First BanCorp Delays 10-Q Filing

First BanCorp, San Juan, P.R., is delaying the filing of its Form 10-Q or the second quarter after its audit committee determined it should review the background and accounting for certain mortgage loans purchased between 2000 and 2005.The transactions to be reviewed involve the purchase of mortgage loans originated at other institutions by First BanCorp, parent of FirstBank Puerto Rico. First BanCorp had recorded the outstanding balances of these loans as mortgage loans receivable and the variable interest collected as interest income. It did not record any derivatives or interest only strips from these transactions. The audit committee wants to review the terms and conditions of the purchase contracts. The company does not know when the review will be completed and thus cannot predict when it will file the 10-Q for the quarter ended June 30, 2005. First BanCorp's website is http://www.firstbankpr.com.