AEA FCU of Yuma, Ariz., which NCUA placed under conservatorshipin December 2010, announced second quarter progress this week with a year-to-date netincome of $2.2 million and total assets of $229 million following a$31 million loss last year.

But the CU's most recent Call Report from the NCUA tells aslightly different story.

AEA FCU's second-quarter Call Report displays a relatively poornet worth ratio and millions of dollars in bad loan debt. The CU'snet worth ratio is at -7.74%, a miniscule improvement from itsfirst quarter net worth ratio of -7.77% but still lower than inDecember 2010, when the number dropped from 2% to -7.63%.

The report shows a total of $19 million in charge-offs as ofJune 2011, bringing its total loan charge-off amount to $32.2million for the entire year of 2010 and first two quarters of2011.

Second quarter delinquent loans total $32.6 million, $27.8million of which comprise loans that are 12 months or more pastdue. That's an increase from the first quarter's total of $31million, $14.3 million of which pointed to loans at the 12 monthspast due mark.

The Call Report's figures reflect the CU's struggles over thepast year, which involved numerous delinquent loans and a fraudulent kickbackscheme that ultimately led to its NCUA conservatorship.

NCUA publicized positive financial growth at the CU, stating inan Aug. 2 press release, “Since December 2010, NCUA, the interimmanagement team, AEA's employees have worked to dramaticallyimprove the credit union's financial condition and maintainservices for the credit union's 44,000 members.”