Allied Irish Banks, p.l.c. - Capital Raising.

DUBLIN, Ireland--(BUSINESS WIRE)--July 23, 1999--

1. Allied Irish Banks, p.l.c. ("AIB") (NYSE: AIB) today

announces that it has issued Euro 200 million dated Junior

Subordinated Notes, for value July 30, 1999. The maturity

date is August 3, 2009. The coupon has been set at 6.2%

payable annually, the first coupon being due on August 3,

2000. The notes have been issued at a reoffer price of

99.677%.

The securities qualify as Upper Tier II Capital, and form part of AIB's on-going capital management programme. The transaction was lead managed by Lehman Brothers.

2. AIB also announces that Allfirst Preferred Capital Trust, a

US subsidiary of First Maryland Bancorp (FMB) has issued $100

million in Floating Rate Non-Cumulative Subordinated Capital

Trust Enhanced Securities "SKATES(SM)". The securities carry a

non-cumulative quarterly distribution at the rate of 3 month

LIBOR plus 1.5% per annum, payable quarterly on January 15,

April 15, July 15 and October 15 commencing October 15, 1999.

The SKATES were issued at a price to investors of $989.03 per

$1000. The SKATES partly replace the $150 million 7.875%

Non-Cumulative Preferred Stock, recalled on July 14, 1999.

The securities qualify as Tier I capital for FMB and AIB Group.

The transaction was lead managed by Lehman Brothers.

(SM) Service mark of Lehman Brothers Inc.

This notice is not an offer of securities for sale in the USA, the securities may not be offered or sold in the USA, absent registration under the Securities Act of 1933 or an exemption from such registration.