Mallon The Island's major banks and supermarket chain yesterday advised residents not to panic as the Millennium approaches.

They were speaking in the wake of comments from Premier Jennifer Smith who earlier this week said residents should stock pile at least a week's supply of groceries and ensure they had ample cash on hand for the rollover to 2000.

Meanwhile, the Bermuda Monetary Authority has released extra cash for residents stockpiling money in case the Millennium Bug strikes.

Yesterday a spokesperson for the MarketPlace supermarkets said while they welcomed the customers, people should act as normal.

"We don't anticipate any problems. Our suppliers have informed us that they don't expect any problems, so we feel confident things will run smoothly,'' he said. "We don't feel there's any reason to panic.'' And the word from the Bank of N.T. Butterfield and the Bank of Bermuda was much the same with both suggesting that people not withdraw more than they regularly would for a holiday weekend. Calum Johnston, CEO of the Bank of Butterfield, said: "We do not expect many people to withdraw a lot of extra money. But we have made plans to ensure that if they do, we will have the funds on hand.

"This is just good business planning. We will be open for business as usual on the 4th of January and over the holiday our ATMs will be working.

"People who do not have access to an ATM, before the holiday, should take out as much money as they normally would for a holiday weekend.'' Barry Shailer, senior vice president of corporate administration at the Bank of Bermuda, said: "We anticipated that there would be a higher customer demand for cash over the holiday period and we are well prepared to deal with that.'' The Bermuda Monetary Authority has issued extra money to cater for Islanders stock piling hard cash in case the Millennium bug strikes.

Yesterday the authority revealed it has issued 16.4 percent more in notes and coins this year than last, partly to cater for the increase in demand because of Y2K.

But part of the increase from $73.9 million last year to $86 million this year is due to the seasonal demand from Christmas shopping.

The Bermuda Monetary Authority said it issued an extra $13.7 million in coins and notes between December 1 and December 23.

Colin Furr, deputy general manager of the Bermuda Monetary Authority said: "We have spent many moths talking with the banks over the Y2K issue, and we have agreed with the banks on the amount extra in circulation. The increase is partly due to this.

"Historically at Christmas the amount of money goes up, as it does at Cup Match. But afterwards the money comes back to us. So it is a little bit for Christmas and also for the year-end.'' At the same time last year the authority issued an extra $5.63 million, which represented a 20 percent decrease from 1997.

Last year the authority said it issued less cash because of the growing trend of using payments by cards and low inflation.

Mr. Furr added: "Christmas is traditionally a period when the figure for notes and coins in circulation rises. This seasonal peak is normally reversed very quickly after the holiday.''