Mr. Brendan McDonagh:

In 2010, we did not project any impairment because we expected to get back the value of what we paid for the assets. As I said to Deputy Murphy, in the base case scenario we were expecting or projecting to get a profit of approximately €1 billion after we sold the assets, paid off the debts and paid off all our costs. I suppose the difference between 2010 and now is that while we have taken an impairment, we have also been able to generate more income on the portfolio than we thought we would in 2010. When we inherited the portfolio from the banks in 2010 and 2011, approximately 20% of the rental income that was coming in on the properties was mandated to the banks. The debtor was collecting the money, but whether he was paying off the interest or the capital is another thing. Under NAMA, we have captured all the income of the debtor as part of his or her work with us or through receivers. As a result, over 95% of that income is coming directly to NAMA. The rental income is much stronger than we predicted in 2010. That compensates for the decline in value, which is reflective of the market conditions. As I have said, the majority of the €3.3 billion has been against the Irish assets. This reflects the decline in the asset values in the Irish market.