The $3 billion Corporate America Credit Union isn't waiting for the NCUA to seize its legacy assets: it's selling them.
"Earlier this year we instituted an internal legacy assets plan, with the objective to liquidate 100% of our non-governmental mortgage-based bonds," President/CEO Thomas Bonds told Credit Union Times.
Corporate America's toxic asset portfolio has shrunk from $140 million late last year to only $21 million as of July 31, and will zero-out within 90 days. Bonds took losses on the private label MBS, but said he also sold performing bonds to offset the red ink. In particular, he said government-backed Federal Family Education Loan Program student loans purchased when the options market was down have sold at a profit.
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