Birmingham, Ala.-based AmSouth Bancorp. on Tuesday reported essentially flat first-quarter earnings of $40.1 million, but First Tennessee National Corp. suffered a 21% drop, to $31.6 million, due to pressure on interest margins.

Memphis-based First Tennessee, which has $10.9 billion of assets, saw its return on average assets fall 33 basis points, while return on equity skidded a whopping 518 basis points. The bank's net interest margin was 3.92% at quarter's end, compared with 4.31% a year earlier.

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