Barclays '08 profits dip; no bonus for exec directors

British financial services major Barclays today posted a marginal decline in net profit at 4.38 billion pounds ($6.5 billion) for the year 2008, as benefits from the acquisition of Lehman Brothers' North American business propped up the bottom line.

The entity reeling under the financial turmoil, however, would not pay bonuses to its executive directors for 2008.

For the full year 2008, Barclays reported a net profit at 4.38 billion pounds, a decline of one per cent as compared to the year-ago period.

The company's net profit stood at 4.41 billion pounds in the corresponding period a year ago, it said in a statement.

Barclays which incurred a mammoth 8.1 billion pounds write-downs last year has decided to do away with bonuses for its executive directors.

"Executive directors will receive no bonuses for 2008. For 2009 and beyond, we are reviewing our compensation policies and practices to ensure that they evolve appropriately," Barclay's Chief Executive Officer John Varley said.

Pointing out that 2009 would be a challenging year, Barclays said it "also expect that gross write downs in 2009 will be lower than the levels of 2008".