First Carolina Corporate Hits NCUA Marks with 2011 Financials
The $1.45 billion First Carolina Corporate Credit Union more than doubled its earnings projections for 2011, ending the year $5.2 million in the black.
The Greensboro, N.C., corporate also reported in a release that retained earnings for 2011 totaled $8.4 million, for a ratio of 0.53%, surpassing the NCUA’s October 2013 required threshold of 0.45%.
First Carolina also exceeded the NCUA’s 4% total capital requirement by posting 5.20% at year-end 2011, based on 12-month rolling average assets.
Year-end assets were $1.45 billion, compared with $1.9 billion in 2010. The drop was intentional, based on the Corporate’s capital restoration plan.
“Our strategy called for moving a portion of members’ deposits off balance sheet, allowing us to maintain average assets at a target managed level of $1.5 billion,” said First Carolina President/CEO David Brehmer. “The off-balance-sheet funds are completely liquid and accessible on a daily basis, earning the same rate as if they were to stay on our balance sheet. Taken together, members’ on- and off-balance-sheet deposits were flat in 2011.”
Along with new product development, the corporate focused on transitioning services from U.S. Central Bridge to other platforms during 2011. First Carolina said it is nearly complete with this process.