The $7 billion The Golden 1 Credit Union yesterday purchased a $500 million private placement, short-term revenue anticipation note from the State of California, which the state issued to make up for budget shortfalls.

By Saturday afternoon, both U.S. Central FCU and Western Corporate FCU had updated their Web sites to reflect board and management changes mandated by the NCUA as a result of Friday's conservatorships.

The $34 billion U.S. Central Federal Credit Union and the $23 billion Western Corporate Federal Credit Union both failed NCUA stress testing, but agency spokesman John McKechnie said the rest of the corporate network passed.

NCUA Executive Director David Marquis said WesCorp ignored third-party vendor portfolio valuations in favor of its own modeling, which used more optimistic assumptions.

The credit union industry is familiar with interim U.S. Central Federal Credit Union CEO James Nance. However, Western Corporate Federal Credit Union's new CEO Philip Perkins is relatively unknown to the industry.

The NCUA's corporate stabilization Webinar presenters provided insight today regarding the agency's analysis of corporate investment portfolio values.

Credit unions finalizing 2008 annual reports will have to make some 11th-hour adjustments to their year-end financials, thanks to Friday's conservatorship of the $34 billion U.S. Central FCU and the $23 billion WesCorp.

U.S. Central's February 2009 financials report a net income of $6 million; however, the month's additional $700 million in unrealized losses increases the corporate's running total to $6.6 billion.