Barclays 2008 Annual Report Download - page 234

Notes to the accounts
For the year ended 31st December 2008
232 Barclays PLC Annual Report 2008 |Find out more at www.barclays.com/annualreport08
27Subordinated liabilities (continued)
The 7.4% Subordinated Notes 2009 (the ‘7.4% Notes’) issued by the Bank have been registered under the US Securities Act of 1933. All other issues of
dated loan capital by the Bank, Barclays Spain, BBG, BBB, Barclays Zambia, Barclays Kenya and Absa, which were made in non-US markets, have not been
so registered. With respect to the 7.4% Notes, the Bank is not obliged to make (i) a payment of interest on any interest payment date unless a dividend is
paid on any class of share capital and (ii) a payment of principal until six months after the respective maturity date with respect to such Notes.
Repayment terms
Unless otherwise indicated, the Group’s dated loan capital outstanding at 31st December 2008 is redeemable only on maturity, subject in particular
cases, to provisions allowing an early redemption in the event of certain changes in tax law or, in the case of BBB and Barclays Zambia to certain changes
in legislation or regulations.
Any repayments prior to maturity require in the case of the Bank, the prior notification to the FSA, in the case of BBB, the prior approval of the Bank of
Botswana, in the case of Barclays Zambia, the prior approval of the Bank of Zambia, and in the case of Absa, the prior approval of the South African
Registrar of Banks.
There are no committed facilities in existence at the balance sheet date which permit the refinancing of debt beyond the date of maturity.
28 Provisions
Undrawn
contractually
committed
facilities
Redundancy and
Onerous and re- guarantees Sundry
contracts structuring provided provisions Total
£m £m £m £m £m
At 1st January 2008 64 82 475 209 830
Acquisitions and disposals of subsidiaries 9 (9) – (1) (1)
Exchange 2–63 15 80
Additions 12 269 461 102 844
Amounts used (41) (213) (794) (42) (1,090)
Unused amounts reversed – (11) (96) (25) (132)
Amortisation of discount 4–––4
At 31st December 2008 50 118 109 258 535
At 1st January 2007 71 102 46 243 462
Acquisitions and disposals of subsidiaries 1 (2) – 74 73
Exchange ––8513
Additions 18 117 560 121 816
Amounts used (25) (117) (113) (60) (315)
Unused amounts reversed (5) (18) (26) (174) (223)
Amortisation of discount 4–––4
At 31st December 2007 64 82 475 209 830
Provisions expected to be recovered or settled within no more than 12 months after 31st December 2008 were £333m (2007: £645m).
Sundry provisions are made with respect to commission clawbacks, warranties and litigation claims.
There were no undrawn contractually committed facilities and guarantees provided against undrawn facilities on ABS CDO Super Senior positions
(2007: £360m).