Charter Renewal

Irish Continental Group plc, announces that P&O European Ferries Ltd
( " P&O") has exercised its option to extend the charter of the 1995
- built combined passenger / freight ferry  " Kaitaki " ( formerly
"Isle of Innisfree" ) from  1st July 2007 to 1st  July  2010.  P&O
retains one further option to extend the charter from 2010 to 2013.

With regard to the second vessel on charter , the " Pride of
Bilbao",  P&O  also has options to extend the charter, initially for
three years  from October 2007.  Under the charter agreement P&O must
give not less than 9 months notice of declaration of the option.