DUBLIN 4, UK -- (Marketwire) -- 11/05/09 --

FOR IMMEDIATE RELEASE 5h NOVEMBER 2009

AIB announces EUR 750m 5 year Senior Unsecured Unguaranteed Bond Issue

AIB today closed a EUR 750 million 5 year Senior Unsecured Unguaranteed Bond Issue. This is the first Senior Unsecured Bond Unguaranteed Bond Issue with a 5 year maturity from any Irish bank since the Government Guarantee was introduced in September 2008.

This follows our successful EUR 1.0 billion 3 year Senior Unsecured Unguaranteed Bond Issue completed in September 2009.

This 5 year deal was priced at a spread over mid-swaps of 285 basis points with in excess of 150 international investors reflecting a well diversified geographic profile and was oversubscribed by 1.8 times.

Colm Doherty, Managing Director of AIB Capital Markets, said:

"The positive reaction of the international markets by investing in longer term unsecured and unguaranteed bonds of AIB is a further indicator of the growing positive attitude of the international credit markets towards Irish banks.

It is a very positive indicator for future unguaranteed issuance from the Irish financial system."

This announcement was originally distributed by Hugin. The issuer is solely responsible for the content of this announcement.

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