Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

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
16.9% of U.S. homeowners underwater, down from peak 31.4% in 2012, reports @zillow http://t.co/EbILqY1HMz
10 hours ago
Breaking at #NewsNow: President Obama signs IOLTA bill into law. http://t.co/5N741Bygmn
11 hours ago
.@edmunds says the week between Christmas and New Year's is the busiest car shopping time of the year.
12 hours ago
.@CFPB sues Sprint for cramming 3rd-party service fees onto consumers' bills http://t.co/mhlMWqLKku
13 hours ago
#HomeDepot #databreach lawsuits consolidated in Georgia http://t.co/A4bei5z0mV
13 hours ago