Citing losses caused by loan losses, Washington Department ofFinancial Institutions closed The Union Credit Union of Spokane andappointed the NCUA as liquidating agent.

The state agency approached 18 other credit unions in the stateand couldn't find a merger partner, the agency's top credit unionregulator Linda Jekel told The Seattle Times.

Therefore, it made deals for Spokane-based Numerica Credit Unionto take its members and their deposit accounts and for Alaska USAFCU to assume some assets and liabilities.

Those actions followed a series of events that started in April2009 when credit union executives officials signed a consent orderwith the Department of Financial Institutions that require acapital restoration plan. At that time, its capital ratio was3.28%.

The Union Credit Union, a one-branch operation withapproximately 3,000 members, had $11.8 million in assets as ofSept. 30, compared with $12.2 million at the end of June.

Its net worth ratio was negative 0.35% at the end of September,compared with 1.14% at the end of June. Its loan delinquency ratiowas 6.78% as of Sept. 30, compared with 5.95% as of June 30.

Its return on average assets was negative 4.68% as of Sept. 30,compared with negative 4.28%.as of June 30.

It was the 17th federally insured credit union to be closed thisyear and the first credit union in Washington State closed since1995. The credit union was chartered in 1968 by a local affiliateof a bricklayers union.