Jan. 29, 2013 – NCUA has announced positive financial results for the conserved Arrowhead Central CU and AEA FCU and noted hopes of releasing AEA from conservatorship this year.
Arrowhead and AEA are two of four credit unions that are under NCUA conservatorship. The other two, Keys FCU and Texans CU, were also given good reviews in announcements last week. (See story.)
NCUA said Arrowhead Central CU, in California, closed 2012 with a net worth ratio of 10.53 percent, up 324 basis points from the previous year. The credit union posted income of more than $25.5 million for the year, NCUA reported, and total assets totaled nearly $700 million.
“Things are moving in the right direction,” said Jane Walters, NCUA Region II Director and the agent for conservator. The credit union has been in conservatorship since June 2010.
AEA FCU, in Arizona, posted 2012 year-end net income of $3.15 million. Total assets at the end of the fourth quarter stood at $231 million, and the net worth ratio improved by 137 basis points from year-end 2011, ending the fourth quarter at 4.02 percent.
“We reduced expenses, streamlined operations, retooled infrastructure, introduced an array of new services and continued the process of returning AEA to the core credit union business model,” said Elizabeth Whitehead, NCUA Region V Director and the agent for the conservator.
“Our goal for 2013 is to release AEA Federal Credit Union from conservatorship, when appropriate, and return management of the credit union to a highly capable local board of directors,” Whitehead added.