The National Asset Management Agency yesterday announced details of the second tranche of loans being transferred from Irish-owned banks. The original value of the loans was €5.2m but NAMA paid €2.7bn which amounts to a discount of 48%. For reasons which were not explained the transfer of Anglo Irish Bank loans has been delayed.

Bank of Ireland seems to have been the least flathulach in handing out cash to developers. It received 62.2% of the original value of the loans transferred. EBS received 53.5%, AIB was paid 51.5% and Irish Nationwide had to settle for just 28%.

Permanent/TSB had the good sense to concentrate on its core business of lending to home buyers rather than property developers.

Taoiseach calls for balanced coverage on economy

The Taoiseach yesterday told the media that we have "had enough of this pervasive negativity" in relation to the economy. He was prompted by the prominence given to the decision by Moody's to downgrade Ireland's credit rating compared with the negligible coverage given to the simultaneous announcement by the same agency as it adjusted its outlook for Ireland from negative to stable.

Today the newspapers take issue with Mr Cowen but editors seem to have assumed that he asked them to ignore bad economic news when what he appears to by asking for is a more balanced approach. He would like to see positive developments being given equal prominence and an end to the highlighting of the worst possible interpretation of each economic projection.

Dublin water supply solution proposed

Bord na Mona and Dublin City Council have come up with a highly imaginative solution to the water shortage which affects the capital and surrounding counties from time to time and which is expected to become a serious problem in years to come.

It is proposed to create a water-based eco-park with fishing, boating, cycling, water and leisure sports on 500 acres, with a major water storage reservoir, located on a former cutaway bog, Garryhinch Bog, Co. Offaly. The reservoir will only be replenished when the Shannon is in flood and the water will be piped to the east coast as needed.

This solution should suit everyone but the initial response from the Shannon Water Protection Alliance has been negative. It's not clear whether its members are included in the large body of people who regularly call for flood alleviation measures in the Shannon basin.

Rent-to-buy scheme launched by Dublin City Council.

Dublin City Council today announced details of a rent-to-buy scheme which should dispose of its stock of vacant affordable homes. The council has 91 properties in Glasnevin, Rialto and Dublin 11 which it has been unable to sell to qualifying individuals or families. These will now be offered as rental properties with the option to purchase at the end of three years; 80% of the rent paid will then be taken from the purchase price. If prices should fall further over that period the occupant can walk away from the deal.

McElhinney's of Athboy to reopen

Just six weeks after going into voluntary liquidation, McElhinney's fashion store in Athboy announced that it plans to reopen on Monday.  All 56 staff will be rehired. Irish fashion company, Flairline, came to the rescue.

Both companies are family-owned and the McElhinney and the Barron families became close friends over the years. Flairline has 23 stores around the country and McElhinney's will prove a valuable additional outlet for its products.

Today's Papers

The Irish Times leads today with the court case being taken by developer Paddy McKillen, with the headline "Anglo resists Nama's bid for €800m in loans to developer"; the Irish Examiner looks to the home defence Bill for its headline - "Bill lets public use lethal force on intruders"; and the Irish Independent forecasts extra monthly expenses for mortgage holders with "Lenders to impose raft of interest rate hikes".

The Irish News Headline, "CIRA hardline faction's sinister threat", concerns reports of a split in the Continuity IRA.

The Weather in Galway

Once again the day has started sunny but rain looks to be not far away. Temperature 18C

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