Bank of Ireland raises Euro 2 Billion of funding from global bond market after highly successful global roadshow to over 20 countries

Key Highlights

Bank of Ireland Group today (21st June 2006) announced that, subject to final documentation and completion, it had successfully raised Euro 2 Billion in funding (via Bank of Ireland Mortgage Bank) through its third covered bond issued under the 2001 Asset Covered Securities ('ACS') Act.

The issue is part of an established fundraising programme from over Euro 6.3 Billion has been raised through ACS bonds from international investors over the last three years. It follows a highly successful marketing roadshow across Asia and Europe over the last two weeks, meeting current and potential investors across 20 countries.

The bond was priced at mid swaps plus 1 basis points and has a rating of AAA/Aaa, by Moodys Investor Services and Standard & Poors, the highest possible rating. An application will be made to have the securities listed on the Irish Stock Exchange on completion.

Austin Jennings, Chief Executive, Bank of Ireland Global Markets said:

"The success of this third ACS benchmark issue consolidates Bank of Ireland's global reputation as the issuer of choice for debt investors seeking access to high quality covered bonds. The investor feedback during our recent international roadshow was extremely positive and the success of this issue is down to not only the quality of our mortgage book, but also the widely acclaimed Irish ACS legislation and the strong performance of the Irish Economy. I am greatly encouraged by the participation of central banks and the strong demand from Asia in particular. We are now well placed to capitalise on investor demand with future issuance in other currencies as well as tapping the private placement market."

Morgan Stanley, Deutsche Bank, ABN AMRO and Davy were joint lead managers on this transaction.

Ends
21st June 2006

Contacts

Dan Loughrey
Head of Corporate Communications
Bank of Ireland
Ph. 01 604 3833 or 086 241 2470

Damien Daly
Head of Marketing
Bank of Ireland Global Markets
Ph. 353-1 609 3221 or 353 86 8179415

Bank of Ireland Global Markets is regulated by the Financial Regulator.