Barclays 2009 Annual Report Download - page 48

Capital resources continued
Total net capital resources under Basel II 2009 2008 2007
Barclays Barclays Barclays Barclays Barclays Barclays
PLC Bank PLC PLC Bank PLC PLC Bank PLC
Capital resources Group Group Group Group Group Group
(as defined for regulatory purposes) £m £m £m £m £m £m
Ordinary shareholders’ funds a47,277 55,925 36,618 41,202 23,291 29,872
Regulatory adjustments:
MCNs not yet converted ––(3,652) – – –
Available for sale reserve – debt b83 83 372 372 49 49
Available for sale reserve – equity (309) (335) (122) (63) (295) (514)
Cash flow hedging reserve (252) (252) (132) (132) (26) (26)
Defined benefit pension scheme 431 431 849 849 1,052 1,052
Adjustments for scope of regulatory consolidation 196 196 847 847 (191) (191)
Foreign exchange on RCIs and upper Tier 2 loan stock 25 25 (231) (231) 499 499
Adjustment for own credit (340) (340) (1,650) (1,650) (461) (461)
Other adjustments 144 144 305 304 465 465
Equity non-controlling interest 2,351 2,351 1,981 1,981 1,608 1,608
Less: Intangible assets (8,345) (8,345) (9,964) (9,964) (8,191) (8,191)
Less: Net excess of expected loss over impairment at 50% (25) (25) (159) (159) (743) (743)
Less: Securitisation positions at 50% (2,799) (2,799) (704) (704) (335) (335)
Less: Non Core Tier 1 capital issues included in shareholders’ funds – (8,427) – (8,421) – (7,236)
Core Tier 1 Capital 38,437 38,632 24,358 24,231 16,722 15,848
Preference shares c6,256 6,256 6,191 6,191 5,035 5,035
Reserve Capital Instruments d6,724 6,724 5,743 5,721 3,908 3,908
Tier 1 Notes e1,017 1,017 1,086 1,086 899 899
Tax on the net excess of expected loss over impairment 8846 46 207 207
Less: Material holdings in financial companies at 50% (2,805) (2,915) (174) (174) (28) (28)
Total qualifying Tier 1 capital 49,637 49,722 37,250 37,101 26,743 25,869
Revaluation reserves 26 26 26 26 26 26
Available for sale reserve – equity 309 335 122 122 295 295
Collectively assessed impairment allowances 2,443 2,443 1,654 1,654 440 440
Tier 2 non-controlling interests 547 547 607 607 442 442
Qualifying subordinated liabilities f
Undated loan capital 1,350 1,350 6,745 6,768 3,191 3,191
Dated loan capital 15,657 15,658 14,215 14,215 10,578 10,578
Less: Net excess of expected loss over impairment at 50% (25) (25) (158) (158) (743) (743)
Less: Securitisation positions at 50% (2,799) (2,799) (704) (704) (335) (335)
Less: Material holdings in financial companies at 50% (2,805) (2,915) (174) (174) (28) (28)
Total qualifying Tier 2 capital 14,703 14,620 22,333 22,356 13,866 13,866
Less: Other regulatory deductions (880) (880) (856) (964) (826) (826)
Total net capital resources 63,460 63,462 58,727 58,493 39,783 38,909
Notes
aFor Barclays Bank PLC this balance represents Shareholders’ equity excluding
non-controlling interests.
bAdjusted for the scope of regulatory consolidation.
cPreference shares are included in the balance sheet under non-controlling interests for
Barclays PLC and shareholders equity for Barclays Bank PLC.
dReserve Capital Instruments comprise instruments that are both debt and equity accounted
and are included in the balance sheet under subordinated liabilities and non-controlling
interests for Barclays PLC and subordinated liabilities and shareholders equity for Barclays
Bank PLC.
eTier 1 Notes are included in the balance sheet under subordinated liabilities.
fQualifying subordinated liabilities include excess innovative Tier 1 instruments and are
subject to limits laid down in the regulatory requirements.
46 Barclays PLC Annual Report 2009 www.barclays.com/annualreport09
Financial review
Capital management
continued