Permanent TSB ended 2014 with a profit before exceptional items of €5m from its core Irish business - and an overall pre-tax loss of €48m. This was an improvement on a €668m loss in 2013.

The bank has also announced plans to raise €500m from new investors - this will dilute the Government's stake in the bank as it plans to repurchase convertible contingent capital notes worth €400m from the State.

The bank was the only Irish financial institution to fail the Europe wide stress tests in October 2014. The bank's restructuring plan has been approved in principle by European authorities.

The bank plans to sell €3.5bn of mortgage loans and €1.5bn of loans mainly backed by Irish commercial property. 

The number of the bank's mortgage customers in arrears for more than 90 days dropped by 32 percent during the year - and 27,000 customers were offered sustainable long-term treatments for mortgages that are in arrears.

Permanent TSB CEO Jeremy Masding joined Newstalk Breakfast to discuss the results - and recent government comments suggesting that banks use threats of repossession to force distressed mortgage customers to engage with them.

Mr Masding says that of the bills for home repossessions currently before Ireland's 26 circuit courts, some 15 percent relate to Permanent TSB mortgages.

He warns, "It is important to stress that any court proceedings will not automatically translate into repossessions. Many customers who haven't engaged will only do so after we initiate court action."

The chief executive says that Permanent TSB  will "work with any of these customers [who are in arrears] right up until the end of the process to offer them a solution that doesn't require repossession"

He stresses: "Repossession is part of a natural banking order" but they are used as a "last resort."