Friday, May 2, 2014

More on Eli Lilly FCU and ITT Private Student Loans

According to the Indianapolis Business Journal, Eli Lilly FCU had to restate its 2012 financials after it recorded a $26 million loan loss provision at the end of 2012, when it reserved “70 percent of total loan balances for a specific Private Student Loan program.”

As a result of this loan loss provisioning, Eli Lilly FCU went from a previously reported 2012 profit of $8.9 million for 2012 to a $13.9 million net loss in 2012. The net worth for the credit union fell from 9.82 percent in 2011 to 8.24 percent in 2012.

Mike Renninger, principal of Carmel financial consultancy Renninger & Associates, commenting on the losses from the ITT student loan program said: “Somebody ought to have massive egg on their face for doing this.”

Read the story.

No comments:

Post a Comment


The content is provided for educational purposes only, with the understanding that neither the authors, contributors, nor the publishers of this site are engaged in rendering legal, accounting or other expert or professional services. If legal or other expert assistance is required, the services of a competent professional should be sought.

Comments appearing in response to articles appearing on this site do not necessarily reflect the views of the ABA. ABA makes no representations regarding the truth or accuracy of commentary or opinions that may be posted in response to the articles that appear on this website.

The inclusion herein of any link to a website, either in the text of an article or in a comment, does not denote any approval, sponsorship, or endorsement by the ABA, and ABA is not responsible for the content or opinions expressed on those linked websites or related commentary. This content is not licensed to third parties sites and is not affiliated with any third party site. Any reference to the author or this content on any third party site on the Internet is not authorized by the ABA.

It is the policy of the American Bankers Association to comply fully with all antitrust laws. Certain discussions should be considered off-limits, including those that contain competitively sensitive data such as price and cost information, or statements that could be construed as reflecting an attempt or desire to control or influence a particular market or markets. Future pricing or other prospective competitive information should never be shared.