On-Site Coverage: Slight Decline in Troubled CUs
ALEXANDRIA, Va.--NCUA Chief Financial Officer Mary Ann Woodson today told the board that in November for the first time this year there were declines in the number of troubled credit unions.
At the end of November, 18.6.% of insured shares were in CAMEL 3 credit unions, compared with 18.8% at the end of October. There were 1,792 CAMEL 3 credit unions, compared with 1,774 at the end of October.
Woodson also reported that 5.1% of insured shares were in CAMEL 4 and 5 credit unions at the end of November, compared with 5.2% at the end of October. There were 372 CAMEL 4 and 5 credit unions at the end of November, compared with 378 at the end of October.
She said the NCUSIF has had a net income of $329 million this year.
Because of the growing number of troubled credit unions for much of 2010, the agency's insurance loss expense has been $694.3 million this year, compared with a $687 million projection.
The fund's equity ratio was 1.29% at the end of November, the same as at the end of October.
There have been 27 failures of federally insured credit unions through November compared with 28 failures in 2009.
From now on there will be another person helping determine the NCUSIF's investment decisions.
The Board voted unanimously at today's meeting to add the agency's chief economist to the investment committee. The panel includes Woodson, Office of Examination and Insurance Director Melinda Love and Office of Capital Markets and Planning J. Owen Cole.
John Worth became the agency's chief economist in October. The position had been vacant for several years.