Banks telling shareholders NAMA discount will be only 20%

[MsAnneThrope]

Enda Kenny just claimed this on Newstalk now when "land values in some parts of the country have declined 60-80%". If this is true then the taxpayer is being royally screwed. It would also explain why the banks' share prices have soared recently from their lows.

“What’s happening now is that the bank shares are beginning to climb and the country’s credit rating is continuing to decline and the reason for that is that the banks have been saying to their shareholders that the discount will be 20 per cent," he said.

“This has truly massive implications to the tax-payer. Greens are saying 40 per cent, International financial houses after discussions with the Irish banks are saying 20 per cent,” Mr Kenny added. “This only gives credence to the belief that what’s involved here is a massive bailout of banks at taxpayer’s expense."

However, Mr Cowen said the Fine Gael leader had taken a “continually irresponsible approach” in relation to the bailout of the banking system.

Source: Newstalk Radio & Irish Times

[Gussie]

Enda Kenny just claimed this on Newstalk now when "land values in some parts of the country have declined 60-80%". I'll update with links as they become available. If this is true then the tapayer is being royally screwed. It would also explain why the banks' share prices have soared recently from their lows.

If this is true - ie the 20% writedown - then the Irish taxpayer is about to get a monumental shafting.

[JCSkinner]

There HAS to be a legal way to prevent this.

[121.5]

20% !!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Riots now

riots now

fuck this corruption

[DCon]

I am surprised it is not 10% with the state of politics in Ireland.

[Disabled student]

Enda Kenny just claimed this on Newstalk now when "land values in some parts of the country have declined 60-80%". I'll update with links as they become available. If this is true then the tapayer is being royally screwed. It would also explain why the banks' share prices have soared recently from their lows.

Yes it refers to loan impairment as land values would have to be re- assessed at fair value, which affects the bank's asset side greatly reduced.

Bank's accounts must show this next year re loan impairments in relation to property developers/builders etc.

Asset side of the bank's leads to greatly reduced figure. It will also reduce their capital side as well. It will affect their lending too which is related to the capital side of it. So expect more of lending restrictions onwards.

[121.5]

this is why the banks should have been nationalised

clowen and co are fooling no one but stealing from everyone

prepare for a 3rd world lifestyle while as martin mansergh would say, 'your betters' will swan around farmleigh, the aras, dail eireann and the Island in mercs and helicopters

I used to get the scent of revoultion

I can now taste it on my toungue

[Dios]

And they didn't even buy us dinner first...

[MsAnneThrope]

Irish Times has it now. It happened during Leaders Questions this morning.

During Leaders’ Questions this morning, Fine Gael leader Enda Kenny demanded the Toaiseach “clear up the element of confusion” surrounding the discount to be applied to the assets.

“What’s happening now is that the bank shares are beginning to climb and the country’s credit rating is continuing to decline and the reason for that is that the banks have been saying to their shareholders that the discount will be 20 per cent," he said.

“This has truly massive implications to the tax-payer. Greens are saying 40 per cent, International financial houses after discussions with the Irish banks are saying 20 per cent,” Mr Kenny added. “This only gives credence to the belief that what’s involved here is a massive bailout of banks at taxpayer’s expense."

However, Mr Cowen said the Fine Gael leader had taken a “continually irresponsible approach” in relation to the bailout of the banking system.

If it is 20% then something HAS to be done. Think of our children, grandchildren & great grandchildren. We owe it to not just ourselves but to future generations too. How can we, the people, and the Opposition stop this? It's pure vested interest corruption all over again.

[powderfinger]

At this stage if Pussyfoot Lenihan adopted the catchphrase of Young Mr.Grace when dealing with the wobbly banks it would not surprise.

Lenihan."You've all done very well."

Banksters. "Thank you Mr. Lenihan."
[ame="http://www.youtube.com/watch?v=y8aQJAJ2VS8"]YouTube - Young Mr Grace - You've all done very well![/ame]