(May 2 – 11:40 ET) – Industrial-Alliance Life Insurance Company is reporting improved earnings for the first quarter ending March 31. Net income attributable to shareholders wqs $24.2 million, or 64¢ per common share, a 20% increase over last year’s $20.2 million net income, or 54¢ per common share.

The return on common shareholders’ equity was 14.19% for the 12 months ended March 31, 2001, up from the 13.30% return achieved for the twelve months ended March 31, 2000. With respect to business growth, insurance and annuities premiums reached $657.6 million, up 6% over the first quarter of 2000.

“The first quarter ended on a very positive note in terms of profitability and business growth, in spite of the market downturn,” said Yvon Charest, president and CEO. “Sales were strong once again, particularly in individual insurance, where they grew 22%, as well as in group insurance, where they increased by 45% for employee plans, and in Group Pensions, where they jumped 76%. Once again, these results show our organization’s depth and vitality and our capacity to deliver solid performances, quarter after quarter.”

Assets under management remained practically unchanged at $14.1 billion between the end of 2000 and March 31, 2001. New fund entries and investment income were partially neutralized by the drop in stock market values. The company is pleased with the performance of the company’s investment funds. As at March 31, 2001, the one-year performance of 28 funds, representing 75% of the net assets in the investment funds, was better than the median.