LAS VEGAS-Some of the largest credit unions that have been reporting considerable red ink posted improved numbers in Q1 2011, including:
• Silver State Schools, Las Vegas, the nation's largest privately insured CU, reported a slight profit of $90,000 for its fiscal first quarter. The Q1 net comes after losses of $72 million in 2009 and 2010 erased almost all net worth for the one-time $1-billion CU. Still, much of the $31.3 million net worth resulted from a $22-million emergency loan from ASI Inc., its private insurer. David Rhamy, president of the now-$725-million CU, noted delinquent loans decreased to $43.7 million as of March 31, from $62.7 million a year earlier. As a result, the loan loss provision for the first quarter of 2011 was $3.4 million versus $11.1 million for the same period of 2010.
• The $6.2-billion Suncoast Schools FCU, Tampa, reported a $4.5-million net for its first quarter-its first profitable quarter in more than three years. CEO Tom Dorety touted the turnaround as a cooperative effort between members and employees. "The members had to take their share of suffering and the employees did," he said, referring to the slashing of deposit rates along with employee pay and benefits to bring the bottom line back into balance.
• In San Bernaradino, Calif., Arrowhead Central CU, which is being operated by NCUA, had net income of $3.9 million for Q1, its first positive net in three years.
• Desert Schools FCU went from an $18.9-million loss for 2010 to a $5.6 million net; America First CU, which went from a $9.3-million 2010 loss to a $5.8-million net; California CU, which from a $4.5-million loss to a $2.1-million net; California's SAFE CU ( $7.8-million net); North Island Financial CU ($10.7-million net); Patelco CU ($24.6-million net), and The Golden 1 CU ($28.8-million net).
