Goodbody comments on Anglo Irish and the cost of credit. … odbody.pdf

A snippet from the coal face.

I am seeing (large) UK property portfolios being written down on NAV basis over the last quarter.

Anglo down 70 cents today to 10.9 - down 6%

Is shorting stocks covered by the anti-glee policy? 8)

Apparently Anglo’s UK subsidiary issued a 2 billion pound commercial mortgage backed bond yesterday, this was purchased by the Dublin branch and repoed with the ECB. Nothing dodgy, but they obviously need the cash, and that’s a cheap way to get it.

I wonder how the deposit base is holding up. I’m guessing it’s made up of a higher proportion of corporate deposits than AIB and BOI, which tend to be more volatile than retail deposits.

[*Foreign sales hit Anglo * (Foreign sales hit Anglo -

“Until all of the bad news about the Irish property market is out in the open” - I think the likelihood of this happening is low, given Eugene Sheehy’s comments.

I think you’d be right there. A few weeks ago I attended a meeting held by AI for depositors - I would say 66/33 corporate/individuals.

Thanks for the info. I guess we won’t know how the ratios are looking till they file their next accounts. 2006 accounts show that they had better deposit/loan ratios than both AIB and BOI. I wonder if that will last.