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EARLY WARNING SAVED FIRST CITY - TEXAS UNINSURED DEPOSITORS $78 MILLION

EARLY WARNING SAVED FIRST CITY - TEXAS UNINSURED DEPOSITORS $78 MILLION
 CORAL GABLES, Fla., Nov. 3 /PRNewswire/ -- Federal regulators, reporting on last Friday's closing of First City Bancorp, Houston, Texas, noted that 5,000 accounts with combined uninsured deposits of $260 million, at four First City subsidiaries, would receive an 80 percent payout. That represents a loss to uninsured depositors of $52 million.
 "That loss could have been significantly higher," noted Paul A. Bauer, president of Bauer Financial Reports, Inc., Coral Gables, Fla., a bank research firm. "Estimates we derived from June 30, 1992 data, indicated that uninsured deposits at the four First City subsidiaries noted, Houston, Dallas, Austin and San Antonio, were as high as $651 million. Had they remained at that at level, the loss to uninsured First City depositors would have been over $130 million rather than the $52 million noted.
 "Although the information was published widely," continued Bauer, "most of the credit should go to The Wall Street Journal, which wrote a feature article on uninsured deposits at 'critically undercapitalized' banks in the Oct. 22 edition. Undoubtedly, the Journal article generated a significant reduction in uninsured deposits at First City and may well have precipitated regulator action. Bauer Financial Reports is proud to have supplied the data for that article."
 Bauer Financial Reports, Inc., a Coral Gables, Fla. bank research firm, will inform consumers if their bank or thrift meets federal capital requirements and, if not, if it is on the "critically undercapitalized" list, without charge. Simply call Bauer's BankRater(R) toll free number, 800-388-6686, Monday through Friday, 9 a.m. to 8 p.m. ET. The call and the information are free.
 -0- 11/3/92
 /NOTE TO EDITOR: Members of the press may request specifics on the institutions classified "critically undercapitalized" by calling Paul A. Bauer or Karen Dorway at 305-444-3125, or fax request to 305-441-0691.
 CONTACT: Brienne Jorgensen of Bauer Financial Reports, 800-388-6686/ CO: Bauer Financial Reports ST: Florida IN: FIN SU:


JJ-JB -- FLFNS1 -- 1908 11/03/92 07:32 EST
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Publication:PR Newswire
Date:Nov 3, 1992
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