BoI makes loss, Burrows to stand down,Transfering 12 billion to nama

[mmrebel]

Bank of Ireland's chairman Richard Burrows is to stand down from his post after the bank's annual shareholder meeting in July.

The announcement came as the bank reported a pre-tax loss for the year to the end of March after taking a charge of €1.4 billion for bad debts. The €7m pre-tax loss compares with a pre-tax profit of €1.9 billion a year earlier.

After once-off charges of €340m were stripped out, underlying pre-tax profits fell by more than 80% to €332m.

AdvertisementThe bank's profits in its retail banking business in the Republic of Ireland were almost wiped out, falling to €20m from €716m a year earlier.

Mr Burrows apologised on behalf of the directors to shareholders for the loss in value of their shares and the cancellation of dividends. He said accountability for these losses must be taken at the top. The bank said total pay for senior bank executives had been cut by a third and no bonuses would be paid this year or next year.

Chief executive Riche Boucher said the bank faced another difficult year ahead, with lower levels of new business as economic activity falls, as well as higher impairment charges.

Speaking on RTE radio, Mr Boucher also admitted he had made mistakes in lending. He said his salary for this year would be €500,000 and that the focus was now on stabilising the bank.
Mr Boucher said the bank faced another difficult year ahead, but that it was enthusiastic about working with the proposed toxic debt
RTÉ Business: BoI makes loss, Burrows to stand down


Don't know did anyone hear Boucher on news-talk this morning ,the main point is that he reckoned BOI will be transferring about 12billion to nama 7 billion in Irish loans and 5 from foreign loans , I van Yeats gave him a right grilling too. Boucher in my opinion came across as very arrogant.

[Geckko]

He isn't arrogant, he is just plain speaking, which some people mind find gruff. There is no cute hoor about him.

[zakalwe1]

and the share price has risen by 38c this morning since the results. it appears the "ashes and sackcloth" approach of realistic impairment disclosures is the right one.

anyway, if you want to analyse a set of financials correctly, esp for banks, look at the cash flow statements (income statements distorted with mark to market movements due to IFRS) and the Operational Risk (IFRS7) note. those are the only 2 parts of the statements that reveal the true position of a bank.