Barclays plc - Annual Report 2008 - Financial statements - The Group

32 Reserves (continued)
Retained earnings and treasury shares – Barclays PLC Group
Retained Treasury
earnings shares Total
£m £m £m
At 1st January 2008 20,970 (260) 20,710
Profit attributable to equity holders of the parent 4,382 – 4,382
Equity-settled share schemes 463 – 463
Tax on equity-settled share schemes (4) – (4)
Other taxes (52) – (52)
Net purchases of treasury shares – (350) (350)
Transfer (437) 437 –
Dividends paid (2,344) – (2,344)
Repurchase of shares (173) – (173)
Arising on share issue 634 – 634
Issue of warrants 776 – 776
Other (7) – (7)
At 31st December 2008 24,208 (173) 24,035
At 1st January 2007 12,169 (212) 11,957
Profit attributable to equity holders of the parent 4,417 – 4,417
Equity-settled share schemes 567 – 567
Tax on equity-settled share schemes 28 – 28
Net purchases of treasury shares – (572) (572)
Transfer (524) 524 –
Dividends paid (2,079) – (2,079)
Repurchase of shares (1,802) – (1,802)
Transfer from share premium account 7,223 – 7,223
Arising on share issue 941 – 941
Other 30 – 30
At 31st December 2007 20,970 (260) 20,710
The Treasury shares primarily relate to Barclays PLC shares held by employee benefit trusts in relation to the Executive Share Award Scheme, Performance
Share Plan and Sharepurchase Scheme, to the extent that such shares have not been allocated to employees. These schemes are described in Note 45.
The total number of Barclays shares held in Group employee benefit trusts at 31st December 2008 was 217.9 million (2007: 211.4 million). Dividend
rights have been waived on nil (2007: nil) of these shares. The total market value of the shares held in trust based on the year-end share price of £1.53
(2007: £5.04) was £333m (2007: £1,065m). As at 31st December 2008, options over 19.1 million (2007: 16.6 million) of the total shares held in the trusts
were exercisable.
The Group operates in a number of countries subject to regulations under which a local subsidiary has to maintain a minimum level of capital. The current
policy of the Group is that local capital requirements are met, as far as possible, by the retention of profit. Certain countries operate exchange control
regulations which limit the amount of dividends that can be remitted to non-resident shareholders. It is not possible to determine the amount of profit
retained and other reserves that are restricted by these regulations, but the net profit retained of overseas subsidiaries, associates and joint ventures at
31st December 2008 totalled £4,581m (2007: £7,311m). If such overseas reserves were to be remitted, other tax liabilities, which have not been provided
for in the accounts, might arise.
Retained earnings – Barclays PLC (Parent company)
Capital
Retained redemption
earnings reserve Total
£m £m £m
3
Financial statements
At 1st January 2008 8,990 384 9,374
Profit after tax 1,193 – 1,193
Dividends paid (2,414) – (2,414)
Arising on share issue 634 – 634
Repurchase of shares (173) 10 (163)
Issue of warrants 776 – 776
At 31st December 2008 9,006 394 9,400
At 1st January 2007 1,468 309 1,777
Profit after tax 3,289 – 3,289
Dividends paid (2,129) – (2,129)
Transfer from share premium account 7,223 – 7,223
Arising on share issue 941 – 941
Repurchase of shares (1,802) 75 (1,727)
At 31st December 2007 8,990 384 9,374
Details of principal subsidiaries held through Barclays Bank PLC are shown in Note 41.
Barclays PLC Annual Report 2008 243