today, have already heard expressions of optimism for the new fiscal year.

It comes after the last full year to March 31 in which on average Home sold at least one mortgage a day.

President and CEO, Arthur Haycock, believes that first quarter figures to the end of June, now being tabulated, will be good.

He advised shareholders by letter that the first two months suggested earnings were in line with forecasts.

Mr. Haycock said, "Demand for mortgages and loans was consistent with expectations and customer deposits continue to grow at a satisfactory rate.

While two months cannot be considered a trend, we expect a good year provided the local economy continues to expand.

"We note with some concern, however, recent reports indicating softness in tourist arrivals as this directly affects employment and spending in both the hospitality and retail sectors.

"It also affects the ability of employees in these sectors to meet their financial commitments or to budget for savings.'' During the last fiscal year, Bermuda Home closed 367 new mortgages and further charges totalling $59.3 million, an increase of 4.6 percent over the previous year. Personal and consumer loan activity recorded an increase of 45 percent from $6,910,000 in new loans granted in the year March 1996 to $10,055,000 granted in the year just ended.

Customer deposits grew 6.3 percent or by $27.8 million to $469,618,000, while shareholders' equity rose nearly $4.9 million to $52,115,000. The company said property sales through their Bermuda Realty Ltd. rose to record levels.

The company declared net income of $7,509,000, slightly up from the year before. Total assets at the end of the fiscal year were up 6.5 percent to $526,261,000, as a result of growth in mortgage and loan portfolios and in cash and deposits with banks.

The Bermuda Home AGM is scheduled for 4pm today at The Bermuda National Gallery at City Hall.

BUSINESS BUC