`Super Tuesday' as US bank results impress

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The Independent Online
Three leading US banks announced better-than-expected results yesterday for the last quarter of 1995, with loan growth powered by the continuing strength of the American economy, writes John Willcock.

Citicorp, Chemical Bank and Chase Manhattan all did better than forecast, while only NationsBank disappointed.

Joseph Bartel, chief investment strategist at Wall Street brokers Fahnestock, said that yesterday was "super Tuesday for the banks. All the big names are reporting and, for the most part, they have really exceeded estimates."

Even though NationsBank's results were poorly received, it still increased its fourth-quarter earnings to $1.85 a share, up from $1.45.

Hugh McColl, chairman and chief executive officer, said, "In 1994, our company set forth three financial goals to achieve by the end of 1996. We have exceeded these goals in 1995 by producing 17 per cent earnings per share growth, a 17 per cent return on equity and an efficiency ratio below 60 per cent."

Wells Fargo posted fourth-quarter earnings per share of $6.29 compared with $3.96 in the same period last time. First Interstate had fourth-quarter earnings per share of $2.66 against $2.65.

Chase Manhattan Corp announced fourth-quarter earnings per share of $1.70 compared with $1.10.