I'd suggest a direct correlation between bonus and share price.

Results of AGM

Following the annual general meeting held today at the Edinburgh International Conference Centre in Scotland, Lloyds Banking Group plc announces that all the resolutions put to shareholders were passed by the requisite majorities. Resolution 21 being passed by a majority of at least 66% as over 50% of the total shares were represented at the annual general meeting. Resolutions 22 to 27 (inclusive) were passed as special resolutions. The results of the polls are as follows:

more....

Barclays Capital Overweight 75.18 74.81 - 90.00 Reiterates

Lloyds to float TSB next week

Lloyds Banking Group (LLOY) has brought forward the listing of its TSB subsidiary to next week, as investor interest in IPOs starts to cool, with Saga shares priced at the low end of expectations and FatFace pulling its float altogether.

The bank is expected to float only 25% of TSB and to sell shares for less than current book value.

Lloyds will need to sell soon as it will enter a close period in the run-up to its results on 31 July. August is out because of the holiday season and a sale in September would be complicated by the vote for independence in Scotland, where the bank is registered.

Intention to Float TSB

Offer Highlights

· Lloyds intends to sell approximately 25% of the existing Ordinary Shares in TSB as part of its divestment mandated by the EC. Lloyds is required to sell down its remaining stake before 31 December 2015

· TSB will list on the premium segment of the Official List and the main market of the London Stock Exchange

· The Offer is expected to take place next month, with the publication of the Prospectus mid-June

· The Offer will be available to institutional investors in qualifying jurisdictions (in the UK and elsewhere outside the United States under Regulation S and to QIBs in the United States in reliance on Rule 144a) and to intermediaries in the UK, the Channel Islands and the Isle of Man who will facilitate the participation of their retail investor clients in those same jurisdictions (the "Intermediaries Offer"). The terms of the Intermediaries Offer will entitle each retail investor to receive one free share for every 20 Shares acquired (up to £2,000) and held for a continuous period of one year after IPO, subject to certain terms and conditions which will be set out in the Prospectus

· In respect of its residual holding of Ordinary Shares in TSB following the IPO, Lloyds has committed to a 90 day lock up arrangement following Admission.


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Broker Oriel said Lloyds Banking Group's offloading of TSB should enhance net interest margin for the bank and, with a rising dividend yield, has reiterated its 'buy' recommendation on the bank.

"This improvement should become apparent once TSB is deconsolidated, which will depend on how quickly Lloyds sells down its stake."

I think our house might have a go with the TSB IPO.

It is almost a no brainer, IMHO.

Deutsche Bank Buy 77.41 77.41 - 90.00 Reiterates

(Reuters) - "Britain's finance ministry mistakenly released potentially market-moving information on Friday and blamed a website error for erroneously saying it planned to sell 4 billion pounds of shares in Lloyds Banking Group (LLOY.L).

The government is not planning to sell the shares, and the release was "completely erroneous", a Treasury spokesman said. "The Treasury is urgently looking into why this happened," he said.

People familiar with the matter said investors should not read anything into the release, which was received by news organisations, about any plans by the government to sell more of its stake in Lloyds soon.

Such information is highly market sensitive and if reported could have caused Lloyds shares to fall. Lloyds shares briefly dipped in the minutes following the email release at 1359 GMT, but recovered to close up 0.4 percent at 77.75 pence.

Britain still owns a quarter of Lloyds, after selling two blocks of shares in the bank in September and March. The stake is held by UK Financial Investments (UKFI).

An email, headlined "Press release: UKFI announces its intention to dispose of approximately 7.5% of Lloyds Banking Group plc (test)", was sent to people who had signed up for automatic releases on the gov.uk website, a site for government information.

The emails, triggered when a document was mistakenly uploaded to the website, carried a link to a statement on the site which said UKFI planned to sell 5.35 billion shares by a placing to institutional investors. The page was later deleted.

The headline and statement were in fact repeats of a press release sent out on March 25 but they had Friday's date on them. Friday's versions also had "(test)" on them.

At least two reporters at Reuters received the release, and other news organisations also received it.

Lloyds shares fell 4 percent on March 26 after Britain sold 5.6 billion shares, worth 4.2 billion pounds.

Under the terms of that sale, UKFI agreed not to sell any more until June 23, although such lock-up agreements can be waived.

The timing of the next government stake sale in Lloyds is under close scrutiny. The shares are above the level of the last sale and the government is expected to sell more shares this year, possibly including an offer to retail investors."

Everytime I look at the chart I shake my head in disbelief.

A tradegy.

LLOYDS BANKING GROUP: BOARD APPOINTMENT

TENDER OFFER RESULTS

PPI: Compensation payouts could have £1bn shortfall

Some leading banks may have underpaid compensation certain customers are due for mis-sold Payment Protection Insurance, the BBC has learned.

One expert, commissioned by the BBC, estimates it could amount to "somewhere in the region of £1bn".

The customers potentially affected had PPI on credit cards issued by Lloyds Banking Group, Barclays, MBNA and Capital One.

LLOYDS BANKING GROUP ANNOUNCES THE SALE OF A PORTFOLIO OF UK COMMERCIAL REAL ESTATE LOANS

Lloyds Banking Group plc (the Group) announces today that it has agreed the sale of a portfolio of UK commercial real estate loans (the Portfolio) to Promontoria Holding 109 B.V., which is an affiliate of Cerberus Global Investors, for a cash consideration of £352 million. The transaction is part of the Group's continued non-core run-off portfolio asset reduction programme.

The gross assets subject to the transaction are £536 million and generated a loss of £17 million in the year to 31 December 2013. The sale proceeds will be used for general corporate purposes and the transaction is not expected to have a material impact on the Group, including on its capital position, due to existing provisions taken against these assets.

The transaction is expected to complete in the second half of 2014.


- END -

StockMarketWire.com
Following its recent announcement of its intention to float TSB, Lloyds Banking Group today announced the price range for the IPO and the intention for TSB to publish, later today, the Prospectus for the Offer.

· The price range for the Offer has been set at between 220 pence to 290 pence per Ordinary Share

· The expected offering size is 125 million Ordinary Shares (prior to any exercise of the 10% over-allotment option), representing 25% of TSB's existing Ordinary Shares in issue

· At the mid-point of the price range, TSB's market capitalisation would be approximately £1,275 million

· Final pricing is expected to be announced on or around 20 June 2014, with conditional dealings in TSB shares beginning on the London Stock Exchange on the same day.

TSB is a “completely clean” bank – no scandals.
It is thought it has 40-50% growth potential.
It is possibly the financially strongest major bank in the UK.

Should be a very popular IPO, IMHO. I'm in, as will be the rest of the family.

Not sure I will be holdong these for more than a week once float is undertaken.



In its prospectus TSB said of the interest-only loans: “TSB faces risks associated with the concentration of its credit risk, geographically and relating to its interest-only mortgage portfolio, which amounts to approximately 45 per cent of TSB’s residential mortgage lending as at 31 March 2014.

“As these mortgages near maturity, TSB may face greater repayment and asset quality risks than competitors with a lower proportion of interest-only mortgages.”

The bank also cited the fact that Lloyds will be responsible for its IT and other services as a risk, given that Lloyds has “no experience of providing services of a comparable breadth and scale to a third party financial institution”. It admitted that its ability to operate would be “jeopardised” were Lloyds to hit fresh problems.

TSB said it planned to increase its share of the current account market from 4.2 per cent to 6 per cent, which is its share of bank branches. It has 631 in total and is planning to relocate some and refurbish others. It claims to have branches within two miles of most Britons.

With 4.5 million customers, TSB said the business made an underlying profit of £172m last year, compared with £28m in 2012 and £57m in 2011. It could ultimately pay between 40 and 60 per cent of its earnings as dividends.

Exane BNP Paribas Outperform 76.66 76.66 115.00 120.00 Reiterates

Santander Buy 77.99 77.99 - 96.00 Reiterates

TSB IPO Offer Price

TSB Banking Group plc IPO: Announcement of Offer Price

Lloyds Banking Group plc ("Lloyds") today announces the pricing of the initial public offering of TSB.

· The Offer price has been set at 260 pence per TSB Ordinary Share (the "Offer Price")
· Based on the Offer Price, TSB's market capitalisation is approximately £1,300 million
· Due to significant investor demand for TSB Ordinary Shares, the Offer Size has been set above the expected Offer Size of 25%. The Offer comprises 175 million existing TSB Ordinary Shares being sold by Lloyds (prior to any exercise of the over-allotment option), representing 35% of the 500 million TSB Ordinary Shares that will be in issue at Admission
· Approximately 30% of the Offer has been allocated to retail investors under the Intermediaries Offer
· Gross proceeds realised by Lloyds will be £455 million (prior to any exercise of the over-allotment option)
· Following Admission, it is expected that Lloyds will hold, through Lloyds Bank plc, 65% of TSB's Ordinary Shares (assuming no exercise of the over-allotment option); this holding will be subject to a 90-day lock-up agreement (from the date of Admission), the terms of which are described in the Prospectus
· As stabilising manager on behalf of the Underwriters, J.P. Morgan Cazenove has been granted an over-allotment option by Lloyds, exercisable no later than thirty days from today, over up to 17.5 million TSB Ordinary Shares, representing 10% of the Offer
· Conditional dealings in TSB Ordinary Shares will commence on the London Stock Exchange at 8.00 am today
· Admission and the commencement of unconditional dealings in TSB shares are expected to take place at 8.00 am on 25 June 2014 under the ticker TSB (ISIN: GB00BMQX2Q65)

RBS read across.