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NATIONAL COOPERATIVE BANK RELEASES FINANCIAL RESULTS FOR SECOND QUARTER ENDED JUNE 30, 1992

 NATIONAL COOPERATIVE BANK RELEASES FINANCIAL RESULTS
 FOR SECOND QUARTER ENDED JUNE 30, 1992
 WASHINGTON, July 17 /PRNewswire/ -- For the six month period ended June 30, 1992, National Cooperative Bank reported net income of $3.2 million, an increase of 16 percent over the $2.7 million reported last year. Through higher profitability, return on assets increased to 1.19 percent from 1.11 percent for the same period in 1991.
 "NCB is excited about 1992's first half results. Strong profitability translates into lower borrowing costs for NCB, further enabling us to effectively serve our members," said Charles E. Snyder, president and chief executive officer.
 Higher profitability resulted primarily from an increase in net interest income of $763,787 earned through the warehousing of saleable mortgages. NCB benefited from a steepening yield curve and the widening of short-term spreads. The increase was partially offset by an increase in non-interest expense.
 Interest income decreased $1.0 million to $22.6 million for the six months ended June 30, 1992, as average rates on interest-earning assets fell from 9.80 percent to 8.69 percent. Interest expense declined $1.8 million to $12.1 million through the repricing of floating rate liabilities.
 Non-interest income was $2 million through June 30, 1992, unchanged when compared with the same period last year. Non-interest income is attributable to gains on loan sales, commitment fees and loan servicing fees.
 Non-interest expense, as a percentage of average assets, declined to 2.97 percent at June 30, 1992, from 3.05 percent at June 30, 1991. Non-interest expenses increased 5 percent to $7.9 million through higher contractual services expense.
 Total assets increased $70 million, or 13.5 percent, to $587 million at June 30, 1992, from year-end. The increase resulted from higher real estate loans outstanding. NCB has been warehousing investment-grade real estate originations for sale in a $93 million public offering scheduled for July 1992.
 The allowance for possible credit losses at June 30, 1992, increased 14 percent to $9.9 million from $8.7 million at Dec. 31, 1991. As a percentage of average loans outstanding, the average allowance increased to 1.99 percent from 1.93 percent. The increase resulted form a year-to-date provision for possible credit losses expense of $1.2 million. Unchanged when compared to the same period in 1991, the provision is consistent with management's strategy of building reserves. Only $28,000 was charged-off during the first half.
 National Cooperative Bank, headquartered in Washington, serves cooperatives nationwide.
 NATIONAL COOPERATIVE BANK
 Summary of Financial Performance
 Selected Items
 For the Six Months Ended June 30, 1992, and 1991
 1992 1991


Balance Sheet Items
Commercial loans and leases $232,164,913 $224,527,803
Real estate loans 287,721,167 189,660,873
Total loans and leases 519,886,080 414,188,676
Total investments 56,670,742 52,515,099
Total assets 587,119,816 477,870,556
Deposits 44,395,836 38,400,656
Notes payable 241,306,078 139,359,323
Members' equity 104,432,035 101,586,353


Income Statement Items
Interest earned 22,611,355 23,659,360
Interest expense 12,136,660 13,948,452
Net interest income 10,474,695 9,710,908


Provision for possible
 credit losses 1,236,543 1,268,354
Non-interest income 2,021,516 1,981,054
Total non-interest expenses 7,865,506 7,480,796
Net income 3,155,250 2,722,360


Selected Ratios Provision for possible credit losses
 to average loans outstanding 0.53 pct. 0.59 pct.
Average net loans to average assets 86.45 pct. 85.66 pct.


Average members' equity to:
 Average assets 19.62 pct. 20.46 pct.
 Average loans 22.24 pct. 23.42 pct.
Yield on commercial loans 8.46 pct. 10.20 pct.
Yield on real estate loans 9.65 pct. 10.00 pct.
Yield on investments 5.40 pct. 7.28 pct.


Average allowance for possible credit
 losses to average loans outstanding 1.99 pct. 1.95 pct.
Return on average equity 6.07 pct. 5.42 pct.
 -0- 1/31/92
 /CONTACT: Louise M. Grant of National Cooperative Bank, 202-336-7652/ CO: National Cooperative Bank ST: District of Columbia IN: FIN SU: ERN


TW -- DC026 -- 0430 07/17/92 17:20 EDT
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Date:Jul 17, 1992
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