continues to believethat the capital impact of its energy holdings remains manageable despitevolatility in oil prices, Executive Vice President and CFO Jack McGarry saidduring an earnings call to discuss first-quarter earnings, according to atranscript.
McGarrysaid the company's outlook for its portfolio has been strengthened by a sharpincrease in oil prices, also noting a modest reduction in the portfolio's size.
The CFOalso mentioned that the company's below investment grade energy exposure grewby $66 million in the first quarter as a result of a comprehensive review byrating agencies of energy credits and other portfolio management actions.
"Wecontinue to review our energy holdings and examine those holdings through anumber of stress scenarios. Current oil prices are higher than our baselinescenario, and our experience in the first quarter was consistent, and in somecases better than we expected," the CFO said.