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PHILADELPHIA S&L SEIZED BY FEDERAL REGULATORS

 PHILADELPHIA S&L SEIZED BY FEDERAL REGULATORS
 WASHINGTON, March 12 /PRNewswire/ -- The Office of Thrift


Supervision (OTS) today placed Ukrainian Savings and Loan Association, Philadelphia, in receivership and chartered a new federal mutual institution to take its place.
 The new institution, Ukrainian Federal Savings and Loan Association, will assume certain assets and liabilities of the old thrift, and will operate in conservatorship under the management of the Resolution Trust Corporation.
 The receivership did not result in any interruption of Ukrainian's operations. The institution and its only branch office, located in the Logan section of Philadelphia, will remain open for business as usual. Holders of insured accounts are not affected by the action, which was taken by OTS to protect insured depositors and the interests of the thrift insurance fund. Deposits remain insured to the $100,000 legal limit.
 OTS initiated the action because Ukrainian was operating in an unsafe and unsound condition in that it had insufficient capital, with no prospect of replenishment without federal assistance.
 Ukrainian's condition is due primarily to losses on poorly underwritten high-risk commercial real estate development loans and, to a lesser degree, the weak local real estate market. Appraisals were inadequate and the thrift had poor internal controls.
 As of Dec. 31, 1991, Ukrainian reported delinquent loans of $7.98 million, or 10.6 percent of total assets. As of the same date, 20.5 percent of Ukrainian's assets were classified as substandard, doubtful or loss.
 Ukrainian reported losses of $2.17 million for the fourth quarter of 1991 and $5.49 million for the year. The institution is insolvent in that it has negative tangible capital.
 Ukrainian Savings and Loan Association was a state-chartered mutual association.
 As of Dec. 31, 1991, Ukrainian Savings and Loan Association reported assets of $74.9 million, liabilities of $75.1 million and tangible capital of negative $193,000, for a tangible capital-to- assets ratio of negative 0.26.
 /delval/
 -0- 3/12/92
 /CONTACT: Roy Jensen, 201-413-7501, or Janis Smith, 202-906-6677, both of the Office of Thrift Supervision/ CO: Office of Thrift Supervision; Ukrainian Savings and Loan
 Association ST: Pennsylvania IN: FIN SU: EXE


DS-DC -- DC018 -- 7483 03/12/92 13:43 EST
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Publication:PR Newswire
Date:Mar 12, 1992
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