National Irish Bank set to be rebranded as Danske Bank

National Irish Bank set to be rebranded as Danske Bank

Danske Bank has announced plans to wind up its commercial and investment property loan portfolios at National Irish Bank and rebrand it as Danske Bank by the end of the year.

In a statement this morning it says the rest of its Irish banking activities will continue in their current form.

Eivind Kolding, Danske Bank Chairman, said the group wants to focus on its core business in Ireland.

He said: “Danske Bank has considered alternative options and decided that this solution is the best in terms of creating value. With these initiatives, we also confirm our commitment to Ireland.”

Danske was hit during the financial crisis by huge loan writeoffs in its Irish business.

The Group will use the Danske Bank brand name for all its banking operations by the end of this year.

This morning it announced group profit before tax of €213m for the first three months of 2012, in line with expectations.

At National Irish Bank operating profit was up 3% to €11m and €195m was set aside for loan impairment charges.

Chief executive Andrew Healy said that economic conditions remain challenging, and that further falls in residential and commercial property prices have kept impairment levels high.

Following the restructuring, Andrew Healy is to resign as Chief Executive of National Irish Bank and as a member of Danske Bank Group’s Executive Committee.

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