Barclays Takes $1.2 Billion Charge in Currency-Rigging Probe
Pretax profit, including costs of the restructuring program, rose to 5.5 billion pounds in 2014 from 4.9 billion pounds a year earlier, Barclays said in a statement on Tuesday.
Photographer: Simon Dawson/BloombergBarclays Plc set aside an extra 750 million pounds ($1.2 billion) to cover the cost of settling the probe into alleged currency rigging and posted a 32 percent drop in full-year pretax profit at its investment bank. The shares fell.
The provision was 50 percent larger than the estimate of Jason Napier, a banking analyst at Deutsche Bank AG, and brings the total Barclays set aside in 2014 for a potential settlement into allegations it manipulated benchmarks in the foreign-exchange market to 1.25 billion pounds. Pretax profit at the investment bank fell to 1.4 billion pounds.