FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For the month of February 2009
Commission File Number: 001-10306
The Royal Bank of Scotland Group plc
RBS, Gogarburn, PO Box 1000
Edinburgh EH12 1HQ
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover of Form 20-F or Form 40-F.
Form 20-F X | Form 40-F |
Yes | No X |
THE ROYAL BANK OF SCOTLAND GROUP plc
APPENDIX 1 Reconciliations of pro forma to statutory income statements and balance sheets
INCOME STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2008
Pro forma |
RFS minority interest |
RBS share of shared assets |
Credit market write-downs and one-off items |
Intangibles amortisation and integration costs |
Write-down of goodwill and other intangible assets |
Statutory |
|
£m |
£m |
£m |
£m |
£m |
£m |
£m |
|
Net interest income |
15,939 |
2,911 |
(175) |
- |
- |
- |
18,675 |
Non-interest income (excluding insurance net premium income) |
5,227 |
1,299 |
(18) |
(5,641) |
|
- |
867 |
Insurance net premium income |
5,709 |
617 |
- |
- |
- |
- |
6,326 |
Non-interest income excluding credit market write-downs and one-off items |
10,936 |
1,916 |
(18) |
(5,641) |
- |
- |
7,193 |
Credit market write-downs and one-off items |
(5,641) |
- |
- |
5,641 |
- |
- |
- |
Non-interest income |
5,295 |
1,916 |
(18) |
- |
- |
- |
7,193 |
Total income |
21,234 |
4,827 |
(193) |
- |
- |
- |
25,868 |
Operating expenses |
15,916 |
19,303 |
103 |
- |
1,800 |
16,911 |
54,033 |
Profit/(loss) before other operating charges |
5,318 |
(14,476) |
(296) |
- |
(1,800) |
|
(28,165) |
Insurance net claims |
3,917 |
513 |
- |
- |
- |
- |
4,430 |
Operating profit/(loss) before impairment losses |
1,401 |
(14,989) |
(296) |
- |
(1,800) |
|
(32,595) |
Impairment losses before reclassified asset impairment |
6,962 |
640 |
4 |
466 |
- |
- |
8,072 |
Impairment losses on reclassified assets |
466 |
- |
- |
(466) |
- |
- |
- |
Group operating loss |
(6,027) |
(15,629) |
(300) |
- |
(1,800) |
(16,911) |
(40,667) |
Amortisation of purchased intangible assets |
443 |
- |
- |
- |
(443) |
- |
- |
Integration costs |
1,050 |
- |
- |
- |
(1,050) |
- |
- |
Restructuring costs |
307 |
- |
- |
- |
(307) |
- |
- |
Write-down of goodwill and other intangible assets |
16,911 |
- |
- |
- |
- |
(16,911) |
- |
Share of shared assets |
300 |
- |
(300) |
- |
- |
- |
- |
Loss before tax |
(25,038) |
(15,629) |
- |
- |
- |
- |
(40,667) |
Tax |
(1,995) |
(328) |
- |
- |
- |
- |
(2,323) |
Loss from continuing operations |
(23,043) |
(15,301) |
- |
- |
- |
- |
(38,344) |
Profit/(loss) from discontinued operations, net of tax |
- |
4,057 |
(86) |
- |
- |
- |
3,971 |
Loss for the period |
(23,043) |
(11,244) |
(86) |
- |
- |
- |
(34,373) |
Minority interests |
412 |
(11,244) |
- |
- |
- |
- |
(10,832) |
Preference dividends |
596 |
- |
- |
- |
- |
- |
596 |
Loss attributable to ordinary shareholders |
(24,051) |
- |
(86) |
- |
- |
- |
(24,137) |
INCOME STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2007
Pro forma |
289 days RBS share of ABN AMRO |
|
76 days RBS share of shared assets |
76 days RFS minority interest |
Credit market write-downs and one-off items |
Intangibles amortisation and integration costs |
Restated Statutory |
|
£m |
£m |
£m |
£m |
£m |
£m |
£m |
£m |
|
Net interest income |
12,382 |
(1,350) |
477 |
15 |
545 |
- |
- |
12,069 |
Non-interest income (excluding insurance net premium income) |
15,200 |
(1,866) |
16 |
(54) |
182 |
(1,268) |
- |
12,210 |
Insurance net premium income |
5,982 |
- |
- |
- |
105 |
- |
- |
6,087 |
Non-interest income excluding credit market write-downs and one-off items |
21,182 |
(1,866) |
16 |
(54) |
287 |
(1,268) |
- |
18,297 |
Credit market write-downs and one-off items |
(1,268) |
- |
- |
- |
- |
1,268 |
- |
- |
Non-interest income |
19,914 |
(1,866) |
16 |
(54) |
287 |
- |
- |
18,297 |
Total income |
32,296 |
(3,216) |
493 |
(39) |
832 |
- |
- |
30,366 |
Operating expenses excluding one-off items |
16,618 |
(3,376) |
- |
37 |
535 |
(242) |
370 |
13,942 |
One-off items |
(242) |
- |
- |
- |
- |
242 |
- |
- |
Profit before other operating charges |
15,920 |
160 |
493 |
(76) |
297 |
- |
(370) |
16,424 |
Insurance net claims |
4,528 |
- |
- |
- |
96 |
- |
- |
4,624 |
Operating profit before impairment losses |
11,392 |
160 |
493 |
(76) |
201 |
- |
(370) |
11,800 |
Impairment losses |
2,104 |
(171) |
- |
(3) |
38 |
- |
- |
1,968 |
Group operating profit |
9,288 |
331 |
493 |
(73) |
163 |
- |
(370) |
9,832 |
Amortisation of purchased intangible assets |
124 |
53 |
- |
- |
85 |
- |
(262) |
- |
Integration costs |
108 |
- |
- |
- |
- |
- |
(108) |
- |
Share of shared assets |
94 |
(21) |
- |
(73) |
- |
- |
- |
- |
Profit before tax |
8,962 |
299 |
493 |
- |
78 |
- |
- |
9,832 |
Tax |
1,709 |
193 |
148 |
- |
(6) |
- |
- |
2,044 |
Profit from continuing operations |
7,253 |
106 |
345 |
- |
84 |
- |
- |
7,788 |
Loss from discontinued operations, net of tax |
- |
- |
- |
- |
76 |
- |
- |
76 |
Profit for the period |
7,253 |
106 |
345 |
- |
8 |
- |
- |
7,712 |
Minority interests |
184 |
(26) |
- |
- |
5 |
- |
- |
163 |
Preference dividends |
246 |
- |
- |
- |
- |
- |
- |
246 |
Profit attributable to ordinary shareholders |
6,823 |
132 |
345 |
- |
3 |
- |
- |
7,303 |
BALANCE SHEET AS AT 31 DECEMBER 2008
Pro forma |
Transfers |
Shared assets |
Statutory |
|
£m |
£m |
£m |
£m |
|
Assets |
||||
Cash and balances at central banks |
11,830 |
570 |
- |
12,400 |
Loans and advances to banks |
129,408 |
8,698 |
91 |
138,197 |
Net loans and advances to customers |
691,876 |
143,433 |
100 |
835,409 |
Reverse repurchase agreements and stock borrowing |
39,289 |
24 |
- |
39,313 |
Loans and advances to customers |
731,165 |
143,457 |
100 |
874,722 |
Debt securities |
253,098 |
14,390 |
61 |
267,549 |
Equity shares |
22,094 |
4,132 |
104 |
26,330 |
Settlement balances |
17,812 |
20 |
- |
17,832 |
Derivatives |
991,493 |
1,064 |
2 |
992,559 |
Intangible assets |
16,386 |
3,634 |
29 |
20,049 |
Property, plant and equipment |
17,169 |
1,768 |
12 |
18,949 |
Prepayments, accrued income and other assets |
20,715 |
2,829 |
858 |
24,402 |
Deferred taxation |
5,409 |
1,296 |
377 |
7,082 |
Assets of disposal groups |
67 |
1,101 |
413 |
1,581 |
2,216,646 |
182,959 |
2,047 |
2,401,652 |
|
Share of shared assets |
2,047 |
- |
(2,047) |
- |
Total assets |
2,218,693 |
182,959 |
- |
2,401,652 |
Liabilities |
||||
Deposits by banks |
261,934 |
(4,565) |
675 |
258,044 |
Net customer accounts |
460,318 |
121,051 |
- |
581,369 |
Repurchase agreements and stock lending |
58,143 |
- |
- |
58,143 |
Customer accounts |
518,461 |
121,051 |
- |
639,512 |
Debt securities in issue |
269,188 |
30,831 |
270 |
300,289 |
Settlement balances and short positions |
54,264 |
13 |
- |
54,277 |
Derivatives |
969,396 |
1,955 |
13 |
971,364 |
Accruals, deferred income and other liabilities |
23,453 |
7,342 |
687 |
31,482 |
Retirement benefit liabilities |
1,547 |
468 |
17 |
2,032 |
Deferred taxation |
2,930 |
988 |
247 |
4,165 |
Insurance liabilities |
7,480 |
2,496 |
- |
9,976 |
Subordinated liabilities |
43,678 |
5,476 |
- |
49,154 |
Liabilities of disposal groups |
- |
721 |
138 |
859 |
2,152,331 |
166,776 |
2,047 |
2,321,154 |
|
Share of shared assets |
2,047 |
- |
(2,047) |
- |
Total liabilities |
2,154,378 |
166,776 |
- |
2,321,154 |
Equity: |
||||
Minority interests |
5,436 |
16,183 |
- |
21,619 |
Owners' equity |
58,879 |
- |
- |
58,879 |
Total equity |
64,315 |
16,183 |
- |
80,498 |
Total liabilities and equity |
2,218,693 |
182,959 |
- |
2,401,652 |
BALANCE SHEET AS AT 31 DECEMBER 2007
Pro forma |
Transfers |
Shared assets |
Statutory |
|
£m |
£m |
£m |
£m |
|
Assets |
||||
Cash and balances at central banks |
14,240 |
3,626 |
- |
17,866 |
Loans and advances to banks |
211,000 |
2,599 |
5,861 |
219,460 |
Net loans and advances to customers |
558,075 |
126,711 |
1,395 |
686,181 |
Reverse repurchase agreements and stock borrowing |
142,116 |
241 |
- |
142,357 |
Loans and advances to customers |
700,191 |
126,952 |
1,395 |
828,538 |
Debt securities |
240,801 |
35,957 |
17,898 |
294,656 |
Equity shares |
46,704 |
5,532 |
790 |
53,026 |
Settlement balances |
16,533 |
56 |
- |
16,589 |
Derivatives |
275,146 |
741 |
1,515 |
277,402 |
Intangible assets |
27,610 |
22,198 |
108 |
49,916 |
Property, plant and equipment |
16,913 |
1,826 |
6 |
18,745 |
Prepayments, accrued income and other assets |
16,631 |
285 |
(1,254) |
15,662 |
Deferred taxation |
1,680 |
1,454 |
(15) |
3,119 |
Assets of disposal groups |
395 |
44,537 |
918 |
45,850 |
1,567,844 |
245,763 |
27,222 |
1,840,829 |
|
Share of shared assets |
27,222 |
- |
(27,222) |
- |
Total assets |
1,595,066 |
245,763 |
- |
1,840,829 |
Liabilities |
||||
Deposits by banks |
303,499 |
5,813 |
2,982 |
312,294 |
Net customer accounts |
437,060 |
108,486 |
1,901 |
547,447 |
Repurchase agreements and stock lending |
120,062 |
14,854 |
- |
134,916 |
Customer accounts |
557,122 |
123,340 |
1,901 |
682,363 |
Debt securities in issue |
220,577 |
38,003 |
15,592 |
274,172 |
Settlement balances and short positions |
89,829 |
739 |
453 |
91,021 |
Derivatives |
270,814 |
369 |
869 |
272,052 |
Accruals, deferred income and other liabilities |
27,873 |
5,330 |
1,005 |
34,208 |
Retirement benefit liabilities |
265 |
82 |
113 |
460 |
Deferred taxation |
3,728 |
1,471 |
201 |
5,400 |
Insurance liabilities |
7,650 |
2,512 |
- |
10,162 |
Subordinated liabilities |
28,052 |
6,368 |
3,623 |
38,043 |
Liabilities of disposal groups |
6 |
28,739 |
483 |
29,228 |
1,509,415 |
212,766 |
27,222 |
1,749,403 |
|
Share of shared assets |
27,222 |
- |
(27,222) |
- |
Total liabilities |
1,536,637 |
212,766 |
- |
1,749,403 |
Equity: |
||||
Minority interests |
5,391 |
32,997 |
- |
38,388 |
Owners' equity |
53,038 |
- |
- |
53,038 |
Total equity |
58,429 |
32,997 |
- |
91,426 |
Total liabilities and equity |
1,595,066 |
245,763 |
- |
1,840,829 |
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
Date: 26 February 2009
THE ROYAL BANK OF SCOTLAND GROUP plc (Registrant) |
By: | /s/ A N Taylor |
Name: Title: |
A N Taylor Head of Group Secretariat |