Kieran O'Donnell (Limerick East, Fine Gael)
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Question 116: To ask the Minister for Finance the expected discount to be applied by the National Asset Management Agency on the takeover of loans by NAMA in tranche 1 in relation to Anglo Irish Bank; the date this will happen; the value of loans to be taken over; the value of loans to which zero per cent valuations are to be applied; and if he will make a statement on the matter. [17585/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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I am informed by NAMA that they intend to transfer the first tranche of Anglo loans over the next two weeks - commencing this coming weekend. The nominal value of the loans to be transferred in Tranche 1 from Anglo is of the order of €10 billion. NAMA in their statement on 30th March indicated that the anticipated discount on the first tranche of loans to transfer to NAMA from Anglo will be approximately 50%. Early indications suggest that this discount may be somewhat higher however; NAMA will not have the final average discount on these Anglo tranche 1 loans until the transfer is complete. That the higher the discount on loans, the less NAMA will pay to acquire the loans. I am informed by NAMA that information on the loans, if any, where a zero percent valuation will be applied to is not yet available.

Section 55 provides that NAMA will submit quarterly reports to me and these will provide detailed information on the loans including, amongst other details, the number of loans outstanding, the number of loans foreclosed, sums recovered from property sales in the relevant quarter and an abridged balance sheet of the assets and liabilities of NAMA and each NAMA group entity. The first quarterly report shall be submitted to me on or before 30 June 2010 and I will arrange for copies of these reports to be laid before each House of the Oireachtas.