Mangalore-based Corporation Bank has reported a 81 per cent drop in its net profit at Rs 27.39 crore for the second quarter ended September 2004 as compared to Rs 144.93 crore in the corresponding quarter of the previous fiscal.K. Cherian Verghese, Chairman and Managing Director of Corporation Bank attributed the fall to loss of profits on sale of government securities — from Rs 177 crore to Rs 54 crore. Corporation Bank also made provisioning of depreciation and investment portfolio to the tune of Rs 227.62 crore till September end.Total income also saw a drop in the period under review to Rs 685.81 crore as against Rs 732.81 crore in the second quarter of the previous fiscal, Verghese said.Talking about acquisitions, Verghese said the bank was looking at acquisition opportunites but has not finalised any deal as yet. ‘‘The hostile merger option is completely ruled out in India. We have to look at merger option which is voluntary and should have blessings of both the Reserve Bank of India and the government,’’ he said.‘‘The bank will, however, like to protect its brand identity and it will prefer to acquire a bank rather than getting acquired,’’ he said.
