The restated figures, based on last Friday’s release of audited financials for 2008, show slightly lower losses for the first six months then previously reported, $989 million, instead of $1.1 billion, as some of the losses on investments were realized instead in 2008.
For the second quarter, losses were originally reported as $470.5 million, but were restated downwards to $449.9 million. First quarter losses were $543.3 million.
The restated figures, combined with $4.9 billion loss losses reported for 2008, make a total of $6 billion in red ink for the past 18 months for the troubled corporate credit union, according to NCUA, which took U.S. Central under conservatorship on March 20.
“Thus far in 2009, U.S. Central has experienced further deterioration in some of its consumer‐based investment securities, particularly non‐agency residential mortgage‐backed securities,” said the report by U.S. Central, which has been run by NCUA under conservatorship since March 20.
Meantime, several corporate credit unions were telling their members yesterday are now reviewing the audited financials for 2008 to determine whether they will be required to write-down the remaining $450 million of their capital in U.S. Central, which is held in membership capital shares. So far, U.S. Central’s 27 corporate members have written-down 63.7% of their MCS in U.S. Central, or $795 million.
