Following Over-Issuance of Securities Under Barclays Bank PLC US Shelf, and Subsequent Planned Amendments to Form 20-F Filings, Barclays Suspends Market Making Activities in its Own Debt Securities

Rhea-AI Summary

Barclays has identified an over-issuance of securities beyond the registered amount under its US shelf registration statement. Consequently, Barclays PLC is amending its Annual Report on Form 20-F for 2021 to revise management's assessment of internal controls, including KPMG’s auditor attestation. Until these amendments are filed, the audit report cannot be relied upon. As a precautionary measure, Barclays has suspended its market-making activities for BPLC and BBPLC debt securities and will assess the possibility of resuming these activities in the future.

Positive

• None.

Negative

• Over-issuance of securities requiring amendments to financial reports.
• Management's assessment of internal controls over financial reporting was deemed ineffective.
• KPMG's audit report cannot be relied upon until the amendments are made.
• Suspension of market-making activities for BPLC and BBPLC debt securities.

LONDON--(BUSINESS WIRE)-- As detailed in its Q1 2022 results announcement, Barclays determined that it had issued securities in excess of the amount registered under the Barclays Bank PLC (BBPLC) US shelf registration statement.

In relation to this over-issuance and the associated impact, Barclays PLC (BPLC) is preparing an amendment to its Annual Report on Form 20-F for the year ended 31 December 2021 (the BPLC 2021 Form 20-F). This amendment will reflect the change in management’s assessment of BPLC’s internal control over financial reporting and KPMG’s auditor attestation thereon as well as its disclosure controls and procedures. Barclays Bank PLC is preparing an amendment to its Annual Report on Form 20-F for the year ended 31 December 2021 (the BBPLC 2021 Form 20-F) to include its restated 2021 financial statements and to reflect the change in management’s assessment of internal control over financial reporting and disclosure controls and procedures.

These amendments will be filed as soon as practicable. Until the BPLC 2021 Form 20-F has been amended to disclose that its internal controls were not effective, KPMG’s audit report should not be relied upon by users of BPLC’s financial statements. Until BBPLC has restated its financial statements for the year ended 31 December 2021 and amended the BBPLC 2021 Form 20-F, investors and other users of BBPLC’s filings with the US Securities and Exchange Commission are cautioned not to rely on the financial statements included in the BBPLC 2021 Form 20-F.

As a result, Barclays has suspended its market making activities of BPLC and BBPLC debt securities at this time. Barclays will continue to evaluate the extent to which it can resume market making in any such individual security.

About Barclays

Barclays is a British universal bank. We are diversified by business, by different types of customers and clients, and by geography. Our businesses include consumer banking and payments operations around the world, as well as a full-service corporate and investment bank.

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Press:

Jonathan Tracey

+44 (0)20 7116 4755

Source: Barclays Bank PLC

FAQ

What caused Barclays to amend its Annual Report on Form 20-F?

Barclays found that it had issued securities beyond the amount registered under its US shelf registration statement.

How will Barclays' internal controls be affected by the recent findings?

The amendments will reflect a change in management’s assessment, indicating that internal controls were not effective.

What is the impact of the amendments on KPMG’s audit report?

Until the amendments to the Annual Report are filed, KPMG's audit report should not be relied upon.

What actions has Barclays taken regarding its market-making activities?

Barclays has suspended its market-making activities for BPLC and BBPLC debt securities.

When will Barclays file the amendments to its financial statements?

Barclays plans to file the amendments as soon as practicable.