Barclays 2008 Annual Report Download - page 144

Risk management
Statistical information
142 Barclays PLC Annual Report 2008 |Find out more at www.barclays.com/annualreport08
Table 17: Potential problem loans
2008 2007 2006 2005 2004a
At 31st December £m £m£m£m£m
United Kingdom 883 419 465 640 658
Other European Union 963 59 32 26 32
United States 431 964 21 12 27
Africa 140 355 240 248 67
Rest of the World 39 –3314
Potential problem loansb2,456 1,797 761 929 798
Table 18: Interest foregone on credit risk loans
2008 2007 2006
£m £m£m
Interest income that would have been recognised under the original contractual terms
United Kingdom 244 340 357
Rest of the World 235 91 70
Total 479 431 427
Interest income of approximately £195m (2007: £48m, 2006: £72m) from such loans was included in profit, of which £72m (2007: £26m, 2006: £49m)
related to domestic lending and the remainder related to foreign lending.
In addition, a further £159m (2007: £113m, 2006: £98m) was recognised arising from impaired loans. Following impairment, interest income is
recognised using the original effective rate of interest which was used to discount the expected future cash flows for the purpose of measuring the
impairment loss. £54m (2007: £93m, 2006: £88m) of this related to domestic impaired loans and the remainder related to foreign impaired loans.
Table 19: Analysis of impairment/provision charges
2008 2007 2006 2005 2004 a
At 31st December £m £m£m£m£m
Impairment charge/net specific provisions charge
United Kingdom 1,817 1,593 1,880 1,382 1,021
Other European Union 587 123 92 75 102
United States 1,519 374 12 76 57
Africa 454 214 143 37 27
Rest of the World 207 2 (53) 4 103
Impairment on loans and advances 4,584 2,306 2,074 1,574 1,310
Impairment on available for sale assets 382 13 86 4 n/a
Impairment on reverse repurchase agreements 124 ––––
Impairment charge 5,090 2,319 2,160 1,578 1,310
Total net specific provisions charge n/a n/a n/a n/a n/a
General provisions (release)/charge n/a n/a n/a n/a (206)
Other credit provisions charge/(release) 329 476 (6) (7) (11)
Impairment/provision charges 5,419 2,795 2,154 1,571 1,093
Notes
aDoes not reflect the application of IAS 32, IAS 39 and IFRS 4 which became effective
from 1st January 2005.
bIncludes £nil (2007: £951m) of ABSCDO Super Senior and SIV-lites exposures.