IRVING BANK <V> 1ST-QTR NET HURT BY BRAZIL
Irving Bank Corp said a six pct drop
in first-quarter net income from a year earlier was largely the
result of placing medium- and long-term loans to borrowers in
Brazil and Ecuador on non-accrual status.
    Income in the first three months fell to 28.60 mln dlrs
from 30.43 mln in the same 1986 period. Earnings per share
dropped to 1.51 dlrs from 1.62.
    Irving put 215 mln dlrs of Brazilian and 33 mln dlrs of
Ecuadorean loans on non-accrual, reducing first-quarter net
income by a total of 4.4 mln dlrs after tax.
    Irving estimates full year net would be reduced by 15.3 mln
dlrs after tax if no cash interest payments are received on
these loans during the remainder of 1987.
    Also adversely affecting earnings were losses on the
trading of securities and higher non-interest expenses,
although these were partly offset by increased trust income,
profits from foreign exchange trading and investment securities
gains, the bank said.
    The allowance for loan losses was 224.8 mln dlrs, up from
185.2 mln a year earlier. The provision for loan losses was
21.8 mln versus 19.5 mln in the first quarter of 1986.
 Reuter
