Frank Feighan
Question:87 Deputy Frank Feighan asked the Minister for Finance if he provide details of the amount that bondholders were paid (details supplied). [20673/11]
View answerThursday, 14 July 2011
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Written answers
The information supplied by the Deputy is not precise enough to allow for his question to be addressed. If he wishes to be more specific in his request I will see what data can be procured for him. Whilst it is difficult to address this question precisely, it can be said that, as agreed with the Trokia, steps have been taken by the Department to reduce the cost to the State through burden sharing with subordinated bondholders.
Liability Management Exercises, in relation to subordinated debt, by the banks have resulted in the generation of some €4.4bn in Core Tier 1 Capital, reducing accordingly the amount required to be contributed by the State to the €24bn PCAR capital requirement. With the exception of the merged Anglo Irish Bank and INBS where the matter remains open, burden sharing with the senior bondholders of the banks does not form part of the Government's banking strategy .