A federal regulator warned community banks Monday against taking the year-2000 computer problem too lightly.

Nicholas J. Ketcha, director of supervision at the Federal Deposit Insurance Corp., said some vendors are soft-pedaling the issue. For example, Kansas Bankers Surety Co., in a March 6 letter to directors and officers it insures, compared year-2000 worries with the famous fable of the chicken who cries "the sky is falling" after being hit on the head by an acorn.

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