NEW YORK - Irish and Greek banking stocks have declined almost every day since the financial crisis began in 2008.
Allied Irish bank which is on life support has seen its stock drop by over 99% in the last two years. The company has over 30% of its loans marked as criticized. This means that many of the loans on its balance sheet will default. Due to declining Irish real estate prices the company is likely to lose large amount of value. The company has been bailed out by the national government twice. The government has also criticized fellow bank, Bank of Ireland. Perhaps the government does not see the contradiction that it also had to be bailed out by the European Union due to its excessive spending.
To read the full AIB Report click here.
NBG which today reported a 39% gain in net income to $157 million has continued to see its shares move lower. The news is not much of a distraction from a bigger issue, of the country Greece defaulting on its debt claims. Investors are concerned what will happen to Greece when it defaults?
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