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Breakingviews: Barclays CEO finds his backbone

Thursday, May 08, 2014 - 03:38

May 8 - After a few false starts, Antony Jenkins is radically shrinking the UK bank’s investment arm, cutting 27% of the unit’s staff. But Jenkins still has to prove his boldness will lead to good returns.

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This isn't breaking news today is -- plays of course Barclays announcing in 191000 job cuts 7000 of that how -- investment banking unit with me now is George Hayes. It's just too little today. I would think Steve this is. Cut it to since Holland actually that is Penske Jenkins he's been so he's lately -- and he's he's it would he did he would and I was team. Restructuring plans one of Saudi forcefully by the government. The third one this -- takes offense unlucky because he's actually done coming. Quite radical and quite significant. And shoot. In the next couple years really sort of boat he's attendance say Kennedy's case of this on the. And the market is generally seemed to light the shares up 6% today. What you think he is able to do -- think he's able to -- and now. -- shareholders we don't have any more toxic debt but toxic assets and lacking in name in in the -- some way that is it. It clean slate clean stars yet world. The main the main problem with both of us that the air masses investment would toxic and they just they were making -- when making and good enough for today. And that's been quite opiates that -- -- Couple of years. And save the key thing based on state say. -- -- Always a hole of the risk weighted assets in the investment bank. Always -- this -- -- have just run them dine with little -- the main bank anymore. Investors who have to look at and say okay. We cannot see three team -- Well peace could and should look like in a couple of years time. And dean this office that cynical bank -- -- kind of expected of course yes says we should try part of return. Say just point and making that back of radicalism saying OK well you know we didn't we didn't have this massive investment in what was gonna call for us. That's a really big steps today especially for especially for a bank and east room but both on and who's -- -- The investment -- this is really kind of on cookies legacy. Kenny. Not just on paper legacy but I guess the other. -- -- he has to make profits and can be ethical the same time via tiny Jenkins do this wolf before I mean. This is really the significance of what was -- today because before. He was talking pretty addictive game letting it be cool it was looking -- these results the structure that businesses thing. How can he square this circle doesn't really work and they are paying investment bank has even day and an assist even though it be limited if they could -- do can't say it. Face it boys actually done today -- to kind of reshape the investment bank in a -- it shoot times does this suit. Avoid that happening in teach him they still -- -- -- do it still but actually kind of did little -- stuff blowing 2016 win when he says. Pretends should be -- an element and but then think about -- -- them them on even those says because people to -- like this. The Huffington than to let them on to take time and to actually -- the site and you know. Good lieutenant Ali returns above the -- and see a probably a couple of them -- -- -- way stick. Why thank you very much said George pays them from breaking. I imagine all of this is horses.

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Breakingviews: Barclays CEO finds his backbone

Thursday, May 08, 2014 - 03:38