DUBLIN, Ireland, July 29, 2003 (PRIMEZONE) -- Highlights -- AIB Group (NYSE:AIB):
- Adjusted earnings per share EUR 58.5c, down 5% - Reduction in other finance income (FRS 17)EUR (2.4c) - Irish Government bank levy EUR (1.7c) - M&T restructuring charge EUR (1.5c) Excluding the above items, the growth in adjusted earnings per share was 4% - After-tax gain of Eur0 449m on Allfirst/M&T transaction Interim dividend of EUR 19.0c, up 10%
Buoyant growth in Irish & British banking businesses Negative translation of foreign currency earnings-impact of 4% on adjusted earnings per share growth.
- Divisional Profit Performance AIB Bank ROI up 6% - Banking Operations up 16% -- strong loan growth and high productivity - Ark Life down 48% (unchanged excluding 2002 SSIA impact) AIB Bank GB & NI up 18% - Strong volume growth and lower provisions Capital Markets up 4% - Good corporate banking performance offset by lower risk positions in interest rate markets Poland down 32% - Lower interest rates impact on deposit margins, improved asset quality.
AIB Group Chief Executive Michael Buckley said: "The merger of Allfirst and M&T Bank was successfully completed on 1 April 2003, creating a US$ 50 billion regional bank, ranked number 18 of USA banks by asset size. We confidently look forward to a mutually rewarding partnership. 'Underlying performance in reported earnings for the half-year has been solid but was negatively impacted by currency translation factors. Business growth in the Irish and UK markets has been particularly strong despite lower interest rates and margins and we have made notable market share gains in lending activities. In Poland profits were down due to sharply lower interest rates. Asset quality has improved further right across the business. With the substantial cash proceeds from the Allfirst/M&T transaction we repurchased almost Euro 750 million or approximately 6% of our shares. This will positively impact future earnings per share. Our capital position remains very strong."
Allied Irish Banks, p.l.c. Allied Irish Banks, p.l.c.(AIB Group) today announced its results for the half-year ended 30 June 2003. Basic earnings per share for the half-year amounted to EUR 50.6c,a decrease of 16%. Adjusted earnings per share decreased by 5% to EUR 58.5c. A gain of Euro 449 million on the Allfirst/M&T transaction was recorded in the statement of total recognised gains and losses ('STRGL') and the profit and loss account as appropriate.
Dividend The Board has declared an interim dividend of EUR 19.0c per share, an increase of 10% on the half-year ended 30 June 2002. The dividend will be paid on 26 September 2003 to shareholders on the Company's register of members at the close of business on 8 August 2003.
This results announcement and a detailed informative presentation can be viewed on our internet site at www.aibgroup.com/investorrelations
Forward-Looking Statements A number of statements we make in this document will not be based on historical fact, but will be 'forward-looking' statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected in the 'forward-looking' statements. Factors that could cause actual results to differ materially from those in the 'forward-looking' statements include, but are not limited to, global, national, regional economic conditions, levels of market interest rates, credit or other risks of lending and investment activities, competitive and regulatory factors and technology change.