BARCLAYS BANK PLC Barclays Capital

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PLC Frankfurt Branch at Bockenheimer Landstrasse 38 - 40, 60323 Frankfurt am Main, during normal
business hours, so long as any of the Notes are outstanding.
Litigation
The Issuer has for some time been party to proceedings, including a class action, in the United States
against a number of defendants following the collapse of Enron; the class action claim is commonly
known as the Newby litigation. On 20 July 2006, the Issuer received an Order from the United States
District Court for the Southern District of Texas Houston Division which dismissed the claims against
Barclays PLC, the Issuer and Barclays Capital Inc. in the Newby litigation. On 4 December 2006, in
response to the plaintiffs' procedural objections, the District Court stayed the Issuer's dismissal from the
proceedings and allowed the plaintiffs to file a supplemental complaint. On 19 March 2007, the United
States Court of Appeals for the Fifth Circuit issued its decision on an appeal by the Issuer and two
other financial institutions contesting a ruling by the District Court allowing the Newby litigation to
proceed as a class action. The Court of Appeals held that because no proper claim against Barclays and
the other financial institutions had been alleged by the plaintiffs, the case could not proceed against
them. The plaintiffs have applied to the United States Supreme Court for a review of this decision.
Pending the outcome of further appellate proceedings, the District Court has stayed the Newby
litigation.
The Issuer considers that the Enron related claims against it are without merit and is defending them
vigorously. It is not possible to estimate the Issuer's possible loss in relation to these matters, nor the
effect that they might have upon operating results in any particular financial period.
The Issuer has been in negotiations with the staff of the SEC with respect to a settlement of the SEC's
investigations of transactions between the Issuer and Enron. The Issuer does not expect that the amount
of any settlement with the SEC would have a significant adverse effect on its financial position or
operating results.
On 3 November 2006 the Issuer announced that it had reached a settlement in principle with Enron in
the Enron bankruptcy proceedings. A settlement agreement was signed on 30 November 2006 and
became effective on 3 January 2007. The settlement has had no negative impact on the Issuer's earnings
as an adequate provision had already been made for the likely cost in prior periods. In reaching the
settlement the Issuer has denied any wrongdoing or liability.
The Issuer is engaged in various other litigation proceedings both in the United Kingdom and a number
of overseas jurisdictions, including the United States, involving claims by and against it which arise in
the ordinary course of business. The Issuer does not expect the ultimate resolution of any of the
proceedings to which the Issuer is party to have a significant adverse effect on the financial position of
the Group and the Issuer has not disclosed the contingent liabilities associated with these claims either
because they cannot reasonably be estimated or because such disclosure could be prejudicial to the
conduct of the claims.
Save as disclosed in the first four paragraphs above of this section "Litigation", no member of the
Group is or has been involved in any governmental, legal or arbitration proceedings (including any
such proceedings which are pending or threatened of which the Issuer is aware) which may have, or
have had during the 12 months preceding the date of this Base Prospectus, a significant effect on the
Issuer's and/or the Group’s financial position or profitability.
Financial Information of Barclays Bank PLC
For the financial years 2005 and 2006, Barclays Bank PLC has prepared both consolidated financial
statements of the Group, and the individual financial statements of Barclays Bank PLC. The
consolidated financial statements of the Group, and the individual financial statements of Barclays
Bank PLC, for the financial years 2005 and 2006, respectively, have been prepared in accordance with
International Financial Reporting Standards (IFRSs) and interpretations issued by the International
Financial Reporting Interpretations Committee (IFRIC), as adopted by the European Union. Such
financial statements are also in accordance with IFRSs as published by the International Accounting
Standards Board (IASB) and interpretations issued by IFRIC.