AIB congratulates itself amid agm protests

AIB's annual general meeting was another stormy affair with chairman Dermot Gleeson ordering three evictions and warning other shareholders that they too could end up on the pavement if they disobeyed his rulings.

AIB's long-time dissident shareholder, Niall Murphy, was quick to tell the chairman he was "acting like a bloody dictator". But Mr Gleeson stressed his resolve to end Mr Murphy's long-time campaign against the bank, saying this is what its long-suffering shareholders wanted.

Mr Murphy was later ejected.

Another shareholder, Dermot Carroll, said he had joined AIB at 18 and that it had taken him 32 years to speak out at a meeting. "I am outraged, disgusted and ashamed at what's been going on," he said referring to the series of scandals ranging from tax evasion to overcharging that embroiled the bank in recent months.

"Next year, I hope that for one year I don't wake up on a Sunday and be shocked that AIB has been up to high jinks and mismanagement. Can you give me a guaranteed that for one year, you won't be found to have had your fingers in the till?" he inquired.

AIB has performed very well in the first quarter of its financial year and has told shareholders its prospects remain bright.

Mr Gleeson could offer no guarantees.

He said that, while 2004 had been a challenging and difficult year at times, AIB continues to expect earnings per share in 2005 to be between €1.35 and €1.37 under the new international accounting standards.

The bank continued to enjoy excellent loan growth in its activities in the Republic, the UK and its international corporate banking, Mr Gleeson told shareholders. "We also expect another year of strong deposit growth. Asset quality is at historically high levels," he said.

Referring to the recent overcharging "difficulties" and other issues, Mr Gleeson said there was little he could add other that to apologise once again for its failings.

He also reiterated the board's and management's determination to do business in an efficient, compliant and ethical manner.

The chairman said that, since he was appointed chairman, he has written to AIB's largest investors and offered to meet them.

He said shareholders would be interested to note that the views they had conveyed to him indicated a high level of satisfaction with corporate governance in AIB and the performance of the company.

Mr Gleeson also acknowledged AIB's outgoing chief executive Michael Buckley's contribution to the bank during his term of office. "He has dealt superbly with some major challenges. His contribution to the strategic direction of the bank has been vital to the great success we have achieved and is clearly evident from the outstanding results achieved in 2004," he said.

Mr Gleeson said he was confident that Mr Buckley's successor, Eugene Sheehy, would lead AIB to even greater success in the years ahead.