National Asset Management Agency Act 2009

• (2) The Minister may advance to NAMA or a NAMA group entity such sums of money as are necessary for the performance of its functions from the Central Fund or the growing produce of that Fund on such terms and conditions (including as to repayment of principal and interest) as he or she determines.

• (3) Subsection (2) does not affect NAMA’s borrowing powers.

47. Financing arrangements — Minister may issue debt securities.

47.— (1) The Minister may, whenever and so often as he or she thinks fit, create and issue such debt securities that he or she specifies by order, charged on the Central Fund or the growing produce of that Fund and ranking pari passu with debt securities issued by the Minister under section 54 of the Finance Act 1970—

• (a) bearing interest at such rate as he or she thinks fit, or no interest,

• (b) for such cash or non-cash consideration or deferred consideration as he or she thinks fit, and

• (c) subject to such terms and conditions as to repayment, repurchase, cancellation and redemption or any other matter as he or she thinks fit.

• (2) When the Minister issues securities under this section he or she shall specify which of the following is the purpose of the issue:

• (a) the financing of the general operations of NAMA and NAMA group entities;

• (b) the providing of consideration for the acquisition of bank assets.

• (3) Securities issued under this section shall be used only for the purpose specified under subsection (2).

48. Financing arrangements — NAMA, etc., may issue debt securities.

48.— (1) NAMA or a NAMA group entity may, whenever and so often as it thinks fit, create and issue debt securities—

• (a) bearing interest at such rate as it thinks fit, or no interest,

• (b) for such cash or non-cash consideration or deferred consideration as it thinks fit, and

• (c) subject to such terms and conditions as to repayment, repurchase, cancellation and redemption or any other matter as it thinks fit.

• (2) When NAMA or a NAMA group entity issues debt securities under this section NAMA or the NAMA group entity shall specify which of the following is the purpose of the issue:

• (a) the financing of the general operations of NAMA or the NAMA group entity, as the case may be;

• (b) the providing of consideration for the acquisition of bank assets.

• (3) The Minister may guarantee debt securities issued by NAMA or a NAMA group entity under this section.

• (4) Securities issued under this section shall be used only for the purpose specified under subsection (2).

49. Financing arrangements — NAMA, etc., may issue subordinated debt securities.

49.— (1) NAMA or a NAMA group entity may, whenever and so often as it thinks fit, create and issue subordinated debt securities of such class or type as it specifies—

• (a) bearing interest at such rate as it thinks fit, or no interest,

• (b) for such cash or non-cash consideration or deferred consideration as it thinks fit, and

• (c) subject to such terms and conditions as to repayment, subordination, repurchase, cancellation or redemption or any other matter as it thinks fit.

• (2) Subordinated debt securities issued under this section shall be used only for the purpose of providing part of the consideration for the acquisition of bank assets in accordance with section 92.

• (3) To the extent that the terms and conditions of the subordinated debt securities (including the terms of subordination) are referenced to or based on a measure of financial performance, the measure shall be the financial performance of NAMA in totality and not any part or parts of the acquired portfolio.

• (4) Subordinated debt securities may be subject to different terms and conditions for different classes or types of those securities.

• (5) The total amount of subordinated debt securities issued under this section shall not exceed 5 per cent of the aggregate total portfolio acquisition value. Such securities will be issued to the participating institutions pro rata.

50. Financing arrangements — limits on borrowings.

50.— (1) NAMA may, from time to time, exercise its power to borrow, with or without the guarantee of the Minister, such sums of money as are required for the performance of its functions under this Act.

• (2) The Minister may guarantee the repayment by NAMA or a NAMA group entity of the principal of any sum borrowed by NAMA or the NAMA group entity or the payment of interest on that sum or the repayment of both principal and interest.

• (3) The aggregate of the principal of all sums outstanding for purposes other than the provision of consideration for the acquisition of bank assets shall not exceed €5,000,000,000 or such other amount that the Minister specifies by order for the purposes of this subsection.

• (4) The aggregate of the principal of all debt securities issued to enable the provision of consideration for the acquisition of bank assets shall not exceed €54,000,000,000 or such other amount as the Minister may specify by order for the purposes of this subsection.

• (5) Where the Minister proposes to make an order under subsection (3) or (4)—

• (a) he or she shall cause a draft of the proposed order to be laid before Dáil Éireann, and

• (b) he or she shall not make the order unless and until a resolution approving of the draft has been passed by Dáil Éireann.

• (6) Within 30 working days after any issue of debt securities under section 47, 48 or 49, the Minister shall lay before each House of the Oireachtas a statement giving details of the securities.

51. Application of Borrowing Powers of Certain Bodies Act 1996.

51.— Section 5 of the Borrowing Powers of Certain Bodies Act 1996 does not apply to the giving of guarantees, letters of credit or other similar instruments by NAMA or a NAMA group entity.

52. Financing arrangements — treasury services.

52.— The NTMA shall provide NAMA with treasury services and advice in connection with debt securities, any borrowings of NAMA and debt securities issued by NAMA or a NAMA group entity, and for any other purpose and in connection with the provision of such treasury services, may enter into transactions of a normal banking nature with any person, as agent of NAMA.

53. Annual statements.

53.— (1) NAMA shall—

• (a) for the financial year 2010, before 1 July 2010, and

• (b) for each subsequent financial year 3 months before the commencement of it,

prepare a statement that complies with subsection (3), and submit the statement to the Minister.

• (2) The Minister shall cause copies of each statement to be laid before each House of the Oireachtas not later than—

• (a) in the case of 2010, 30 November 2010, and

• (b) in the case of a statement for any other financial year, one month after the beginning of the subsequent financial year.

• (3) A statement submitted to the Minister under subsection (1) shall specify—

• (a) the proposed objectives of NAMA’s activities and those of each NAMA group entity for the financial year concerned,

• (b) the proposed nature and scope of the activities to be undertaken,

• (c) the proposed strategies and policies for achieving those objectives, and

• (d) the uses to which it is proposed to apply NAMA’s resources and those of each NAMA group entity.

• (4) The Minister may omit from a copy of a statement laid before the Oireachtas under subsection (2) any matter that would disclose confidential information. If the Minister omits such matter from such a copy, he or she shall insert in its place a statement that matter has been omitted and a general description of the omitted matter.

54. Annual accounts.

54.— (1) NAMA shall keep, in the form that the Minister directs, proper and usual accounts of money received and expended by it and of all financial transactions undertaken in the performance of its functions.

• (2) The accounts shall include a separate account of the administration fees and expenses incurred by NAMA and of each NAMA group entity in the performance of its functions.

• (3) The accounts shall include—

• (a) a list of all debt securities issued for the purposes of this Act,

• (b) a list of debt securities issued to and redeemed by each participating institution,

• (c) a list of all advances made to NAMA from the Central Fund,

• (d) a list of all advances made by NAMA and each NAMA group entity,

• (e) a list of all asset portfolios held by NAMA and each NAMA group entity, and the book valuation placed on each portfolio, and

• (f) a list of Government support measures, including any guarantees, received by NAMA and each NAMA group entity,

and may include any other information that the Minister considers appropriate.

55. Quarterly reports.

55.— (1) Every 3 months NAMA shall make a report (referred to in this Act as a “quarterly report”) to the Minister of its activities and the activities of each NAMA group entity.

• (2) The first quarterly report shall be for the period ending on 31 March 2010 and shall be submitted to the Minister on or before 30 June 2010. Each subsequent quarterly report shall be for the period ending on a 30 June, 30 September, 31 December or 31 March, and shall be submitted to the Minister within 3 months after the end of the relevant quarter.

• (3) The Minister shall cause copies of a quarterly report to be laid before each House of the Oireachtas, and shall send a copy of the report to a Committee (or a subcommittee of such a Committee) appointed by either House of the Oireachtas or jointly by both Houses of the Oireachtas (other than the Committee on Members’ Interests of Dáil Éireann or the Committee on Members’ Interests of Seanad Éireann) to examine matters relating to NAMA.

• (4) A quarterly report shall be in the form, and shall include information regarding the matters, that the Minister directs.

• (5) In a quarterly report, NAMA shall report on its compliance with—

• (a) any guideline issued by the Minister under section 13, and

• (b) any direction given by the Minister under section 14.

• (6) A quarterly report shall include the following information for the relevant quarter:

• (a) the number of all loans outstanding and the condition of those loans, categorised as between performing and non-performing loans;

• (b) non-performing loans categorised as to the degree of default, distinguishing where default has occurred on capital payment as well as interest payments;

• (c) the number of loans being foreclosed or otherwise enforced during the relevant quarter;

• (d) the number of cases where liquidators and receivers have been appointed in the relevant quarter;

• (e) a list of all legal proceedings (except any proceeding in relation to which a rule of law prohibits publication) commenced by NAMA and each NAMA group entity in relation to bank assets during the quarter, setting out for each proceeding—

• (i) its title,

• (ii) the parties to the proceeding, and

• (iii) the reliefs sought by NAMA or the NAMA group entity concerned;

• (f) a schedule of any finance raised by NAMA and each NAMA group entity in the relevant quarter;

• (g) sums recovered from property sales in the relevant quarter;

• (h) other income from interest-bearing loans owned by NAMA and each NAMA group entity;

• (i) an abridged balance sheet of the assets and liabilities of NAMA and each NAMA group entity;

• (j) a complete schedule of income and expenditure of NAMA and each NAMA group entity in the relevant quarter;

• (k) an updated schedule of all information described in subsections (2) and (3) of section 54;

• (l) any other matter directed by the Minister.

56. Other reports to Minister.

56.— (1) The Minister may require NAMA to report to him or her, at any time and in any format that the Minister directs, on any matter, including—

• (a) the performance of its functions under this Act, and

• (b) any information or statistics relating to the performance of its functions.

• (2) NAMA shall comply with a requirement of the Minister under subsection (1).

• (3) The content of a report provided to the Minister under this section may be taken to be confidential information.

• (4) A reference in subsection (1) to the performance of the functions of NAMA includes the performance of those functions by a NAMA group entity.

57. Audit of accounts by Comptroller and Auditor General.

57.— (1) NAMA and each NAMA group entity shall submit its accounts to the Comptroller and Auditor General for audit within 2 months after the end of the financial year to which they relate, and the Comptroller and Auditor General shall—

• (a) if he or she is satisfied that the accounts represent a true and fair view of the state of the affairs of NAMA or the NAMA group entity concerned, so certify, or

• (b) otherwise qualify the accounts.

• (2) NAMA shall present a copy of the accounts of NAMA and each NAMA group entity as audited to the Minister as soon as may be and the Minister shall cause a copy of the audited accounts to be laid before each House of the Oireachtas.

58. Accountability to Committee of Public Accounts.

58.— (1) The Chairperson, and the Chief Executive Officer, shall, whenever required by the Committee of Dáil Éireann established under the Standing Orders of Dáil Éireann to examine and report to Dáil Éireann on the accounts and reports of the Comptroller and Auditor General, give evidence to that Committee on—

• (a) the regularity and propriety of the transactions recorded or required to be recorded in any book or other record or account subject to audit by the Comptroller and Auditor General that NAMA or a NAMA group entity is required by or under an enactment to prepare,

• (b) the economy and efficiency of NAMA and each NAMA group entity in its use of the resources made available to it under this Act,

• (c) the systems, procedures and practices employed by NAMA and each NAMA group entity for evaluating the effectiveness of its operations, and

• (d) any matter affecting NAMA or any NAMA group entity referred to in—

• (i) any special report of the Comptroller and Auditor General under section 11(2) of the Comptroller and Auditor General (Amendment) Act 1993, or

• (ii) any other report of the Comptroller and Auditor General (in so far as it relates to a matter specified in any of paragraphs (a) to (c)) that is laid before Dáil Éireann.

• (2) In appearing before a Committee referred to in subsection (1), the Chief Executive Officer appears as an accountable person and not as an accounting officer.

• (3) The Chairperson and the Chief Executive Officer, in giving evidence under subsection (1), shall not question or express an opinion on the merits of any policy of the Government or a Minister of the Government or on the merits of the objectives of such a policy.

59. Appearances before another Oireachtas Committee.

59.— (1) The Chairperson and the Chief Executive Officer of NAMA shall, if requested to do so by a Committee (or a subcommittee of such a Committee) appointed by either House of the Oireachtas or jointly by both Houses of the Oireachtas (other than the Committee on Members’ Interests of Dáil Éireann or the Committee on Members’ Interests of Seanad Éireann) to examine matters relating to NAMA—

• (a) attend before that Committee, and

• (b) provide that Committee with such information as it requires.

• (2) The Chairperson and the Chief Executive Officer, in giving evidence under subsection (1), shall not question or express an opinion on the merits of any policy of the Government or a Minister of the Government or on the merits of the objectives of such a policy.

60. Repayment to Central Fund to redeem debt.

60.— (1) NAMA or a NAMA group entity shall repay any funds advanced to it by the Minister out of the resources available to NAMA and the NAMA group entities from time to time.

• (2) NAMA may, from time to time, after consultation with the Minister—

• (a) use any surplus funds of NAMA to redeem and cancel debt securities issued under this Act, and

• (b) transfer any surplus funds remaining after that redemption to the Central Fund.

• (3) The assets of NAMA and of any NAMA group entity at the eventual dissolution of NAMA will be transferred to the Minister or paid into the Exchequer as the Minister directs.

PART 4 Designation of Credit Institutions as Participating Institutions and Designation of Eligible Bank Assets

Chapter 1 Designation of Participating Institutions

61. Definition (Chapter ).

61.— In this Chapter “group”, in relation to a credit institution, means—

• (a) the credit institution,

• (b) its subsidiaries, if any, and

• (c) any entity of which it is a subsidiary.

62. Applications for designation as participating institution.

62.— (1) A credit institution may apply to the Minister, within 60 days (or such longer period that the Minister prescribes by order under this subsection) after the establishment day, for it and its subsidiaries to be designated as participating institutions. A credit institution that applies under this subsection shall include all of its subsidiaries in the application (including those that it has requested be excluded from designation).

• (2) An applicant credit institution may include in its application a request to exclude particular subsidiaries from designation, and shall give reasons for any requested exclusion.

• (3) An application under subsection (1) shall be in the form that the Minister directs. The Minister may direct that different forms shall be used for that purpose by different credit institutions.

• (4) The Minister may direct an applicant credit institution to provide, as part of its application, a certificate, supported by a statutory declaration, in relation to it and all of its subsidiaries collectively, jointly by the chief executive officer and chief financial officer of the applicant credit institution—

• (a) that since 30 July 2009, it and each of its subsidiaries has dealt in the way required by section 66 (1) with such of its bank assets as the Minister specifies, or if to any extent it has not done so, the extent to which it has not done so, and

• (b) that the information in the application is accurate and complete.

• (5) An applicant credit institution that is a subsidiary shall furnish an undertaking by its parent company to provide any information and do anything else required of the parent company or any other member of its group to enable the Minister to consider the application. The Minister is not obliged to consider an application by a subsidiary if no such undertaking is given.

• (6) An applicant credit institution shall undertake to obtain all necessary consents, in accordance with any applicable law including the consents of all its subsidiaries (including subsidiaries that it has requested be excluded from designation) and any necessary consent of any other member of its group. The Minister may consider the relevant application whether or not he or she has evidence that any relevant consent has been obtained and is not required to seek evidence of any such consent.

• (7) An applicant credit institution may make an application under this section notwithstanding that at the time of the application it has not yet received any or all of the necessary consents.

63. Effect of application for designation, etc.

63.— (1) By making an application under this Chapter the applicant credit institution and all of its subsidiaries shall be taken to undertake, subject to any prohibition in any applicable law, to comply with the provisions of this Act (including this Act as amended from time to time) and of any regulations made under it (including any regulations made designating further classes of bank assets as eligible bank assets), so far as those provisions apply to it as an applicant or participating credit institution. As and from the making of the application they shall be bound to comply with that undertaking.

• (2) The service of a notice on, or any communication with, an applicant credit institution is for all purposes effective as service of the notice on, or communication with, every subsidiary of the credit institution.

64. Information, etc., to be provided in support of application for designation.

64.— (1) An applicant credit institution shall provide any information, explanation, books, documents and records that the Minister requires to consider the application, and in particular shall provide any information, explanation, books, documents and records that the Minister considers necessary to enable him or her to make a decision in relation to the matters set out in section 67 (2).

• (2) The Minister may direct an applicant credit institution to procure that any of its subsidiaries provides the information, explanation, books, documents and records referred to in subsection (1) in relation to the subsidiary.

• (3) The Minister may direct an applicant credit institution that any information provided by the credit institution or any of its subsidiaries under subsection (1) or (2) is to be certified as accurate and complete jointly by the chief executive officer and chief financial officer of the credit institution.

• (4) An applicant credit institution shall, in a certificate under subsection (3), disclose in utmost good faith all matters and circumstances in relation to the credit institution or any subsidiary that might materially affect, or might reasonably be expected to materially affect, the Minister’s decision in relation to the matters mentioned in subsection (2) of section 67 (except paragraph (b) (iv) of that subsection).

65. Capacity of applicant credit institutions, etc.

65.— (1) An applicant credit institution and each of its subsidiaries shall be taken to have, and always to have had, as part of its functions and objects, the power and capacity to—

• (a) apply for designation as, and become, a participating institution pursuant to this Act,

• (b) warrant the truth, accuracy and completeness of the information supplied to NAMA in relation to bank assets, and

• (c) indemnify NAMA in relation to—

• (i) any breach of such a warranty, or

• (ii) any claim or obligation under section 135.

• (2) An applicant credit institution and each of its subsidiaries shall be taken to have, and always to have had, as part of its functions and objects, the power and capacity to engage in the following activities in so far as they relate to its designated bank assets:

• (a) the provision of credit facilities;

• (b) the entering into of joint venture, partnership, co-ownership, shareholder or other similar agreements;

• (c) the entering into of contracts (including contracts in a currency other than the currency of the State) whose purpose or one of whose purposes is—

• (i) to eliminate or reduce the risk of loss arising from changes in interest rates, currency exchange rates or from other factors of a similar nature, or

• (ii) to eliminate or reduce the costs of raising funds or borrowing or the cost of other transactions carried out in the ordinary course of business;

• (d) the entering into of contracts to increase the return on an investment (including a credit facility);

and shall be taken to have and always to have had, as part of its functions and objects, the power to engage in any other transaction in so far as it relates to the acquisition of designated bank assets by NAMA.

• (3) Nothing in this section limits the liability of an applicant credit institution or subsidiary to any person based on a transaction beyond its powers. However, any claim based on such a transaction—

• (a) is enforceable only against the applicant credit institution or subsidiary and not against NAMA or any NAMA group entity, and

• (b) gives rise to a remedy in damages only.

66. Dealings by applicant credit institutions, etc., with eligible bank assets after application for designation.

66.— (1) An applicant credit institution and each of its subsidiaries shall, until the Minister makes or is taken to have made a decision on the application—

• (a) administer, service and deal with all of its eligible bank assets in the same manner as, and with the same level of professional skill, care and diligence as, a prudent lender acting reasonably would so administer, service and deal, and

• (b) so act in relation to those bank assets in good faith having regard to the purposes of this Act.

• (2) An applicant credit institution and each of its subsidiaries shall not without the prior written approval of NAMA—

• (a) deal with any of its eligible bank assets otherwise than in the ordinary course of its business,

• (b) deal with any of its eligible bank assets in such a way as to prejudice or impair NAMA’s prospective interests or priorities in relation to such a bank asset,

• (c) compromise, release, vary or relinquish any claim or otherwise take or omit to take any action if its doing so could reduce, lessen or impair any security, right, obligation, ranking or priority held or enjoyed, directly or indirectly, in connection with such a bank asset, or

• (d) amend or vary any contract relating to such a bank asset unless contractually obliged to do so.

• (3) NAMA may issue guidelines or policy statements in relation to the kinds of transactions that it is likely to be prepared to approve under subsection (2).

67. Designation of participating institutions.

67.— (1) The Minister, after consultation with the Governor F15[…], may designate an applicant credit institution as a participating institution if the credit institution has applied under section 62 to be so designated.

• (2) The Minister shall not designate an applicant credit institution as a participating institution unless he or she is satisfied that—

• (a) the applicant credit institution is systemically important to the financial system in the State,

• (b) the acquisition of bank assets from the applicant credit institution or its subsidiaries is necessary to achieve the purposes of this Act, having regard to—

• (i) support that—

• (I) is available to,

• (II) has been received by, or

• (III) in normal commercial circumstances might reasonably be expected, or might reasonably have been expected, to be or to have been available to,

the applicant credit institution or its subsidiaries from the State, any other Member State or a member of the group of the applicant credit institution,

• (ii) the financial situation and stability of the applicant credit institution and its subsidiaries,

• (iii) the financial situation and stability of the applicant credit institution’s group in the event that bank assets are not acquired from the applicant credit institution or its subsidiaries, and

• (iv) the resources available to NAMA and the Minister,

and

• (c) the applicant credit institution has complied with all of its applicable obligations under this Act.

• (3) The designation of an applicant credit institution as a participating institution operates to designate as participating institutions all of its subsidiaries except any subsidiary excluded under subsection (6).

• (4) Designation (including designation of a subsidiary in accordance with subsection (3)) has effect notwithstanding the absence of any necessary consent to the relevant application. Designation of a subsidiary does not prejudice any rights that the subsidiary may have against the relevant applicant credit institution.

• (5) Before deciding whether to designate an applicant credit institution as a participating institution, the Minister, having consulted the F16[Central Bank], may direct that specified due diligence and stress testing of the applicant credit institution or any member of its group be carried out.

• (6) If the Minister designates an applicant credit institution as a participating institution, he or she may exclude any subsidiary of the applicant credit institution from designation on any condition that he or she specifies, if he or she is satisfied that the subsidiary should not be designated.

• (7) Where the Minister has specified a condition under subsection (6) in relation to the exclusion of a subsidiary of an applicant credit institution, and there is a failure to comply with the condition, the Minister may, by written notice to the applicant credit institution and the subsidiary, designate the subsidiary as a participating institution as at and from the date of the notice or a later date that the Minister specifies in the notice.

• (8) If the Minister has not designated a credit institution as a participating institution within 3 months after its application under section 62, the Minister is taken to have refused the application.

68. Obligations of participating institutions.

68.— (1) A participating institution shall—

• (a) when making a report, or providing information, books, records or an explanation, whether or not in answer to a request from NAMA or the Minister, make full disclosure in utmost good faith of matters relevant to the making of a decision by NAMA whether or not to acquire a bank asset or the determination of its acquisition value,

• (b) co-operate promptly and fully (including by way of supplying information, books, records and explanations to NAMA in response to any request by NAMA) with NAMA in its due diligence processes in relation to bank assets being considered for acquisition,

• (c) provide such services (including relevant services within the meaning given by section 128) as NAMA directs in connection with an acquired bank asset, in accordance with any terms and conditions that NAMA specifies,

• (d) comply with any direction given by the Minister or NAMA in relation to the performance of the participating institution’s obligations under this Act,

• (e) comply with such monitoring of lending and balance sheet management as the Minister in consultation with the F17[Central Bank] directs, and

• (f) comply with any other requirement that the Minister specifies to achieve an effective acquisition of bank assets by NAMA.

• (2) A participating institution shall provide such information, explanations, books, documents and records as the Minister requires to perform his or her functions under this Act.

• (3) A participating institution shall be taken to have consented to any disclosure of information under section 205.

Chapter 2 Designation of Eligible Bank Assets

69. Eligible bank assets.

69.— (1) The Minister may, after consultation with F18[NAMA and the Governor], and considering the purposes of NAMA and the resources available to the Minister, prescribe, by regulation, classes of bank asset as classes of eligible bank asset.

• (2) The classes of bank assets prescribed under subsection (1) may include—

• (a) credit facilities issued, created or otherwise provided by a participating institution—

• (i) for the purpose, whether direct or indirect and whether in whole or in part, of purchasing, exploiting or developing development land,

• (ii) where the security connected with the credit facility is or includes development land,

• (iii) where the security connected with the credit facility is or includes an interest in a company engaged in purchasing, exploiting or developing development land,

• (iv) where the credit facility is directly or indirectly guaranteed by a company referred to in subparagraph (iii),

• (v) directly or indirectly to a debtor who has provided security referred to in subparagraph (ii) or (iii), or

• (vi) directly or indirectly to a person who is an associated debtor of a debtor to whom a credit facility described in any of subparagraphs (i) to (iii) has been provided,

• (b) credit facilities and classes of credit facilities (other than credit facilities referred to in paragraph (a)) relating to debtors or associated debtors of participating institutions (or classes of debtors or associated debtors of participating institutions) where the total amount of indebtedness in respect of such facilities is such that, in the opinion of the Minister, acquisition by NAMA is necessary for the purposes of this Act,

• (c) other rights arising directly or indirectly in connection with a credit facility described in paragraph (a) or (b) including—

• (i) a contract to which the participating institution is a party or in which it has an interest,

• (ii) a benefit to which the participating institution is entitled, and

• (iii) any other asset in which the participating institution has an interest,

• (d) bank assets associated with bank assets specified in paragraphs (a) and (b), and

• (e) any other class of bank asset of a participating institution the acquisition of which the Minister is of opinion, after consultation with the Commission of the European Communities, is necessary for the purposes of this Act.

• (3) In forming an opinion for the purpose of subsection (2) (b), the Minister may take into account—

• (a) the total number of credit facilities or classes of credit facilities provided by the participating institution to those debtors and associated debtors or classes of debtors and associated debtors, and

• (b) the aggregate indebtedness of debtors and associated debtors or classes of debtors or associated debtors referred to in subsection (2) (b) owed to any other participating institution.

• (4) A bank asset that is in a class prescribed under subsection (1) is referred to in this Act as an “eligible bank asset”.

• (5) A class of bank asset prescribed under subsection (1) shall be taken not to include a credit facility that entered a participating institution’s balance sheet after 31 December 2008. For the avoidance of doubt, where a credit facility entered a participating institution’s balance sheet on or before 31 December 2008, but security was taken for the credit facility after that date, and the credit facility is otherwise an eligible bank asset, the credit facility is an eligible bank asset.

• (6) Notwithstanding subsection (5), a bank asset in a prescribed class is an eligible bank asset if, in the opinion of NAMA, the related credit facility entered a participating institution’s balance sheet on or before that date even if renegotiated or refinanced after that date. For the purposes of determining whether a credit facility entered a participating institution’s balance sheet on or before 31 December 2008, NAMA may take into account the terms of any renegotiation, restructuring or refinancing of a credit facility effected after 31 December 2008.

70. Meaning of “ associated debtor ” in this Act.

70.— (1) For the purposes of this Act, a person is an “associated debtor” of a debtor if the person—

• (a) is or was at any time directly or indirectly indebted or otherwise obligated to a participating institution under or in connection with a credit facility, and

• (b) is or was at any time—

• (i) a body corporate that was a subsidiary of, or a related company (within the meaning given by section 140(5) of the Companies Act 1990) to, the debtor,

• (ii) a nominee of the debtor, including a person who may or does in fact act at the express or implied direction or instruction of the debtor or another associated debtor of the debtor,

• (iii) acting in the capacity of trustee of a declared or undeclared trust the beneficiaries of which include (directly or indirectly)—

• (I) the debtor,

• (II) a person referred to in subparagraph (ii), or

• (III) a body corporate controlled by the debtor or a person referred to in that subparagraph,

• (iv) in partnership, within the meaning of the laws of any relevant place, with the debtor, in relation to a bank asset which at the time of the partnership was, or subsequently became, of a class of bank assets prescribed under section 69 (1),

• (v) a body corporate of which the debtor is the sole member, or

• (vi) a body corporate controlled by the debtor,

or

• (c) a member of any other class of person prescribed by the Minister for the purposes of this subsection.

• (2) For the purposes of subsection (1)(b)(vi), a body corporate shall be taken to be controlled by a debtor if the debtor is (whether alone or together with any one or more of the persons mentioned in subparagraphs (i) to (v) of subsection (1)(b), and whether directly or indirectly)—

• (a) interested in one-quarter or more of the equity share capital of the body, or

• (b) entitled to exercise or control the exercise of one-quarter or more of the voting powers at any general meeting of the body.

• (3) In subsection (2)—

• (a) “equity share capital” has the same meaning as it has in section 155 of the Companies Act 1963, and

• (b) the reference to voting power exercised by a debtor includes voting power exercised by a nominee of the debtor or another body corporate which that debtor controls.

• (4) Section 54 of the Companies Act 1990 applies for the purpose of determining, for the purposes of subsection (2), whether a person holds an interest in shares.

71. Dealings by participating institutions with eligible bank assets.

71.— (1) A participating institution shall, until it has been served with a completion notice or NAMA directs otherwise—

• (a) administer, service and deal with all of its eligible bank assets in the same manner as, and with the same level of professional skill, care and diligence as, a prudent lender acting reasonably would so administer, service and deal, and

• (b) so act in relation to those bank assets in good faith having regard to the purposes of this Act.

• (2) A participating institution shall not without the prior written approval of NAMA—

• (a) deal with any of its eligible bank assets otherwise than in the ordinary course of its business,

• (b) deal with any of its eligible bank assets in such a way as to prejudice or impair NAMA’s prospective interests or priorities in relation to such a bank asset,

• (c) compromise any claim or release, vary, relinquish or otherwise take or omit to take any action if its doing so could reduce, lessen or impair any security, right, obligation, ranking or priority held or enjoyed, directly or indirectly, in connection with such a bank asset, or

• (d) amend or vary any contract relating to such a bank asset unless contractually obliged to do so.

• (3) NAMA may issue guidelines or policy statements in relation to the kinds of transactions that it is likely to be prepared to approve under subsection (2).

PART 5 Valuation Methodology

72. Interpretation (Part 5).

72.— (1) In this Part “property” means property that is the subject of the security for a credit facility that is a bank asset.

• (2) In this Part:

• (a) a reference to the market value of property is a reference to the estimated amount that would be paid by a willing buyer to a willing seller in an arm’s-length transaction after proper marketing (where appropriate) where both parties act knowledgeably, prudently and without compulsion,

• (b) a reference to the market value of a bank asset is a reference to the estimated amount that would be paid by a willing buyer to a willing seller in an arm’s-length transaction after proper marketing (where appropriate) where both parties act knowledgeably, prudently and without compulsion,

• (c) a reference to the long-term economic value of property is a reference to the value, as determined by NAMA in accordance with this Part, that it can reasonably be expected to attain in a stable financial system when the crisis conditions prevailing at the passing of this Act are ameliorated and in which a future price or yield of the property is consistent with reasonable expectations having regard to the long-term historical average, and

• (d) a reference to the long-term economic value of a bank asset is a reference to the value, as determined by NAMA in accordance with this Part, that it can reasonably be expected to attain in a stable financial system when the crisis conditions prevailing at the passing of this Act are ameliorated.

73. Determination of acquisition values — valuation dates, etc.

73.— (1) NAMA may specify a date or event by reference to which the market value of a bank asset or type of bank asset or property or type of property is to be determined.

• (2) Under subsection (1) NAMA may specify different dates or events for any or any type of bank assets or property.

• (3) Under subsection (1) NAMA may specify a date before the coming into operation of this Act.

• (4) The specification of a date or event under subsection (1) has effect for the determination of a market value for any purpose under this Act (including for the purposes of Chapter 2 of Part 7 ).

74. Determination of acquisition values — guidelines, etc.

74.— NAMA may, for the purpose of determination of values in accordance with this Part, adopt such guidelines or rules as it considers necessary for efficiency or consistency.

75. Acquisition values.

75.— (1) Subject to subsection (2) and any regulations made by the Minister under subsection (3), the acquisition value of a bank asset is its long-term economic value as determined by NAMA.

• (2) NAMA may, if it considers it appropriate after consultation with the Minister, and subject to any regulations made by the Minister under subsection (3), having regard to—

• (a) the purposes of this Act,

• (b) the expected date of acquisition of the bank asset concerned,

• (c) the type of bank asset,

• (d) the laws of the European Communities governing State aid, and

• (e) any other relevant matter affecting valuation,

determine that the acquisition value of a bank asset shall be—

• (i) its market value, or

• (ii) a value (between its long-term economic value and its market value) that NAMA considers appropriate in the circumstances, having regard to the matters specified in paragraphs (a) to (e).

• (3) The Minister may make regulations for the purposes of the application of subsection (2). For that purpose the Minister shall have regard to the factors set out in paragraphs (a) and (c) to (e) of subsection (2).

76. Determination of long-term economic values.

76.— (1) NAMA shall determine the long-term economic value of a bank asset having regard to the following:

• (a) the market value of the property;

• (b) the market value of the bank asset;

• (c) the long-term economic value of the property;

• (d) the long-term economic value already determined by NAMA, in accordance with the valuation methodology, of any other similar property or bank asset;

• (e) any report prescribed under section 78 that is reasonably available to NAMA when it carries out the valuation of the particular property or bank asset,

in accordance with—

• (i) any regulations made by the Minister under section 79, and

• (ii) the laws of the European Communities governing State aid.

• (2) Notwithstanding any other provision of this Act or any regulations made under it—

• (a) the long-term economic value determined by NAMA for a parcel of land shall not exceed the market value of the parcel by more than such fraction as the Minister may determine by regulations for the purposes of this paragraph,

• (b) the total long-term economic value of all land held as security in an acquired portfolio shall not exceed the total market value of that land by such fraction as the Minister may determine by regulations for the purposes of this paragraph,

• (c) NAMA may determine that, with regard to any particular class of property, or in the particular circumstances applicable to a parcel of land, its long-term economic value shall not exceed its market value, and

• (d) the long-term economic value of a bank asset shall be calculated on the basis of net present value methodology.

77. Market values.

77.— (1) In determining the market value of property, NAMA may take into account—

• (a) any value that the participating institution concerned submits as being, in its opinion, the market value of the property,

• (b) any report prescribed under section 78 that is reasonably available to NAMA when it carries out the relevant valuation, and

• (c) the market value already determined by NAMA of another similar property.

• (2) In determining the market value of a bank asset NAMA may take into account—

• (a) any value that the participating institution concerned submits as being, in its opinion, the market value of the bank asset,

• (b) the market value already determined by NAMA of any other similar bank asset,

• (c) the creditworthiness of the debtor or obligor concerned,

• (d) the performance of that asset, and

• (e) the market value of property determined by NAMA under subsection (1).

78. Regulations in relation to certain reports.

78.— The Minister may make regulations prescribing reports or classes of reports (including reports prepared before the commencement of this Act) concerning factors or matters relevant to the valuation of property or of property of a particular type or in specific locations or with specific features or benefits, including—

• (a) zoning,

• (b) availability of utilities,

• (c) availability of similar property in similar locations,

• (d) historic value of property in particular locations, and

• (e) recent valuations of similar property in similar locations.

79. Regulations in relation to determination of values.

79.— (1) The Minister may make regulations relating to the determination by NAMA of the long-term economic value, or the market value, of a bank asset or a class of bank asset or a property or a class of property, including the matters that NAMA shall or may derive, use, apply or take into account for those purposes.

• (2) In making regulations for the purposes of subsection (1), the Minister shall have regard to the laws of the European Communities governing State aid and any relevant guidance issued by the Commission of the European Communities, and may have regard, and may include such provisions relating, to such of the following as he or she thinks appropriate:

• (a) with reference to the long-term economic value of property—

• (i) the extent to which the price or yield of such property has deviated from the long-term historical average,

• (ii) supply and demand projections by reference to the type of asset and its location,

• (iii) macroeconomic projections for growth in the gross domestic product and for inflation or deflation,

• (iv) demographic projections,

• (v) land and planning considerations (including national, regional or local authority development or spatial plans) that may exert an influence on the future value of the asset concerned,

• (vi) analyses presented by the Minister for the Environment, Heritage and Local Government on the extent to which existing land zoning and planning permissions granted and in force meet or exceed projected growth requirements,

• (vii) analyses presented by the Dublin Transportation Office or any national transport authority of existing and future transport planning and the associated supply and demand projections for land use,

• (viii) any analysis by the Minister for Communications, Energy and Natural Resources in relation to the potential rise in energy and other costs due to the long-term decline in non-renewable resources,

• (ix) the specification, for the purposes of the determination of the long-term economic value of particular parcels of land, of a fraction by which the long-term economic value determined by NAMA shall not exceed the market value of each such parcel,

• (x) the specification, for the purposes of the determination of the long-term economic value of all land held as security in acquired portfolios, of a fraction, by which the long-term economic value of that land shall not exceed its total market value;

• (b) with reference to the long-term economic value of bank assets—

• (i) the long-term economic value of property,

• (ii) the net present value of the anticipated income stream associated with bank assets of that kind,

• (iii) in the case of rental property, current and projected vacancy rates,

• (iv) loan margins,

• (v) an appropriate discount rate to reflect NAMA’s cost of funds plus a margin that represents an adequate remuneration to the State that takes account of the risk in relation to the bank assets acquired by NAMA,

• (vi) the mark-to-market value of any derivative contracts associated with bank assets of that kind,

• (vii) any ancillary security such as personal guarantees and corporate assets, and

• (viii) fees reflecting the costs of loan operation, maintenance and enforcement;

• (c) such other matters that he or she considers relevant to the long-term economic value or market value of property or bank assets including—

• (i) matters to be derived, used, applied, taken into account or not taken into account;

• (ii) the values to be attributed to any matters or the adjustments to be made in or by virtue of their application;

• (iii) the data, criteria, information, rules and methodology that may be used or applied in determining the value or application of any matters or in deriving any matters to be used or applied;

• (iv) the use of the net present value methodology in determining the value of any property or bank asset;

• (v) the appropriate discount rate to reflect NAMA’s cost of funds plus a margin that represents an adequate remuneration to the State that takes account of the risk in relation to the acquired bank assets to be applied in determining the net present value of a cash flow;

• (vi) the specification, for the purposes of attribution and application across all bank assets, or all bank assets of a particular class, of a standard discount rate, to be attributed to or applied in the calculation of each bank asset, or each bank asset of the particular class, as the case may be, acquired by NAMA, which in the opinion of the Minister is necessary or appropriate to provide for enforcement costs, due diligence costs and other relevant costs incurred or likely to be incurred by NAMA over its lifetime in the discharge of its functions;

• (vii) the extension of the maturity date of any bank asset for such period as NAMA considers appropriate after its actual maturity to allow a reasonable period for its management and enforcement;

• (viii) the types or classes of property in respect of which the market value shall be deemed to be the long-term economic value.

• (3) Every regulation made under subsection (1) shall be laid before each House of the Oireachtas as soon as may be after it is made and, if a resolution annulling the regulation is passed by either such House within the next 21 days on which that House has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done under the regulation.

PART 6 Acquisition of Bank Assets and Related Matters

Chapter 1 Acquisition of Bank Assets

80. Applicant credit institutions and participating institutions to provide information about eligible bank assets.

80.— (1) NAMA may direct an applicant credit institution or a participating institution to provide NAMA with information, in the form directed by NAMA, about each of its bank assets, and (in the case of an applicant credit institution) each bank asset of each of its subsidiaries, that may be an eligible bank asset. In the case of a participating institution, such a direction has effect as a direction to provide that information about the bank assets of the participating institution and each of its subsidiaries that is also a participating institution.

• (2) In particular, NAMA may require the provision of information about the debtors, associated debtors, guarantors and sureties concerned and the enforceability and marketability of the security associated with each such bank asset.

• (3) When an applicant credit institution or participating institution provides information about bank assets under subsection (1) or (2), it shall, if it is of the opinion that a bank asset is not an eligible bank asset, state that fact, that it objects to the acquisition of the bank asset, and the reason for the opinion. If an applicant credit institution or a participating institution wishes to object to the proposed acquisition of a bank asset, it shall do so in that way and the objection shall be dealt with in accordance with Chapter 1 of Part 7.

• (4) In a direction under subsection (1), NAMA may require that the information concerned is to be provided in a particular specified manner or form, including by way of tranches described by reference to debtors, associated debtors, security or in any other way.

• (5) NAMA may direct an applicant credit institution or a participating institution that any information provided by the applicant credit institution, any of its subsidiaries or the participating institution under subsection (1) or (2) is to be certified as accurate and complete jointly by the chief executive officer and chief financial officer of the applicant credit institution or participating institution.

• (6) An applicant credit institution or participating institution shall, on request by NAMA, provide NAMA with a report or a certificate or both, in the form directed by NAMA, about—

• (a) any of its bank assets, or those of a subsidiary, that may be eligible bank assets, or

• (b) any information relevant to the determination of the terms of acquisition (including the acquisition value) of any such bank asset.

• (7) An applicant credit institution or a participating institution shall, in a report or certificate under subsection (5) or (6), disclose in utmost good faith all matters and circumstances in relation to each bank asset concerned that might materially affect, or might reasonably be expected to materially affect, NAMA’s decision to acquire the bank asset or the determination of its acquisition value.

• (8) Notwithstanding any legal or contractual restriction, NAMA and a NAMA group entity may disclose to each other any information, or any report, certificate or other document, that either one obtains in connection with the performance of any of its functions.

81. Production of documentation, books and records for inspection.

81.— (1) An applicant credit institution or a participating institution shall, if NAMA so requests, produce to NAMA for inspection the credit facility documentation, books and records kept in connection with any eligible bank asset. The applicant credit institution or participating institution shall give NAMA such facilities for inspecting and taking copies of the contents of any such documentation, book or record as NAMA requires.

• (2) NAMA may direct an applicant credit institution or a participating institution to procure that any of its subsidiaries—

• (a) produces to NAMA for inspection the credit facility documentation, books and records kept in connection with any eligible bank asset, and

• (b) gives NAMA such facilities for inspecting and taking copies of the contents of any such documentation, book or record as NAMA requires.

• (3) If an applicant credit institution, participating institution or subsidiary is required under subsection (1) or (2)—

• (a) to produce documentation or a book or record in connection with a bank asset to NAMA, or

• (b) to provide facilities to NAMA to inspect or take copies of the contents of any such documentation, book or record,

and fails to do so, NAMA may apply to the Court, on notice to the credit institution or participating institution for an order directing the credit institution, participating institution or subsidiary to produce the documentation, book or record, or provide the facilities, as the case requires.

• (4) The Court may make an order pursuant to the application under subsection (3) if the Court is satisfied that the production of the documentation, book or record, or the provision of the facilities sought is reasonably necessary to enable NAMA to perform any of its functions under this Act. The Court may make any interlocutory order (including a mandatory order) that it considers necessary in the circumstances.

• (5) If the Court is satisfied that for reasons of commercial confidentiality a hearing under this section should be conducted otherwise than in public, the Court may so order.

• (6) Subject to the privilege against self-incrimination, a document, book or record produced by a person in answer to a request or order under this section is admissible in evidence.

82. Provision of information and explanations, etc.

82.— (1) An applicant credit institution or a participating institution shall provide any information and explanations requested by NAMA in relation to the matters referred to in sections 80 and 81 or any other matter relevant to the acquisition of a bank asset, and shall also secure that an officer or staff member of the applicant credit institution or participating institution shall provide an explanation of any such information, documentation, book or record, including an explanation of any apparent omission from the information, documentation, book or record.

• (2) NAMA may direct an applicant credit institution or participating institution to procure that any of its subsidiaries provides the information or explanations referred to in subsection (1) in relation to the bank assets of the subsidiary.

• (3) If an applicant credit institution or participating institution is required to secure that an officer or staff member of the applicant credit institution, subsidiary or participating institution provides an explanation or information under this section, and fails to do so, NAMA may apply to the Court, on notice to the applicant credit institution or participating institution, for an order directing the applicant credit institution, subsidiary or participating institution to secure the provision of the explanation or information.

• (4) The Court may make an order referred to in subsection (3) if the Court is satisfied that the provision of the explanation or information sought is reasonably necessary to enable NAMA to make a decision whether to acquire the bank asset concerned or determine its acquisition value. The Court may make any interlocutory order (including a mandatory order) that it considers necessary in the circumstances.

• (5) If the Court is satisfied that for reasons of commercial confidentiality a hearing under this section should be conducted otherwise than in public, the Court may so order.

• (6) Subject to the privilege against self-incrimination, information provided by a person in answer to a request or order under this section is admissible in evidence.

83. Obligations to co-operate and act in good faith, etc.

83.— (1) If a person who is a debtor, associated debtor, guarantor or surety of a credit facility has been notified that the credit facility is an eligible bank asset, the person shall co-operate and shall, in good faith, promptly furnish to the participating institution such information relating to the eligible bank asset concerned as the participating institution requests for the purposes of its compliance with a requirement or direction under section 80, 81 or 82.

• (2) If a person referred to in subsection (1) fails to comply with a requirement of that subsection, the participating institution concerned may apply to the Court, on notice to the person, for an order directing the person to comply with the requirement in any way specified in the order, and shall notify NAMA that it has done so.

• (3) The Court may make an order (including a mandatory order) under subsection (2) if the Court is satisfied that the compliance sought is reasonably necessary to enable the participating institution concerned to comply with the requirement or direction under section 80, 81 or 82. The Court may make any interlocutory order that it considers necessary in the circumstances.

• (4) If the Court is satisfied that for reasons of commercial confidentiality a hearing under this section should be conducted otherwise than in public, the Court may so order.

• (5) Subject to the privilege against self-incrimination, a document, book or record produced by a person in answer to a request or order under this section is admissible in evidence.

• (6) If a participating institution suffers loss as a result of a debtor, guarantor or surety failing to comply with an obligation under subsection (1), the debtor, guarantor or surety shall be liable in damages to the participating institution.

84. Decision about acquisition of eligible bank assets.

84.— (1) NAMA may acquire an eligible bank asset of a participating institution if NAMA considers it necessary or desirable to do so having regard to the purposes of this Act and in particular the resources available to the Minister. NAMA is not obliged to acquire any particular, or any, eligible bank asset of such an institution on any grounds.

• (2) For the avoidance of doubt, NAMA may acquire, from a participating institution, performing or non-performing eligible bank assets.

• (3) For the avoidance of doubt, NAMA may, subject to Chapter 1 of Part 7 , take steps to acquire an eligible bank asset even though the participating institution concerned has indicated in information provided to NAMA under section 80 that it does not consider the bank asset to be an eligible bank asset and that it objects to its acquisition.

• (4) Without prejudice to the generality of subsection (1), NAMA may, in deciding whether to acquire a particular eligible bank asset, take into account—

• (a) whether any security that is part of the bank asset is adequate,

• (b) whether any security that is part of the bank asset has been perfected,

• (c) the value of that security,

• (d) whether the relevant credit facility documentation is defective or incomplete,

• (e) whether the participating institution concerned or any other person has engaged in conduct concerning the bank asset that is or could be prejudicial to the position of NAMA,

• (f) whether the participating institution has complied with its contractual and legal obligations and its obligations under this Act in relation to the bank asset, or its eligible bank assets generally,

• (g) whether in NAMA’s opinion the participating institution has advanced a sufficient quantum of the credit facility concerned,

• (h) the quality of the title to any property held as security that is part of the bank asset,

• (i) any applicable legal, regulatory or planning requirement that has not been complied with in relation to development land held as security that is part of the bank asset,

• (j) any association with another bank asset of a participating institution,

• (k) the performance of the bank asset,

• (l) any matter disclosed in any due diligence carried out by the participating institution or NAMA,

• (m) the type of other eligible bank assets (whether of the participating institution or any other participating institution) that NAMA has acquired or proposes to acquire, and whether not acquiring the particular eligible bank asset concerned would contribute to the achievement of the purposes of this Act, and

• (n) any other matter that NAMA considers relevant.

• (5) Where NAMA determines that the long-term economic value of the property comprised in the security for a credit facility that is an eligible bank asset is less than the market value of the property, NAMA shall not acquire the bank asset.

85. NAMA to identify eligible bank assets for acquisition.

85.— (1) NAMA shall identify such of the eligible bank assets of a participating institution as NAMA proposes to acquire.

• (2) NAMA may, for the purposes of identifying eligible bank assets that it proposes to acquire, consult with the participating institution concerned, but is not obliged to do so. The participating institution shall co-operate expeditiously with NAMA in any such consultation.

• (3) If a participating institution has stated in information provided under section 80 that it does not consider a particular bank asset that NAMA proposes to acquire to be an eligible bank asset and that it objects to its acquisition, NAMA may—

• (a) agree not to acquire the bank asset, or

• (b) continue with the proposed acquisition and refer the matter to the expert reviewer.

• (4) If NAMA proposes to continue with a proposed acquisition in accordance with subsection (3) (b), NAMA shall notify the participating institution concerned of that fact as soon as may be.

• (5) NAMA shall inform the participating institution of its proposed timetable for the acquisition of the eligible bank assets identified for acquisition. The timetable may specify that identified bank assets will be acquired on different dates.

86. NAMA may specify general terms and conditions of acquisition.

86.— (1) NAMA may, from time to time, specify the terms and conditions that are to apply generally to the acquisition of eligible bank assets.

• (2) The terms and conditions specified under subsection (1) may include the following warranties:

• (a) a warranty (which may be subject to any legal reservation approved by NAMA in a particular case) that the security for the relevant bank asset is enforceable;

• (b) a warranty that any land that is the security for the bank asset has good and marketable title;

• (c) a warranty that the facts in the participating institution’s report in relation to the bank asset are complete and accurate;

• (d) a warranty that any certificate provided in relation to the bank asset is accurate and complete;

• (e) any other warranty customarily included in transactions for the purchase of bank assets.

• (3) In relation to any particular acquisition NAMA may amend or vary the terms and conditions specified under subsection (1) as it thinks fit, but if it does so, it shall set out the amendment or variation in the relevant acquisition schedule.

87. NAMA to prepare acquisition schedule.

87.— (1) When NAMA has identified an eligible bank asset of a participating institution that NAMA proposes to acquire, and has determined the acquisition value of that asset, NAMA shall serve on the institution a schedule (referred to in this Act as an “acquisition schedule”).

• (2) NAMA may nominate a NAMA group entity as the entity that is to acquire a bank asset identified for acquisition.

• (3) An acquisition schedule shall set out for each eligible bank asset to be acquired—

• (a) a statement of the eligible bank asset and the interest to be acquired,

• (b) a statement of any obligations or liabilities excluded from the acquisition,

• (c) the acquisition value,

• (d) details of how the acquisition value was calculated,

• (e) any obligations, additional to those imposed by this Act, to be imposed on the participating institution after the acquisition that are to take effect after the acquisition,

• (f) the date of acquisition, and

• (g) if the eligible bank asset is not to be acquired by NAMA itself, the NAMA group entity that will acquire it.