Results 8,241-8,260 of 26,043 for speaker:Kieran O'Donnell

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: And is it fair to say, Mr. Forde, that ye became salesmen rather than prudential bankers?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: In the way ... in the approach that how you, we'll say, operated, were ye more concentrated ... the formula ... were you very much driven by sales growth in terms of the loan portfolio, and that the prudential, old style lending wasn't ... didn't form part ... as large a component as it would have previously. Could you comment on that?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: What was the bonus system in operation with your staff, in terms of sales of ... we'll say in terms of loans? Was there a bonus system in place?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: Can you explain what that bonus system was?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: When you say profitability, how do you define profitability?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: So that would be ... so, clearly, would it be fair to say, that the more loans they had out-----

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: And what was the structure of that bonus? Was it based on a percentage? How did it ... what way did it work?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: And what was ... typically, what would it have been ... in terms of the structure, what would have been the maximum percentage of salary for a bonus?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: So at manager level, they would-----

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: At general manager level-----

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: Countrywide. They could get a 50% bonus based on-----

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: -----50% of their salary by way of a bonus.

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: And typically what would a general manager be on salary wise?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: So if they were €210,000 ... let's assume they're on an average of €200,000. That means they could be getting €100,000 of an annual bonus.

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: So there was a great incentive in terms of-----

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: -----sorry ... was there a great incentive ... I will have to get you to preface my questions, Chairman.

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: Was there a great incentive then in terms of a general manager encouraging his staff to promote new loans?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: And the bonus system, how did that filter down to staff ... we'll say, down the line? What bonus system was there for them?

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: So everyone basically ... if their own portfolio was going up, everyone gained a share of the pie.

Committee of Inquiry into the Banking Crisis: Nexus Phase (23 Apr 2015)

Kieran O'Donnell: And clearly up to 2007 and 2008 that was the case.