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Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: The horse has bolted at that point.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: With respect, PTSB is a bank that did contracts for split mortgages with customers who assumed in good faith they would be valid for the remaining term. Vulture funds operate to a limited time criterion and a specific rate of return. Will they be entitled to invoke that clause if they wish?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: He cannot say that. Is it correct that the bank has discounted the loans by 50%?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: It has been stated that there is a provision of close to 50% against these loans, which ties in with the warehousing being approximately 50%. I have done a rough calculation. If the bank sells them at a 40% discount, or at 60% of value, it would probably make €370 million; €740 million at a 30% discount, or 70% of value; or €1.1 billion at a 20% discount or 80% of...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: Based on the price.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: Does that mean the bank will sell close to the provision?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: I was putting a range of projections to Mr. Masding.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: This is critical. Based on the offers that are in, at what point will PTSB state it is not proceeding with a sale but that it will try to work out the loans?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: How long, typically, do Mr. Masding expect the six stages to take?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: Mr. Masding can estimate it.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: It will be done by the end of 2018.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: Is there a bottom line price being offered by the funds at which PTSB will state it will not proceed with the sale?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: What is it?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: Can I-----

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: Mr. O'Sullivan said the sum of €5.3 billion of non-performing loans represented approximately 30,000 customers.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: A total of 18,300 customers are included in Project Glas which is worth €3.7 billion. That leaves 11,700 customers with €1.6 billion worth of non-performing loans. Can Mr. O'Sullivan break, please, down that number between split mortgages, residential mortgages and buy-to-let properties?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: What is the difference between the figures 0.7% and the 0.4%?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: Dp they both involve home loans?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: Roughly how many are involved in the figure of 0.4%?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach: Proposed Sale of Non-Performing Loans to Private Investment Funds (Vulture Funds): Permanent TSB (22 Mar 2018)

Kieran O'Donnell: What does the figure of 0.5% represent?

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