Archived press release

Bank 'exposed' at agm

25 April 2002

When: 10:30 am, Thursday 25 April.
Where: The QEII Conference Centre, Broad Sanctuary, Westminster, London, SW1P 3EE.

“Naked Barclays businessmen” will be exposing Barclays' damaging forest investments outside the AGM. Photos will also be available from Friends of the Earth*.

Barclays shareholders will be exposed to the bank's poor record on forest destruction when they meet for the group's AGM on Thursday 25th April 2002. “Naked businessmen” will be at the meeting on behalf of Friends of the Earth, who are protesting at the bank's unethical investment record.

Friends of the Earth is targeting Barclays in response to its investment in projects which have destroyed large areas of Indonesian rainforest. The banking group financed Asia Pulp and Paper (APP)[1]- a company accused by Friends of the Earth of being one of the most destructive in the world. Barclays holds more than £8 million of shares in APP on behalf of its clients. The bank is also understood to have arranged and participated in loans to APP worth more than £400 million.

APP is $13.4 billion in debt and has put a halt to all debt repayments as a result of their financial crisis. Friends of the Earth believes Barclays' financing of APP has been risky, and a bad deal for Barclays' shareholders.

Friends of the Earth is calling on Barclays Group to introduce a Forest Policy to ensure none of its future investments damage forests or abuse the rights of local communities.

Friends of the Earth is also calling on Barclays to use its financial muscle to persuade APP to stop destroying more forests. APP is one of the world's biggest corporate debtors. It is currently in talks with creditors to reschedule these debts.

Ed Matthew, Forest Campaigner at Friends of the Earth, said:
“Barclays' financing of APP has so far been a bad investment in every sense - for the environment, for local communities, and for shareholders. By contributing to the finance of APP, Barclays has contributed towards the annihilation of one of the most wildlife rich forests on Earth. The group must now mend its ways by using the current debt negotiations to put pressure on APP to prevent them from destroying Indonesia's precious forests ”

Notes

1. APP is accused by Friends of the Earth of being one of the most destructive paper companies in the world, responsible for clearing over 280,000 hectares of rainforest in Indonesia during the last 10 years,and planning to clear-cut another 300,000 hectares over the next 5 years - a total area four times the size of Greater London. Indonesian rainforest is particularly rich in wildlife, including endangered species such as the orang-utan, tiger, rhino and elephants.

As well as destroying wildlife rich habitat, APP has been involved in numerous conflicts with indigenous peoples. In Sarawak, Malaysia, APP is involved in a joint venture pulp plantation which may force 20,000 indigenous people off their land.

Notes for Picture Desks
Photo desks are invited to send photographers to the launch. Friends of the Earth's pictures of the action will be available from www.papicselect.com (no charge) - see “Barclays Exposed” under Friends of the Earth in the charities section of the site.

If you're a journalist looking for press information please contact the Friends of the Earth media team on 020 7566 1649.

Published by Friends of the Earth Trust