Printer Friendly


 COLUMBUS, Ohio, Oct. 19 /PRNewswire/ -- Banc One Corporation (NYSE: ONE) reported record third quarter net income of $284.9 million compared to $245.7 million in the third quarter of 1992 and $281.9 million in the second quarter of 1993. Third quarter 1993 earnings per share of $.82 grew 17 percent over 1992 third quarter earnings of $.70. The annualized return on average assets was 1.52 percent during the quarter, which compares to 1.35 percent for the same quarter in 1992. Return on average common equity was 17.4 percent in the third quarter of 1993, compared with 16.7 percent a year ago.
 Net income for the first nine months increased to $853.7 million compared to $671.0 million in 1992. Earnings per share for the nine months ended Sept. 30, 1993, of $2.46 were up 27.5 percent from 1992's earnings of $1.93 per share. The year-to-date annualized return on average assets was 1.54 percent compared to 1.24 percent in 1992. Return on average common equity was 18.1 percent in 1993, up from 15.8 percent a year ago.
 Data for prior periods have been restated to reflect two acquisitions in the fourth quarter of 1992, the acquisition of Valley National Corporation in the first quarter 1993 and two acquisitions in the second quarter of 1993, all of which have been accounted for as poolings of interests. All per share data reflect the stock split of five shares for four effective Aug. 31, 1993.
 Banc One Chairman John B. McCoy said, "We continued to produce strong financial results during the third quarter throughout the corporation. Retail loan growth was encouraging and we were especially pleased with continued improvement in credit quality."
 Banc One's net interest margin was 6.22 percent for the third quarter compared to 6.30 percent for the prior quarter and 6.01 percent in the third quarter of 1992. Net interest income increased in the third quarter to $1.01 billion reflecting strong consumer loan growth which offset a decline in yields on investment securities and loans. Average loan balances in the third quarter were $50.0 billion, up from $48.7 billion in the second quarter and $45.6 billion in the third quarter of 1992. This represented an annualized growth rate of 9.7 percent over 1992 and 10.2 percent over the prior quarter. Compared with the third quarter of 1992 home mortgage loans grew 14.1 percent, installment loans were up 20.5 percent and credit card loans increased by 15.6 percent. Banc One affiliate banks in Arizona, Colorado, Indiana, West Virginia and Wisconsin all achieved annualized loan growth in excess of 10 percent in the third quarter compared to the previous quarter.
 Credit quality continued to improve in the third quarta?s nonperforming assets declined $83 million or 11.3 percent from June 30, 1993, levels. This represented 1.29 percent of loans, down from 1.49 percent at June 30, 1993, and 2.06 percent a year ago. The return of loans to accrual status accounted for the majority of the improvement. The provision for loan and lease losses increased to $97.5 million during the third quarter from $58.4 million in the second quarter and closely approximated the level of chargeoffs for the quarter. The loan loss reserve of 1.80 percent of ending loans at Sept. 30, 1993, versus 1.86 percent at June 30, 1993, provided reserve to nonperforming loan coverage of 219 percent, up from the second quarter coverage of 187 percent.
 The change in the tax law enacted Aug. 10, 1993, resulted in a net decrease in federal income tax expense of $4.9 million or one cent per share. This net decrease consisted of a net increase in expense of $8.1 million due to the increase in federal tax rates from 34 percent to 35 percent, and a decrease in expense of $13 million reflecting the cumulative impact of the deductibility of amortization of intangible assets acquired after July 25, 1991, as allowed by the new law.
 During third quarter 1993, Banc One announced agreements to affiliate with Capital Bancorp, a single-bank holding company headquartered in Salt Lake City, which has assets of $115 million, and Nebraska Capital Corporation, the parent company of the $95 million asset Havelock Bank in Lincoln, Neb.
 Banc One Corporation also has affiliations pending with Parkdale Bank, Beaumont, Texas; First Financial Associates, Inc., Kenosha, Wis.; Colorado Western Bancorp, Inc., Montrose, Colo.; FirstTier Financial, Inc., Omaha, Neb.; Central Banking Group, Inc., Oklahoma City; Mid States Bancshares, Inc., Moline, Ill.; and United American Bancshares, Inc., Palestine, Texas.
 Banc One Corporation had assets of $76.5 billion as of Sept. 30, 1993, and common equity of $6.5 billion. Banc One operates 78 banks with 1,320 offices in Arizona, California, Colorado, Illinois, Indiana, Kentucky, Michigan, Ohio, Texas, Utah, West Virginia and Wisconsin. Banc One Corporation also operates several additional corporations that engage in data processing, venture capital, investment and merchant banking, trust, brokerage, investment management, equipment leasing, mortgage banking, consumer finance and insurance.
 -0- 10/19/93
 /CONTACT: George R. L. Meiling, 614-248-5908; John A. Russell, 614-248-5989; or Jacqueline R. Spak, 614-248-1280; all of Banc One/

CO: Banc One Corporation ST: Ohio IN: FIN SU: ERN

KL-AR -- CL011 -- 3825 10/19/93 10:01 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Oct 19, 1993

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters