Barclays new chairman says bank is still a "recovery proposition"

[LONDON] Barclays incoming chairman John McFarlane said the bank needs to evolve its strategy, adding that its lagging share price shows it still a "recovery proposition" for investors.

"It is appropriate that we continue to evolve the strategy to fit the times and retain clarity on the proposition we are trying to build," Mr McFarlane said in a letter to shareholders.

The financial services industry veteran, former chairman of British insurer Aviva, said the bank needed to advance work to restructure its legal entities in Britain and the United States, wind down unwanted assets and achieve its targets for capital.

He said the bank needed to reposition and improve parts of the business which were not generating the required returns.

"We need to ensure that Barclays is an attractive investment proposition going forward. Currently we are still trading below book value and with a dividend level less than we would wish," Mr McFarlane said.

REUTERS