Date: December 16, 2004
Contact: Angela Johnson
Phone: 340-773-6449

BANKING BOARD HOLDS ITS END-OF-YEAR MEETING

Virgin Islands Banking Board Chairman, Lieutenant Governor Vargrave Richards officiated at the final 2004 Banking Board meeting held on St. Croix today.

Christopher Spoth, Regional Director of the Federal Deposit Insurance Corporation (FDIC) in his first visit to the Territory, was present at today's meeting, as well as was Mayra Hansen, FDIC Supervisor from the Puerto Rico office which oversees U.S. Virgin Islands banking institutions.

Mr. Spoth discussed economic trends; interest rates; banking conditions in general - which he said "are very good in the U.S. and the Territories." He further elaborated on the risks and challenges facing U.S. banks currently, including management of ethical and accounting rules as it relates to corporate governance. "The banks here are faring well in this regard," Spoth determined.

The V.I. Bankers Association met prior to the Banking Board to vote for a new President today.

Lieutenant Governor Richards thanked outgoing Bankers' Association President Cassan Pancham of FirstBank for his dedicated and diligent service, and congratulated President-Elect Peter Vanschie of ScotiaBank.

Richards concluded: "Meetings with the Banking Board and Banking Association have been fruitful and productive this past year. I appreciate all members' commitment and service to the Virgin Islands in assisting in the improvement of the quality of banks throughout the Territory. I look forward to our continued collaboration in 2005 and beyond."