Burrows to resign after nosedive in BoI profits

The chairman of Bank of Ireland is to stand down in July over the lender’s losses, it was revealed today.

Richard Burrows apologised to shareholders and said he was taking accountability for falling profits and share prices.

Announcing the bank’s preliminary results, he said: “We are working towards restoring the trust of our customers, the general public and our stockholders.

“On my own behalf, and on behalf of my fellow directors, I apologise to our stockholders for the loss in value of their stock and for the cancellation of dividends.

“Accountability for these losses must be taken at the top and, accordingly, I have informed my fellow directors of my personal decision to stand down from the Court at the end of the Annual General Court in July 2009.”

A recruitment process to select a successor to Mr Burrows has begun. Senior Bank of Ireland executive Richie Boucher replaced Brian Goggin as chief executive in February.

Today, the bank announced a pre-tax loss of €7m for the year to the end of March after writing off €1.4bn in bad loans.

The bank made a pre-tax profit of €1.9bn the previous year.