The Bank of Bermuda said yesterday said it was endeavouring to carry on with "business as usual," and urged investors not to panic.

CEO Henry Smith said: "Many of us at the bank have links to the US through work and family. Indeed, many of us work closely with people whose offices are in the World Trade Centre.

"This means the terrible events that occurred yesterday are felt by us not just as a global business, but in a much more personal way by many of our employees.

"Our thoughts and prayers remain with the families and friends of the victims."

Mr. Smith said that business was continuing as usual however, and the services of the Bank have remained largely unchanged apart from the suspension of contractual settlement for US securities.

He also said that local banking was unaffected with EasyLink ATM's operating for both debit and credit cards.

Other credit-related facilities may be subject to some restriction depending on developments in global markets over the next few days.

Mr. Smith also commented: "For the time being the Bank is urging caution in responding to the crisis. History shows us this is not the time to panic and liquidate holdings.

"We only need to look back to the October 1987 crash and to the Gulf War to see the impact of overreaction."