Severe pre-tax losses for Bank of Ireland10/08/2012 - 07:59:51
Bank of Ireland has announced pre-tax losses of €1.25bn for the first half of the year.
The bailed out bank blamed the poor performance on impaired loans and having to sell off assets.
Bank of Ireland said its bad loans cost €941m.
Losses for the first six months of 2011 were €556m.
Richie Boucher, chief executive of the bank, said the amount of money set aside to cover failing loans is expected to reduce from this year.
“While the Irish economy remains challenged and our impairment charges remain elevated, we expect the impairment charges to reduce from this level, trending to a more normalised level as the Irish economy recovers,” he said.
“The pace of the reduction will be particularly dependent on the future performance of our Irish residential mortgage book and commercial property markets, as well as our own credit management initiatives.”