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

[mlkrborn]

The Governor and Company of the Bank of Ireland (BIR.DB) said Friday that its U.K. subsidiary will buy the Post Office Ltd's shareholding in Midasgrange Ltd, the current joint venture company, for a cash consideration of circa 3 million pounds.

MAIN FACTS:

-The relationship will move to a direct Bank / Post Office relationship with the Post Office continuing to be primarily responsible for product sales and marketing and Bank of Ireland continuing to be primarily responsible for product development and delivery.

-In addition, certain amendments will be made to Post Office commission rates and the contract term will be extended to a minimum of 2023.

-These new arrangements are expected to become effective in September 2012.