LATEST: 15th October, 2010. On 13th October the Minister for Finance Brian Lenihan told the Oireachtas that the present forecast of haircut for INBS’s remaining loans was 70% – see below (down from the 75% estimated by Emmet Oliver’s banking sources in the Irish Independent).
We do not have a forecast date for the transfer of the remaining tranche of INBS loans. However Una McCaffrey said in relation to INBS in the Irish Times on 1st October 2010 “A further €2.3 billion in loans is due to move to Nama after the middle of this month”. Given that the remaining loans are to transfer in one tranche this could be interpreted to mean that INBS will be transferred imminently but it is unclear.
The remaining loans are estimated at €7.74bn which is the total of INBS’s loans shown as being NAMA-eligible in the June 2010 NAMA Business Plan (€9bn) less the following
(1) Tranche 1 – €0.67bn
(2) Tranche 2 – €0.59bn
The forecast haircut on the remaining INBS tranche was not referred by the Minister . Emmet Oliver citing “bank sources” in the Irish Independent says the discount on the remaining tranche is forecast at 75% (higher than 58.2% in Tranche 1 and 72.4% in Tranche 2).