WALLINGFORD, Conn. – Constitution Corporate FCU said yesterday the continued decline in its investments created a $62.9 million loss for the first seven months of the year.
The $1.4 billion corporate reported $64.4 million of losses on its investments, mostly mortgage-backed securities, through July 31. At the end of July, Constitution Corporate had $269.4 million of unrealized losses on its $1.4 billion investment portfolio.
Constitution Corporate reported an unaudited $83.3 million loss for 2008, including a $33.9 million charge for its holdings in U.S. Central FCU. But Constitution Corporate is waiting for U.S. Central to report its financials for 2008 before closing the books on 2008 itself.
The U.S. Central financials should indicate how much of the membership capital shares Constitution Corporate and the other corporates hold in U.S. Central should be charged off. That will determine how much Constitution Corporate tells its own members to charge off of their capital in Constitution Corporate.
Officials with Constitution Corporate did not return a phone call seeking comment.
