business

Bank merger yields profits

Empresa General de Inversiones S.A. (EGI), the holding company for Banco General, Petróleos Delta, Empresa General de Capital, Plastiglas and 61% of BG Financial Group, earned $114, 790,000 at the close of this trimester, 59% more than during the same period last year, when it posted earnings of $72 million.

The earnings per share rose from $1.71 to $1.96, according to a report sent by EGI to market regulatory authorities.

The petroleum and plastics sectors did not yield dividends for the company.

The results reported included those from BG Financial Group Inc., the new conglomerate formed by the merger of Banco General and Banco Continental of Panamá, which became effective Sept. 30. of this year.

The major contributors to EGI's profits came from Banco General and its subsidiaries, which as of Sept. 30 earned $70,384,000, 12 percent more than during the same period in 2006.

Also as of Sept. 30 the total in interest and commissions earned by EGI was $322.1 million, considerably more than the $170.23 million earned during the same period in 2006. That represents an increase of 89.22 percent.

EGI expects the banking business will continue to grow, along with its other activities, owing to gains in the economy overall