S&P Cuts Irish Banks, Late Again (AIB, IRE)
Standard & Poor’s is at it again, with late debt rating cuts. This is actually in the Irish banking sector rather than in the sovereign ratings. As this is too little too late, we are only giving the rating cut…
S&P cut the ratings The Bank of Ireland (NYSE: IRE) was cut to BB+ from BBB+, while Allied Irish Banks PLC (NYSE: AIB) was cut to BB from BBB. If you want to know why we say these cuts are too little too late, these were actually investment grade rated up until this cut. Amazing for bank that would have imploded if it were not for intervention after intervention.
Elsewhere, Anglo Irish Bank was cut to B from B+; Irish Life & Permanent PLC was cut to ‘BBB-. Two other cuts were seen, but you get the idea. The implications are also negative CreditWatch.
JON C. OGG
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Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.