Lenihan statement on the PwC report

 

Ministerial statement on the publication of PriceWaterhouseCoopers report

The document released this evening by the Minister for Finance, Mr. Brian Lenihan T.D., represents extracts from a eries of reports on Anglo Irish Bank prepared by PriceWaterhouseCoopers for the Financial Regulator.

The Minister noted that this work together with advice and reports received from the Central Bank, Financial Regulator, NTMA, legal and financial advisors and others was a key input into policy making overthe past months.

The Minister said that in view of the fact that Anglo Irish Bank is in public ownership, there is an important public interest in publishing this document. It contains as much information as possible given the legal constraints and the need to maintain client bank confidentiality, which is essential to maintain depositor confidence in the bank.

The report clearly demonstrates the Government was correct to guarantee the financial system last September at a time when financial market liquidity conditions were under severe pressure.

The report deals with certain loan loss scenarios. These are not predictions but rather were intended to show how the bank's loan book would perform under various stress conditions.

As the Minister stated when Anglo Irish Bank was nationalised: "The Government has made clear that it will ensure its continued viability. Anglo Irish Bank will continue to trade normally as a going concern, with appropriate Government support within the EU Framework."