Should AIB be merged with Bank of Ireland

jimbo99

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With banks in Ireland bringing fear to the Eurozone financial maesters is it time for AIB and BOI to be merged into one sustainable bank. The savings from reduced branch network expenses would be substantial.
 


TradCat

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What's in it for B of I? They have a good chance of surviving on their own. AIB would just drag them under.
 

Warren Poynt

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A bit like a drowning person hanging on to a poor swimmer for survival.

At least the poor swimmer might be able to take care of him/herself, but to to ask him/her to get out of difficulty and at the same time 'rescue' someone else is asking too much, I would think.

In any case, the savings on depulication in regard property/branches around the country would not amount to that much given the depressed state/value of all properties, domestic and commercial.

Secondly, isn't the way forward electronic banking ?
 
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HarshBuzz

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What's in it for B of I? They have a good chance of surviving on their own. AIB would just drag them under.
no they don't

they'll be nationalised next year
 

Cassandra Syndrome

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No way. I have read enough from Mary Shelley to spook me about creating such merged abominations.

A temporary state owned good bank. Asset strip the hoors.
 

Sync

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Nothing bad could possibly happen by combining the 2. Sher think how powerrful a bank with 80% + of all Irish mortgages would be! It would be too big to possibly fail....
 

Hillmanhunter1

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No. Let us not forget that this too shall pass - even if it will not be for a long time. When it passes we do not want to be left with a single monopoly bank (80%+ of all current accounts, the key "gateway" product). That would not be in the interests of personal or business customers.
 

seanmacc

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If AIB was split into a "Good Bank" and a "Bad Bank", the good bank merged with BoI and the bad bank merged with Anglo. The bad bank should be left to die.

There will be losers in such an arrangement but no more than there are now and at least we'd have a somewhat functioning bank in the country.
 

jimbo99

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If AIB was split into a "Good Bank" and a "Bad Bank", the good bank merged with BoI and the bad bank merged with Anglo. The bad bank should be left to die.

There will be losers in such an arrangement but no more than there are now and at least we'd have a somewhat functioning bank in the country.
I have no doubt that the IMF greater expertise in dealing with non functioning banks will closely examine the 2 big banks and quickly come to a conclusion that one of them should be buried.
 

bormotello

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With banks in Ireland bringing fear to the Eurozone financial maesters is it time for AIB and BOI to be merged into one sustainable bank. The savings from reduced branch network expenses would be substantial.
Why not wind down AIB and transfer all assets and deposits from AIB to BoI?
Then taxpayers don't have to pay DB pensions for AIB staff
 

powderfinger

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no they don't

they'll be nationalised next year
Hi Harshbuzz.
Do you think that Bank of Ireland could be nationalised with the intent of carrying out a rigorous quarantine and cleansing operation? This could then have a possible upside for the taxpayer if the Bank could then be sold back into the marketplace further down the road ?

Thanks
 

ellie08

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Michael Soden (before email scandal) had talked of merging the two banks back in the mid noughties. Wonder would anything be different had this happened? Probably not.
 

atrainacoming

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Merging them and letting them dominate the Irish market would be a really bad idea. But why not then open the market?
Merge AIB & BOI and allow European banks to come in to establish a properly competitive market?
Or am I being too idealistic?
 

jimbo99

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Merging them and letting them dominate the Irish market would be a really bad idea. But why not then open the market?
Merge AIB & BOI and allow European banks to come in to establish a properly competitive market?
Or am I being too idealistic?
Without doubt our banking system needs to be cleansed, as to how best to achieve that will soon be known, a matter of days rathar than weeks.

We need real competition, fewer domestic banks and more overseas, with no cross breeding between politicians and the senior management of banks. The price we are being asked to bear for bailing out the banks must be balanced by a clean sweep of all those banks and bankers who contributed so much to this economic disaster.
 

drummed

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should be merged with bagenalstown credit union, that's all it's fit for now
 

jimbo99

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Jul 2, 2009
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Merging them and letting them dominate the Irish market would be a really bad idea. But why not then open the market?
Merge AIB & BOI and allow European banks to come in to establish a properly competitive market?
Or am I being too idealistic?
Looks like AIB will be thrown to the wolves and BOI salvaged. Not a very pretty fall from grace of Irelands former biggest bank.
 


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