LENEXA, Kan. – Credit unions will have to wait longer still to close their books for 2008 because U.S. Central FCU said last week it still is not ready to issue its audited financials for the year.
That means that the 27 corporate members of U.S. Central still don’t know how much of their capital in the failed institution they will need to charge-off, and, in turn, members of those corporates still won’t know how much of their corporate capital they will need to charge off. It is not clear what portion of those charges will be accrued for 2008 and what portion for this year.
U.S. Central, taken over by NCUA on March 20 amid escalating losses, had told its corporate members it would be reporting its audited financials for 2008 on Friday, but notified them instead on Thursday that its auditors, Deloite & Touche still had not completed the report.
NCUA reported earlier it expects U.S. Central to report a fiscal year loss of as much as $2.6 billion for 2008.
So far, previously reported losses at the one-time $50 billion corporate have wiped out all retained earnings and so-called paid-in-capital, as well as 23% of the remaining $1.4 billion of membership capital shares.
