Barclays may be facing as high as $2 billion in added litigation as well as other costs this year as it tries to deal with regulatory and legacy matters, notes an analyst from Sanford C. Bernstein in a report early this week.
Barclays raked in over a billion pounds in provisions for wrongful sales of payment protection insurance and other issues during the second quarter.
Barclays could be booking £200 billion in provisions to settle a probe by the NY attorney general’s office regarding the firm’s private stock market. This includes £700 million on ongoing industry probe with regarding potential manipulation of the currency market.
It’s expected for Barclays to take in a £300 million charge in the second half of the year to reimburse consumers who were inappropriately sold products to hedge interest rates.
The firm was also sued by the NY attorney general’s office on its private stock market disclosures.
Furthermore, Barclays has set an extra £211 million aside for other suits and conduct charges.
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