Shares in Irish banks fall on Dublin market

Life after Anglo Irish Bank on the Irish Stock Exchange was no less volatile an affair, as a poor day for the banking sector globally contributed to a 25 per cent drop in the share price of AIB, which closed down at €1.45, shedding 49 cent.

Bank of Ireland's share price also plummeted, falling 16 per cent to €0.75, as investors offloaded the stock.

The banks' woes reflected a miserable day for financial shares, as Citigroup posted a $8.29 billion quarterly loss and announced plans to split, Bank of America received a $20 billion bail-out package and the London-listed Barclays fell 25 per cent in trading.

Shares in Anglo Irish Banks have been suspended following the Government's decision to nationalise the bank.
But despite the heavy falls for AIB and Bank of Ireland, the Iseq index of Irish shares closed down less than 1 per cent, shedding 23 points, as its biggest stock CRH helped to compensate.

The building materials group - which now accounts for almost one third of the index by market capitalization due to the declining size of the banks - rose 3.7 per cent to €18.22.

Another major stock, Ryanair - which accounts for 15 per cent of the index - also posted gains, closing up 1.25 per cent at €3.24.

Irish Life & Permanent held up well, falling just 2.2 per cent to a share price of €2.20.

But Independent News & Media rounded off a poor week by dropping 6.6 per cent to €0.35.

Drinks group C&C, which issued a grim interim management statement highlighting poor sales of Bulmers in a poor trading environment in Irish pubs, fell 8.2 per cent to €1.11.

Elsewhere it was a bit of a mixed bag, with Glanbia among the climbers and Paddy Power and Kerry among the fallers.