LONDON, England - April 19, 2011 - Moody's cut the long-term bank deposit ratings of Ireland's government-guaranteed banks by two notches on Monday following a sovereign downgrade last week, meaning that all the lenders are now classified as junk.

The rating agency cut Ireland's rating to Baa1, the verge of junk status, on Friday and kept its outlook on negative amid spluttering economic growth and uncertainty around solvency tests required by Europe's new rescue fund from 2013.