CUNA Depletes U.S. Central Capital
CUNA depleted all of its membership capital shares-worth $941,000-in U.S. Central FCU, the association said.
It said $384,000 was absorbed by the association and $557,000 of the losses were spread out among its affiliates, such as the Defense Credit Union Council, the National Credit Union Foundation and Credit Union House.
The NCUA placed U.S. Central and Western Corporate Federal Credit Unions into conservatorship last March.
According to its audited financial statement, CUNA also had more than $1.2 million deposited in U.S. Central at the end of 2009, and CSS, its for-profit subsidiary, had $2 million deposited.
In 2009, its operating revenues were $53.5 million, compared with $57.9 million in 2008. Among the areas where revenues declined were business and consumer publishing and the Governmental Affairs Conference. Its revenue from investment income and membership dues increased.
The financial statement showed that CUNA had $29.1 million in assets at the end of 2009, compared with $28.2 million at the end of 2008.
It had $9.4 million in unrestricted net assets at the end of 2009, compared with $2.6 million at the end of 2008.
CUNA spokesman Pat Keefe said the sharp increase was the result of improvements in the market toward the end of 2009 and cost-cutting measures. It laid off 26 people last year, required all employees to take five days of unpaid leave and suspended contributions to employee 401(k) plans.