ALEXANDRIA, Va. (1/28/13)--New services for members and increased operational efficiency helped AEA FCU post net income and net worth ratio improvements in 2012, the National Credit Union Administration reported Friday.
Total assets held by the Yuma, Ariz., credit union stood at $231 million at the end of 2012. AEA FCU also reported net income of $3.15 million and its net worth ratio improved by 137 basis points during 2012, ending the year at 4.02%.
NCUA Region V Director Elizabeth Whitehead said the NCUA and management "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" in 2012. "We see significant progress in all of these areas, and we are very pleased with the credit union's positive performance in 2012," she added.
Services introduced in 2012 included:
- A new home banking website and mobile platform;
- A suite of checking accounts;
- A direct auto lending platform; and
- A fixed-rate Visa credit card program.
AEA also joined the Shared Branching and CO-OP ATM Networks in 2012. This move provided its 42,000 members with 36,800 additional service sites, the NCUA said.
The NCUA placed the credit union into conservatorship in December of 2011, saying that it was not adequately capitalized under standards set forth in the Federal Credit Union Act and had earnings "insufficient to enable it to continue under present management." The agency at that time said the credit union's difficulties sprang from problems in its loan portfolio.
Whitehead said the NCUA hopes to release the credit union from conservatorship in 2013.