Reuters exclusive on Ireland’s “bad bank” roils banking shares

A Reuters exclusive on Ireland’s “bad bank” triggered ripples in brokerage houses, newsrooms and trading floors on July 1. Reuters revealed the capital impact of the “bad bank” would not be known until the middle of next year, in a blow for equity investors seeking clarity on the future path of Bank of Ireland and Allied Irish Banks. The shares of Bank of Ireland and Allied Irish Banks dropped 5 percent and 9 percent respectively in the days following the report, which was extensively covered by the main stock broking houses in their morning notes and covered in the main news bulletins of the state broadcaster from 9pm until 10 am.