Aib Group Plc · EURONEXT:A5G
Aib — Allied Irish Banks, p.l.c. — H1 2011 Earnings Presentation
22 slides from Aib's earnings presentation, Jul 25, 2011
Slide 1: Allied Irish Banks, p.l.c. Interim Results 25th July 2011
Allied Click to editIrish Banks, Master p.l.c. title style 25th July 2011
Slide 2: Forward looking statement
Forward looking statement Slide 2 A number of statements we will be making in our presentation and in the accompanying slides 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. Actu
Slide 3: Agenda
Agenda Slide 3 Introduction 2011 Preliminary Interim Results Overview Questions and Answers
Slide 4: Introduction – AIB today
Introduction – AIB today Slide 4 AIB exists today due to the support of the Irish Government on behalf of taxpayers AIB, its shareholders and investors have been severely damaged by events in the past Working to remove the barriers inhibiting our people from providing customers with the servic
Slide 5: Paul Stanley, Acting Chief Financial Officer
Slide 5 Paul Stanley Acting Chief Financial Officer
Slide 6: Key financial features
Key financial features Slide 6 Jun Jun Jun Dec €bn 2011 2010 Funding % 2011 2010 Operating loss (0.1) (0.2) Loans / deposits ratio* 143 165 Provisions (2.9) (2.3) Wholesale funding as % of total funding 41 48 Income Tax 0.4 0.4 Underlying loss (2.6) (2.1) Jun Dec Capital % 2011 2010 Gain on redempti
Slide 7: Loan book composition – total €86bn
Loan book composition – total €86bn* Slide 7 €9bn Residential Mortgages 35% €30bn €17bn Other Personal 7% Property & Construction 28% SME / Other Commercial 19% €24bn €6bn Corporate 11% Dec 2010 Jun 2011 Impaired loans €12.1bn Impaired loans €15.2bn Total provisions €7.3bn Total provisions €9.6bn Sp
Slide 8: Transition to domestically focused bank
Transition to domestically focused bank* Slide 8 Significant loan reductions achieved €130bn €96bn €87bn Dec 2009 Dec 2010 Jun 2011 * includes NAMA loans
Slide 9: Non core deleveraging year to date
Non core deleveraging year to date Slide 9 Net loan balances down €8.3bn to €16.8bn €bn 25.1 1.5 25 3.6 20.0 1.9 20 1.3 16.8 15 10 5 0 Dec-10 Disposal Amortisation Sub Total Provisions Other Jun-11
Slide 10: Non core profile – June 2011
Non core profile* – June 2011 Slide 10 By Geography 15% Ireland 34% 12% UK Europe / Other 39% USA By Sector 15% Property 5% 54% Corporate & Personal Structured Securities 26% Project Finance * management estimate
Slide 11: David Hodgkinson, Executive Chairman
Slide 11 David Hodgkinson Executive Chairman
Slide 12: Progress achieved in 2011 to date
Progress achieved in 2011 to date Slide 12 Key objectives (as presented in April 2011) Progress Deliver goals with new leadership Extensive changes to Board and management and a reinvigorated workforce of Changing AIB culture - new leadership skilled, engaged and accountable behaviours specifi
Slide 13: Changed leadership
Changed leadership Slide 13 Active programme to embed Belief that AIB has to change behaviours throughout the bank Responsibility begins at the top, the primary source of past problems Endorsed by AIB Board New behaviours defined following engagement across the bank Renewing relationship with custom
Slide 14: Intense series of capital actions
Intense series of capital actions Slide 14 Core tier 1 generated by AIB €9.8bn Liability management exercises Government support to date 2009 €1.1bn 2009 €3.5bn 2010 €0.4bn 2010 €3.7bn 2011 (Jan) €1.5bn 2011 (Jul) €2.1bn Business disposals M&T €0.9bn Remaining €12.7bn PCAR Polish business €2.3bn r
Slide 15: Customers at the centre of new operating model
Customers at the centre of new operating model Slide 15 Market Segments Corporate & Non-Core Personal & Business Institutional and GB Banking Commercial Customers Integrated bank with dedicated customer facing units Finance Corporate / other Divisional structures dismantled Corporate / Other
Slide 16: New control and risk environment
New control and risk environment Slide 16 Complete restructuring of risk and control Centralised control functions across the whole business Finance, Risk, Credit and Audit Risk management owned by the business segments, full accountability and responsibility Risk control ownership across
Slide 17: Bernard Byrne, Director of Personal & Business Banking
Slide 17 Bernard Byrne Director of Personal & Business Banking
Slide 18: New focus on supporting customers
New focus on supporting customers Slide 18 Make it easier for our customers to access our services Through our Branch Network Through online, automated and Direct Channels Access Facilitating access to our people, services and products Have the appropriate products and services to really h
Slide 19: Working to support customers – mortgage arrears
Working to support customers – mortgage arrears Slide 19 All options being explored for the “can‟t pay” customers working constructively with us Focus on trying to keep families in their homes Extensive staff training in 2011, mortgage specialists now available across our network More resour
Slide 20: Working to support customers – SME support & access
Working to support customers – SME support & access Slide 20 Now tracking all loan requests to: Help customers get to a “yes” by guiding them through the application process Ensure we do lend to viable businesses Develop better system oversight Training and redeploying our people Realloc
Slide 21: Questions & Answers
Slide 21 Questions & Answers
Slide 22: Contacts
Contacts Slide 22 Our Group Investor Relations Department will be happy to facilitate your requests for any further information Alan Kelly [email protected] +353-1-6412162 Rose O’Donovan rose.m.o’[email protected] +353-1-6414191 Pat Clarke [email protected] +353-1-6412381 +353-1-660 0311
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