AIB filing on NAMA loans and €4 bn restructuring to avoid write offs

[Dreaded_Estate]

Some additional information has been provided on the type of loans AIB is about to sell to NAMA through the recently submitted Form 20-F.

AIB Investor Relations Portal - Download Destination Page

Of the €23.195bn being transferred, €19.4 is from Ireland, and €3.7bn from the rest of the world, mainly the UK.

As expected most of the loans are property related but I think this is the first time I have seen a breakdown of the other sectors involved.

€687m is from the distribution sector
€443m is personal debt including mortgages
€257m is from the services sector

But I think the most interesting aspect of this new information is that €18.99bn is repayable within 12 months.

That means that NAMA is going to have to decide very quickly if these loans should be rolled over and on what terms.

<Mod - merged with HanleyS thread on restructuring disclosure in the same filing - title expanded>

[hammer]

They will all be rolled over for 24 months IMHO.

Unless of course the market takes a severe downward movement. The assets at present are worthless as the Banks wont lend to other developers to buy the assets unless they have "piles of cash".

[MPB]

Are we going to get the names of those having their personal debt moved to NAMA?

[The_Big_Fellow]

So they interest will continue to pile up, rather than close out of FF's friends. Nama's liabilities will just continue to grow.

[An Gilladaker]

Are we going to get the names of those having their personal debt moved to NAMA?

That would be good fun to see the great and good lined up for a photo
out side NAMA and named

[Sailor]

Are we going to get the names of those having their personal debt moved to NAMA?

Why would you want to know that?

[An Gilladaker]

Why would you want to know that?

Nice to see all the FF Galway tent dwellers exposed

[HanleyS]

AIB restructures loans worth €4.46bn to cap 'impaired' borrowings - Irish, Business - Independent.ie

Loans and receivables renegotiated are those facilities at the current reporting date that, during the financial year, have had their terms
renegotiated resulting in an upgrade from 91+ days past due or impaired status to performing status such that if they were not renegotiated
they would be otherwise past due or impaired.
Renegotiated loans and receivables were d 4,459 million as at 31 December 2009 (Allied Irish Banks, p.l.c.: d 4,178 million).
Renegotiated loans and receivables were d 154 million as at 31 December 2008 (Allied Irish Banks, p.l.c.: d 91 million) which related to
loans who had their terms renegotiated resulting in an upgrade from impaired status.

Loans and receivables renegotiated are those facilities outstanding at the reporting date that, during the financial year have had their
terms renegotiated, resulting in an upgrade from 91+ days past due or default status to performing status.
Where possible, the Group seeks to restructure loans rather than to take possession of collateral.This may involve extending the
payment arrangements and the agreement of new loan conditions. Once the terms have been renegotiated, the loan is no longer
considered past due. Management continuously reviews renegotiated loans to ensure that all criteria are met and that future payments
are likely to occur.The loans continue to be subject to an individual or collective impairment assessment, calculated using the loan’s
original effective interest rate.

AIB Investor Relations Portal - Download Destination Page

[Dreaded_Estate]

That is a massive restructure.
I wonder how much of this stuff is going into NAMA and being classified as performing.

[captainwillard]

When Japan economy collased, banks did not report true position for years because of endless restructuring.