Saul Centers Inc. of Bethesda, which owns shopping centers in the Baltimore and Washington areas, said it earned $3.5 million (24 cents per share) on revenue of $23.5 million in the third quarter, compared with $4.3 million (30 cents) on revenue of $21.5 million in the third quarter of 2001. The company attributed the decline in net income to higher depreciation and amortization expenses.

Saul's funds from operations, a measure of real estate companies' performance that excludes depreciation, amortization and other items, was $11.1 million in the quarter, compared with $10.2 million a year earlier. Much of the improvement was attributable to the opening of Saul's Washington Square retail development in Alexandria, the company said.

For the first nine months of the year Saul had net income of $14.3 million (97 cents) on revenue of $69.5 million, compared with $12.2 million (87 cents) on revenue of $63.7 million in the first nine months of 2001. Funds from operations for the nine-month period were $32.8 million, compared with $29.4 million a year earlier.

* Mid Atlantic Medical Services Inc., a Rockville health insurer and health maintenance organization, said its third-quarter net income rose 50 percent because of membership growth and increases in premiums.

Mid Atlantic earned $22.5 million (54 cents per share) on revenue of $595.5 million in the third quarter, compared with $15 million (36 cents) on revenue of $459.7 million in the third quarter of 2001.

In the first nine months of 2002 the company earned $59.8 million ($1.43) on revenue of $1.7 billion, compared with $39.9 million (98 cents) on revenue of $1.3 billion in the first nine months of 2001.

Total membership in Mid Atlantic's insurance subsidiaries grew by 136,900 in the first nine months of the year, to 1.97 million people.