Barclays 2010 Annual Report Download - page 43

Total assets
Total assets increased £111bn to £1,490bn.
Cash, balances at central banks and items in the course of collection have
increased £15.9bn contributing to the increase in the Group liquidity pool.
Trading portfolio assets increased £17.5bn and reverse repurchase and
other similar secured lending increased £62.3bn reflecting business
growth while maintaining adjusted gross leverage at 20x. Financial
assets designated at fair value have decreased by £1.1bn primarily due
to a decrease in debt securities.
Derivative financial assets increased £3.5bn reflecting increases in
the mark to market positions in interest rate and foreign exchange
derivatives due to movements in forward interest rate curves and volatility
in the foreign exchange market. This was partially offset by decreases in
credit, equity and commodities derivatives due to reduced volatility.
Loans and advances to banks and customers increased £4.4bn due
to an increase in lending to retail customers, including the effect of
the acquisition of Standard Life Bank, offset by a reduction in borrowings
by wholesale customers and banks.
Available for sale financial investments increased £8.6bn primarily driven
by purchase of government bonds increasing the Group’s liquid assets
and the transfer from loans and advances to available for sale assets of
the receivables arising as part of the acquisition of the North American
business of Lehman Brothers. This was partially offset by a £0.8bn
reduction in the fair value of the Group’s investment in BlackRock, Inc.
Total liabilities
Total liabilities increased £107bn to £1,427bn.
Deposits and items in the course of collection from banks and customer
accounts increased £24.7bn reflecting the acquisition of Standard Life
Bank and customer deposit growth across the Group. Financial liabilities
designated at fair value increased £9.8bn primarily due to increased
debt securities and debt issuances strengthening the Group’s liquidity
position. Debt securities in issue increased £20.7bn primarily due to
increases in bonds, medium term notes, certificates of deposit and
commercial paper. This growth was primarily to fund the increased
liquidity pool and business growth.
Trading portfolio liabilities increased £21.4bn and repurchase agreements
and other similar secured borrowing increased £26.8bn reflecting business
growth. Derivative financial liabilities increased £2.1bn broadly in line with
the increase in gross derivative assets.
Subordinated liabilities increased £2.7bn primarily reflecting issuances and
acquisitions partially offset by redemptions. Other liabilities decreased
£1.4bn reflecting reduced retirement benefit liabilities, current tax liabilities
and other creditors.
Financial review
Balance sheet commentary
Barclays PLC Annual Report 2010 www.barclays.com/annualreport10 41
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