CAMELs Drive Down SIF Reserve
Chief Financial Officer Mary Ann Woodson said the fund’s reserve balance fell from $606.6 million as of June 30 to $484.9 million as of Sept. 30. Of the $485 million in reserves, $171 million is set aside for specific reserves, with the remaining $314 million tagged for nonspecific reserves, she said.
The number of CAMEL code 3 credit unions also improved during the third quarter, with Woodson reporting 1,639 credit unions receiving the designation, down from 1,679 as of June 30. CAMEL 3 credit unions represent nearly 14% of insured shares and $116.5 billion in industry assets, she said.
Sixteen credit unions have failed so far this year, resulting in nine liquidations, six of which involved purchase and assumptions of remaining assets, and seven assisted mergers.