Mattie McGrath (Tipperary South, Independent)
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Question 192: To ask the Minister for Finance the provisions in place to pay salaries to developers involved in the National Asset Management Agency; the way the salaries will be decided and if they will be capped. [41252/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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NAMA has advised that it is currently reviewing business plans for the largest 30 debtors whose loans it has acquired. Part of that process involves addressing the unsustainable and unrealistic level of debtor overheads which had been permitted by the participating institutions. As part of the debtor business plan process, NAMA has typically required debtors to reduce their business overheads by between 50% and 75%. These reduced overheads have to cover a broad array of expenses, including salaries for relevant executives. NAMA does not specify the salary of any individual but the level of business overheads permitted by NAMA will reflect the business activity of each debtor and the requisite added value that a debtor can add in terms of achieving the financial and other targets set by NAMA.

NAMA has a commercial remit to manage its portfolio of over €70 billion and it has to consider, on a case-by-case basis, the overhead costs associated with leaving a debtor in place to manage his business versus the commercial alternative of appointing an insolvency expert. NAMA will, where necessary, enforce against debtors but it is not a cost-free alternative and would not be, in all instances, in the best interest of taxpayers.

Bernard Durkan (Kildare North, Fine Gael)
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Question 193: To ask the Minister for Finance if recent indications to the effect that 25% of the property owners in National Assets Management Agency are currently paying the interest on their loans, whether this is based on the original level of indebtedness to the banks and-or NAMA's liability to such institutions; whether all of the said 25% or only portion of same are deemed to be meeting the full interest payments due while others make partial payments; if an indication can be given at this stage of the number of portfolios assumed or expected to be in a position to repay 100% of their original bank loan with or without interest; and if he will make a statement on the matter. [41411/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The recently-published NAMA Quarterly Report for the second quarter indicated that 29% of NAMA loans (by reference to nominal loan values) were performing as at the end of June 2010. Performing loans are defined as loans which, by reference to original contractual obligations, are not in arrears or where the arrears are outstanding for less than 30 days. For all debtors, the original loan payment obligations due to the participating institutions remain outstanding after transfer of the loans to NAMA.

As yet, there is insufficient data available to NAMA to enable the Agency to estimate the proportion of its overall portfolio that will be fully performing.