 66% 67%Cost:net income ratio4 67% 68%Return on averageeconomic capital 33% 36% Loans and advances to customers £28.9bn £23.9bnCustomer accounts £23.0bn £12.2bn Staff numbers 33,500 32,700 Total assets £39.4bn £29.4bnRisk weighted assets £28.4bn £20.8bn 1 Period from 27th July until 31st December 2005. 2 In 2005, International Retail and Commercial Banking - Absa bore an internalcharge equivalent to Barclays cost of funding the acquisition of the business.The net impact of this policy in 2005 was similar to that reflected in thisdocument, resulting in a modest change in internal cost of funding relative tothat experienced by other businesses. 3 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 4 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. Head office functions and other operations Changes to internal Group 2005 as cost of structure 2005 2004 published funding changes restated restated £m £m £m £m £mNet interest(expense)/income (49) 189 20 160 49Net fee andcommissionexpense (408) - 10 (398) (167) -------- -------- -------- -------- --------Net tradingincome 85 - - 85 21Net investment income 8 - - 8 (9) -------- -------- -------- -------- --------Principaltransactions 93 - - 93 12Net premiumsfrom insurance contracts 146 - - 146 109Other income 24 - - 24 37 -------- -------- -------- -------- --------Total income (194) 189 30 25 40Impairmentrelease/(charge) and other credit provisions 9 - (10) (1) (8) -------- -------- -------- -------- --------Net loss/ (income) (185) 189 20 24 32 -------- -------- -------- -------- --------Operatingexpensesexcludingamortisationof intangible assets (343) - - (343) (177)Amortisationof intangible assets (4) - - (4) (14) -------- -------- -------- -------- --------Operatingexpenses (347) - - (347) (191) -------- -------- -------- -------- --------Profit ondisposal ofassociatesand joint ventures 2 -------- -------- -------- -------- --------Loss before tax (532) 189 20 (323) (157) -------- -------- -------- -------- --------Staff numbers 900 900 900 Total assets £7.7bn £9.3bn £5.1bnRisk weightedassets £2.2bn £4.0bn £3.3bn Risk weighted assets Group 2005 as Impact of structure 2005 2004 Published securitisation changes restated restated £m £m £m £m £m UK Banking 94,195 2,467 (16,733) 79,929 80,467 --------- --------- --------- --------- ---------UK RetailBanking 32,298 (684) 1,189 32,803 38,230UK BusinessBanking 61,897 3,151 (17,922) 47,126 42,237 --------- --------- --------- --------- ---------BarclaysCapital 96,095 (306) 20,888 116,677 90,078BarclaysGlobalInvestors 1,659 (203) - 1,456 1,230WealthManagement 4,467 (406) - 4,061 4,018Wealth - - - - -Management -closed lifeassuranceactivitiesBarclaycard 20,438 1,314 - 21,752 20,188 --------- --------- --------- --------- ---------InternationalRetail and CommercialBanking 50,071 (2,866) (5,977) 41,228 19,319 --------- --------- --------- --------- ---------InternationalRetail andCommercialBanking - ex Absa 21,637 (1,243) - 20,394 19,319 --------- --------- --------- --------- ---------InternationalRetail andCommercialBanking - 28,434 (1,623) (5,977) 20,834 -Absa --------- --------- --------- --------- ---------Head officefunctions and otheroperations 2,223 - 1,822 4,045 3,301 --------- --------- --------- --------- ---------Risk weightedassets 269,148 - - 269,148 218,601 --------- --------- --------- --------- --------- Business analysis of profit before tax net of restatements Half-year ended --------------- 2005 31.12.05 30.06.05 £m £m £m UK Banking 2,200 1,062 1,138 -------- -------- --------UK Retail Banking 1,040 492 548UK Business Banking 1,160 570 590 -------- -------- --------Barclays Capital 1,431 681 750Barclays Global Investors 540 299 241Wealth Management 166 82 84Wealth Management - closed lifeassurance (7) (4) (3)activitiesBarclaycard 640 294 346International Retail and Commercial Banking 633 459 174 -------- -------- --------International Retail and CommercialBanking - ex Absa 335 161 174International Retail and CommercialBanking - Absa1 298 298 - -------- -------- --------Head office functions and other operations (323) (283) (40) -------- -------- --------Profit before tax 5,280 2,590 2,690 -------- -------- -------- 1 Period from 27th July until 31st December 2005. UK Banking Half-year ended ----------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest income 3,744 1,960 1,784Net fee and commission income 1,720 879 841 -------- -------- --------Net trading income - 2 (2)Net investment income 26 9 17 -------- -------- --------Principal transactions 26 11 15Net premiums from insurance contracts 280 139 141Other income 33 13 20 -------- -------- --------Total income 5,803 3,002 2,801Net claims and benefits on insurancecontracts (58) (25) (33) -------- -------- --------Total income net of insurance claims 5,745 2,977 2,768Impairment charge and other credit provisions (327) (188) (139) -------- -------- --------Net income 5,418 2,789 2,629 -------- -------- --------Operating expenses excluding amortisationof intangible assets (3,212) (1,728) (1,484)Amortisation of intangible assets (3) (2) (1) -------- -------- --------Operating expenses (3,215) (1,730) (1,485)Share of post-tax results of associates andjoint ventures (3) 3 (6) -------- -------- --------Profit before tax 2,200 1,062 1,138 -------- -------- -------- Cost:income ratio1 56% 58% 54%Cost:net income ratio2 59% 62% 57%Return on average economic capital 33% 33% 33% Loans and advances to customers £118.2bn £117.1bnCustomer accounts £129.7bn £126.8bn Staff numbers 39,800 40,600 Total assets £130.3bn £129.1bnRisk weighted assets £79.9bn £83.6bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. UK Retail Banking Half-year ended ---------------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest income 2,208 1,158 1,050Net fee and commission income 1,131 572 559 -------- -------- --------Net trading income - - -Net investment income 9 - 9 -------- -------- --------Principal transactions 9 - 9Net premiums from insurance contracts 280 139 141Other income 16 4 12 -------- -------- --------Total income 3,644 1,873 1,771Net claims and benefits on insurancecontracts (58) (25) (33) -------- -------- --------Total income net of insurance claims 3,586 1,848 1,738Impairment charge and other creditprovisions (150) (75) (75) -------- -------- --------Net income 3,436 1,773 1,663Operating expenses (2,390) (1,282) (1,108)Share of post-tax results ofassociates and joint ventures (6) 1 (7) -------- -------- --------Profit before tax 1,040 492 548 -------- -------- -------- Cost:income ratio1 67% 69% 64%Cost:net income ratio2 70% 72% 67%Return on average economic capital 35% 37% 33% Loans and advances to customers £64.8bn £66.0bnCustomer accounts £78.8bn £75.4bn Staff numbers 32,000 33,000 Total assets £70.4bn £71.5bnRisk weighted assets £32.8bn £37.1bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. UK Business Banking Half-year ended ---------------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest income 1,536 802 734Net fee and commission income 589 307 282 -------- -------- --------Net trading income - 2 (2)Net investment income 17 9 8 -------- -------- --------Principal transactions 17 11 6Other income 17 9 8 -------- -------- --------Total income 2,159 1,129 1,030Impairment charge and other creditprovisions (177) (113) (64) -------- -------- --------Net income 1,982 1,016 966 -------- -------- --------Operating expenses excludingamortisation of intangible assets (822) (446) (376)Amortisation of intangible assets (3) (2) (1) -------- -------- --------Operating expenses (825) (448) (377)Share of post-tax results ofassociates and joint ventures 3 2 1 -------- -------- --------Profit before tax 1,160 570 590 -------- -------- -------- Cost:income ratio1 38% 40% 37%Cost:net income ratio2 42% 44% 39%Return on average economic capital 31% 30% 33% Loans and advances to customers £53.4bn £51.1bnCustomer accounts £50.9bn £51.4bn Staff numbers 7,800 7,600 Total assets £59.9bn £57.6bnRisk weighted assets £47.1bn £46.5bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. Barclays Capital Half-year ended ---------------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest income 1,065 540 525Net fee and commission income 776 403 373 -------- -------- --------Net trading income 2,231 1,116 1,115Net investment income 413 253 160 -------- -------- --------Principal transactions 2,644 1,369 1,275Other income 20 12 8 -------- -------- --------Total income 4,505 2,324 2,181Impairment charge and other creditprovisions (111) (59) (52) -------- -------- --------Net income 4,394 2,265 2,129 -------- -------- --------Operating expenses excludingamortisation of intangible assets (2,961) (1,583) (1,378)Amortisation of intangible assets (2) (1) (1) -------- -------- --------Operating expenses (2,963) (1,584) (1,379) -------- -------- --------Profit before tax 1,431 681 750 -------- -------- -------- Cost:income ratio1 66% 68% 63%Cost:net income ratio2 67% 70% 65%Return on average economic capital 34% 30% 38% Average net income per member ofstaff ('000) £498 £242 £259 Staff numbers 9,900 8,400 Total assets £601.2bn £573.1bnRisk weighted assets £116.7bn £107.2bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. Barclays Global Investors Half-year ended ------------------------ 2005 31.12.05 30.06.05 £m £m £m Net interest income 15 9 6Net fee and commission income 1,297 727 570 -------- -------- --------Net trading income 2 - 2Net investment income 4 - 4 -------- -------- --------Principal transactions 6 - 6Other income - - - -------- -------- --------Total income 1,318 736 582 -------- -------- --------Operating expenses excluding amortisationof intangible assets (775) (435) (340)Amortisation of intangible assets (4) (2) (2) -------- -------- --------Operating expenses (779) (437) (342)Share of post-tax results of associatesand joint ventures 1 - 1Profit on disposal of associates and joint ventures - - - -------- -------- --------Profit before tax 540 299 241 -------- -------- -------- Cost:income ratio1 59% 59% 59%Return on average economic capital 248% 282% 214% Average income per member of staff ('000) £628 £330 £298 Staff numbers 2,300 2,100 Total assets £80.9bn £68.9bnRisk weighted assets £1.5bn £1.4bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. Wealth Management Half-year ended ----------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest income 329 169 160Net fee and commission income 589 306 283 -------- -------- --------Net trading income - - -Net investment income 5 - 5 -------- -------- --------Principal transactions 5 - 5Other income (1) - (1) -------- -------- --------Total income 922 475 447Impairment charge and other creditprovisions (2) (1) (1) -------- -------- --------Net income 920 474 446 -------- -------- --------Operating expenses excludingamortisation of intangible assets (752) (391) (361)Amortisation of intangible assets (2) (1) (1) -------- -------- --------Operating expenses (754) (392) (362) -------- -------- --------Profit before tax 166 82 84 -------- -------- -------- Cost:income ratio1 82% 83% 81%Cost:net income ratio2 82% 83% 81%Return on average economic capital 38% 42% 35% Loans and advances to customers £4.7bn £4.4bnCustomer accounts £23.1bn £22.5bn Staff numbers 7,200 7,200 Total assets £6.1bn £5.8bnRisk weighted assets £4.1bn £4.5bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. Wealth Management - closed life Half-year endedassurance activities ----------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest (expense)/income (14) 2 (16)Net fee and commission income 44 26 18 -------- -------- --------Net trading income - - -Net investment income 259 144 115 -------- -------- --------Principal transactions 259 144 115Net premiums from insurance contracts 195 95 100Other income 11 10 1 -------- -------- --------Total income 495 277 218Net claims and benefits oninsurance contracts (375) (208) (167) -------- -------- --------Total income net of insurance claims 120 69 51Operating expenses (127) (73) (54) -------- -------- --------Loss before tax (7) (4) (3) -------- -------- -------- Return on average economic capital (3)% 11% (18)% Total assets £7.3bn £6.7bn Barclaycard Half-year ended ----------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest income 1,726 896 830Net fee and commission income 972 518 454Net premiums from insurance contracts 24 14 10 -------- -------- --------Total income 2,722 1,428 1,294Net claims and benefits on insurancecontracts (7) (5) (2) -------- -------- --------Total income net of insurance claims 2,715 1,423 1,292Impairment charge and other creditprovisions (1,098) (590) (508) -------- -------- --------Net income 1,617 833 784 -------- -------- --------Operating expenses excludingamortisation of intangible assets (961) (531) (430)Amortisation of intangible assets (17) (8) (9) -------- -------- --------Operating expenses (978) (539) (439)Share of post-tax results ofassociates and joint ventures 1 - 1 -------- -------- --------Profit before tax 640 294 346 -------- -------- -------- Cost:income ratio1 36% 38% 34%Cost:net income ratio2 60% 65% 56% Return on average economic capital 16% 14% 18% Loans and advances to customers £24.0bn £23.1bn Staff numbers 7,800 7,200 Total assets £25.8bn £24.2bnRisk weighted assets £21.8bn £21.3bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. International Retail and Commercial Half-year endedBanking ----------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest income 1,050 776 274Net fee and commission income 705 534 171 -------- -------- --------Net trading income 3 (3) 6Net investment income 143 76 67 -------- -------- --------Principal transactions 146 73 73Net premiums from insurance contracts 227 167 60Other income 60 46 14 -------- -------- --------Total income 2,188 1,596 592Net claims and benefits oninsurance contracts (205) (120) (85) -------- -------- --------Total income net of insurance claims 1,983 1,476 507Impairment charge and other creditprovisions (32) (24) (8) -------- -------- --------Net income 1,951 1,452 499 -------- -------- --------Operating expenses excludingamortisation of intangible assets (1,317) (974) (343)Amortisation of intangible assets (47) (45) (2) -------- -------- --------Operating expenses (1,364) (1,019) (345)Share of post-tax results ofassociates and joint ventures 46 26 20 -------- -------- --------Profit before tax 633 459 174 -------- -------- -------- Cost:income ratio1 69% 69% 68%Cost:net income ratio2 70% 70% 69%Return on average economic capital 23% 24% 22% Loans and advances to customers £49.3bn £21.7bnCustomer accounts £22.6bn £9.6bn Staff numbers 45,400 12,400 Total assets £63.6bn £30.0bnRisk weighted assets £41.2bn £18.9bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. International Retail and Commercial Half-year endedBanking - excluding Absa ----------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest income 562 288 274Net fee and commission income 377 206 171 -------- -------- --------Net trading income 31 25 6Net investment income 88 21 67 -------- -------- --------Principal transactions 119 46 73Net premiums from insurance contracts 129 69 60Other income 23 9 14 -------- -------- --------Total income 1,210 618 592Net claims and benefits oninsurance contracts (161) (76) (85) -------- -------- --------Total income net of insurance claims 1,049 542 507Impairment charge and other creditprovisions (13) (5) (8) -------- -------- --------Net income 1,036 537 499 -------- -------- --------Operating expenses excludingamortisation of intangible assets (734) (391) (343)Amortisation of intangible assets (6) (4) (2) -------- -------- --------Operating expenses (740) (395) (345)Share of post-tax results ofassociates and joint ventures 39 19 20 -------- -------- --------Profit before tax 335 161 174 -------- -------- -------- Cost:income ratio1 71% 73% 68%Cost:net income ratio2 71% 74% 69%Return on average economic capital 20% 17% 22% Loans and advances to customers £25.4bn £21.7bnCustomer accounts £10.4bn £9.6bn Staff numbers 12,700 12,400 Total assets £34.2bn £30.0bnRisk weighted assets £20.4bn £18.9bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. International Retail and Commercial Banking - Absa Period from 27th July until 31st December 2005 £m Net interest income 488Net fee and commission income 328 --------Net trading income (28)Net investment income 55 --------Principal transactions 27Net premiums from insurance contracts 98Other income 37 --------Total income 978Net claims and benefits on insurance contracts (44) --------Total income net of insurance claims 934Impairment charge and other credit provisions (19) --------Net income 915 --------Operating expenses excluding amortisation of intangible assets (583)Amortisation of intangible assets (41) --------Operating expenses (624)Share of post-tax results of associates and joint ventures 7 --------Profit before tax 298 -------- Cost:income ratio1 67%Cost:net income ratio2 68%Return on average economic capital 36% Loans and advances to customers £23.9bnCustomer accounts £12.2bn Staff numbers 32,700 Total assets £29.4bnRisk weighted assets £20.8bn 1 The cost:income ratio is defined as operating expenses compared to totalincome net of insurance claims. 2 The cost:net income ratio is defined as operating expenses compared to totalincome net of insurance claims, less impairment charges. Head office functions and Half-year endedother operations ---------------------------- 2005 31.12.05 30.06.05 £m £m £m Net interest (expense)/income 160 23 137Net fee and commission expense (398) (228) (170) -------- -------- --------Net trading income 85 30 55Net investment income 8 3 5 -------- -------- --------Principal transactions 93 33 60Net premiums from insurance contracts 146 86 60Other income 24 17 7 -------- -------- --------Total income 25 (69) 94Impairment release/(charge)and other credit provisions (1) (3) 2 -------- -------- --------Net income/(loss) 24 (72) 96 -------- -------- --------Operating expenses excludingamortisation of intangible assets (343) (208) (135)Amortisation of intangible assets (4) (3) (1) -------- -------- --------Operating expenses (347) (211) (136) -------- -------- --------Loss before tax (323) (283) (40) -------- -------- -------- Staff numbers 900 900 Total assets £9.3bn £12.4bnRisk weighted assets £4.0bn £5.6bn Restated business margins Margin Full-year Half-year Full-year 31.12.05 30.06.05 31.12.04 % % % UK Retail Banking assets 0.92 0.83 0.78UK Retail Banking liabilities 1.99 2.01 2.14UK Business Banking assets 1.87 1.87 1.56UK Business Banking liabilities 1.46 1.54 1.58Wealth Management assets 0.99 0.98 0.97Wealth Management liabilities 1.04 1.06 1.07Barclaycard assets 6.59 6.48 6.84 ------- ------- -------Barclaycard assets - cards 7.96 7.56 7.34Barclaycard assets - loans 4.96 5.15 6.27 ------- ------- -------International Retail and CommercialBanking assets-ex Absa 1.51 1.42 1.75International Retail and CommercialBanking liabilities-ex Absa 1.49 1.54 1.43International Retail and CommercialBanking assets-Absa1 1.97 - -International Retail and CommercialBanking liabilities-Absa1 1.89 - - Average balances Full-year Half-year Full-year 31.12.05 30.06.05 31.12.04 £m £m £m UK Retail Banking assets 66,165 66,511 65,539UK Retail Banking liabilities 73,473 72,072 69,653UK Business Banking assets 43,985 42,059 36,764UK Business Banking liabilities 40,545 39,234 37,442Wealth Management assets 4,395 4,229 3,580Wealth Management liabilities 23,430 22,603 21,141Barclaycard assets 24,246 23,759 21,609 ------- ------- -------Barclaycard assets - cards 13,180 13,126 11,560Barclaycard assets - loans 11,066 10,633 10,049 ------- ------- -------International Retail and CommercialBanking assets-ex Absa 22,889 22,327 17,884International Retail and CommercialBanking liabilities-ex Absa 9,540 9,633 8,987International Retail and CommercialBanking assets-Absa1 24,134 - -International Retail and CommercialBanking liabilities-Absa1 16,791 - - Business assets total average balance 185,814 158,885 145,376Business liabilities total average balance 163,779 143,542 137,223 1 This reflects the five month post acquisition period on an annualised basis. Restated business net interest income Full-year Half-year Full-year 31.12.05 30.06.05 31.12.04 £m £m £m UK Retail Banking assets 609 273 510UK Retail Banking liabilities 1,462 718 1,493UK Business Banking assets 823 390 574UK Business Banking liabilities 592 300 590Wealth Management assets 43 21 35Wealth Management liabilities 244 120 227Barclaycard assets 1,598 770 1,478 ------- ------- -------Barclaycard assets - cards 1,049 496 848Barclaycard assets - loans 549 274 630 ------- ------- -------International Retail and CommercialBanking assets-ex Absa 345 159 314International Retail and CommercialBanking liabilities-ex Absa 142 74 128International Retail and CommercialBanking assets-Absa1 206 - -International Retail and CommercialBanking liabilities-Absa1 138 - - Business assets total net interest income 3,624 1,613 2,911Business liabilities total net interestincome 2,578 1,212 2,438 ------- ------- -------Business net interest income 6,202 2,825 5,349 ------- ------- ------- Restated reconciliation of business net interest income to Group net interestincome Full-year Half-year Full-year 31.12.05 30.06.05 31.12.04 £m £m £m Business net interest income 6,202 2,825 5,349Other:- Barclays Capital 1,065 525 1,068- Barclays Global Investors 15 6 5- Other 793 344 411 ------- ------- -------Group net interest income 8,075 3,700 6,833 ------- ------- ------- Business net interest income is derived from the interest rate earned on averageassets or paid on average liabilities relative to the average Bank of Englandbase rate, local equivalents for international businesses or the rate managed bythe bank using derivatives. The margin is expressed as annualised businessinterest income over the relevant average balance. Asset and liability marginscannot be added together as they are relative to the average Bank of Englandbase rate, local equivalent for international businesses or the rate managed bythe bank using derivatives. Average balances are calculated on daily averages for most UK banking operationsand monthly averages elsewhere. Within the reconciliation of Group net interest income, there is an amountcaptured as Other. This relates to: benefit of capital, including therestatement of Reserve Capital Instruments and other capital instruments; Headoffice functions and other operations; net funding on non customer assets andliabilities; and Wealth Management - closed life assurance activities. 1 Period from 27th July until 31st December 2005. Restated Risk Tendency 2005 2005 2004 31.12.05 30.06.05 31.12.04 £m £m £m UK Banking 430 400 360 -------- -------- --------UK Retail Banking 180 170 160UK Business Banking 250 230 200 -------- -------- --------Barclays Capital 110 80 75Wealth Management 5 5 5Barclaycard 1,100 980 860International Retail and CommercialBanking 175 75 65 -------- -------- --------International Retail and CommercialBanking - ex Absa 75 75 65International Retail and CommercialBanking - Absa 100 - - -------- -------- --------Head office functions and otheroperations1 25 35 30 -------- -------- --------Risk Tendency 1,845 1,575 1,395 -------- -------- -------- 1 Comprises businesses in transition. Restated total assets 31.12.05 30.06.05 31.12.04 £m £m £m UK Banking 130,304 129,093 114,934 -------- -------- --------UK Retail Banking 70,389 71,476 72,768UK Business Banking 59,915 57,617 42,166 -------- -------- --------Barclays Capital 601,193 573,131 353,246Barclays Global Investors 80,900 68,877 968Wealth Management 6,094 5,843 5,616Wealth Management - closed life assuranceactivities 7,276 6,653 6,425Barclaycard 25,771 24,166 23,367International Retail and CommercialBanking 63,556 29,985 28,505 -------- -------- --------International Retail and CommercialBanking - ex Absa 34,195 29,985 28,505International Retail and CommercialBanking - Absa 29,361 - - -------- -------- --------Head office functions and other operations 9,263 12,375 5,120 -------- -------- --------Total assets 924,357 850,123 538,181 -------- -------- -------- Restated risk weighted assets 31.12.05 30.06.05 31.12.04 £m £m £m UK Banking 79,929 83,554 80,467 -------- -------- --------UK Retail Banking 32,803 37,129 38,230UK Business Banking 47,126 46,425 42,237 -------- -------- --------Barclays Capital 116,677 107,201 90,078Barclays Global Investors 1,456 1,408 1,230Wealth Management 4,061 4,457 4,018Wealth Management - closed life assurance activities - - -Barclaycard 21,752 21,335 20,188International Retail and Commercial Banking 41,228 18,900 19,319 -------- -------- --------International Retail and Commercial Banking- ex Absa 20,394 18,900 19,319International Retail and Commercial Banking- Absa 20,834 - - -------- -------- --------Head office functions and other operations 4,045 5,551 3,301 -------- -------- --------Risk weighted assets 269,148 242,406 218,601 -------- -------- -------- Restated economic capital demand1 31.12.05 30.06.05 31.12.04 £m £m £m UK Banking 4,950 4,800 4,350 -------- -------- --------UK Retail Banking 2,350 2,300 2,250UK Business Banking 2,600 2,500 2,100 -------- -------- --------Barclays Capital2 2,900 2,700 2,350Barclays Global Investors 150 150 150Wealth Management 400 400 300Wealth Management - closed life assuranceactivities 50 50 100Barclaycard 2,800 2,650 2,450International Retail and Commercial Banking 1,450 1,100 1,000 -------- -------- --------International Retail and Commercial Banking- ex Absa 1,150 1,100 1,000International Retail and Commercial Banking- Absa2 300 - - -------- -------- --------Head office functions and other operations3 300 250 250 -------- -------- --------Business unit economic capital 13,000 12,100 10,950Capital held at Group centre4 1,050 1,600 1,400 -------- -------- --------Economic capital requirement (excludinggoodwill) 14,050 13,700 12,350Average historic goodwill and intangibleassets5 6,450 5,800 5,600 -------- -------- --------Total economic capital requirement6 20,500 19,500 17,950 -------- -------- -------- 1 Year-end economic capital is calculated using a five point average over theyear. For the half-year a three point average is used. 2 Average economic capital demand for Absa relates to 5 months of 2005. As at31st December 2005 the capital demand amounted to £950m. 3 Includes businesses in transition and capital for Head office and centralsupport functions. 4 The Group's practice is to maintain an appropriate level of excess capital,held at Group centre, which is not allocated to business units. This variancearises as a result of capital management timing and includes capital held tocover pension contribution risk. 5 Average goodwill relates to purchased goodwill and intangible assets frombusiness acquisitions. Absa goodwill is included for 5 months of 2005. As at31st December 2005 Absa goodwill and intangibles amounted to £1.8bn and totalgoodwill and intangibles was £7.9bn. 6 Total period-end economic capital requirement as at 31st December 2005 stoodat £21,850m (30th June 2005: £20,750m; 31st December 2004: £18,700m). Restated economic profit generated by Full-year Half-year Full-yearbusiness 31.12.05 30.06.05 31.12.04 £m £m £m UK Banking 1,130 553 1,086 -------- -------- --------UK Retail Banking 586 270 508UK Business Banking 544 283 578 -------- -------- --------Barclays Capital 706 383 587Barclays Global Investors 299 129 195Wealth Management 109 49 70Wealth Management - closed life assuranceactivities (7) (8) (77)Barclaycard 183 115 350International Retail and CommercialBanking 229 70 111 -------- -------- --------International Retail and CommercialBanking - ex Absa 115 70 111International Retail and CommercialBanking - Absa1 114 - - -------- -------- --------Head office functions and other operations (364) (17) (140) -------- -------- -------- 2,285 1,274 2,182Historic goodwill (615) (275) (533)Variance to average shareholders' funds(excluding minority interest) 82 5 (81) -------- -------- --------Economic profit 1,752 1,004 1,568 -------- -------- -------- 1 Period from 17th July to 31st December 2005. Restated staff numbers 31.12.05 30.06.05 31.12.04 UK Banking 39,800 40,600 41,700 -------- -------- --------UK Retail Banking 32,000 33,000 34,500UK Business Banking 7,800 7,600 7,200 -------- -------- --------Barclays Capital 9,900 8,400 7,900Barclays Global Investors 2,300 2,100 1,900Wealth Management 7,200 7,200 7,200Barclaycard 7,800 7,200 6,700International Retail and Commercial Banking 45,400 12,400 12,100 -------- -------- --------International Retail and Commercial Banking- ex Absa 12,700 12,400 12,100International Retail and Commercial Banking- Absa 32,700 - - -------- -------- --------Head office functions and other operations 900 900 900 -------- -------- --------Total Group permanent and fixed term contract staff worldwide 113,300 78,800 78,400 -------- -------- --------Agency staff worldwide 7,000 4,300 4,300 -------- -------- --------Total including agency staff 120,300 83,100 82,700 -------- -------- -------- - ENDS - This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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