NU Online News Service, July 22, 3:13 p.m. EDT

BB&T Corp. said its insurance operations produced recordquarterly revenues despite the impact of the soft market.

The Winston-Salem, N.C.-based bank said BB&T InsuranceServices posted revenues in the second quarter of $287 million, up2 percent, or $6 million, from the same period last year.

For the six months, revenues are up slightly on a year-to-yearbasis by 1 percent, or $7 million, to $540 million.

"Insurance continues to perform reasonably well given the softmarket," said Daryl N. Bible, chief financial officer during aconference call with investment analysts.

The second quarter was a 13 percent improvement over the firstquarter performance of $253 million, an increase of $34 million ona quarter-to-quarter basis.

When asked about corporate expansion, Kelly S. King, chairman,president and chief executive officer, said on the banking side thecompany would continue to grow over the next five years in themid-Atlantic and Southeast states. On non-core business, he saidgrowth would continue on a national scale "based on the economicreality of their performance."

For BB&T Corp., second quarter net income was $224 million,up 8 percent, or $16 million. Earnings per share rose 10 cents to30 cents a share.

For the first six months, net income is down 21 percent, or $108million, to $418 million. Earnings per share for the six monthsstood at 58 cents a share, down 9 cents a share.