LAS VEGAS — Troubled Silver State Schools CU said this afternoon it lost another $3.5 million for the first quarter, erasing all of its remaining net worth and leaving it only with the emergency assistance provided by its private deposit insurer ASI.
The one-time $1 billion credit union said the first quarter losses left it with $24 million of net worth —all of it due to a $26.4 million loan from ASI. Over the past two years Silver State has been counting ASI's loan as net worth.
"Despite the earnings and loan loss results, we continued to make progress during the quarter," said Andrew Hunter, the former Patelco CU CEO brought in last year to work out the one-time credit union giant. "Although our first quarter operating expenses were adversely impacted in the short-term by the closing of three branches in January, these actions will lead to reduced operating expenses for the credit union in the future."
Silver State reported just $650 million in assets at March 31.