WASHINGTON - The ratio of reserves to insured deposits held by banks has declined in each of the last four quarters.

The Bank Insurance Fund's reserves fell to $1.35 for every $100 of insured deposits in the first quarter, from $1.37 in the fourth quarter and $1.41 in the first quarter last year, according to government data released Monday. Though the Federal Deposit Insurance Corp. only has first-quarter data on the reserve ratio, the agency said the fund's reserves increased $366 million during the first half of this year, to $29.8 billion on June 30.

The fund generated $941 million of revenue, the vast majority of it coming from interest on Treasury notes; deposit insurance premiums yielded just $24 million. The Savings Association Insurance Fund's reserves held steady in the first quarter, at $1.44 for every $100 in insured deposits. The thrift fund's reserves increased $257 million in the first half, to $10.5 billion on June 30. The fund generated $324 million of revenue, with just $9 million from premiums.

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