WESTLB LUXEMBOURG REPORTS LOWER 1986 NET PROFIT
Westdeutsche Landesbank Girozentrale
<WELG.F> said its wholly-owned Luxembourg subsidiary WestLB
International SA posted a decline in 1986 net profit to 12.6
mln marks from 48.5 mln a year earlier.
    WestLB International will pay a 12.5 mln mark dividend to
WestLB, down from 47.7 mln a year earlier.
    The dividend was lower than in 1985 because the record
profit of the previous year could not be repeated, due to
changed market conditions, it said. Increased funds were also
allocated for provisions. Business in the first three months of
1987 developed positively, it added.
    WestLB International set aside 115.3 mln marks for
international credit risks in 1986, up from 97.4 mln marks in
1985, bringing the total amount of provisions shown in the
balance sheet to 580.3 mln marks.
    Operating profit fell to 122 mln marks in 1986 from 150 mln
in 1985. Balance sheet total fell to 9.7 billion marks from
10.8 billion, reflecting the lower dollar and the fact that
credit business redemptions were not fully offset by new
lending.
    The statement said WestLB International's business with
private customers showed a pleasing expansion last year.
    This development was aided by cooperation between the bank
and the savings banks in the West German state of North
Rhine-Westphalia, where parent bank WestLB is based.
    Deposits by non-banks rose more than 40 pct to a total of
1.1 billion.
    WestLB International said it plans to expand its range of
services for private clients.
 REUTER
