LYNCHBURG, Va. – Virginia Corporate FCU, one of a growing number of corporate credit unions where losses are eating into members’ capital, announced the departure of its president and CEO James Hansen, as of this Friday.
Don Chapman, the chairman of the board and president of Fairfax County FCU, will serve as interim CEO after the departure of Hansen, who has headed the $1.4 billion corporate since January 2003.
Hansen also was on the board of U.S. Central FCU, until last March’s takeover of U.S. Central by NCUA when the federal regulator dismissed all directors and officers as part of the conservatorship of the one-time $52 billion corporate.
VaCorp has yet to announce its year-end financials, but through Nov. 30 it had lost $15.2 million for 2009, and lost $52.4 million for 2008. The losses forced it to deplete 54% of its membership capital accounts in November, when Hansen told members he was expecting the elimination of the rest of its capital in U.S. Central would result in the depletion to 66% of their VaCorp capital.
Even after depleting all of its $62 million in U.S. Central capital, the $1.4 billion corporate was sitting on unrealized losses of more than $1 million on its own investments.
Prior to taking over at VaCorp, Hansen worked as president and CEO of O’Rourke Career Opportunities and as chief operating officer at Southeast Corporate FCU.
