Cautious market shows slight gains

THE ISEQ index added 11.27 points to end the week at 2,665.95. Investors pondered over talk that both junior and senior bondholders in the banks may be forced to share the pain of a total restructuring of debt.

AIB's €750 million of 5.625% senior notes due 2014 dropped 4 cents on the euro to 73 cents, a 5.2% decline, according to composite prices on Bloomberg. Bank of Ireland's €974 million of 4.625% senior unsecured notes maturing in 2013 declined 3.6 cents on the euro, or 4.2%, to 81 cents.

In the financial sector, AIB tacked on 4.2c to 34.2c. Bank of Ireland gained 0.8c to 26.4c. Irish Life & Permanent fell 8.3c to 51.4c, while insurance group FBD Holdings gave up 8.9c to 5.951.