
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, October 20, 1994                   TAG: 9410200065
SECTION: BUSINESS                    PAGE: B-7   EDITION: METRO 
SOURCE: MAG POFF STAFF WRITER
DATELINE:                                 LENGTH: Short

VIRGINIA FIRST REPORTS DROP IN EARNINGS

Virginia First Financial Corp. of Petersburg, which has offices in the Roanoke Valley, said Wednesday that it had earnings of $1.6 million, or 55 cents a share, for its first quarter, which ended Sept. 30. That was a decrease of 15.2 percent from the $1.8 million, or 66 cents a share, for the same quarter in 1993.

The thrift said its earnings were affected by the rise in market interest rates and the resulting decline in mortgage loan refinancings.

Residential mortgage loan originations and sales in the first quarter declined by 52.9 percent and 61.3 percent, respectively, according to Chairman William Patton. He said Virginia First anticipates that residential mortgage loan originations for the balance of its fiscal year will be less than in the year that ended June 30.

The thrift announced that it will consolidate the back-office operations of its mortgage banking units. Effective Nov. 1, it will merge its Virginia First Mortgage division at Petersburg with the one at Woodbridge. This will not affect its existing six mortgage loan origination offices, one of them in Southwest Virginia.

Virginia First reported total assets of $632 million in September, compared with $553 million a year ago. Deposits rose in the same period from $456.7 million to $459.5 million.

Virginia First also said it will pay a quarterly dividend of 2.5 cents a share Nov. 25.

by CNB