(July 20 – 15:30 ET) -Surrey Metro Savings reports improved net income for the six months ended June 30. The credit union says net income climbed 41% to $4.5 million, up from the $3.2 million recorded for the same period in 1999. Activities related to a merger-proposal reduced its after tax income in the first six months by $1 million in 1999. Year-to-date earnings per share were 83¢, compared with 58¢, or 76¢ before accounting for merger-proposal expenses for the same period last year.
SMS says total assets as at June 30 jumped to $2.3 billion, compared with $2.1 billion a year ago, but assets hsve declined by $48.9 million since Dec. 31, 1999. It says the drop was anticipated and reflects the scheduled maturities of higher priced institutional deposits. These deposits were replaced by an increase in borrowings and a reduction in cash resources.
Total loans as at June 30 amounted to $2 billion, 5.3% higher than a year ago. Return on non-voting share equity for the first six months of 2000 was 10.47%, compared with 7.99%, or 10.30% before merger-proposal expenses, for the same period in 1999. Return on average assets was 0.39%, compared with 0.30%, or 0.39% before merger-proposal expenses, for the same period in the previous year.
SMS says its efforts in the second half of the year will be directed towards further diversification and growth of depositsl. Its overall objective is increasing its customer base. It is also working with other large credit unions in the establishment of an e-business portal.
-IE Staff