Our future is bright, say BoI chiefs

BANK OF IRELAND'S Irish businesses have performed strongly so far this year and a good performance is expected for the year as a whole, shareholders at the bank's annual general meeting were told yesterday.

Chairman Laurence Crowley said economic trends were positive in Ireland and Britain and the bank's British operations would benefit from a cost-cutting programme.

He added the bank did not see itself as a takeover target and ruled out talks with potential buyers.

New chief executive Brian Goggin, who was appointed last month, told shareholders his term in office would see the bank respected by customers, admired by competitors and desired by potential investors.

Mr Goggin, who has been with the bank for 35 years, said he had an "unrelenting commitment to put the customer at the centre of the business" and welcomed the "huge" responsibility involved in his new role. "I'm happy to take responsibility for the bank's reputation for honesty, openness and transparency," he said.

In a veiled reference to multiple scandals currently under investigation at rival AIB, Mr Goggin added that the bank would display "probity and integrity" that would make it more attractive to customers than competing banks. "Satisfied customers are more loyal, buy more product and generate more revenue," he said.

Mr Crowley said Mr Goggin had "the experience, qualities and personal attributes to make an excellent group chief executive". He also paid tribute to former chief executive Michael Soden, who resigned in May after breaching bank guidelines by accessing adult websites from his work computer, and wished him well in the future.

Answering shareholder questions on the bank's merger and acquisition activity, Mr Crowley said the bank would examine suitable opportunities as they arose but added that mergers and acquisitions were just one way for the bank to achieve growth.

Mr Crowley said the bank had invested stg£125 million (€190m) in its joint venture with the British Post Office, which had the "potential to transform our UK financial services business".

The bank was also happy with the performance of Iridian, a recently-acquired American asset management business, and had sold its interests in businesses such as payment processing company EuroConex.

Bank of Ireland shares rose 1.5% to €10.60 after yesterday's meeting.