Company History

Since the business was established more than 300 years ago, Barclays has grown to offer a range
of products and services tailored to meet the specific needs of its customers all over the world.

As a responsible global citizen, Barclays is committed to ensuring the sustainability of the

communities in which the business operates, and strives for sustainable relationships with
customers and clients worldwide.

Barclays provides financial services to more than 48 million customers in over 50 countries
worldwide.

Our Strategy:
Barclays strategy is to achieve good growth through time by diversifying its business base and
increasing its presence in markets and segments that are growing rapidly.

This is driven by the Group’s ambition to become one of a handful of universal banks leading the
global financial services industry, helping customers and clients throughout the world achieve
their goals.

The strategy is based on the principles of earn, invest and grow.

Supporting this are four strategic priorities:

• Build the best bank in the UK

• Accelerate the growth of global businesses
• Develop retail and commercial banking activities in selected countries outside the UK
• Enhance operational excellence.

Barclays five guiding principles are key to the way the business operates:

• Winning together – achieving collective and individual success

• Best people – developing talented colleagues to reach their full potential, to ensure
Barclays retains a leading position in the global financial services industry
• Customer and client focus – understanding customers and serving them brilliantly
• Pioneering – driving new ideas, adding diverse skills and improving operational
excellence
• Trusted – acting with the highest integrity to retain the trust of customers, external
stakeholders and colleagues.
 Market Share

Barclays Market Share hits 36%

Barclays has published its results for 2008, revealing that its market share for new mortgages
reached 36%.

The firm's net new lending totalled £12.5bn, up from £8bn in 2007, and sees Barclays' market
share jump significantly from 8% to 36%. Gross advances were stable at £22.9bn, with
redemptions of £10.4bn compared to £15bn in 2007.

Barclays revealed its profits before tax reached £6.1bn, though that is a 14% decrease on 2007.
After tax, the profits total £5.3bn, 4% up on the post-tax profits for 2007. Profits before tax in the
UK retail business have climbed 7% from £1.28bn to £1.37bn.

Impairment charges and other credit provisions at the bank totalled £5.419bn, an increase of 94%
on the prior year. Impairment charges included £1.76bn arising from US sub-prime mortgages
and other credit market exposures, while in the UK the firm admitted a "moderate" increase in
mortgage impairment charges.

John Varley, chief executive at Barclays, commented: "We benefited from a number of gains on
acquisitions and disposals. These contributed to headline profit, and to capital, but the main
driver of our results was a solid operating profit performance and record income generation. We
commit to reducing the size of our balance sheet over time, and we will maintain our capital
ratios at levels that are well ahead of regulatory requirements."
 Company Introduction
Barclays Bank PLC launched its operations in Pakistan in December 2007 with a capital of $100
M. With 300 years of heritage and state the-art banking services bank is ready to Reinvent
Banking in Pakistan. With dedicated banking services Barclays has touched 38 million hearts in
60 countries across the globe and is serving Pakistan with the same enthusiasm and dedication.

The acquisition of a controlling stake in Absa, the development of Global Retail and Commercial
Banking, and the continued rapid growth of Investment Banking and Investment Management
are all designed to enable the Bank to grow faster. Barclays in Pakistan is one of the major banks
which are catering corporate sector. It has four branches in Karachi, five in Lahore, two in
Islamabad, one in Rawalpindi, one in Mangla and one in Akkola Khatak.

Vision
We have a clear view of where growth will come from over the coming years. While
there will be significant growth opportunities in the UK, we see many more
internationally. Barclays will become a leading global universal bank

Mission
To develop & deliver the most innovative products, manage customer
experience, deliver quality services that contributes to brand strength,
establishes a competitive advantage and enhances profitability, thus
providing value to the stakeholders of the bank.
 Teething Issues
Barclay’s faced many issues in its launching year starting with the assassination of Benazir
Bhutto in December 2007. This was the period when Barclays got the license to operate in
Pakistan and the incident lead to political instability and chaos in the country. These conditions
affected the expansion plans of company. However coping with some issues it started its
operations and launched its products such as auto loans, personal income loans and business
income loans which failed terribly. Reasons which contributed to this failure were lack cultural
insight, understanding of local environment. In year 2008 the other issue arose regarding
technology. Technically they were not prepared and MIS system was slow. Due to this debit
cards delayed for 4 months and it created a bad image of company.

They also tried to introduce a new concept of service centers as to engage their customers. In the
beginning they had entered with more penetration strategies. The idea of service center was to
facilitate customers with any required information and non-cash services. Customers failed to
understand the use of a bank service center that did not take deposits or allow withdrawals. They
were misinterpreted by the people and it resulted into the closing of 3 centers and 1 turned into
branch. Bad economic conditions led to retail assets close down as overheads costs were too high
to be engulfed. They even had to let go of around 300employees in the second year of their
launch. This resulted in serious de-motivation in the work force.
 Operations
Barclays is a global financial services provider, engaged in retail and commercial banking, credit
cards, Investment banking, wealth management and investment management services all over the
world.

With a vast, international reach, Barclays offers innovative products and services to meet the
needs of its diverse base of customers and clients.

Operational Analysis
Barclays Bank is operating with 15 branches nationwide.

· Branch / Retail Banking:

Example: Deposits, Remittances, Lockers

· Consumer Banking:
Example: Barclay’s Classic, Barclays time, Barclay’s loan, Barclays Mortgages
 Product and Services
It deals in four main sectors, i.e. Personal Banking, Premier Banking, Commercial Banking and
Bancassurance.

Personal Banking:
Barclays Classic

At Barclays, focus is on customers’ needs and design solutions best suited to their requirements.
Customers can conduct their day to day banking with Barclays Classic - Current Account,
Providing complete convenience & flexibility.

Added Classic features are:

1. Free First Debit Card
2. Free First Cheque Book for your day to day convenience
3. Pay Order & Demand Draft Issuance
4. Unlimited Teller Transactions
5. Access to over 3000 ATMs throughout Pakistan
6. No withdrawal charges on Barclays ATMs across Pakistan
7. Multiple currency options (PKR, USD, GBP, EUR)

Barclay loan

Keeping in mind customer needs, Barclays presents to the hassle-free, fastest Personal finance
facility for a fixed tenure. It provides convenient and flexible financial solutions for any intended
need, such as vacation, wedding expenses, household furnishing, Personal Expenses, etc.
1. Borrow from Rs. 25,000 to Rs. 500,000 (up to Rs. 2 million for Prime Customers) for any
purpose depending on your need.
2. Flexible repayment options with tenures ranging from 1 year to 5 years, giving you the option
of multiple of 6 months.
3. Fixed term for the life of the Personal Finance Facility
4. Minimum documentation requirement
5. Speedy approval
Mortgages

This facility provides financing up to Rs 50 Million or 70% of the constructed property

(whichever is lower) with flexible installments that allows convenient repayment of facility up to
20 years.

1. Buy a Home: a mortgage designed specifically for the first time buyers who wish to purchase
their dream house.
2. Build a Home: a mortgage that provides financing to construct dream house.
3. Renovate your Home: a mortgage that covers all renovation expenses and gives house a
brighter & new look.
4. Balance Transfer Facility: a mortgage for those who already have an existing mortgage
facility from another bank and wish to transfer their facility to Barclays, then this mortgage is the
right option for them.

Barclays Mortgage Saver will provides with the following benefits:

1. A mortgage that's flexible - Barclays Mortgage Saver enables act smarter in terms of paying
off mortgage facility. It puts all your money in one place, so every penny works to provide
substantial relief in mortgage payment.
2. Greater Convenience - With Barclays Mortgage Saver, theirs the convenience of maintaining
your mortgage and liability account at one place.
3. No minimum amount required for Savings - There is no restriction in the amount of savings
had to have in account, one can link your Mortgage Saver Account with Barclays Mortgage with
whatever amount there is in account and one could reap amazing benefit from this revolutionary
product. There is no minimum term required and credit balance on daily average basis will earn.

Debit Card
Classic VISA Debit Card
The Barclays Classic Debit Card is extremely versatile and simple to use, and is valid both in
Pakistan and overseas. Barclays Classic Debit Card brings just about everything within reach, be
it that exquisite gift for a dear one or that irresistible outfit for customers, debit card gives
unmatched point of sale limits and ATM withdrawal limits. Debit card is a Visa Card, giving the
flexibility of usage in Pakistan as well as abroad. In addition VISA provides one of the world’s
largest global ATM networks, offering cash access in local currency in over 170 countries.
Barclays Bancassurance - Child Education Plan
Barclays has partnered with EFU Life to offer tailored plan to secure a promising future of
children.

Benefits of Premier Child Education Plan

· Earn extra 5% Bonus of the first year annual premium.
· Free Executive Medical Checkup.
· Enjoy the privileges of Premier Banking.

Key Features of Child Education Plan:

1. High premium allocation to optimize savings.
2. Continuation Benefit to ensure that the targeted fund at maturity is achieved in case of any
unfortunate event so that the future planning of child is not compromised at any cost.
3. Provides Education bonus every 5 years applicable from 6th year onwards.

Additional Benefits:
Family Income Benefit - Provides a regular income to the family to meet the recurring
education expenses in case of death of the parent during the plan term.
Additional Term Assurance - Provides an additional level of life insurance cover. The amount
of benefit under this rider will be paid immediately on death of the life assured.
Waiver of Premium - Waives the future premiums if the parent is disabled due to accident or
sickness

Commercial Banking
Dedicated banking services that grows with customers business. Barclays know that delivering
everyday banking needs right first time, every time, is critical to success. We can do this and
much more. With people who understand business needs and ambitions, award–winning service
and solutions. Barclays is committed to helping business succeed today and in the future.

1. All customers receive a dedicated Relationship Manager. Whatever their requirement, they are
here to help you find the right solutions. The Relationship Manager will stay in regular contact
and can also visit customer at their office.

1. Relationship Managers have industry and sector specific expertise, hence making them well
equipped with financial needs.

2. Relationship Manager has the experience, the expertise and the authority to make things
happen for customer, including lending decisions.
3. To help boost business growth, Relationship Manager offers networking opportunities and
introductions to specialists such as International Trade Managers and Sales Financing Managers.

Products and Services

1. Deposits

2. Online Banking

3. Loans and Financing needs

4. Savings and Investments

5. Trading Internationally (Solutions geared to cater the needs for exporters and
importers)

Commercial Solutions
1. Leveraged Finance

2. Structured Project Finance

3. Private Finance Initiatives

4. Trade and Cash Solutions

5. Risk Management

6. Global Operation
Management:
Barclays Bank management believes in developing the potential of the Bank’s employees to the
fullest extent. Training & Development Centre of the Bank are housed in state of the art facilities
at Karachi and Lahore of provide training to its employees. It is obligatory for each staff member
of the bank to attend at least two days of training in a calendar year, with training programs in
the following areas:

· Consumer Banking and Operations

· Credit Marketing & Proposals
· Credit Administration/Documentation
· Marketing and Selling Skills
· Customer Service Skills
· Leadership and Management Skills
· Personal Effectiveness and Skills

Furthermore training programs have also been introduced for fresh entrants into the bank, to help
them in learning and performing their new tasks. Benefits provided by Barclays Bank Some of
the monetary and non-monetary benefits that BARCLAYS BANK provides to its employees are
as follows:

· Attractive Salary Package

· Employee Provident Fund
· Gratuity Fund
· Medical Insurance
· Bonuses
· Life Insurance
· Promotions
· Various types of Staff Loans
· Assistance in Pursuing Higher Education
Marketing Analyses:
In today’s contemporary business world, marketing plays an important role and banks, such as
Barclays Bank, that have a number of competitors in the banking industry, need to use their
marketing plan and strategies effectively to attract customer loyalty for its customer.
The major ways in which Barclays Bank markets itself and its products are through the following
ways:

· Electronic
· Print
· Sponsorships

Electronic
The major way in which today’s organizations promote its products and services is through
television, not only because it’s economical but also because the visual and audio aids help in
promoting its product.
Another major way in which BARCLAYS BANK advertises its products electronically is
through its website, which is designed in an effective manner with detailed information, so that
visitors can effectively know about the different services that the bank provides.

Print
Print advertisements are another major way in which BARCLAYS BANK advertises its product
to the masses. Print media advertisements are mainly printed in major English and Urdu
newspapers across Pakistan.

Sponsorships
BARCLAYS BANK has been sponsoring different supporting different institutes and events.
Some of the events that BARCLAYS BANK has sponsored within a year are as follows:

Sponsors by BARCLAYS BANK

LUMS SSE 2008
HOPE NGO 2008
SIUT TRANSPLANT Institute 2009
 Industry Analyses
Since the present democratic government, which came into power in 2007, it has implemented a
number of policies for social and economic reform in the country that will reap favorable
results for the future to come, and one of these policies was the privatization of commercial
banks in the country. This favorable policy has led to a massive growth in the banking sector.

According to a report published by the State Bank of Pakistan, the total assets for 2008, for all
banks overall were Rs. 5,032,499 (Million).
 Financials of Barclays PLC
Balance Sheet
Income Statement
ROA by Segments
 Competitors’ Information
Standard Chartered
Standard Chartered Bank Pakistan

Standard Chartered is the largest and fastest growing International Bank in Pakistan. The Bank
has been operating in Pakistan since 1863 when it first established its operations in Karachi.

Standard Chartered now employees over 4,000 people and has a branch network of 162 branches
across 41 cities in the country. Standard Chartered’s core businesses in Pakistan are in Consumer
Banking and Wholesale Banking.

Standard Chartered Pakistan is the first international bank to get an Islamic Banking license and
to open the first Islamic Banking branch in Pakistan and has been given credit ratings of AAA/
A1+, the highest long-term rating assigned by PACRA to any private sector commercial bank.

The Bank’s efforts have been recognised by independent and credible authorities; we won "Best
Foreign Commercial Bank in Pakistan" award by FinanceAsia; "Best International Trade Bank in
Pakistan 2009" by Trade Finance Magazine, a publication of Euromoney; "Best Foreign
Exchange Provider" Award from the Global Finance Magazine for 2010; Triple A awards for the
'Best Debt House in Pakistan' award by The Asset; "Pakistan Deal of the Year – 2009" award by
the Islamic Finance News; 'Awards for Excellence', London 2009, by the Global Custodian;
Consumer’s Choice Award for being the "Best Credit Card Provider in Pakistan" by the
Consumer Association of Pakistan.

Its products are:

Consumer Banking

Consumer Banking offers a broad range of products and services to meet the borrowing, wealth
management and transaction needs of individuals.

Wholesale Banking

Wholesale Banking has a client-focused strategy, providing trade finance, cash management,
securities services, foreign exchange and risk management, capital raising and corporate finance
solutions.

SME Banking
Our SME Banking division offers products and services to help small and medium enterprises
manage the demands of a growing business, including the support of our international network
and trade expertise.

Islamic Banking

Standard Chartered Saadiq's dedicated team provides comprehensive international banking

services and a wide range of Shariah-compliant financial products based on Islamic values.

The Standard Chartered Private Bank

Our Private Bank advisors and investment specialists provide customised solutions to meet the
unique needs and aspirations of high net worth clients.

Financials:
 HSBC:
HSBC is the everyday partner for small and medium size businesses. Being banking partner
means that they will focus on the needs and requirements of customers business. It has a vast
banking experience in devising solutions for small and medium sized businesses around the
world. With thousands of customers in Pakistan, it is well equipped to meet daily business
requirements. HSBC provides with a variety of products and services consisting of a wide range
of convenient banking channels, trade facilities and a team of dedicated business banking
professionals.

Account Services
Business Account offers a lower minimum account balance, better foreign exchange rates, 24
hour access through electronic banking channels to your account(s), free telephone banking and
various other cost & time saving services.

Making and Receiving Payments

If you like faster and more cost effective payments, there are a variety of ways for you to do so
from the comfort and convenience of your office/home or while you are on the go.

Trade Services

Our experienced trade team ensures that all the necessary safeguards have been put in place for a
smooth import transaction.

Loans and Credit Facilities

An Overdraft is a short-term borrowing facility offered on your current account to assist you in
dealing with unforeseen expenses.

Global Banking

Offer you a choice of stand-alone accounts as well as packages that combine all your business
banking needs

Trade Services

TSC Pakistan was recently awarded "Best International Trade Bank in Pakistan" in Trade
Finance Awards for Excellence 2008.

Payments and Cash Management

HSBC provides you with unparalleled ability to effectively execute transactions anywhere in the
world.

Treasury and Capital Markets

HSBC in Pakistan assists clients in managing their risks exposures (interest rates and foreign
exchange) so as to minimize the impact of market volatility on their exposures.

Investment Banking

Our investment bankers offer specialist sector knowledge and broad geographic reach with
advisory teams located in EMEA (Europe, Middle East and Africa), the Americas and Asia,
ensuring that we offer deep market knowledge and efficient execution to our clients in each
region.

Credit Cards

HSBC Card offers you an array of unique benefits including travel benefits under home & Away
program and educational benefits through saving and installment options.
Terms and conditions apply.

Accounts

Managing your finances.

Loans
Offers you more easy and flexible loans

NRP Services

With HSBC NRP Services now you can open an account in Pakistan with balance as low as PKR
100,000, USD 10,000, GBP 6,500 or EURO 10,000

Insurance

Also offers you insurance facility.

Financials
Barclay’s Organizational Chart
Conclusion:
Barclays’ has launched its operations in Pakistan in very bad economical and political
conditions. Furthermore, it failed to understand the local environment of the Pakistani public. It
has tried to introduce new and advance concepts but did not succeed. Even though it is a cash
rich organization, it had to retrench in the second year of their launch and close down their retail
asset department. The expansion plans of Barclays were also seriously disturbed. And this
resulted in massive downsizing and malign the image of the organization to the extent that
employee were facing sever job security issues and many of them switched jobs to other multi-
national banks. They were forced to offer more attractive salary packages and longer and
relatively permanent job contracts to retain their workforce.

Now they are introducing E-banking to facilitate their customers as they have shifted their focus
towards corporate banking instead of further pursuing their initial penetration strategies. They
are cutting down the cost and trying to maximize the revenues.

At the moment their standing amongst the foreign banks of Pakistan is not very high but they are
expecting to gain more from the recent strategic shifts and repositioning their company as more
of a corporate bank.