Problem creating stored procedure

I am puzzled. Can ayone explain why I get an error from Postgres on this simple stored procedure?

The following is from the pgAdmin III History window:
-- Executing query:
CREATE PROCEDURE addEntity (
fn IN VARCHAR,
ln IN VARCHAR,
ivar IN VARCHAR,
hi IN VARCHAR,
pw IN VARCHAR,
ea IN VARCHAR,
ad IN VARCHAR,
c IN VARCHAR,
p IN VARCHAR,
co IN VARCHAR,
pc IN VARCHAR
)
AS
DECLARE
varID INTEGER
BEGIN
SELECT int varID uid from uids where email_address=ea;
IF varID IS NOT NULL THEN
INSERT INTO addy (uid,address,city,province,country,postal_code)
VALUES (varID,ad,c,p,co,pc)
ELSE
INSERT INTO uids(family_name,first_name,initials,hid,pword,email_address)
VALUES (ln,fn,ivar,hi,pw,ea)
INSERT INTO addys(...) VALUES (currval('seq'),ad,c,p,co,pc)
END IF;
END
LANGUAGE 'sql' VOLATILE;

ERROR: syntax error at or near "PROCEDURE" at character 8

Judging from the examples in the manual (around page 600), my procedure ought to be fine, but clearly Postgres doesn't like it.

Thanks,

Ted

R.E. (Ted) Byers, Ph.D., Ed.D.
R & D Decision Support Software
http://www.randddecisionsupportsolutions.com/