California: Some Gleam But Not All Glitter for Golden State Credit Unions
The California economy and its credit unions are staging a comeback, but the Golden State doesn’t glitter as brightly as it used to.
“I think it’s fair to say that for years, people in California didn’t seem to care what the rest of the country was doing, because it was a special, golden place that was immune to what happened elsewhere,” said California Credit Union League Chief Economist Dwight Johnston.
Arrowhead Credit Union, also located in Riverside, is still being run under NCUA supervision after its June 2010 conservatorship. However, the $700 million institution reported a $25.5 million net profit and 10.53% net worth as of Dec. 31, 2012, yet another sign the Inland Empire economy is recovering.
Up in Northern California, Credit Union Times 2010 Trailblazer CFO of the Year Scott Waite also reported record earnings at his $3.9 billion Patelco Credit Union. The Pleasanton, Calif.-based Patelco reported a $55.5 million net profit and 1.48% return on assets in 2012, and credited efficiency improvements and a mortgage refinance boom for the numbers.