Shares fall 5.57% after €2bn loss

SHARES in AIB shed 5.57% of their valueyesterday to 0.93 cent as investors reacted badly to the group’s €2bn losses for the first half of 2010.

For the six months to end June 2010, the bank’s Irish operations chalked up losses of €2.7 billion, reflecting the impact of its property exposure.

Overall, AIB suffered bad debt charges of over €3bn, made up of €963 million of losses on loans transferred to NAMA.