IRLBF---BKIR TRADING IN OTC IN NEW YORK (fka )

[mlkrborn]

REPORT issued: Loss narrowed!
Thnx to geeneyj2 and Wicklow we know the details:

DJ Bank of Ireland 2011 Pretax Loss EUR190M Vs Loss EUR950M

*DJ Bank of Ireland 2011 Net Pft EUR40M Vs Loss EUR609M

*DJ Bank of Ireland 2011 Loan Loss Impairments EUR1.94B

*DJ Bank of Ireland: More Than Met Deleverage Bailout Target In 2011

*DJ Bank of Ireland: Deleverage Sales Of EUR8.6B Of Whole EUR10B Goal

*DJ Bank of Ireland Loan To Deposit Ratio Cut To 144%

*DJ Bank of Ireland Cut Wholesale Funding Needs In 2011

*DJ Bank of Ireland Raised Unguaranteed Funding In 2011

*DJ Bank of Ireland Tapped ECB's LTRO Funding But No Increase Overall

*DJ Bank of Ireland Trading Continues To Be Difficult

*DJ Bank of Ireland: Intense Competition For Irish Deposits

*DJ Bank of Ireland 2011 /Shr

*DJ Bank of Ireland 2011

*DJ Bank of Ireland Dividend

*DJ Bank of Ireland


geeneyj2

Today 07:12


Bank of Ireland's BKIR.I underlying operating profit more than halved last year on high funding costs, a limited appetite for new credit and the selling off of higher-earning assets, though analysts said there were signs that the worst is now over.

The only domestic lender to avoid nationalisation after an unprecedented property crash, the bank saw the still high cost of attracting deposits and higher cost of a government guarantee of its liabilities cut net interest margin by 8 percent.

After successfully attracting private capital to meet strict new central bank targets last year, Bank of Ireland is focused on restructuring its cost base, improving funding dynamics and weaning itself off the expensive state guarantee.

By end-December last year, it had fully exited the costly emergency liquidity assistance (ELA) offered by Ireland's central bank, reduced its dependency on European Central Bank funding to 23 billion euros from 33 billion a year earlier and cut its staff by 7 percent year-on-year.

"These results suggest the bank reached a trough in its pre-provision earnings in 2011 and are likely to experience improving trends as the bank has exited the more costly ELA borrowing, can look to terminate its own issued bonds programme and maintains a tight focus on costs," Stephen Lyons, credit analyst at Davy Stockbrokers said.

Operating profit before provisions fell by 60 percent to 411 million euros, although the underlying pretax loss more than halved to 1.5 billion euros.

While the bank said it expected impairments to reduce over time, it saw them tick up a touch to 1.94 billion euros last year after it made provisions for 1.86 billion in 2010.

Chief Executive Richie Boucher added that the bank is still aiming to increase its net interest margin, the gap between what it charges for loans and what it pays to borrow, to 2 percent in 2014 from 1.33 percent in 2011 but said that the interest rate environment would make the target more difficult to achieve.

ARREARS TO PEAK

Under the government's latest restructuring of its banking sector almost a year ago, Bank of Ireland will form the core of a radically pared-down industry along with Allied Irish Banks ALBK.I and Monday's results showed Boucher's bank was having far more success attracting deposits.

The bank said its deposits grew by 8 billion euros in the second half of last year to 71 billion, mostly thanks to its UK subsidiary, outstripping the 6 billion euro growth Ireland's Department of Finance said the sector as a whole saw in the second half of 2011.

After central bank figures last week showed that nearly one in seven Irish home loans were not being fully repaid, Bank of Ireland also bettered the industry average with its proportion of owner occupier loans in arrears for more than 90 days rising to 5.6 percent from 3.7 a year ago but below the sector-wide headline figure of 9.2 percent.