Investor Presentaiton

UK Financial Services (Sterling) Income Statement Mar 06 Mar 05 % £m £m Change Net Interest Income 493 429 15 - Other Income 63 135 (53) Total Income 556 564 (1) Operating Expenses (329) (366) (10) - Impairment Losses (17) 7 Share of Associate post tax 28 22 27 Profit Before Tax* 238 227 5 * Excludes gain on disposal of Bristol & West branch network in Mar 06 £120m and UKFS re-structuring charge in Mar 05 £16m Operating Profit - Business Analysis Mortgage Business Business Banking Consumer Fin. Services -POFS -FRTS (Post Tax) Disposed business activity: BWFS & Chase de Vere Other - Centre** Profit Before Tax Mar 06 Mar 05 % £m £m Change 134 125 7 114 115 (1) 6 (6) (22) 28 22 (32) 300 31 8 (3) (13) 26 (3) (4) 238 227 5 LO 23% % PBT PBT +5% Division refocused Restructuring complete Focus on 3 growth segments Mortgage Business Double digit underlying profit growth Strong lending growth +22% Excellent asset quality with arrears below industry average Business Banking Double digit underlying profit growth Investment in business bankers Outstanding volume growth +46% Will reap benefits of investment phase Consumer Financial Services - FRTS continues to perform well POFS customer base to 475,000 33 33 **Includes amortisation of intangible assets associated with POFS (March 2006 £8m, March 2005 £8m). March 2005 also includes the benefit of £7m gain on disposal of a loan book and £2m for the period when POFS was accounted for as an associate. Bank of Ireland Group

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