Surrey Metro Savings is reporting reduced net income for the three months ended March 31, 2002. Net income fell 19.6% to $1.8 million.

Activities related to the merger with Coast Capital Savings Credit Union reduced Surrey Metro’s first quarter after tax income by $500,000. Earnings per share for the first three months of 2002 were 38¢ or 48¢ before accounting for merger related expenses, compared with 45¢ for the same period last year.

Total assets as at March 31, 2002 were $2.4 billion, compared with $2.3 billion a year ago. Assets declined by $310.5 million since December 31, 2001. Total deposits, at $2.2 billion, were 3.4% above the level at March 31, 2001 and 15.5% lower than at December 31, 2001. Borrowings were $84 million, down from $91.0 million at March 31, 2001 and up from $Nil at year-end.

Total loans as at March 31, 2002 were $2.1 billion, 3.8% higher than a year ago and up 0.8% from year-end. Total Shareholder’s Equity, at $99.8 million, increased 7.1% since March 31, 2001 and 2.0% over December 31, 2001.

Return on Non-voting share equity for the first three months of 2002 was 7.48% or 9.46% before merger related expenses, compared with 9.95% for the same period in 2001. Return on average assets for the three months ended March 31, 2002 was 0.29% or 0.37% before merger related expenses, compared with 0.38% for the same period in the previous year.