06 June 2007

Bank of Ireland - transfer of Bristol & West plc business to Bank of Ireland

On 19 February 2007 Bank of Ireland announced that one of its subsidiaries, Bristol & West plc ("Bristol & West"), proposes to transfer its business to Bank of Ireland (the "Transfer"). The Transfer is to be effected pursuant to a banking business transfer scheme under Part VII of the Financial Services and Markets Act 2000 (the "Scheme"). Today Bristol & West has made an application to the High Court in London for approval of the Transfer.

It is proposed that, under the Scheme, Bank of Ireland will be substituted as obligor in place of Bristol & West under Bristol & West's listed bonds, being the Subordinated Bonds due 2018 (LSE: BB84) and the Unsecured Perpetual Subordinated Bonds (LSE: BRS).

It is further proposed that Bristol & West will apply to Court for approval of a reduction in its share capital following the Transfer. The holders of Bristol & West's listed Non-cumulative Non-redeemable Preference Shares (the "Preference Shares") will be offered the option of retaining their Preference Shares following the reduction or having them cancelled and repaid at par together with any accrued but unpaid dividend. Bank of Ireland proposes to provide ongoing support to Bristol & West in relation to dividend and capital payments to those holders who retain their Preference Shares. A circular convening a class meeting of holders of the Preference Shares to consider and vote on these matters will be dispatched in due course, containing further details of the proposals. Further details about the Transfer and the Court process will be set out in an explanatory statement to be made available later this month. A further announcement will be made containing details about how to access the explanatory statement and the date for the Court hearing to consider the Scheme.

/ends

Enquiries:-

Dan Loughrey,
Head of Group Corporate Communications
Tel: 00-353-1-604-3833