S.C. Telco names retiring CEO's successor
Brian McKay will take the helm as president and CEO of S.C. Telco Federal Credit Union in Greensvile, S.C., once Steve Harkins, the credit union's current CEO, retires in April.
McKay has over two decades in the financial industry. He started with the credit union in 2004 and joined the senior management team in 2007. McKay is currently the credit union’s executive vice president, which has prepared him for his new role.
“I’ve had the privilege of working alongside Brian for the last 10 years,” Harkins said in a press release. “His commitment to this organization and service to our members is evident through his unrivaled work ethic, unwavering resolve, and servant-minded leadership.”
Harkins has led S.C. Telco for more than 30 years, during which time he oversaw a tripling of membership along with asset growth from $56 million to $380 million.
“During this period of transition, I can think of no one more qualified or perfectly suited for this position,” SC Telco Chairman Mike Strickland said in a press release. “Brian is a proven leader, exemplifying an innovative-spirit and strategic vision to continue to move our organization forward.”
The credit union earned $1.6 million in net income in 2019, down sharply from more than $8.5 million in 2018. Call report data shows the credit union saw an 11% increase in charge offs last year, including a 13.5% uptick in losses related to used car loans. Noninterest income was also down by about $4 million, a decline of nearly 35%, while interest expenses nearly doubled, rising from $2.9 million to $4.5 million.
Credit union officials also told CU Journal in an email that 2018’s income figures were abnormally high, and 2017’s net income of $1.6 million is similar to what the CU earned in 2019.
“The reason of this net income difference is due primarily to the sale of our Florence location to another credit union in 2018,” they wrote. “Not only did this decision result in a substantial windfall, it also enabled S.C. Telco to better support our members in the Upstate and Columbia (aligning with strategic intentions of the organization), and our former members in Florence to be served by a credit union with multiple locations and better resources in the area.”
This story was updated at 1:44 P.M. on Feb. 4, 2020.