Issue of debt

Bank of Ireland Issue Can dollar 400 million Fixed/Floating Rate Subordinated Notes
due 22 September 2015.

Bank of Ireland announced today that it has launched and priced an issue of CAN dollar 400 million fixed/floating rate subordinated notes due 2015 ("the notes"). The transaction is part of Bank of Ireland's normal capital management process. Bank of Montreal, London and Merrill Lynch, International are joint lead managers on the transaction.

The notes have been priced with a coupon of 3.80% and issued at 99.86%. This represents a margin of 43bps over the interpolated curve (Cda 4% Sep 1, 2010 and Cda 6% June 1, 2011) and 44bps over the Cda 4% Sept 1, 2010 bond at the time of pricing. Interest will be paid semi-annually in arrears until 22 September 2010. The notes are callable at par at the option of Bank of Ireland, subject to regulatory approval, on 22 September 2010, at which point the coupon resets to a floating rate equal to the three month BA CDOR plus 79bps.

Application will be made to the Irish Stock Exchange for admission of the notes to the Official List. Stabilisation in accordance with article 9(2) of Commission Regulation (EC) No. 2273/2003 implementing the Market Abuse Directive (2003/6/EC).

Enquiries:

Brian Kealy
Head of Capital Management
0035386-6089629

Deirdre Hogan
Capital Management
003531-6043526

Geraldine Deighan
Head of Investor Relations
003531-6043501

Dan Loughery
Head of Group Corporate Communications
003531-6043833