Kieran O'Donnell (Fine Gael) | Oireachtas source

As we have been told by the ECB, could the bank come up with a proposal to restructure the loans in order that they could become performing? Will Mr. O'Sullivan take up that point? The ECB is only interested in finding out the percentage of a loan that could be classed as performing over ten, 15 or 20 years, to be called senior debt, with the balance that cannot be paid being classified as junior debt and warehoused and full provision made for it. I do not like to see the sale of loans to vulture funds which I do not think are structured to deal with them. I would prefer loans to be dealt with in-house. We formed the impression from what the ECB had stated that it would like to see more and more loans being restructured in-house. I felt it was frustrated at what the banks were doing and that they were not doing enough. What I hear from bank customers is that there has been non-engagement by the banks on the basis of moral hazard in being able to sell on to vulture funds. Will Mr. O'Sullivan deal with the technical point about which the ECB informed us? Can it feed back towards the non-performing loans of €1.5 billion that need to be addressed?