As of June 30, U.S. Central Federal Credit Union's investment losses have burned through nearly $2 billion in member capital, and it shows on retail corporate balance sheets.
Only seven corporates survived U.S. Central's second-quarter financial reports with positive reserves and undivided earnings intact. Predictably, all had less exposure to U.S. Central compared to their peers.
Some also invested less paid-in capital, which is first in line to absorb losses, relative to member capital shares. All of U.S. Central's PIC I and PIC II has been written off, but MCS is currently 63% impaired.
Continue Reading for Free
Register and gain access to:
- Breaking credit union news and analysis, on-site and via our newsletters and custom alerts.
- Weekly Shared Accounts podcast featuring exclusive interviews with industry leaders.
- Educational webcasts, white papers, and ebooks from industry thought leaders.
- Critical coverage of the commercial real estate and financial advisory markets on our other ALM sites, GlobeSt.com and ThinkAdvisor.com.
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.