ABSA GROUP LIMITED - Reference to Barclays Plc Interim Management Statement and Trading Update

Reference to Barclays Plc Interim Management Statement and Trading Update

ABSA GROUP LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 1986/003934/06)
ISIN: ZAE000067237
JSE share code: ASA
Issuer code: AMAGB
(Absa Group)


REFERENCE TO BARCLAYS PLC INTERIM MANAGEMENT STATEMENT AND TRADING
UPDATE

Shareholders of Absa Group are advised that Barclays PLC (Barclays) released its third quarter
2012 interim management statement today.

Although it makes no specific reference to our overall financial performance, part of Absa Group
is included in the Africa Retail and Business Banking (RBB) segment that Barclays disclosed in
the statement.

We draw shareholders’ attention to the following commentary on Africa RBB from the above-
mentioned statement:

“2012 compared to 2011
   -   Profit before tax decreased 41% to £330m

       Higher credit impairment charges primarily in South African home loans recovery book

       Adverse currency movements reflecting depreciation of major African currencies
       against Sterling
   -   Income declined 12% to £2,390m reflecting currency movements and non recurrence of
       gains from the disposal of Group hedging instruments in Q3 11

       Excluding the impact of currency movements income is broadly in line
   -   Credit impairment charges increased 33% to £501m principally reflecting higher loss
       given default rates and higher levels of write-offs in the South African home loans
       recovery book

       Loan loss rate increased to 197bps (2011: 138bps)

       However 90 day arrears rate for home loans improved by 100bps to 2.2% reflecting
       improved new business and continuing low interest rate environment
   -   Operating expenses decreased by 12% to £1,564m reflecting currency movements and
       reduced costs in local currency

   Q3 12 compared to Q2 12
   -   Profit before tax decreased 42% to £56m mainly reflecting higher operating costs driven
       by the timing of staff related and investment spend, while impairment charges in the
       South African home loans recovery book remained elevated
   -   Loans and advances to customers decreased 5% to £32.5bn reflecting adverse currency
       movements. Customer deposits decreased 2% to £21.9bn reflecting currency
       movements, partially offset by growth in local currency deposits in South Africa”


Shareholders should note that Absa’s contribution to Barclays Africa RBB excludes Absa Card
and Absa Corporate, Investment Banking and Wealth (53% of Absa Group’s total first half pre-
tax profits). The above numbers were prepared in terms of Barclays accounting policies and
includes Barclays consolidation adjustments and overlays, and so do not reflect Absa Group’s
performance for the period.

Trading Update

Absa Group’s performance trends for the nine months ended 30 September 2012 were similar
to those in the first half. Relative to our previous guidance of a credit loss ratio in the region of
1.4% it is now likely to peak at around 1.5% for 2012, following close ongoing assessment of
impairments in our residential and commercial property legal books. In addition, we have made
further write downs against our Business Markets equity investment portfolio in the second half.
These have been offset by continued success in managing costs and productivity, which should
result in our 2012 cost-to-income ratio improving year on year.


Johannesburg
31 October 2012



Enquiries:

Alan Hartdegen
Head: Investor Relations
Tel: (+2711) 350 2598
Email: alan.hartdegen@absa.co.za

Lead Sponsor:

J.P. Morgan Equities Limited

Joint Sponsor:

Absa Capital (the Investment Banking Division of Absa Bank Limited and affiliated with
Barclays)

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