Michael McGrath (Cork South Central, Fianna Fail)
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27. To ask the Minister for Finance the total amount the National Asset Management Agency has written off for debtors on its books, the number of debtors involved, the number of arrangements it has reached with debtors in respect of their personal exposure on company borrowings; and if he will make a statement on the matter. [8800/16]

Michael Noonan (Limerick City, Fine Gael)
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I am advised that, as at 31 December 2015, NAMA had agreed debt write-offs of a total of €1.5bn of Par Debt.  This equates to 2% of the original par debt acquired by NAMA from the Participating Institutions.  I am also advised that the total number of debtors who received par debt write-offs is 80.  Debt is only written off where all of the underlying assets have been realised, there are no further assets to be realised nor any additional recourse available to NAMA to recovery borrowings from the debtor.  This information is to be disclosed in NAMA's 2015 Annual Report, which is to be published towards the end of May 2016.

The Deputy will note that NAMA enters into such arrangements with debtors where it is expected that the exit arrangement will maximise the return to the State.  I am advised that this may include debt compromise, as noted above, or settlement arrangements for a fixed number of years post exit.

I am further advised that, in certain cases, where the debtor has met certain stringent or 'stretch' targets set by NAMA, an arrangement may be entered into with that debtor to release them from their personal exposure, where there is no further prospect of recovery of borrowings from that debtor.  Such arrangements have no impact on the return to NAMA in cases where no value can be recovered through the personal guarantees.  That notwithstanding, the Deputy will note that NAMA has leveraged personal guarantees to obtain more than €900m in additional security for its loans, primarily by obtaining charges over previously unencumbered assets and through the reversal of prior asset transfers.