GLENDALE FEDERAL RIDING HIGH BY GREGORY J. WILCOX DAILY NEWS STAFF WRITER.Glendale Federal Bank, the nation's 10th-largest thrift thrift: see leadwort. , said Thursday that it earned $23.2 million during fiscal 1997's second quarter as an improving California economy stimulated increased consumer borrowing. The Glendale-based company's performance equaled 29 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. on a fully diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. basis. It's a big turnaround from the second quarter of fiscal 1996, when Glendale Federal posted a loss of $10.7 million, equal to 37 cents a share, reflecting losses on the sale of its former headquarters and a portfolio of mortgage-backed securities Mortgage-backed securities (MSBs) Securities backed by a pool of mortgage loans. . Earnings from ongoing operations rose 61 percent during the quarter from the like period a year ago. Stephen J. Trafton, the company's chairman and chief executive, said the company's aggressive advertising campaign, which throws humorous haymakers at big traditional institutions like BankAmerica Corp. and Wells Fargo Wells Fargo armored carriers of bullion. [Am. Hist.: Brewer Dictionary, 1147] See : Protectiveness Wells Fargo company that handled express service to western states; often robbed. [Am. Hist. & Co., is paying dividends. Glendale Federal's checking account business jumped 32 percent in the past 12 months. For other area thrifts the growth was generally below 4 percent, Trafton said. ``We continue to see an increasing trend in the number of customers bringing their accounts to Glendale Federal,'' he said said. ``We believe that our advertising campaign against Bank of America
Bank of America (NYSE: BAC TYO: 8648 ) is the largest commercial bank in the United States in terms of deposits, and the largest company of its kind in the world. and Wells Fargo . . . has been the cause of our success.'' During the second quarter net interest income increased 15 percent, to $93.2 million, compared to a year ago. And loan loss provisions during the quarter - the amount of money set aside to cover consumer debts that might not be repaid - declined 25 percent. Assets totaled $15.128 billion, up from $14.640 billion in the year-ago period. The performance outpaced analysts' expectations by about a penny a share. That may not seem like much, but analyst Thomas O'Donnell at Smith Barney Smith Barney is a division of Citigroup Global Capital Markets Inc., a global, full-service financial firm, that provides brokerage, investment banking and asset management services to corporations, governments and individuals around the world. in New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of said it is significant because, coupled with improved results posted by other thrifts, indicates that the industry has fully recovered from the disastrous collapse of the late 1980s and early 1990s. Asset quality has improved and 1997 should be a profitable year, he said. O'Donnell credits Trafton with much of Glendale Federal's improvement. ``Steve Trafton really cleaned up the balance sheet. He really needs to be commended for turning the company around,'' O'Donnell said. He rated the company a strong performer during the 1997 second quarter and predicts that the second half of the year also should be profitable. |
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