3rd Nov 2006 14:00
Barclays PLC03 November 2006 3 November 2006 BARCLAYS PLC STATEMENT RE: LEGAL PROCEEDINGS Barclays PLC and Enron Corp. have reached an agreement to settle the litigationarising from Enron's bankruptcy estate in the U.S. Bankruptcy Court for theSouthern District of New York. Under the terms of the settlement, which follows similar settlements betweenEnron and many of its creditors after the company declared bankruptcy, Barclayswill make a payment of $144 million in cash to Enron to settle all claimsasserted against it by Enron in the litigation and Enron will allow Barclaysclaims filed in the bankruptcy totalling $310 million. Barclays has agreed to a negotiated settlement of the claims in this matterbecause this is preferable to the time, expense and unpredictability oflitigation. Barclays believes that it is in the best interests of shareholdersthat the litigation is resolved. The resolution reflects Barclays lesser rolerelative to others involved in the litigation surrounding Enron's bankruptcy.The settlement will have no impact on Barclays earnings in 2006 as an adequateprovision had already been made for the likely cost in prior periods. In reaching the settlement, Barclays has denied any wrong-doing or liability.The settlement is subject to the approval of the United States Bankruptcy Courtin the Southern District of New York and other conditions. This action, which was brought by the Enron estate, is a separate action fromthe principal class action pending in the federal court in Houston, Texas, fromwhich Barclays has been dismissed, and the other actions that have beenconsolidated and coordinated therewith. - ENDS - For further information please contact Investor Relations Media RelationsMark Merson Stephen Whitehead+44 (0) 20 7116 5752 +44 (0) 20 7116 6060 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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