Dallas FHLBank Reports '05 Profits

The Federal Home Loan Bank of Dallas has reported $242.4 million in earnings for 2005 in filing its first annual report with the Securities and Exchange Commission.The FHLBank restated earnings from 2001 through the first quarter of 2005. (The restatement shows that the Dallas bank posted earnings of $64.7 million in 2004.) "Completion of the SEC registration process represents an important milestone for the Bank," said Terry Smith, the Dallas bank's president and chief executive officer. The $64.9 billion FHLBank reported a slight decline in advances, to $46.5 billion, in 2005. But the bank also warned that $7.5 billion in advances extended to Washington Mutual Bank will mature over the next two years and will not be renewed. WaMu acquired a Texas thrift in 2001, but it is not a member of the Dallas FHLBank. To make up for this loss in income, the Dallas bank said it wants to expand services that it provides members electronically, and it is evaluating other ways to "diversify its product offerings and its income stream."