[June 23, 2011] AIB - Capital Update Tweet Dublin 4, Ireland, Jun 23, 2011 (Thomson Reuters ONE via COMTEX) -- For Immediate Release 23rd June 2011 AIB - Capital Update Allied Irish Banks, p.l.c. ("AIB")[NYSE:AIB] announces that discussions are continuing with the Government in respect of the terms and structure of a capital raising in order to satisfy AIB's revised regulatory capital requirements following on from previously indicated capital support for AIB as one of the two Pillar Banks. While discussions remain ongoing it is evident to AIB that any subscription for shares by the State would likely be at a very low price, being a very significant discount relative to the current share price. If this is the case, it is likely that the State's shareholding in AIB would increase substantially beyond its current c. 93% ordinary shareholding, resulting in potentially significant additional dilution for existing ordinary shareholders other than the State. It is expected that discussions with the Government will finalise within the next week, at which point AIB expects to be in a position to announce the final terms and structure of any capital raising transaction with the State. AIB expects to remain as a listed company which will allow shareholders continue to trade their shares. - ENDS - For further information, please contact: Alan Kelly Catherine Burke Director of Corporate Affairs & Marketing Head of Corporate Relations and Communications AIB Group AIB Group Dublin Dublin Tel: +353-1-6412162 Tel: +353-1-6413894 email: [email protected] email: [email protected] 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#1525743 [ Back To TMCnet.com's Homepage ]