Allied Irish Banks, PLC (AIB) announced today that it has “decided to take further action to strengthen [its] capital position….” Following discussions with the Irish Minister for Finance after the government performed due diligence and a stress test analysis on the bank, AIB stated that it intended “to increase core tier 1 capital by a further €1.5 billion before the end of 2009.” This capital raise will be in addition to the €3.5 billion government-sponsored recapitalization announced in February. AIB’s announcement indicated that it intends to utilize the proceeds from the disposal of certain of its assets to increase capital and acknowledged that any additional capital injections from the government “would be in the form of equity capital.”