Brian Lenihan Jnr (Dublin West, Fianna Fail)

The Deputy correctly distinguished between senior bondholders and junior or subordinated bondholders. As I indicated in my statement on 30 September, much has been said about the various obligations in Anglo Irish Bank with regard to different bonds. The senior debt obligations rank equally with deposits and other creditors under Irish law. The Deputy referred to the terms on which they were issued and the prospect of insolvency for the holders of that debt. Clearly, in the event of the insolvency of an institution, the holders of that debt would be on the same footing as depositors. There would be no distinction between depositors and the holders of that debt.

See this speech in context