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FIRST COLONY REPORTS 1992 RESULTS

 LYNCHBURG, Va., Jan. 21 /PRNewswire/ -- First Colony Corporation (NYSE: FCL) reports that net income and earnings per share for the fourth quarter and 12 months of 1992 were higher when compared to the corresponding periods in 1991 due to a significant increase in operating income and realized investment gains. This report is based on preliminary figures.
 Net income for the fourth quarter of 1992 was $43.3 million, or $0.88 per share, up 42 percent from the fourth quarter 1991 net income of $30.5 million, or $0.62 per share. For the 12-month period, net income was $163.7 million, or $3.32 per share, an increase of 45 percent from 1991 net income of $112.6 million, or $2.28 per share.
 Included in the results for the fourth quarter of 1992 are higher after-tax realized investment gains of $14.1 million, or $0.29 per share, vs. $6.8 million, or $0.14 per share, in 1991. For the 12-month period, after-tax realized investment gains were $55.6 million, or $1.13 per share, compared with $15.6 million, or $0.31 per share, a year earlier.
 Additionally, the results for the 12-month period include after-tax income of $0.3 million, or $0.01 per share, from the net cumulative effect of accounting changes related to implementation of Financial Accounting Standards Board Statement No. 106 - Post- retirement Benefits and Statement No. 109 - Income Taxes.
 Excluding realized investment gains in both years, pre-tax income in 1992 was $42.5 million for the fourth quarter and $153.6 million for the year vs. $33.4 million and $135.8 million for the same 1991 periods, up 27 percent and 13 percent, respectively. 1992 net income excluding realized investment gains was 23 percent higher for the quarter and 11 percent compared with 1991. 1992 income has benefited from relatively better life insurance mortality and accelerated income from collaterized mortgage obligations (CMO) in the bond portfolio, offset in part by higher amortization costs related to both realized investment gains and CMO income, and a provision for guaranty fund costs related to the insolvency of certain large life insurance companies.
 Total revenues for the fourth quarter of 1992 were $374.1 million, up 38 percent from $271.3 million for the fourth quarter of 1991. For the year, total revenues were $1.28 billion, an increase of 24 percent from $1.03 billion in 1991. The 1992 increases in insurance revenues reflect higher net investment income which rose $27.5 million for the fourth quarter and $82.2 million for the year, higher net realized investment gains which increased $11.1 million and $60.6 million, respectively, and higher premiums which increased $62.4 million and $97.3 million, respectively.
 Life insurance in force at Dec. 31, 1992, amounted to $96.0 billion, up 29 percent from year-end 1991. Assets totaled $7.3 billion and shareholders' equity was $820 million, or $16.63 per share, at the close of 1992.
 Bruce C. Gottwald Jr., chairman of the board and chief executive officer of First Colony Corporation, said, "We are pleased that while record net income for First Colony reflected significantly higher realized gains from investments, operating income also reached an all-time high."
 First Colony Corporation is a Richmond-based holding company which owns First Colony Life Insurance Company and its wholly owned subsidiary, American Mayflower Life Insurance Company of New York. Ethyl Corporation (NYSE: EY) of Richmond, which owns 80 percent of First Colony's outstanding stock, has indicated that it intends to spin off its shares to shareholders during 1993, subject to a favorable tax determination by the Internal Revenue Service and approval by Ethyl's board of directors.
 -0- 1/21/93
 /CONTACT: Frank G. Land, CLU, First Colony Corporation, 804-948-5293/
 (FCL EY)


CO: First Colony Corporation; Ethyl Corporation ST: Virginia IN: INS SU: ERN

TW -- DC010 -- 7353 01/21/93 11:19 EST
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Date:Jan 21, 1993
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