First Maryland Profit Rises 27%
First Maryland Bancorp, the $7.9-billion asset U.S. banking unit of Allied Irish Banks PLC, reported third-quarter earnings of $20.7 million, up 27% over earnings in the quarter last year.
Net earnings for the first time months reached $51 million, up 22%, the bank reported.
The bank attributed improvement to a strong increases in fee income and better cost control.
Profits would have been even higher had First Maryland not been forced to add $13.2 million to its loan-loss reserves in the third quarter, down from $16.3 million in the second quarter and $17.4 million a year earlier.
First Maryland is one of the few foreign-owned U.S. banking units to report improved earnings this year.
Hongkong and Shanghai Banking Corp., parent of Marine Midland Banks Inc. reported last month a $56.9 million third-quarter loss, and National Westminster Bancorp, a unit of Britain's National Westminster PLC, a loss of $65.7 million.
First Maryland expects to post full-year profit of about $70 million, up from $40 million for 1990, a spokesman said.
Latest results do not include earnings from York Bank and Trust Co., a small Pennsylvania bank that First Maryland is to acquire at yearend.