SOURCE: Allied Irish Banks, p.l.c.

January 24, 2011 12:27 ET

AIB - Exchange of Outstanding Securities by Exchange Offers

DUBLIN 4, IRELAND--(Marketwire - January 24, 2011) - Allied Irish Banks, p.l.c. ("AIB") (NYSE: AIB) today announces that it has accepted offers to exchange eleven series of Euro, Sterling and US Dollar denominated lower tier 2 securities, with a nominal value of c. EUR3.9bn. The value of the securities tendered in the exchange is c. EUR2bn. The securities will be exchanged for 30% of their face value in line with the previously announced exchange price.

The core tier one accretion for AIB Group arising from the exchange offers is expected to be circa EUR1.4bn.

-ENDS-


Allied Irish Banks, p.l.c. 24 January 2011

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO, OR TO ANY PERSON LOCATED OR RESIDENT IN THE UNITED STATES OF AMERICA OR LOCATED IN THE REPUBLIC OF ITALY

ALLIED IRISH BANKS, P.L.C. ANNOUNCES THE RESULTS OF ITS OFFERS TO PURCHASE FOR CASH

any and all of its outstanding £350,000,000 Subordinated Callable Fixed/Floating Rate Notes due 2030 (ISIN: XS0180778507) (the "2030 Sterling Notes")

U.S.$400,000,000 Dated Callable Step-Up Subordinated Notes due 2015 (ISIN: XS0197993875) (the "2015 Dollar Notes")

EUR400,000,000 Subordinated Callable Step-Up Floating Rate Notes due 2015 (ISIN: XS0208845924) (the "2015 Euro Notes")

£500,000,000 Subordinated Callable Fixed/Floating Rate Notes due 2025 (ISIN: XS0214107053) (the "2025 Sterling Notes")

EUR500,000,000 Callable Subordinated Step-Up Floating Rate Notes due 2017 (ISIN: XS0232498393) (the "2017 Euro Floating Rate Notes")

£700,000,000 Callable Dated Subordinated Fixed to Floating Rate Notes due July 2023 (ISIN: XS0368068937) (the "2023 Sterling Notes")

£368,253,000 12.5 per cent. Subordinated Notes due 25 June 2019 (ISIN: XS0435957682) (the "2019 Sterling Notes")

EUR868,518,000 12.5 per cent. Subordinated Notes due 25 June 2019 (ISIN: XS0435953186) (the "2019 Euro Notes")

EUR419,070,000 10.75 per cent. Subordinated Notes due 2017 (ISIN: XS0498532117) (the "2017 Euro Notes")

U.S.$177,096,000 10.75 per cent. Subordinated Notes due 2017 (ISIN: XS0498530178) (the "2017 Dollar Notes")

£1,096,645,000 11.50 per cent. Subordinated Notes due 2022 (ISIN: XS0498531069) (the "2022 Sterling Notes" and, together with the 2030 Sterling Notes, the 2015 Dollar Notes, the 2015 Euro Notes, the 2025 Sterling Notes, the 2017 Euro Floating Rate Notes, the 2023 Sterling Notes, the 2019 Sterling Notes, the 2019 Euro Notes, the 2017 Euro Notes and the 2017 Dollar Notes, the "Notes" and each a "Series" and the holders of such being the "Holders")



On 13 January 2011, Allied Irish Banks, p.l.c. (the "Bank") announced that it was inviting all holders of the Notes (subject to the restrictions set out in the Tender Offer Memorandum (as defined below)) to tender any and all of their Notes for purchase by the Bank for cash (the "Offer") on the terms and subject to the conditions set out in the Tender Offer Memorandum dated 13 January 2011 (the "Tender Offer Memorandum").

This announcement is made in accordance with the Tender Offer Memorandum.

The Bank hereby announces the results of the Offer as follows:

Description of the Common code/ISIN Outstanding nominal Aggregate nominal Notes amount prior to amount of Notes settlement of the accepted for Offer purchase

£350,000,000 018077850/ £26,689,000 £26,544,000 Subordinated Callable XS0180778507 Fixed/Floating Rate Notes due 2030

U.S.$400,000,000 019799387/ U.S.$178,626,000 U.S.$139,310,000 Dated Callable Step- XS0197993875 Up Subordinated Notes due 2015

EUR400,000,000 020884592/ EUR187,829,000 EUR139,295,000 Subordinated Callable XS0208845924 Step-Up Floating Rate Notes due 2015

£500,000,000 021410705/ £18,987,000 £17,726,000 Subordinated Callable XS0214107053 Fixed/Floating Rate Notes due 2025

EUR500,000,000 Callable 023249839/ EUR167,528,000 EUR92,313,000 Subordinated Step-Up XS0232498393 Floating Rate Notes due 2017

£700,000,000 Callable 036806893/ £151,411,000 £116,054,000 Dated Subordinated XS0368068937 Fixed to Floating Rate Notes due July 2023

£368,253,000 12.5 per 043595768/ £368,253,000 £152,290,000 cent. Subordinated XS0435957682 Notes due 25 June 2019

EUR868,518,000 12.5 per 043595318/ EUR868,518,000 EUR218,227,000 cent. Subordinated XS0435953186 Notes due 25 June 2019

EUR419,070,000 10.75 049853211/ EUR419,070,000 EUR201,150,000 per cent. XS0498532117 Subordinated Notes due 2017

U.S.$177,096,000 049853017/ U.S.$177,096,000 U.S.$68,991,000 10.75 per cent. XS0498530178 Subordinated Notes due 2017

£1,096,645,000 11.50 049853106/ £1,096,645,000 £701,301,000 per cent. XS0498531069 Subordinated Notes due 2022

The Bank hereby announces that it has accepted for purchase all Notes validly tendered pursuant to the Offer. The applicable Purchase Price, together with Accrued Interest, will be paid to Holders whose Notes have been accepted for purchase by the Bank. Settlement of the Offer is expected to occur on 27 January 2011.

Capitalised terms used and not otherwise defined in this announcement have the meaning given in the Tender Offer Memorandum.


GENERAL


Holders are advised to read carefully the Tender Offer Memorandum for full details of, and information on, the Tender Offer. Requests for information in relation to the Offer should be directed to the Dealer Managers:

                              THE DEALER MANAGERS

                          J.P. Morgan Securities Ltd.
                                125 London Wall
                                London EC2Y 5AJ

               For information by telephone:  (0) 20 7777 1333
               Attention: Sebastien Bamsey - Liability Management
                     Email: sebastien.m.bamsey@jpmorgan.com

               For information by telephone:  (0) 20 7779 2468
                    Attention: Ryan O'Grady - FIG Syndicate
                         Email: ryan.ogrady@jpmorgan.com

                     Morgan Stanley & Co. International plc
                                25 Cabot Square
                                  Canary Wharf
                                 London E14 4QA

               For information by telephone:  (0) 20 7677 5040
                        Attention: Liability Management
               Email: liabilitymanagementeurope@morganstanley.com

Requests for information, documents or materials relating
to the Offer should be directed to the Tender Agent:


                                THE TENDER AGENT

                         Lucid Issuer Services Limited
                                  Leroy House
                                 436 Essex Road
                                 London N1 3QP

               For information by telephone:  (0) 20 7704 0880
                   Attention: Sunjeeve Patel / David Shilson
                             Email: aib@lucid-is.com

This announcement must be read in conjunction with the Tender Offer Memorandum.

This announcement does not constitute an offer to sell or buy or the solicitation of an offer to sell or buy the Notes.

This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that:

(i) the releases contained herein are protected by copyright and other applicable laws; and

(ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: Allied Irish Banks, p.l.c. via Thomson Reuters ONE

[HUG#1481916]

Contact Information

  • For further information please contact:
    Alan Kelly
    General Manager, Corporate Services
    AIB Group
    Dublin
    Tel: +1-6412162
    email: Email Contact

    Ronan Sheridan
    Group Press Officer
    AIB Group
    Dublin
    Tel: +1-6414651
    email: Email Contact