Barclays Plc · LSE:BARC
Barclays — Debt Investor Presentation (July 2015)
20 slides from Barclays's debt investor presentation, Jul 29, 2015
Slide 1: Barclays PLC Fixed Income Investor Call
Barclays PLC Fixed Income Investor Call H1 2015 Results Announcement 29 July 2015 | Barclays Fixed Income Investor H1 2015 Results Call I 29 July 2015
Slide 2: Tushar Morzaria, Barclays Group Finance Director
Tushar Morzaria Barclays Group Finance Director | Barclays Fixed Income Investor H1 2015 Results Call I 29 July 2015
Slide 3: Summary Group financials: H1 adjusted PBT up 11%
Summary Group financials: H1 adjusted PBT up 11% % Six months ended – June (£m) 2014 2015 H1 financial performance2 change Income 13,332 12,982 (3%) • Group PBT increased 11% to £3.7bn reflecting improvements in all Impairment (1,086) (973) 10% Core operating businesses Total operating expenses (8,8
Slide 4: Dan Hodge, Barclays Group Treasurer
Dan Hodge Barclays Group Treasurer | Barclays Fixed Income Investor H1 2015 Results Call I 29 July 2015
Slide 5: Strengthening key financial metrics
Strengthening key financial metrics Fully Loaded CET1 ratio1 Highlights • Progressive strengthening of key balance sheet metrics 10.2% 10.3% 10.6% 11.1% 9.1% 9.5% 9.9% • RWAs reduced to £377bn, improving the CET1 ratio to 11.1% • Leverage exposure decreased by £116bn to £1,139bn (Mar 2015: Dec-13 Ma
Slide 6: Continued strengthening of CET1 ratio
Continued strengthening of CET1 ratio Fully loaded (FL) CRD IV CET1 ratio progression1 RWA reduction (£bn)1 +50bps (5%) 11.1% >11% 442 10.3% 10.6% 9.1% 402 396 c.400 377 Dec-13 Dec-14 Mar-15 Jun-15 2016 Dec-13 Dec-14 Mar-15 Jun-15 2016 Target Guidance • FL CRD IV CET1 ratio grew 50bps in Q2 2015 to
Slide 7: Leverage ratio strengthened further towards target
Leverage ratio strengthened further towards target Leverage ratio progression1 Leverage exposure (£trn)1 BCBS 270 +40bps impact (9%) 1.36 >4% 1.26 3.7% 3.7% 4.1% 1.23 3.0% 1.14 1 Dec-13 Dec-14 Mar-15 Jun-15 2016 Dec-13 Dec-14 Mar-15 Jun-15 Target • Leverage ratio grew by 40bps to 4.1% (Mar 2015: 3.7
Slide 8: Maintaining robust capital buffers above future mandatory distribution restrictions
Significant management focus on maintaining robust capital buffers above future mandatory distribution restrictions CET1 requirements1 (as at 1 January except H1) • Maintained robust capital buffers above minimum CET1 requirements and Contingent Minimum CRD IV requirement Trajectory of fully loaded
Slide 9: Continued progress on the transition towards end-state capital structure
Continued progress on the transition towards end-state capital structure Evolution of capital structure blahloaded CRD IV capital position Fully • Transitional and fully loaded total capital ratios increased by 60bps to 17.4% (Mar 15: 16.8%), and 60bps to 16.2% (Mar 15: 15.6%) 17.4% ≥17% respectivel
Slide 10: Refinancing out of Holding Company supports achieving future TLAC requirements
Refinancing out of Holding Company supports achieving future Total Loss Absorbing Capacity (TLAC)1 requirements • Proactive transition towards a HoldCo funding and capital model (£bn) Jun-15 positions us well to meet potential future TLAC requirements PRA transitional Common Equity Tier 1 capital 42
Slide 11: Managing the risk profile of Holding Company term senior unsecured debt
Managing the risk profile of Holding Company term senior unsecured debt today and in end-state Managing HoldCo term senior debt credit profile in transition1 Delivering robust credit profile for HoldCo term senior unsecured investors in end-state3 External term Refinancing profile senior unsecured B
Slide 12: Progressing with plans for structural reform
Progressing with plans for structural reform Evolving group structure Implications for bondholders Barclays PLC (HoldCo) Barclays PLC • Progressive issuer of AT1 and Tier 2 capital • Expect material increase in term senior unsecured funding Barclays Bank PLC over time as Barclays Bank PLC term senio
Slide 13: Maintaining a robust liquidity position and well diversified funding profile
Maintaining a robust liquidity position and well diversified funding profile High quality liquidity pool (£bn) Liquidity – key messages 124% 121% • Stable liquidity position with the Group liquidity pool at £145bn, LCR1 96% providing a surplus to internal and external minimum requirements 149 145 •
Slide 14: Summary
Summary1 • Diversified international bank focused on delivering more sustainable and Strategy driving simpler, focused improved returns and balanced Group structure • Focused on high growth businesses where we have competitive advantage, eliminating marginal or declining businesses • Core businesses
Slide 15: Q&A
Q&A | Barclays Fixed Income Investor H1 2015 Results Call I 29 July 2015
Slide 16: Appendix
Appendix | Barclays Fixed Income Investor H1 2015 Results Call I 29 July 2015
Slide 17: Barclays PLC parent company accounts
Barclays PLC parent company accounts Barclays PLC parent company balance sheet Notes Balance sheet • Barclays PLC is the holding company of the Barclays Group FY 14 H1 15 • The HoldCo‟s primary assets currently are its investments in, and Notes £m £m loans and advances made to, its sole subsidiary,
Slide 18: Recent industry-wide credit rating agency actions reflect evolving bank resolution frameworks
Recent industry-wide credit rating agency (CRA) actions reflect evolving bank resolution frameworks Ratings1 S&P Moody's Fitch • Barclays carries a stable outlook with S&P, Standalone rating bbb+ Baa2 a Moody‟s and Fitch Barclays PLC (B PLC - HoldCo) • Recent industry-wide CRA announcements Senior l
Slide 19: OpCo senior unsecured debt maturity profile
OpCo senior unsecured debt maturity profile • Expect to refinance £22bn of OpCo vanilla term unsecured debt out of the HoldCo over time, around half of which matures by 1 Jan 2019 • Additional flexibility to meet future TLAC-requirement through partial refinancing of OpCo structured notes out of the
Slide 20: Disclaimer
APPENDIX Disclaimer Important Notice The information, statements and opinions contained in this presentation do not constitute a public offer under any applicable legislation, an offer to sell or solicitation of any offer to buy any securities or financial instruments, or any advice or recommendatio