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Bank regulators report woes

Friday, Sept. 22, 2000 | 11:17 a.m.

THE ASSOCIATED PRESS

WASHINGTON -- Federal regulators say the nation's banks are in trouble, pointing to an easing of lending standards, rising numbers of problem loans and declining earnings amid a strong economy as obvious warning signs.

For Donna Tanoue, head of the Federal Deposit Insurance Corp., some "yellow caution lights ... are flashing brighter" than previously.

The FDIC reported Thursday that U.S. bank profits dropped to $14.7 billion in the spring quarter.

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