Anglo to transfer €36bn of loans to NAMA, up from €28bn last September

[NAMAwinelake]

Such is the claim in today's Irish Times

Banks receive first details on Nama loan transfers - The Irish Times - Fri, Mar 19, 2010

The loan estimates last September 2009 were just that estimates but they were based on a fair amount of preliminary work. Of course you would expect the loan estimates to change with another 6 months of interest (upwards) or repayments (downwards) but how on earth was Anglo out by €8bn? Did people make mistakes on that scale? What does it do to NAMA's finances? Should the minister be making a statement now? Should the Opposition be tabling a question? Surely we can't have €8bn here or there sloshing around - it's ultimately our money at risk.

[hammer]

Scary.

Anglo loans being transferred greater than AIB / BOI combined.

Read this morning also that INBS / EBS recapitalisation will be 100s of millions more than originally expected.

Every single day that passes results in greater value of loans from Anglo & INBS as interest is added and payments missed.

The NPRF will fund the extra difference and the pension fund will eventually be bare.

[Outlander]

Combined with the predicted €14B loss at Anglo.

What will the recap requirement be?

[hammer]

The €35 billion transfer at a 35% discount accounts for most of the €14 billion loss.

NAMA will then have the problem of realising 65% of the loan amount

[NAMAwinelake]

I think the Anglo loss is predicted at €12bn (€14bn writeoffs on the loans offset by €2bn of "profits" elsewhere) but the most recent prediction is still a €6bn recap this year and God knows next year. It's just gobsmacking that an estimate was out by €8bn.

[Cassandra Syndrome]

Scary.

Anglo loans being transferred greater than AIB / BOI combined.

Read this morning also that INBS / EBS recapitalisation will be 100s of millions more than originally expected.

Every single day that passes results in greater value of loans from Anglo & INBS as interest is added and payments missed.

The NPRF will fund the extra difference and the pension fund will eventually be bare.

Something tells me even if the pumped the entire 500 Billion Euro of the guarantee into the Irish banking system we would probably 6 months later need another 500 Billion Euro. Its a big black hole.

[tonic]

Such is the claim in today's Irish Times

Banks receive first details on Nama loan transfers - The Irish Times - Fri, Mar 19, 2010

The loan estimates last September 2009 were just that estimates but they were based on a fair amount of preliminary work. Of course you would expect the loan estimates to change with another 6 months of interest (upwards) or repayments (downwards) but how on earth was Anglo out by €8bn? Did people make mistakes on that scale? What does it do to NAMA's finances? Should the minister be making a statement now? Should the Opposition be tabling a question? Surely we can't have €8bn here or there sloshing around - it's ultimately our money at risk.

NAMA is not paying for any of the interest, so if the total amount being transferred is up it can only be because more loans are going into NAMA.

[rockofcashel]

NAMA is not paying for any of the interest, so if the total amount being transferred is up it can only be because more loans are going into NAMA.

And more toxic loans in NAMA is a good thing because ....

[NAMAwinelake]

NAMA is not paying for any of the interest

Why do you say that, is there a quotable source? The business plan last October had NAMA paying €68bn for loans and €9bn for rolled-up interest.

[tonic]

And more toxic loans in NAMA is a good thing because ....

Well Firstly we don't know if the "extra" loans are "toxic", they might be "good" loans that NAMA wants as a balance, but hey! when did what we don't know ever stop us jumping in with our size 12's?

If they are "toxic" it would still be a good thing as it cleans up the bank, which is sorta why NAMA is there in the first place.
If we're going to do this let us not halfass it.