Barclays 2006 Annual Report Download - page 108

Barclays PLC
Annual Report 2006
104
Table 21: Impairment/provisions charges ratios (‘Loan loss ratios’)
IFRS UK GAAP
2006 2005 2004(a) 2003 2002
%%% %%
Impairment/provisions charges as a percentage of average loans and advances
for the year:
Specific provisions charge n/a n/a 0.40 0.46 0.58
General provisions charge n/a n/a (0.07) 0.01 –
Impairment charge 0.66 0.58 n/a n/a n/a
Total 0.66 0.58 0.33 0.47 0.58
Amounts written off (net of recoveries) 0.61 0.50 0.40 0.48 0.43
Table 22: Analysis of allowance for impairment/provision for bad and doubtful debts
IFRS UK GAAP
2006 2005 2004(a) 2003 2002
£m £m £m £m £m
Impairment allowance/Specific provisions
United Kingdom 2,477 2,266 1,683 1,856 1,790
Other European Union 311 284 149 97 84
United States 100 130 155 121 257
Africa 417 647 70 79 60
Rest of the World 30 123 90 80 70
Specific provision balances n/a n/a 2,147 2,233 2,261
General provision balances n/a n/a 564 795 737
Allowance for impairment provision balances 3,335 3,450 2,711 3,028 2,998
Average loans and advances for the year 313,614 271,421 328,134 285,963 256,789
Table 23: Allowance for impairment/provision balance ratios
IFRS UK GAAP
2006 2005 2004(a) 2003 2002
%% % % %
Allowance for impairment/provision balance at end of year as a percentage
of loans and advances at end of year:
Specific provision balances n/a n/a 0.62 0.77 0.86
General provision balances n/a n/a 0.16 0.27 0.28
Impairment balance 1.05 1.14 n/a n/a n/a
Total 1.05 1.14 0.78 1.04 1.14
Table 24: Movements in allowance for impairment/provisions charge for bad and doubtful debts
IFRS UK GAAP
2006 2005 2004(a) 2003 2002
£m £m £m £m £m
Allowance for impairment/provision balance at beginning of year 3,450 2,637 2,946 2,998 2,716
Acquisitions and disposals (23) 555 21 62 (11)
Unwind of discount (98) (76) n/a n/a n/a
Exchange and other adjustments (153) 125 (33) (18) (77)
Amounts written off (2,174) (1,587) (1,582) (1,474) (1,220)
Recoveries 259 222 255 113 106
Impairment/provision charged against profit(b) 2,074 1,574 1,104 1,347 1,484
Allowance for impairment/provision balance at end of year 3,335 3,450 2,711 3,028 2,998
(Also see chart on page 85.)
Notes
(a) Does not reflect the application of IAS 32, IAS 39 and IFRS 4 which became effective from 1st January 2005.
(b) Does not reflect the impairment of available for sale assets or other credit risk provisions in 2005 and 2006.
Risk management
Statistical information