BANKING & FINANCE - March 10, 1995

Thrift Industry Posts Profit for 1994: The Office of Thrift Supervision said S&Ls; had $4.3 billion in earnings last year, compared to $4.9 billion in 1993 and $5.1 billion the year before. Profits also declined slightly in the last quarter of 1994, to $1.1 billion from $1.2 billion in the previous three-month period. The overall picture is bright, said Jonathan Fiechter, acting director of the regulatory agency. But he said a shrinking spread between short- and medium-term interest rates and the threat of continued high deposit insurance premiums for thrifts are worrisome.