In the wake of Barclays £290 million ($453 million) fine for manipulating LIBOR rates, the British government ordered a review of how LIBOR rates are determined. Currently, Thomson Reuters determines the interest rate based on the average of the interbank interest rate offered by contributor banks. Barclays underreported the interest rate at which it could borrow, thereby lowering the average interest rate for all banks. A proposed method for the new calculation of LIBOR rates to use actual quotes to calculate the interest rate. http://online.wsj.com/article/SB10001424052702304211804577500820816753362.html?KEYWORDS=Barclays
And in what may be the first of several resignations/firings due to the scandal, Barclays' Chairman Marcus Agius resigned. http://online.wsj.com/article/SB10001424052702303933404577501220607485322.html?KEYWORDS=Barclays
