“However, effectively what is happening is that the Irish government are providing the IBRC with a long-term bond, the IBRC are exchanging that bond with Bank of Ireland for one year in return for €3.1 billion in cash and this cash will be used to repay the IBRC’s Emergency Liquidity Assistance (ELA) loans.

What has been achieved? In essence, the government has delayed paying out the cash for this year’s €3.1 billion but the IBRC (and hence the state) now has to repay Bank of Ireland this amount next year. This is effectively a one-year deferral of this payment, which is far worse than the long-term deferral of the payment that I had already described on Saturday as “fairly meaningless”.

Because the ECB have fully achieved their goal — getting a full €3.1 billion ELA repayment — calling this “a deal” with the ECB is hardly appropriate. Rather, it represents an arrangement with a privately-owned Irish bank that maintains the appearance of some sort of deal having been agreed with the ECB.”

Promissory Note “Deal” Fails to Meet Low Expectations (Karl Whelan)

Can We Make Irish Promissory Notes A Bit More Bonkers? Yes We Can (Financial Times, Alphaville Blog)

Banana Republic Status Comes A Step Closer With Anglo Promissory Note Deal (Nama Wine Lake)

(Laura Hutton/Photocall Ireland)

Meanwhile…

Cartoon: Anglo Promissory Notes. #anglo #promissorynotes #Ireland #eu twitter.com/johnsmth348/st…

— John (@johnsmth348) March 30, 2012

26 thoughts on “When Is A Deal Not A Deal?”

The time for excuses has gone now. We are in deep shit because of these banks and nobody is being held accountable. Rather, we are advised by the media of the amount of Bertie’s pension which just inflames the population’s anger. These people need to be made accountable – if someone were fiddling their social welfare money, they’d soon be in court and banged to rights (as it should be), but it seems the greasier you are and the more in the public eye, you can get away with daylight robbery – which, last time I looked, was a crime.

These guys need to get some help on the creative accounting side of things. It is not about confusing people to think that it is gone…. that is what the NAMAd guys and certain former health insurance and concrete baron does. Our government should be bigger than that BS.

Wimpy Noonan!

http://www.japlandic.com/2012/03/wimpy-noonan.html

http://i828.photobucket.com/albums/zz209/What_Goes_Up_/Japlandic/WimpyNoonan.jpg

I see – so it’s a non deal to make it look like we got a deal?

Sido on March 30, 2012 at 11:32 am said:

Hey that Noonan – Tough on Deals and tough on the causes of Deals – What a guy!

Great – so now we have to pay out €6 billion next year?

Jesus…

Stephen on March 30, 2012 at 11:52 am said:

And a few more bob in interest on this postponed payment…

“If the Taoiseach’s Government knew Anglo Irish Bank was insolvent and asked the Irish taxpayers to bail it out and to pay the cost we are now paying for it, that was and is economic treason. I stand over that.”

Deputy Eamon Gilmore, 12 January 2011

So the ECB didn’t budge and the State has borrowed the money from BofI to pay the note instead, and that money is due back to BofI next year.

I pull that shit with my credit cards. Maybe Noonan could give me a job?

Yeah, but we own Bank of Ireland.

So, this time next year, we can just not pay ourselves back .

It’s actually genius.

Clampers Outside on March 30, 2012 at 12:27 pm said:

Unfortunately, we don’t own BofI… only 15% of it.
- Zuppy International on March 30, 2012 at 12:39 pm said:
  
  I wonder who owns the rest of it? Or are we not allowed know that?
  - orieldude on March 30, 2012 at 1:01 pm said:
    
    The shareholders.
    
    Or were you looking for names and addresses?
    - Zuppy International on March 30, 2012 at 1:02 pm said:
      
      Yes, I am.
    - Zuppy International on March 30, 2012 at 1:03 pm said:
      
      Yes.
    - Clampers Outside on March 30, 2012 at 3:27 pm said:
      
      There’s your weekend gone Oriel, finding all those names….
- Maths genius on March 30, 2012 at 1:32 pm said:
  
  So we only pay 15 per cent back. Still a win for the Baldy man from Limerick, right?
  
  Please?

Who are you quoting? It doesn’t say.

Zuppy International on March 30, 2012 at 1:02 pm said:

The Gilmore quote is from Leader’s Questions

http://debates.oireachtas.ie/dail/2011/01/12/00013.asp
jon on March 30, 2012 at 1:15 pm said:

They are quoting from The Namawinelake post, third link above.
- jon on March 30, 2012 at 1:17 pm said:
  
  or “namna wine lake” . The Broadsheet hyperlink typo that made me sad.
  - Ewok on March 30, 2012 at 1:19 pm said:
    
    Sorry, Jon. Fixed now. Thanks.

If fine gael weren’t corrupt to their very core this would be laughable.

get down to the convention centre tomorrow

paul m on March 30, 2012 at 2:50 pm said:

why wait til tomorrow? mix it up with the bigger crowd at the ard fheis this evening.

doublespeak: evasive, ambiguous language that is intended to deceive or confuse.

Vote No!

Barbara on March 30, 2012 at 11:24 am said:

The time for excuses has gone now. We are in deep shit because of these banks and nobody is being held accountable. Rather, we are advised by the media of the amount of Bertie’s pension which just inflames the population’s anger. These people need to be made accountable – if someone were fiddling their social welfare money, they’d soon be in court and banged to rights (as it should be), but it seems the greasier you are and the more in the public eye, you can get away with daylight robbery – which, last time I looked, was a crime.
Stephen on March 30, 2012 at 11:24 am said:

These guys need to get some help on the creative accounting side of things. It is not about confusing people to think that it is gone…. that is what the NAMAd guys and certain former health insurance and concrete baron does. Our government should be bigger than that BS.
What Goes Up... on March 30, 2012 at 11:27 am said:

Wimpy Noonan!

http://www.japlandic.com/2012/03/wimpy-noonan.html

http://i828.photobucket.com/albums/zz209/What_Goes_Up_/Japlandic/WimpyNoonan.jpg
Sido on March 30, 2012 at 11:31 am said:

I see – so it’s a non deal to make it look like we got a deal?
- Sido on March 30, 2012 at 11:32 am said:
  
  Hey that Noonan – Tough on Deals and tough on the causes of Deals – What a guy!
Gary on March 30, 2012 at 11:35 am said:

Great – so now we have to pay out €6 billion next year?

Jesus…
- Stephen on March 30, 2012 at 11:52 am said:
  
  And a few more bob in interest on this postponed payment…
Zuppy International on March 30, 2012 at 12:08 pm said:

“If the Taoiseach’s Government knew Anglo Irish Bank was insolvent and asked the Irish taxpayers to bail it out and to pay the cost we are now paying for it, that was and is economic treason. I stand over that.”

Deputy Eamon Gilmore, 12 January 2011
orieldude on March 30, 2012 at 12:10 pm said:

So the ECB didn’t budge and the State has borrowed the money from BofI to pay the note instead, and that money is due back to BofI next year.

I pull that shit with my credit cards. Maybe Noonan could give me a job?
cross-eyed cow on March 30, 2012 at 12:19 pm said:

Yeah, but we own Bank of Ireland.

So, this time next year, we can just not pay ourselves back .

It’s actually genius.
- Clampers Outside on March 30, 2012 at 12:27 pm said:
  
  Unfortunately, we don’t own BofI… only 15% of it.
  - Zuppy International on March 30, 2012 at 12:39 pm said:
    
    I wonder who owns the rest of it? Or are we not allowed know that?
    - orieldude on March 30, 2012 at 1:01 pm said:
      
      The shareholders.
      
      Or were you looking for names and addresses?
      - Zuppy International on March 30, 2012 at 1:02 pm said:
        
        Yes, I am.
      - Zuppy International on March 30, 2012 at 1:03 pm said:
        
        Yes.
      - Clampers Outside on March 30, 2012 at 3:27 pm said:
        
        There’s your weekend gone Oriel, finding all those names….
  - Maths genius on March 30, 2012 at 1:32 pm said:
    
    So we only pay 15 per cent back. Still a win for the Baldy man from Limerick, right?
    
    Please?
atswim on March 30, 2012 at 12:48 pm said:

Who are you quoting? It doesn’t say.
- Zuppy International on March 30, 2012 at 1:02 pm said:
  
  The Gilmore quote is from Leader’s Questions
  
  http://debates.oireachtas.ie/dail/2011/01/12/00013.asp
- jon on March 30, 2012 at 1:15 pm said:
  
  They are quoting from The Namawinelake post, third link above.
  - jon on March 30, 2012 at 1:17 pm said:
    
    or “namna wine lake” . The Broadsheet hyperlink typo that made me sad.
    - Ewok on March 30, 2012 at 1:19 pm said:
      
      Sorry, Jon. Fixed now. Thanks.
paul on March 30, 2012 at 1:30 pm said:

If fine gael weren’t corrupt to their very core this would be laughable.

get down to the convention centre tomorrow
- paul m on March 30, 2012 at 2:50 pm said:
  
  why wait til tomorrow? mix it up with the bigger crowd at the ard fheis this evening.
Dave on March 30, 2012 at 5:57 pm said:

doublespeak: evasive, ambiguous language that is intended to deceive or confuse.
TheDude on March 31, 2012 at 1:24 pm said:

Vote No!