HOUSTON, April 27 /PRNewswire/ -- The following was issued today by Bank
United Corp. (Nasdaq: BNKU):

             Highlights/accomplishments for the quarter included:

    --  Achieved record assets of $14.9 billion through continued strong
        commercial loan originations.
    --  Completed the acquisition of Midland American Bank, increasing
        deposits to a record $6.6 billion.
    --  Continued trend of record fee income.
    --  Maintained excellent efficiency ratio of 48%.
    --  Maintained high asset quality with non-performing assets at .62% of
        total assets at quarter-end.

    Bank United Corp. (the "Company"), parent of Bank United
(NYSE: BKU PrA and BKU PrB) (the "Bank") , today announced net income of
$25.9 million or $.81 per diluted share for the second quarter of 1999, before
deducting $1.3 million of expenses related to litigation against the federal
government, compared to $21.9 million or $.68 per diluted share, excluding
certain adjusting items, for the year ago quarter.  Net income on the same
basis for the six months ending March 31, 1999 was $55 million or $1.71 per
diluted share, compared to $42.3 million or $1.31 per diluted share for the
same period a year ago.  See the attached schedules for details of adjustments
relating to these periods and for supplemental financial data.
    Net income of $25.9 million for the second quarter of 1999 was
$4.0 million or 19% higher than the year ago quarter.  This increase was
primarily due to an $8 million or 11% increase in net interest income and an
$8.5 million or 43% increase in non-interest income, partially offset by a
$7.3 million or 16% increase in non-interest expenses.  Net interest income,
as well as interest-earning assets, reached record levels during the quarter,
while the net interest spread remained relatively stable.  Other fee income
also reached record levels with the most significant contributing business
being the community bank.
    Net income was $25.9 million or $.81 per diluted share for the second
quarter of 1999 as compared to $29.1 million or $.90 per diluted share for the
first quarter of 1999, down $3.2 million or 11%.  This decrease was due
principally to gains on mortgage banking sales of single family loans, which
were down $3.9 million, quarter over quarter.
    Reported net income for the current quarter was $25.1 million or
$.78 per diluted share, after deducting the litigation expenses.  On a year-
to-date basis, reported net income was $52.5 million or $1.63 per diluted
share for the six months ending March 31, 1999.

    OUTLOOK
    "Continued robust housing and other US economic growth indicators should
help the Company's ability to generate significant volumes of high-quality
assets over the remainder of the year," said Bank United Corp. President and
CEO Barry C. Burkholder.  The outlook for single family mortgage production
remains positive.  The published refinance index began to improve late in the
second quarter as long-term interest rates declined.  This could drive single
family funding volume up in the third quarter and result in higher volumes of
mortgage banking sales in the fourth quarter.
    Similarly, loan production levels in the commercial business should
continue their current momentum, benefitting from economic growth and lower
interest rates.  Product lines closely associated with the single family
housing market, such as warehouse line of credit and single family
construction, are expected to represent an important source of asset growth
over the next two quarters.  "Overall, our asset generation business continues
to look good", commented Burkholder.
    The customer reaction to the Company's opening of 48 new branches in
Kroger Stores in the Dallas/Fort Worth and Houston markets has been very
positive.  Beginning on Saturday, April 10, 1999, Bank United began soliciting
new customers in each of the 48 stores while the physical branch facilities
were being prepared for opening with new furniture, fixtures and technology.
Burkholder noted, "The new in-store, 'seven-day' banking centers have given
the Company the opportunity to significantly increase our presence in these
growing markets faster and for much less cost than building traditional de
novo branches.  Additionally, these branches benefit from high consumer
traffic in the Kroger Stores."
    The Company plans to incur approximately $3.6 million in net after tax
costs or $.11 per diluted share in connection with the Kroger initiative in
the second half of the year.  This cost has been covered by the excellent
earnings in the year's first half, which exceeded market estimates.  "We
believe this low-cost delivery channel is critical to the long-term success of
Bank United", stated Burkholder.  "Continued branch expansion will enrich the
overall customer banking experience and strengthen Bank United's market
position.  This should ultimately lead to higher revenues and create long-term
value for our shareholders."
    The Company continues to leverage its technology investments, adding
strategic systems to improve employee productivity and customer convenience.
Recently, the Company signed a contract with nFront for consumer and small
business internet banking, replacing the current PC banking technology.  In
addition TransPoint has been chosen as the vendor for customer billing and
bill presentment to be offered in conjunction with web banking.  To improve
mortgage productivity, the Company has contracted with Keystroke Financial to
integrate the internet with its interactive processing systems.

    NET INTEREST INCOME
    Net interest income for the second quarter of 1999 was $81.4 million
compared to $73.4 million for the year ago quarter and $78.2 million for the
first quarter of 1999.  The increase over both previous quarters reflects
record level interest-earning assets, as well as an increased net interest
spread when compared to the first quarter of 1999.  Average interest-earning
assets rose 15% to $13.6 billion during the second quarter of 1999 compared to
the year ago quarter and 5% compared to the first quarter of 1999.  Increased
interest-earning asset levels during the current quarter resulted from growth
in the higher yielding commercial loan portfolios (comprised principally of
single family construction, multifamily and commercial real estate, and
warehouse line of credit), which were primarily funded with Federal Home Loan
Bank advances.

    Net Spread
    The net interest spread for the second quarter of 1999 was 2.25% compared
to 2.27% for the year ago quarter and 2.22% for the first quarter of 1999.
Declining asset yields resulting from continued prepayments of higher yielding
single family mortgage loans, as well as downward interest rate resets in the
commercial portfolio, were mitigated by lower funding costs, resulting in a
relatively stable net interest spread over the previous quarters.  The slight
increase in the net interest spread during the second quarter of 1999 as
compared to the first quarter of 1999 was caused by the effects of commercial
loan growth outpacing the high level of mortgage loan prepayments.

    Net Yield
    While the net interest spread remained relatively stable from quarter to
quarter, the net yield on interest-earning assets dropped to  2.38% for the
second quarter of 1999 compared to 2.46% for the year ago quarter and 2.44%
for the first quarter of 1999.  The decline from the first quarter of 1999 was
a result of the growth in interest-earning and net non-interest earning
assets.  Net non-interest earning assets increased due to the cyclical decline
in escrow funds held for investors, an increase in goodwill associated with
the Midland American Bank acquisition, and an increase in mortgage servicing
rights acquired.

    NON-INTEREST INCOME
    Non-interest income, which is comprised of loan servicing, community
banking and commercial banking related fees, and net gains totalled
$28.1 million for the second quarter of 1999 compared to the year ago
quarter's results of $19.6 million, for an increase of $8.5 million or 43%.

    Loan Servicing Fees
    Net loan servicing fees increased $4 million or 45% during the second
quarter of 1999 compared to the same quarter a year ago.  This increase is due
to a larger servicing portfolio and higher servicing fees received per loan.
On average, the portfolio of single family loans serviced for others was
$23.0 billion for the second quarter of 1999 compared to $19.7 billion for the
same quarter a year ago, for an increase of $3.3 billion or 17%.  The
portfolio's growth came from purchases of servicing rights and single family
loan originations, partially offset by payoffs and amortization.  Loan
servicing rights purchased during the first quarter of 1999 included a
significant amount of adjustable rate government loans that yield a higher
servicing fee per loan, thereby contributing to increased servicing fees
earned during the second quarter of 1999.  The Company services loans for its
own portfolio ($4.5 billion at March 31, 1999), as well as others
($22.8 billion at March 31, 1999), bringing the total servicing portfolio to
$27.3 billion at March 31, 1999.

    Other Fees
    Community banking and commercial banking fees, which reached $10 million
during the second quarter of 1999, up $3.3 million or 48% from the year ago
quarter, continued the trend of surpassing all previous quarterly results.
Growth in the number of checking accounts, both from acquisitions as well as
internal growth, and increased sales of annuities contributed to this
increase.

    Net Gains
    Net gains for the second quarter of 1999 totalled $5.2 million for an
increase of $1.3 million or 31% over the year ago quarter due to increased
gains on sales of single family loans quarter over quarter ($804 million in
single family loans sold in the second quarter of 1999 compared to
$575 million sold in the year ago quarter).

    NON-INTEREST EXPENSES
    Excluding litigation expenses relating to the Court of Claims case in the
current quarter, non-interest expense for the second quarter of 1999 totalled
$54.4 million compared to $47.1 million for the second quarter of 1998, an
increase of 16%.  This increase resulted from continued growth in all
businesses of the Company. The Company's efficiency ratio improved from
49.14% for the year ago quarter to 48.29% in the current quarter.

    LOAN ACTIVITY
    The Company's loan portfolios totalled $11.6 billion at March 31, 1999, up
$1.6 billion or 16% from March 31, 1998.  The most significant change, period
over period, was in the commercial loan portfolio.

    Commercial Loans
    The commercial loan portfolio is principally comprised of single family
construction, multifamily and commercial real estate, and warehouse line of
credit and totalled $4.5 billion at March 31, 1999, up $1.6 billion or
56% from the year ago period.  Commercial loan originations for the second
quarter of 1999 were $999 million, up 45% from the second quarter of 1998.
This increase demonstrates the Bank's commitment to expanding its commercial
lending business.

    Small Business and SBA
    Small business and Small Business Administration ("SBA") loans, which are
included in the commercial loan portfolio, totalled $256 million at
March 31, 1999, up $151 million or 143% from March 31, 1998.  Small business
originations for the second quarter of 1999, totalled $38.8 million, up
148% from the same period a year ago.

    Single Family
    The single family portfolio totalled $6.6 billion at March 31, 1999, down
slightly ($152 million or 2%) from March 31, 1998.  Single family originations
for the second quarter of 1999 totalled $773 million compared to $1.6 billion
for the first quarter of 1999.  Over the last twelve months and particularly
during the first quarter of 1999, long term interest rates and consequently
mortgage rates fell.  As a result, the Company experienced high levels of loan
repayments and originations due to increased refinancings.

    Consumer Loans
    Consumer loans totalled $577 million at March 31, 1999 up $192 million or
50% from March 31, 1998.  Consumer loan originations for the second quarter of
1999 were $78 million compared to $143 million for the second quarter of 1998.
The 46% drop was a result of lower levels of home equity loans originated in
the current quarter.  The Bank's program of offering home equity loans began
in January 1998, shortly after the state's legislation was passed and
benefitted from initial pent up demand.

    Loan Composition
    At March 31, 1999, the composition of the loan portfolio, excluding the
single family held for sale portfolio, was single family 50%, commercial 45%
and consumer 5%.  The comparable allocation at March 31, 1998 was single
family 58%, commercial 37% and consumer 5%.

    ASSET QUALITY
    The Company continues to maintain high asset quality.  The non-performing
asset (non-accrual loans plus real estate owned) ratio was .62% at
March 31, 1999, slightly improved over the March 31, 1998 ratio of .63%.  Non-
performing assets were $93 million at March 31, 1999, compared to
$82.7 million at March 31, 1998, with single family residential loans and REO
representing $78.1 million and $78.9 million of non-performing assets at these
dates.  The increase was due primarily to the foreclosure of a purchased
multi-family loan and the foreclosure of a single family construction loan.
The Company believes it will recover its current investment in these
properties at the time of sale.
    Net charge-offs for the six months ending March 31, 1999 were $3.2 million
or .06% of average loans, down from $4.8 million or .10% for the six months
ending March 31, 1998, excluding charge-offs related to the sale of the
consumer line of credit portfolio in January 1998.
    The allowance for credit losses totalled $58.8 million or .51% of average
loans at March 31, 1999, compared to $44.4 million or .45% of average loans at
March 31, 1998.  At March 31, 1999, the allowance for credit losses to average
loans, by type, was .25% for the single family held for investment portfolio,
1.07% for the commercial portfolio and .36% for the consumer portfolio.  The
ratio of the allowance for credit losses to total non-performing assets was
64.06% at March 31, 1999 compared with 54.76% at March 31, 1998.

    ASSETS, LIABILITIES AND EQUITY
    The Company's assets reached a record high of $14.9 billion at
March 31, 1999, up $1.8 billion or 13% from March 31, 1998.  This increase was
primarily the result of commercial loan additions, particularly in the single
family construction, commercial real estate, healthcare and warehouse line of
credit loan portfolios.  These additions were funded primarily with Federal
Home Loan Bank advances.
    Total deposits were $6.6 billion at March 31, 1999, up $99 million from
March 31, 1998.  Transaction accounts, which include checking, savings and
money market accounts, rose to $3.2 billion, up $421 million or 15% from
March 31, 1998, while certificates of deposit declined $322 million during the
same period.  The ratio of transaction accounts to total deposits was 48% at
quarter end, up from 42% a year ago.
    At March 31, 1999, stockholders' equity totalled $723 million, compared to
$653 million at March 31, 1998.  Additionally, capital levels at
March 31, 1999 qualify the Company's subsidiary, Bank United, as "well-
capitalized", the highest of five tiers under applicable regulatory
definitions.

    BANK UNITED
    The Company also announced net income of $33.8 million for the quarter
ended March 31, 1999 for its subsidiary Bank United compared to $29.7 million
for the same quarter a year ago, before deducting certain adjusting items.
Net income for Bank United for the six months ending March 31, 1999 and 1998,
on the same basis, was $70.7 million and $58.1 million.

    ACQUISITIONS
    Midland American Bank:  On February 12, 1999, Bank United completed its
merger with Midland American Bank, the largest independent commercial bank in
Midland, Texas.  The acquisition was accounted for under the purchase method
of accounting.  At March 31, 1999, the Midland American division had assets of
$266 million, deposits of $216 million and conducted operations in five
community bank branch locations.  Noted Burkholder, "Midland American is
immediately accretive to earnings and with strong commercial loan capability
and a 10% deposit market share will provide a solid foundation from which to
expand our presence in Midland and reach out into the nearby Odessa market."

    Texas Central Bancshares:  On March 23, 1999, the Company announced a
definitive merger agreement with Texas Central Bancshares, parent of Texas
Central Bank, a commercial bank in Dallas, Texas.  At December 31, 1998, Texas
Central had assets of $116 million, deposits of $96 million, and operated
three community bank branches located in Dallas, Park Cities, and Plano.
    "This acquisition continues our expansion in the Dallas/Ft. Worth area,
and enhances the 'hub and spoke' distribution strategy we are pursuing with
the recent opening of 33 Kroger branches in this important population center
of Texas", explained Burkholder.  The acquisition is expected to close in
September, pending regulatory approval, and will be accounted for under the
pooling of interests method of accounting.

    OTHER CORPORATE MATTERS
    Year 2000 Readiness:  Bank United's Year 2000 Readiness program is on
schedule and the Company expects to have completed its testing and contingency
planning by June 30, 1999.  Currently, all in-house and vendor systems are
92 percent verified.

    Court of Claims Litigation Update:  On March 19, 1999, United States Court
of Federal Claims Chief Judge Loren A. Smith ruled that the United States was
liable for claims in the case filed by Bank United Corp. relating to the
government's breach of promises made when the Company acquired a failed
savings and loan association in late 1988.  Bank United's case will now
proceed to trial on the amount of damages.  The trial is scheduled to begin on
September 13, 1999.  The suit seeks substantial damages of approximately
$560 million.

    Medium Term Note Program:  On January 28, 1999, Bank United announced that
it had filed a registration statement with the Office of Thrift Supervision to
establish a $500 million Medium Term Note Program.  The program provides for
the issuance of notes on a continuous basis by the Bank.
    In connection with the program, on March 25, 1999, Bank United issued
$150 million of 8% Subordinated Medium-Term Notes maturing March 15, 2009.
Bank United will pay interest in arrears on the notes twice a year on March 15
and September 15 beginning September 15, 1999.  Proceeds from the notes will
be used for general business purposes, which may include lending and
investment activities, extensions of credit and repayment of borrowings or
other obligations.
    Universal Shelf Filing:  On April 8, 1999, the Company filed a
registration statement with the Securities and Exchange Commission to
establish a universal shelf for the issuance of up to $680 million in various
securities.  The registration provides for the continuous issuance of
Preferred Stock, Class A common stock, depository shares and junior
subordinated debt securities of Bank United Corp., trust preferred securities
of Bank United Capital Trust, and a guarantee by Bank United Corp. of trust
preferred securities of Bank United Capital Trust.  Bank United Capital Trust
is a statutory business trust newly formed under Delaware law, which exists to
issue the trust preferred securities and to invest the proceeds in the
Company's junior subordinated debt securities.  The specific terms of any
issue of the securities will be determined and set forth in all applicable
supplements in the event the securities under the prospectus are offered for
sale.
    Bank United Corp. is the largest publicly-traded depository institution
headquartered in Texas and, through Bank United, as of April 20, 1999,
operates a 141-branch community banking network in Texas, including
59 branches in the greater Houston area, 73 in the Dallas/Fort Worth
Metroplex, 5 in Midland and two each in Austin and San Antonio; a commercial
banking group with 19 regional offices in 16 states; 9 wholesale mortgage
origination offices; a mortgage servicing business; and a financial markets
business.  The Bank's website can be found at http://www.bankunited.com.  Bank United
is FDIC insured and an equal housing lender.

    FORWARD LOOKING INFORMATION
    Statements contained herein concerning Bank United Corp.'s projections,
plans, or objectives, and, more particularly, statements concerning growth in
the single family mortgage, commercial loan, warehouse line of credit or
single family construction business or increases in revenues or shareholder
value due to branch expansion or new technology are forward-looking statements
under the Private Securities Reform Act of 1995.  Actual results could differ
materially from those projected due to changes in interest rates, competition
in the industry, changes in economic conditions, and other factors.  More
information on risk factors affecting the Company is available under the
heading Forward Looking Information in the Company's Annual Report on
Form 10-K for the year ended September 30, 1998 on file with the SEC.

    SOURCE  Bank United Corp.