I was of the impression that this was a straight sale to reduce the size of boi. Originally the ecb ordered the bank to divest itself 100% of ICS. that was completely changed in the end to just the sale of the 250 mil of loans with the remaining loans transferred to boi. I thought this was just a 250 shrinking of the ICS loan book with the proceeds going to the boi parent company. Therefore the benefit to boi would be substantial. We do know that boi actually loaned the purchasing company 100 million to complete the deal so would that not suggest aleast a 100mil asset value as collateral. .
The bank is also in the process of selling repossessed properties in bulk to the value of an estimated 140 million. This transaction is more in line with what you are saying. Its debatable how much lf that sale price will be destined for the banks bottom line as all of the properties are distressed.
Why not 9.6 average. Personal thanks to BCM123 when i nearly sold the lot at 17.9, several years ago, said keep half. Thanks again. Ramiec hows the oil shares PCI ect . Off topic went mental on the O&G shares and a harsh learning curve. Time to hold these shares and buy. Nice to see old posters still around. Regards Fiah.
the 250 will be compared to the net value of the loans sold (loan advanced minus provisions). The difference will be a profit or loss. it will certainly be recorded as a one off whichever way it goes. on that amount impact will be insignificant but yes it will be recorded as a one off
A question for you senator. In sept boi sold (were forced ot sell) €250 million of preforming loans (ICS) as part of its ecb deal. Will that 250mil show up on its accounts as an exceptional item and therefore be added to its profits in this year?
Goodbody's by way of ex are not at 1bn until end 2016. So if you are looking to end 2014 where I think my 700m is top end you can see this share on an earnings basis (forget TBVs and BVs for a second), ain't cheap for the sort of time frame i look at
When you hear politicians talk they always say that the electorate are sophisticated and know what they are doing. Rubbish. F O'T is right about civil war politics. It has up until now dictated how at least 50% of the voting electorate always voted. That grip was shattered in the last election when FF lost half of their guaranteed voters for ever. What FG haven't realised yet is that their core voters are also gone. The civil war link has been broken.
So now thoes voters that always voted with their heart now join the ranks of the floating "sophisticated" voters. And what do they want? Well who ever offers them (them singularly) the most of course. Single issue candidates, anti tax, anti water, anti pothole, anti hunting, pro hunting, pro post office, pro rural, anti dump, anti incinerator, pro luas, pro student, anti europe, anti abortion, pro abortion ...... What they all have in common though is a very limited vision of where the government they elect will steer the country as a whole too. This is not just here in Ireland. Its something that's happening in the UK and plenty of other European countries as well. Fun times ahead for sure.
without provision releases I think e700. To get to 1bn they would need to double the 1H performance. I dont see what is driving that and you would think that sort of performance would be flagged in recent IMS.
So long as all the Central Bank can do is express annoyance it means diddly squat. However, if they can actually stop banks here from doing writebacks then this is a little worrying. I think boi can get close to the billion profit this year without any writebacks but its certainly tying one hand behind their back. Any attempt to limit the banks ability to release these funds in really forcing a further increase in its already adequate capital reserves to my mind.
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