On April 1, 2012, the Sunday Independent published an article under the headline: Nama's failure could lead us into 'lost decade'.
We wish to correct a number of inaccuracies contained in that article:
• It was incorrect to state that there is a Department of Finance directive stating that Nama will not sell any of its assets below acquisition value. Nama's objective is to achieve the best market price for its assets at time of disposal, regardless of acquisition price.
• It was incorrect to state that there has been a change in Nama's commercial objective; it remains as originally set out in the Nama Act to achieve the best achievable financial return by reference to what it paid for the loans, costs incurred and recovery of any additional monies provided.
• It was incorrect to state that by pointing out that prices in the market had fallen by more than was evident in price indices, Nama was "trying to minimise the impairment costs it takes in its accounts".
• It was incorrect to state that the High Court found against Nama in its quest to place Treasury Holdings into receivership. Nama has appointed receivers to certain assets owned by Treasury Holdings. The court found Treasury Holdings had a right to bring a judicial review, which is to be heard by the court in July.
• It was incorrect to state that a court ruling meant Nama lost the ability to assume control of loans relating to Paddy McKillen. The court said Nama did have the option to acquire these loans but Nama chose not to buy them for commercial reasons.
These inaccuracies are regretted and we are happy to correct the record on these matters.
Nama has also asked us to point out that it strongly rejects the contention that the agency will realise losses of at least €4bn to €6bn for the taxpayer.
Nama's stated expectation is that it will, at a minimum, recover all the money it paid for loans and to cover its operating expenses in full.
Nama also rejects the statement that it has failed to live up to its core objectives.
The agency states that the objectives set by the Oireachtas for it were to buy property loans from financial institutions and obtain the best achievable financial return from these loans.
The agency further states that it has successfully completed the acquisition of loans and believes it is making good progress towards obtaining the best achievable return from them.