tag:blogger.com,1999:blog-319775530671726401.post7494162605765623359..comments2023-10-01T09:18:26.162-04:00Comments on Keith Leggett’s Credit Union Watch: Credit Unions Report Record Profits for 2012Keith Leggetthttp://www.blogger.com/profile/14794334790117033547noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-319775530671726401.post-54185753271869241802013-03-08T23:29:14.960-05:002013-03-08T23:29:14.960-05:00Dear CU Colleagues,
Is NCUA, the credit union ind...Dear CU Colleagues,<br /><br />Is NCUA, the credit union industry’s federal insurance regulator, really supposed to spend operating fee income to be the industry's public relations firm/ cheerleader -- especially when NCUA selective ignores some serious under-the-surface issues facing the industry? The NCUA Express Mail sent out March 1, 2013 boasts about the record net income for the industry in 2012. While that is certainly good news, a couple quick stats tell a much harsher reality than the one being promoted by NCUA (cheer) leaders.<br /><br />• The top 5% of CUs (based on asset size) produced 74% of the record net income NCUA proudly claims (in more ways the one).<br />• Put another way, 95% of all credit unions account for only 26% of the 2012 net income.<br />• Navy Federal, the nation’s largest CU, produced net income equal to the combined net income of the nation’s 6,035 smallest CUs.<br />• 31% of credit unions under $100 Mil in assets had negative earnings for 2012.<br /><br />The significant disparity between the haves and have-nots is an ominous sign of looming upheaval facing the industry in the not-too-distant future. NCUA’s push for expanded MBL and alternative capital will only intensify the disparity and does almost nothing for the 6,035 smallest credit union.<br /><br />Enjoy your politics,<br /><br />Dale Kerslake<br />President/CEO<br />Cascade FCUStuart Perlitshnoreply@blogger.comtag:blogger.com,1999:blog-319775530671726401.post-75100477268464544822013-03-04T10:21:54.720-05:002013-03-04T10:21:54.720-05:00The cus with Assets of $500+MM are thriving. The ...The cus with Assets of $500+MM are thriving. The $100MM and under are not carved out in the NCUA's presentation. They, like those $10MM and under, are stagnant, so in decline.Anonymousnoreply@blogger.com