National Asset Management Agency NAMA Briefing For Borrowers Prepared by:

1. National Asset Management Agency (NAMA) Briefing For BorrowersPrepared by: 

2. 1. Why NAMA? 2. NAMA-What will it do? 3. NAMA-Objectives & Powers. 4. NAMA-Asset Transfer. 5. Borrowers-Eligible for NAMA? (Summary) 6. Borrowers-advice from Finance One. 7. Borrowers-preparation of Business Plan. 8. Borrowers-Way Forward 9. Finance One-who we are. 10. Finance One-Senior Team. 11. Finance One-Contact Details.

3. Objectives: Re-establishment of functioning Banking system. Government became heavily involved in the banking system when it was forced to provide a wide-ranging guarantee for banks liabilities (�400bn) as at 30.09.08. Following an independent review of the loan books of all �guaranteed� institutions it became clear in late 2008 that certain institutions required to be recapitalised to deal with potential loan losses. Government commissioned Dr. Peter Bacon to assess what options, in terms of asset relief mechanisms, could be introduced to assist in resolving the property crisis. Asset Management option recommended.

4. NAMA will intensively manage the top 100 borrowers, representing c. 50% of total loans in value terms. This will include key credit decisions and relationship management. Loan administration will continue to be carried out by the participating institutions. In relation to the other borrowers, c. 1,500 in number, credit decisions will be made by NAMA but relationship management will be carried out by the participating institutions within NAMA parameters. NAMA will have an oversight presence in each of the banks. As loans are transferred to NAMA, each of the borrowers will be asked to prepare a realistic and concise Business Plan setting out: - The Borrower�s current position. - Levels of indebtedness to non-NAMA institutions. - A full list of assets and liabilities. - Short, medium and long-term objectives. - A list, in order of priority, of assets to be disposed, assets that require additional investment, etc.

5. NAMA will assess each of the major borrower�s Business Plan to evaluate whether it is sensible, logical and realistic. NAMA will meet with the major borrowers and will give response to their Business Plan. If agreement can be reached, NAMA will work constructively with the borrower to try and achieve the optimal outcome. If no agreement can be reached, or the borrower does not wish to cooperate with NAMA, they will be asked to repay their debts in full. If this is not feasible, NAMA will take enforcement action against the borrower. NAMA will have 2 distinct business lines: - Loan Management Division � to manage acquired loans. - Asset Management Division � to manage property assets acquired post-enforcement. This division of NAMA will either dispose of assets, retain assets, invest additional money in assets or seek joint venture partnerships to co-invest and manage assets with a view to disposal at a future date.

6. NAMA has, as a minimum, the objective to breakeven over the projected lifespan of 10 years and has powers to: Lend. Borrow or raise funds, including the issuance of bonds, up to a level of �5bn. Give guarantees and sureties. Form and take an interest in companies. Enter into partnerships and joint ventures. Establish Trusts. Borrow or lend securities, including equity and debt instruments. Purchase other property, assets or rights. Invest. Sell or dispose of property and investments. Undertake land and property development to realise the full value of acquired assets.

7. NAMA�s first priority is loan acquisition which is necessary to provide liquidity to the banking system. An interim NAMA team of five has put in place the infrastructure to facilitate the loan acquisition process. First acquisition schedules, originally expected to take place in late 2009, are now expected to take place towards the end of January 2010. The take-over information requirements of NAMA are extensive and this is the main reason for the delay. The valuation process is also a critical factor and potential further delays could occur should issues/difficulties arise in this area. Target completion date for all loan transfers in end July 2010. However, this is heavily dependent on the readiness of each participating institution in having the information prepared on each individual loan for the NAMA due diligence process. NAMA is primarily a workout vehicle, not a liquidation vehicle, and will take a longer term view of borrowers and assets if it makes commercial sense to do so.

8. NAMA will effectively take-over the banking relationship of eligible borrowers from their current bank and eligibility will be based on the following criteria: Principally non-performing development land financing arrangement. However, it is anticipated that c. 40% of assets to be acquired will not be impaired and will be cash generating for NAMA. NAMA will also acquire loans which are not development loan financing where they are owed by associated debtors (such as group companies to or partnerships involving, the principle debtor). Categories of bank assets will include all types of debt financing, derivatives, debt factoring facilities and guarantee facilities. NAMA Business Plan indicated that land and development loans with a value of less than �5m held by Anglo Irish Bank, Allied Irish Bank of Ireland and their associated commercial loans will not transfer to NAMA. This limit will not apply to Irish Nationwide Building Society and EBS Building Society.

9. Are you eligible for NAMA? Are all your interests eligible? For clients who are likely to transfer to NAMA it is important they prepare a Business Plan that meets the requirements of NAMA. The quality of Business Plans in terms of accuracy, honesty, credibility and professional will be key. NAMA will involve a change at Relationship Manager level for all impacted businesses and any Business Plan should be prepared on the basis that the reader has no prior knowledge of the business. Preparation of such Business Plans should be undertaken proactively and with the assistance of an experienced adviser. Keeping NAMA updated and continually updating the Business Plan to reflect ongoing changes will be critical in maintaining the ongoing support of NAMA. Business Plans need to be a �living document�. Survival will depend as much on the approach taken in responding to the requirements of NAMA as it will on the underlying risk position of any business.

10. FinanceOne in conjunction with the client will: Undertake a full review of the borrowers business including: Current trading and balance sheet position. Debt/repayment position including loan structure and pricing. Cashflow and costs (For 3 Years) Facility documentation. Collateral position. Key business plan objectives Prepare a report and business plan for presentation to NAMA which will anticipate and address all concerns and expectations and will be: Accurate. Comprehensive � highlighting actions taken to improve cashflow. Realistic and Viable. Professional. Take account of NAMA�s position and objectives. 3. Support client in preparing for and presenting proposal to NAMA. 4. Assess the response and finalise agreement with the NAMA. 5. Assist client in monitoring implementing agreed action. 6. Prepare periodic updates for submission to NAMA as required. 7. Provide Property Management solutions on a fully integrated basis.

11. 1 Are you eligible for NAMA? 2 Are all your interests eligible? 3 What are you trying to achieve in NAMA? 4 Preparation of Business Plan. 5 What are ongoing responsibilities with NAMA? * * *

12. Finance One Ltd is an independent financial intermediary business regulated by the Financial Regulator and is authorised to provide the following services. Debt - Advisory Services and Credit Procurement. Deposits - Advisory Services and Deposit Placement. Life & Pensions. Foreign Exchange. Owns www.IrishDeposits.ie Winner of the Best Financial Services Website at the 2008 Golden Spiders Awards

14. Harry Slowey, Conor Sheeran, Jim Deeney, Finance One Ltd, 8 Herbert Street, Dublin 2. Ph. 01 6471200. email - info@financeone.ie Web www.financeone.ie