Anglo contributes to volatile day on Dublin market

Iseq: 2,522 (+6) at 12.35pm:News of a 37 per cent fall in pretax profits to €784 million for Anglo Irish Bank is the main market news on a day when it the Iseq is swinging between positive and negative territories.

At 12.35pm the Iseq index of Irish shares was up 0.2 per cent at 2,522 a gain of 6 points.

Anglo Irish stock was down 18 per cent at 77 cents as analysts said investors were focusing on how the bank planned to raise capital over the next three years.

The bank said a benchmark core equity ratio of between 7.5 per cent and 8.5 per cent was emerging and it would achieve this "through retentions within the next three years".

Anglo reported earnings per share (EPS) for the year to the end of September fell 34 per cent to 88.4 cents, with adjusted EPS at 85.8 cents.

Other financial stocks were mixed with Irish Life and Permanent down 4 per cent at €1.56 while Bank of Ireland was 5.5 per cent lower at €1.20. AIB was alone in positive territory adding 5 cents or 2 per cent to €2.38.

Following comments by the Minister for Finance Brian Lenihan this morning that the Government would consider Ryanair's €1.40-a-share offer for Aer Lingus, the airline's shares were marginally in positive territory at €1.33. Ryanair shares were almost 1 per cent higher at €2.79.

Brokers reported strong interest in Elan shares which added 2.7 per cent to €5.21 while CRH was almost 2 per cent higher at €17.55.

Volumes were described as light.