Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

CU System
Fitch affirms ratings of Southwest Central Corporates
CHICAGO (11/20/07)--Fitch Ratings has affirmed ratings of Southwest Corporate FCU and Central Corporate CU. It affirmed Southwest Corporate FCU’s long-term issuer Default Rating (IDR) and short-term IDR at “AA-” and “F1+,” respectively. Plano, Texas-based Southwest’s ratings are indicative of the company’s low credit-risk profile and ample liquidity, Fitch said. However, the company’s investment portfolio contains some exposure to higher-risk structured products that could cause some instability in earnings and capital, Fitch added (BusinessWire Nov. 13). Southwest is conservatively managed and has well-established risk-management processes, Fitch said, while recognizing Southwest for its franchise within the corporate credit union network. The pending merger of Southwest with Northwest Corporate FCU of Portland, Ore., has been approved by Northwest members and the National Credit Union Administration. The merger becomes effective Dec. 1. Fitch also affirmed Central Corporate CU’s (CenCorp) long-term issuer IDR and short-term IDR at “AA-” and “F1+,” respectively. A liquid balance sheet and low-risk profile are reflected in Southfield, Mich.-based CenCorp’s ratings, Fitch said. A small part of CenCorp’s portfolio is invested in mortgage-backed and asset-backed securities, some of which are higher risk-structured products negatively affected by dislocation in the credit markets. Fitch found that CenCorp’s liquidity position is sound because the company maintains adequate liquidity with liquid assets and contingent funding sources. Although CenCorp recently reduced its membership capital share deposit requirements, Fitch found that its projected capital ratios remain sufficient.


RSS





print
News Now LiveWire
RT @CUNA: Today is the first day of #CUYouthMonth How is your #creditunion celebrating?
59 minutes ago
New @FICO score metric expected this week, will include utility payments http://t.co/l0hGhilMqQ
1 hour ago
.@TheNCUA increased supplier diversity in 2014 by 49%, although NCUA’s workforce diversity levels declined slightly.
1 hour ago
Also from FFIEC today, council announces reappointments of Mary Hughes and Lauren Kingry to its State Liaison Committee. 2of2
1 hour ago
.@federalreserve Gov. Tarullo Wed. became 22nd chair of FFIEC for 2-yr term; succeeds Comptroller of the Currency Curry. 1of2
1 hour ago