WASHINGTON (7/25/12)--The National Credit Union Administration (NCUA) cited an improvement--small though it may be--in the percentage of credit union assets now being held by institutions with lower CAMEL ratings.
In its most recent report on the status of credit union industry insurance funds, the NCUA reported CAMEL code 3, 4, or 5 institutions represented 16.1% of credit union assets as of June 30, down from the previous quarter's total of 16.3%.
A total of 1,679 credit unions were classified as CAMEL Code 3 in the most recent quarter, eclipsing the previous quarter's total by 17. CAMEL 3 credit unions held 14.7% of insured shares in the quarter ended June 30, and those shares represented $123 billion in funds. CAMEL 3 credit unions held $138 billion in assets during the quarter, the NCUA reported.
The number of CAMEL 4/5 credit unions also increased by three in the most recent quarter, bringing the total to 399 as of June 30. Camel 4/5 credit unions held nearly $57 billion in total assets, and 3.2% of insured shares, according to the NCUA.
NCUA Chief Financial Officer Mary Ann Woodson reported that the National Credit Union Share Insurance Fund (NCUSIF) and the Temporary Corporate Credit Union Stabilization Fund (TCCUSF) both remained steady during the second quarter of 2012. The NCUSIF's equity ratio was 1.3%, within the NCUA's normal operating level. NCUA staff released the 2012 TCCUSF assessment during Tuesday's meeting. (See related News Now story: 2012 TCCUSF assessment is 9.5 bp)
The NCUSIF lost $13.4 million during the quarter. However, the NCUSIF recorded $5.5 million in net income during the first half of 2012. Twelve consumer credit unions have failed so far in 2012, and these failures have created $94.6 million in costs, the NCUA said.
For more on the NCUA meeting, use the resource link.