Key Bancshares of Utah, the holding company for Key Bank of Utah, logged a record performance in 1990 as net income rose 30.10 percent over 1989 to $11.3 million.
Ross E. Kendell, president of Key Bancshares, a subsidiary of KeyCorp, based in Albany, N.Y., said two of the most important measures of performance for a financial institution, return on assets and return on equity, had "excellent ratios" in 1990 with ROA at 1.26 percent and ROE at 18.33 percent.Net yield on average earning assets last year was "a strong" 4.72 percent, said Kendell, up 4.67 percent over the previous year.
Kendell said the quality of the bank's loan portfolio is "another clear indication of the strength and soundness of the bank's performance in 1990." Loans with risk at year's end dropped to a record low of .48 percent of total outstanding, he said, down from the 1.16 percent a year earlier.
Net charge-offs to average loans were .25 percent, down from .30 percent reported in 1989. Loan charge-off ratios for both years are below industry averages, said Kendell.
Key Bank's average total assets for 1990 increased 9.65 percent to $903 million. Average total deposits were up 9.13 percent to $720 million. Average total loans increased 5.31 percent to $599 million and average earning assets jumped from $740 million in 1989 to $813 million.
"As we look ahead to 1991, we see more challenges and opportunities," said Kendell. "We believe the Utah economy is strong. We will continue to be a strong, competitive part of the communities and neighborhoods we serve."
The bank has announced plans for a new office in Taylorsville due to open in early summer. Key Bank also plans to expand its automatic teller machine network in Utah with nine new ATM's due to be in place at the end of next month for a total of 21 throughout the system.