AIB has said it expects the discount paid for the loans it will transfer to NAMA to be less than the average 30% indicated by Finance Minister Brian Lenihan in the Dáil today.
The Minister said AIB was expected to transfer €24 billion in loans to NAMA. The bank said that, based on a 30% discount, it would have to write €3.7 billion off the value of loans, but a smaller discount would mean a smaller writedown.
The bank also said it planned to raise around €2 billion in capital over the next 12-18 months, through a number of potential sources.
AIB said these could include the stock market, potential investments from third parties and the possible sale of assets.
Last month it was reported that Canadian Imperial Bank of Commerce had made a high-level approach about the possibility of taking a minority stake in AIB. AIB said at the time that any talks on this were not expected to progress until there was greater clarity on NAMA.
Bank of Ireland is expected to give its reaction to NAMA tomorrow when it issues a trading update.
