Barclays is a major global financial services provider engaged in retail and commercial banking, credit cards, investment banking, wealth management and investment management services. Company operates in over 60 countries and employs over 78,000 people.

            Red = 25 day moving average.           Green = 200 day moving average.

it is surely odds on that all of the banks are in for a further rough ride over the coming months, though for sure there will be little peaks along the way

rf:

In todays Telegraph they are predicting 2 banks left end 2009 but which ones..?

Open letter from Marcus Agius and John Varley (Barclays)





TIDMBARC TIDM30JW

RNS Number : 2093M
Barclays PLC
26 January 2009

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This announcement is not for distribution directly or indirectly in or into any
jurisdiction into which the same would be unlawful.


26th January 2009


BARCLAYS PLC


Open letter from Marcus Agius and John Varley




* SIGNIFICANT PRE TAX PROFITS IN 2008
* RECORD INCOME LEVELS ABSORB GBP8BN OF GROSS CREDIT MARKET WRITE DOWNS IN 2008
(GBP5BN NET)
* RELEASE OF RESULTS AGREED WITH AUDITORS BROUGHT FORWARD TO 9th FEBRUARY 2009
* CAPITAL RESOURCES WELL IN EXCESS OF REGULATORY REQUIREMENTS CREATE LARGE
PERFORMANCE CUSHION
* NO FURTHER CAPITAL SUBSCRIPTION SOUGHT



In view of the events in the banking sector last week, we have decided to
communicate now with employees, customers, clients, and shareholders in this
open letter in order to address the principal causes of concern which we are
hearing. Writing in this way ahead of the release of results is unusual, of
course, but the turn of events is also unusual.

Our starting point is that Barclays has GBP36bn of committed equity capital and
reserves; we are well funded, and we are profitable. However, we know that our
stakeholders want to see the detailed figures for 2008 as quickly as possible.
To enable that, we will bring forward the release of our 2008 financial
results, as agreed by our auditors, to Monday, 9th February.


When we announce our results for 2008, we will report a profit before tax for
the year well ahead of the consensus estimate of GBP5.3bn. This is as reported
in our statement to the stock market of 16th January. The profit is struck after
all costs, impairment and market valuations. Whilst it includes a number of
individually significant items, it mainly reflects strong operating profit
generation.

The profit includes the gains arising from the acquisition of the Lehman
Brothers North American business, and also the gain on the sale of our closed
life business.

Also included in the 2008 results are some GBP8bn of gross write downs (GBP5bn
net of own credit, hedging and attributable income) relating to credit market
exposures in Barclays Capital. This amount is arrived at by applying year end
valuations and marks to market. It is derived on a consistent basis with, and
includes, the comparable numbers for the first half of 2008 which were GBP3.3bn
gross and GBP2bn net. In the interests of clarity and transparency, we are
reporting these numbers on a gross and net basis. We will provide extensive
details as to the level of write downs and marks by asset class when we report
our results on 9th February 2009.

Our ability to absorb this level of write downs is derived from the strong and
diversified income performance in Barclays Capital and from the substantial
revenue generation of our retail and commercial banking and investment
management and wealth businesses in the rest of the Group. In other words, these
figures demonstrate that although we have been heavily impacted by the credit
crunch, our income generation was at a record level in 2008 and has enabled us
to withstand this impact and still produce strong profits.

As a result of the capital raising announced on 31st October 2008, our capital
base has been substantially strengthened in accordance with the capital plan
agreed with the UK Financial Services Authority. In consequence, our year end
capital ratios, expressed on a proforma basis to reflect the conversion of the
Mandatorily Convertible Notes, are approximately 6.5% for the Equity Tier 1
ratio, and 9.5% for the Tier 1 ratio. These ratios are as we announced in our
statement to the market of 16th January, and are computed after including the
combined impacts on our risk weighted assets of the weakening of sterling and
the pro-cyclical effects of the International Basel Accord.

On the basis of the above year end capital ratios, we calculate that the Group's
Tier 1 capital exceeds the regulatory minimum required by the FSA by an amount
equivalent to some GBP17bn in PBT. This scale of loss absorption capability,
when looked at in the context both of the solid and diversified profitability of
the Group during the stress test of 2008, and of the substantial write downs
that we have taken, gives us confidence that our capital resources are
sufficient to manage Barclays safely and prudently even in these difficult
markets. For these reasons we confirm in this letter that we are not seeking
subscription for further capital - either from the private sector or from the UK
Government.


Our capital position could benefit further from two other sources, which we
describe below.


First, on 19th January the UK Government announced a comprehensive package of
measures designed to support the UK economy by helping borrowers and lenders. We
welcome that package and, alongside other banks, have started a dialogue with
the Tripartite Authorities which will enable us to determine the terms on which,
and the extent to which, we would wish to insure certain assets on our balance
sheet through the UK Treasury's asset protection scheme. The procuring of
insurance would have the effect of reducing capital consumption (which would
allow the writing of new business in the UK).


Second, the FSA has announced a programme of work to reduce significantly the
requirement for additional capital resulting from the pro-cyclical effects of
the International Basel Accord. That reduction would be a source of further
ratio strengthening.


Before closing, we should say a word about current trading. Recognising that
2009 is not yet a month old, and that the global economy will remain weak, we
can tell you that customer and client activity levels have been high. As a
result, we have had a good start to 2009. In particular the operating
performance of Barclays Capital, benefitting as it is from the now completed
integration of the Lehman business, has been extremely strong. The trends that
lie behind the strong operating performance in Global Retail and Commercial
Banking in 2008 are again observable in its performance in January.
We take this opportunity to thank the employees of Barclays for staying focused,
and also to thank our customers and clients for their business.

Lets hope point 5 doesn't come back to bite them!

How's the short going Mitzy ?.....hmmmm !.

Who would have thought SP would rise 42% today

UPDATE: Barclays To Post '08 Pretax Profit Above GBP5.3 Billion





(Adds detail, market comment.)

By Vladimir Guevarra
Of DOW JONES NEWSWIRES

LONDON -(Dow Jones)- U.K. bank Barclays PLC (BCS) will report on Feb. 9 "significant" 2008 pretax profits well ahead of analyst consensus forecasts of GBP5.3 billion, Barclays Chairman Marcus Agius and Chief Executive John Varley said in an open letter on Monday.

The duo also said the bank's capital resources are "well in excess" of regulatory requirements, creating a "large performance cushion" for the bank and giving it no reason to seek further capital.

After the letter was published, Barclays shares opened 21% higher at 63 pence. At 0832 GMT, the stock was up 29% at 66 pence while the FTSE100 index was up 0.6%.

The letter comes after the bank's stock saw nine consecutive days of decline, falling 72% to just 51 pence on Friday amid fears over expected job losses in the banking industry as well as the financial health and the prospect of further nationalization of U.K. banks.

The recent share price fall came despite the U.K. government's announcement last week of a second multi-billion pound bank rescue plan, under which the Treasury is allowed to provide financial institutions with protection against future defaults on bank loans.

In their letter, Agius and Varley said: "When we announce our results for 2008, we will report a profit before tax for the year well ahead of the consensus estimate of GBP5.3 billion."

"This is as reported in our statement to the stock market of Jan. 16. The profit is struck after all costs, impairment and market valuations. While it includes a number of individually significant items, it mainly reflects strong operating profit generation," they said.

Similar statements were made in recent days, but the company's share price continued to fall.

An analyst who declined to be named said that while he sees Barclays shares rising, he thinks this is likely to be a short-term bounce and "the key is to observe how long this will last."

Oriel Securities analyst Mike Trippitt said the open letter shows "a reasonably strong start to 2009" and noted that the Barclays Capital unit is benefitting from the acquisition last year of some assets from Lehman Brothers.

Agius and Varley said Barclays has GBP36 billion of committed equity capital and reserves. "We are well funded, and we are profitable. However, we know that our stakeholders want to see the detailed figures for 2008 as quickly as possible."

"To enable that, we will bring forward the release of our 2008 financial results, as agreed by our auditors, to Monday, Feb. 9," they said.

They also said: "We confirm in this letter that we are not seeking subscription for further capital - either from the private sector or from the U.K. government."

Following a capital raising done in October, the bank's year-end equity Tier 1 ratio - the level of equity held against losses on risky assets - was at 6.5%, they said.

Last week, Varley also said in an interview with Cantos Communications Ltd. that the bank has increased loans in 2008 despite reports that banks in general have stopped lending.

"If you look at our lending to small and medium-sized enterprises, customers with a business turnover of about GBP20 million, we've increased that lending during the course of 2008 by 7%," he said.

"The average of our new lending market share during the periods 2005 through 2007 was about 5%. The equivalent figure for 2008 is well over 25%. We are open for business," Varley said.

Company Web site: www.barclays.com

-By Vladimir Guevarra, Dow Jones Newswires; +44 (0) 20 7842 9486, vladimir.guevarra@dowjones.com

(Andrea Tryphonides contributed to this item.)

Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary. You can use this link on the day this article is published and the following day.

why is it that none of you guys can EVER just post a brief resume or merely the salient points of an RNS??????

I hadn't realised there was a limit on posting space!!

Yep got it wrong rf but there it is.

skinny ... it's just a total pain to read through all the garbage to find the important bits

dipped in at 73p out again at 82p

Wow 67% rise in SP today wish I was on this.

I meant 74% rise

Incredible rise .

Took a chance and shorted it at 89.70

THANKS " SKINNY " I READ THE BITS THAT WERE IMPORTANT

NOW 79.4

The rise caught me out today never seen anything like that before.

RNS is +ve now if the Directors start buying, SP will move to 100p. Market needs that confirmation from Director buying.
Shorters will be caught and if they close their deal, SP will move further...IMHO