1Q 2016 QUARTERLY PERFORMANCE SUMMARY
IOWA CREDIT UNION LEAGUE
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TABLE OF CONTENTS
Key Performance Comparisons 3
Executive Summary 4
The National Economic Summary 5
IOWA CREDIT UNION RESULTS
Iowa Credit Unions Outpace National Credit Union Avg. in Loan & Share Growth 6
ROA Tops National Average By 23 Basis Points 6
Real Estate and MBL Originations Offset Consumer Origination Contraction 7
Delinquency Rate Falls 10 Basis Points 8
Asset Quality Comparisons 9
Share Growth Outpaces National Average By 1.7 Percentage Points 10
Interest And Non-Interest Income Expand From 2015 Levels 11
Iowa Credit Union Membership Expands By Nearly 24,000 12
Special Section: Auto Lending 13
PERFORMANCE DATA TABLES
Consolidated U.S. Credit Union Financial Statement 14
U.S. Credit Union Peer Group Performance 15
Consolidated Iowa Credit Union Financial Statement 16
Iowa Credit Union Peer Group Performance 17
Iowa Credit Union Leaders 18-20
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CALLAHAN & ASSOCIATES, INC.
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1ST QUARTER 2016
PERFORMANCE COMPARISON REPORT
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1Q 2016 QUARTERLY PERFORMANCE SUMMARY 3
KEY PERFORMANCE COMPARISONS | AS OF MARCH 31, 2016
AS A % OF AVERAGE ASSETS
U.S. CUs IA CUs
Interest Income 3.38% 3.55%
Interest Expense 0.51% 0.73%
Net Interest Margin 2.87% 2.82%
Loss Provisions 0.35% 0.19%
Operating Expenses (including stabilization expenses) 3.08% 2.84%
Non-Interest Income 1.31% 1.19%
ROA 0.75% 0.98%
U.S. CUs IA CUs
12-Month Loan Growth 10.75% 13.79%
12-Month Share Growth 6.74% 8.42%
12-Month Member Growth 3.77% 2.27%
12-Month Net Worth Growth 6.87% 10.08%
12-Month Asset Growth 7.07% 9.22%
Loans/Shares 76.01% 86.83%
Net Worth/Assets 10.79% 10.53%
Capital/Assets 11.25% 11.05%
Delinquency Ratio 0.71% 0.55%
Average Loan Balance $13,833 $15,009
Average Share Balance $10,066 $11,148
U.S. CUs IA CUs IA as % of Industry
Number of CUs 6,080 96 1.58%
Federal Chartered CUs 3,721 1 0.03%
State Chartered CUs, NCUSIF Insured 2,233 95 4.25%
State Chartered CUs, ASI Insured 126 0 0.00%
Total State Chartered CUs 2,359 95 4.03%
Total Members 105,018,942 1,071,698 1.02%
Members, Average per CU 17,273 11,164 64.63%
# of Mergers/Liquidations YTD 67 0 0.00%
Total Assets $1,255,880,412,769 $14,462,715,561 1.15%
Total Loans $809,047,560,106 $10,639,130,589 1.32%
Total Shares $1,064,424,714,975 $12,252,196,604 1.15%
Total Net Worth $135,462,165,237 $1,523,158,086 1.12%
Average Asset Size $206,559,278 $150,653,287 72.93%
4 1Q 2016 QUARTERLY PERFORMANCE SUMMARY
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KEY TAKEAWAYS FOR IOWA CREDIT UNIONS
Iowa’s total loan portfolio expanded 13.8% from the previous March to over $10.6 billion as of March
2016. All major loan categories posted strong year-over-year growth, with new auto loans increasing at
the fastest rate of 19.7% to top $1.0 billion.
As of March 31, 2016, total share balances at Iowa credit unions stood at $12.3 billion, a year-over-year
increase of 8.4%, or $951.3 million. This rate exceeds the national average for share growth of 6.7%.
Year-to-date total loan originations in Iowa increased 0.8% over 2015 levels to reach nearly $1.4 billion.
This growth is primarily due to strong first mortgage loan origination activities in the state. Year-to-date
first mortgage originations in Iowa rose 36.0% over the same period in 2015, surpassing $390 million at
the end of the first quarter. Member business lending soared 71.2% compared to the same time last
year, reaching $160.9 million.
The average member relationship (the outstanding combined loan and share balances per member,
excluding business loans) is on the rise at Iowa credit unions, up 7.5% year-over-year to $19,848 as of
March 2016. This is also higher than the national average of $17,251.
Thanks to Iowa credit unions’ expanding loan portfolio, total interest income at Iowa credit unions grew
8.7% over the past year to top $127 million in the first quarter of 2016. The 9.7% growth in loan income
offset the 1.0% decline in investment income. Both components of non-interest income – fee income
and other operating income – posted year-over-year growth of 3.1% and 9.7%, respectively. Growth in
loan income, fee income, and other operating income led to a 8.1% annual increase in total income at
Iowa credit unions in the first quarter of 2016.
Asset quality at Iowa credit unions improved across nearly every segment in the first quarter of 2016. The
largest improvement was seen in member business lending delinquency which posted a 56 basis point
decline year-over-year, and currently sits at 0.42%, almost a full percentage point below the national
credit union MBL average.
EXECUTIVE SUMMARY
Despite slowing growth in the broader national economy in the first quarter of 2016, the national credit union
industry continued its pattern of recent success. Iowa credit unions bested their national peers across
multiple categories. Growth of outstanding loan balances at Iowa credit unions accelerated, expanding 13.8%
year-over-year in comparison to the national average of 10.8%. More impressively, every major loan category
except other real estate posted an annual increase of at least 10%, with new auto loans expanding at the
fastest rate of 19.7%. Asset quality continues to improve at Iowa credit unions, as of March 2016 the
delinquency rate in the state declined ten basis points year-over-year to 0.55%, and sits 16 basis points below
the national average of 0.71%. Balances of share deposits surged 8.4% over the period, outpacing the
national average by nearly 1.7 percentage points.
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1Q 2016 QUARTERLY PERFORMANCE SUMMARY 5
THE NATIONAL ECONOMIC SUMMARY
Real gross domestic product (GDP) increased 0.8% in
the first quarter of 2016, according to the “second”
estimate released by the Bureau of Economic Analysis.
First quarter GDP growth is primarily attributed to a rise
in personal consumption expenditures (PCE) on services,
specifically housing and utilities as well as healthcare.
Consumer spending on nondurable goods such as food,
beverage, and grocery items as well as residential
investment also increased in the quarter. The above
contributors helped offset the decline in business
investment, goods exports, farm and nonfarm private
inventory investment, and federal government spending.
According to the National Association of Realtors,
national median home prices rose 6.3% year-over-year,
reaching $217,600 as of March 2016. Total existing-
home sales increased slightly from December 2015, up
1.7%, and up 4.8% from March 2015. Home sales
increased to a seasonally adjusted annual rate of 5.29
million in March from 5.20 million in December 2015
and 5.05 million in March 2015. According to Lawrence
Yun, the chief economist at the National Association of
Realtors, home prices increased at a strong pace in
most metro areas during the first three months of the
year. Additionally, according to Yun “the solid run of
sustained job creation and attractive mortgage rates
below 4 percent spurred steady demand for home
purchases in many local markets”.
In Iowa, the median home price increased 4.2% from the
previous March to $132,900. Iowa’s home sales in the
first quarter were also up 1.7% compared to March
2015 (Iowa Association of Realtors). 7,008 homes were
sold in Iowa during the first three months of the year,
versus 6,893 in the same period in 2015.
Nationwide, there were approximately 36,000
completed foreclosures in March, down 14.9% year-over-
year (CoreLogic). The national foreclosure rate stood at
1.1% as of March 2016, which places it back near the
pre-recession November 2007 level. Iowa reported a
foreclosure inventory rate of 0.8% as of March 2016,
and a foreclosure inventory decline of 14.5% from
March 2015.
The national unemployment rate decreased to 5.0% as
of March 2016, down 0.5 percentage points from
March 2015. Iowa’s unemployment rate is still
significantly below the national average, standing at
3.8% as of March 2016, but is up 10 basis points from
March 2015.
Total nonfarm payroll data show that over 1.58 million
people were employed in Iowa as of March 2015. The
trade, transportation, & utilities sector remains the
largest portion of the overall nonfarm payroll in the
state, accounting for 20.5% of all nonfarm employees.
The next largest industry is government, accounting for
17.0% of total nonfarm payrolls. Education & health
services account for 15.1% of Iowa’s total nonfarm
employees as of March 2016.
6 1Q 2016 QUARTERLY PERFORMANCE SUMMARY
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IOWA CREDIT UNIONS OUTPACE NATIONAL CREDIT UNION AVERAGE IN LOAN AND
SHARE GROWTH
On an annual basis, Iowa credit unions grew their loan
and share balances faster than all but Iowa savings banks
as of March 2016. Additionally, the delinquency ratio at
Iowa credit unions continues to improve and remains
below both state and national peer averages.
Earnings
Iowa credit unions recorded an ROA of 0.98% in the first
quarter of 2016, down five basis points from March
2015. This is higher than U.S. credit union and bank
averages, but below Iowa savings and commercial banks.
Growth
Outstanding loan balances at Iowa credit unions
expanded an impressive 13.8% since March 2015. This
loan growth is nearly double the rate reported by Iowa and
national commercial banks, and only trailed Iowa savings
institutions. Share balances at Iowa credit unions grew
8.4% year-over-year, also faster than the growth rate
posted by Iowa commercial banks, credit unions
nationwide, and national banks, but remained lower than
Iowa savings institutions.
Asset Quality
At 55 basis points, Iowa credit unions’ delinquency ratio is
lower than all peer group averages. The states’ credit
union net charge-off ratio of 32 basis points is also lower
than that of national banks and credit unions.
Net Worth
As of March 2016, Iowa credit unions reported a net
worth ratio of 10.5%, up 8 basis points from a year prior.
Iowa credit unions are more capitalized than their local
savings and national bank peers, outpaced only by
national credit union peers with a net worth ratio of
10.9%.
ROA TOPS NATIONAL AVERAGE BY 23
BASIS POINTS
Nationally, year-to-date net income at credit unions
increased 3.2% from a year ago. Growth was powered by
strong interest income and non-interest income gains
despite increased operating expenses and higher
provision expenses.
Keeping with the national trend, Iowa credit unions’ net
income of $34.9 million is 3.8% higher than net income
reported in March 2015. Higher interest income and
other operating income successfully offset a 9.0%
increase in operating expenses, lower non-operating
gains, and higher cost of funds. The elevated cost of
funds in the first quarter of 2016 is attributed to a 13.3%
jump in interest on borrowed funds and a 17.9% increase
in dividends. However, a 10.9% decline in provision
expenses also helped contribute to the growth in net
income.
Nationally, credit unions reported an annualized ROA of
75 basis points, down 3 basis points from a year ago but
flat from December 2015. Meanwhile, Iowa credit unions’
ROA fell by 5 basis points from the same time last year to
0.98% in the first quarter of 2016.
Through March, credit unions nationwide reported a net
interest margin of 2.87%, up 5 basis points from the first
quarter of 2015. Iowa credit unions reported a nine basis
point decline in their net interest margin, falling to 2.82%.
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1Q 2016 QUARTERLY PERFORMANCE SUMMARY 7
REAL ESTATE AND MBL ORIGINATIONS OFFSET CONSUMER ORIGINATION
CONTRACTION
In the first three months of 2016, credit unions nationally
posted a growth rate of 12.7% in loans originated compared
to the same period in 2015. Originations at Iowa credit
unions increased at a slower pace, up 0.8% over 2015
levels to reach $1.4 billion.
On a national level, the industry posted a record first quarter
origination amount of $100.6 billion through March 31, with
every major loan category posting year-over-year growth. In
Iowa, the year-over-year increases in first mortgage loan
originations, other real estate, and member business
lending originations helped to offset the 19.2% decline in
consumer originations.
Real Estate
First mortgage lending slowed in the first quarter of 2016,
as member demand waned despite persistently low interest
rates. Nationally, credit unions saw first mortgage
originations taper off, posting a 1.9% year-over-year
increase as of March 31. Despite the national slowdown,
first mortgage originations in Iowa grew considerably over
the past year, up 36.0% from the first quarter of 2015 to
nearly $393 million. Other real estate originations also
increased compared to last year, posting year-over-year
growth of 15.1%.
In the first quarter of 2016, Iowa credit unions sold over
$182 million in first mortgages to the secondary market, or
46.5% of total first mortgage originations. This is down
significantly from the 88.5% of originations sold in the same
period of 2015. This was also well above the percentage of
originations sold by credit unions nationally, which on
average sold only 36.9% of the first mortgages they
originated. Despite Iowa credit unions selling a notably
higher percentage of mortgages to the secondary market,
Iowa’s first mortgage portfolio expanded 13.1%, slightly
above the national average growth rate of 10.4%.
Consumer Loans
Iowa credit unions originated $730.8 million in consumer
loans in the first three months of 2016, down $173.4
million from the same period in 2015. This decrease is
counter to the 17.1% increase in consumer originations
seen nationally.
On the balance sheet, credit unions in Iowa posted a higher
overall auto loan growth rate than credit unions nationally.
In Iowa, new auto loan balances jumped 19.7% to surpass
$1.0 billion, outpacing the national average of 15.4%. Iowa
credit unions’ used auto loan growth of 13.8% also exceeds
the national average of 13.3%, with used auto loan
balances in Iowa totaling nearly $2.7 billion. In aggregate,
Iowa credit unions’ overall auto loan portfolio increased
$493.5 million, up 15.4% over the previous March to reach
$3.7 billion. Over the past twelve months, outstanding
indirect loans in Iowa grew 22.7% year-over-year, topping
$2.0 billion. Indirect loans now represent 56.4% of Iowa’s
total auto loans, up from 53.0% a year ago.
Credit card loans, while just 3.8% of the Iowa loan portfolio,
rose 15.1% annually to hit $399.4 million. Other unsecured
loans and lines of credit at Iowa credit unions totaled
$723.2 million as of March 2016, up 17.7% from one year
ago.
Member Business Lending
Perhaps the largest surprise from an origination perspective,
member business lending surged at both national and local
levels in the first quarter of 2016. Nationally, credit unions
originated $4.2 billion in MBL, up 15.6% from the same
period in 2015. Credit unions in Iowa nearly doubled their
MBL originations in the first quarter of 2016 compared to
the first quarter of last year. In total, Iowa credit unions
originated $160.9 million in MBL in the first three months of
the year, up 71.2% from March 2015.
8 1Q 2016 QUARTERLY PERFORMANCE SUMMARY
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DELINQUENCY RATE FALLS 10 BASIS
POINTS
The overall delinquency rate at credit unions nationwide
increased two basis points over the last twelve months
to 0.71% as of March 2016. In Iowa, the delinquency
rate dropped 10 basis points over the past twelve
months to stand at 0.55% as of March 31. Notably,
delinquency rates for nearly every major loan category at
Iowa credit unions posted year-over-year decreases as of
the end of the first quarter of 2016 (see chart on the
next page for comparisons).
First mortgage and other real estate delinquency both
improved from a year ago at Iowa credit unions and
remain well below the national averages. As of March
2016, credit unions in Iowa reported an average first
mortgage delinquency rate of 0.35%, down eight basis
points from March 2015. Other real estate delinquency
also declined six basis points over the previous March to
0.46% compared to the national average of 0.65%.
Since March 2015, the net charge-off ratio for first
mortgages increased three basis points to 0.05% as of
March 2016. Other real estate loan net charge-offs
declined annually, down three basis points to 0.11%.
Iowa’s net charge-off rates for both categories of real
estate loans mirror the national averages.
While the credit card delinquency rate for Iowa credit
unions increased by nine basis points to 0.84%, the
credit card net charge-off rate posted an annual decline
of 20 basis points to 1.25% as of March 2016.
Additionally, Iowa’s credit card net charge-off rate is still
well below the national average of 2.20%.
Auto loan delinquency, which was a new addition to the
NCUA 5300 Call Report in the second quarter of 2013,
was 0.72% as of March 2016. This is down ten basis
points from the previous March.
As of March 2016, credit unions in Iowa have written off
a slightly lower percentage of their loans than in prior
years. Their annualized net charge-off rate is 32 basis
points, down five basis points from the 0.37% reported
in March 2015. Moreover, the net charge-off rate of 32
basis points for Iowa is lower than the national average,
which stood at 52 basis points as of March 2016.
In addition to the differences in delinquency and charge-
off rates seen when comparing Iowa to the national
averages, there is also variety within the state of Iowa
based on institution size. Net charge-offs by asset tier
fall within a range of a low of 15 basis points for credit
unions under $20 million and a high of 33 basis points
for credit unions with assets over $100 million. Notably,
Iowa credit unions over $100 million in assets reported a
five basis point decline in the net charge-off ratio, which
is due primarily to lower credit card, MBL, and auto loan
charge-offs over the past 12 months.
However, an opposite trend is found in the delinquency
rates, with the largest credit unions in the state reporting
a delinquency ratio of 0.51% in comparison to the
smaller credit unions’ delinquency ratio of 1.10%. Iowa
credit unions between $20 million and $100 million
reported a delinquency rate of 0.87% at the end of the
first quarter. This group saw a five basis point increase in
the delinquency ratio from March 2015, while credit
unions over $100 million in assets posted a 12 basis
point decline. Credit unions under $20 million reported
their delinquency rate increased 13 basis points from
the 0.97% reported in March 2015.
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1Q 2016 QUARTERLY PERFORMANCE SUMMARY 9
IA CUs
Under $20M
IA CUs
$20M-$100M
IA CUs
Over $100M All IA CUs All U.S. CUs
2016
Delinquency Ratio 1.10% 0.87% 0.51% 0.55% 0.71%
1st Mortgage Delinquency 0.67% 0.52% 0.34% 0.35% 0.59%
Other RE Delinquency 0.61% 1.26% 0.40% 0.46% 0.65%
Credit Card Delinquency 0.07% 1.80% 0.80% 0.84% 0.94%
MBL Delinquency 0.00% 0.61% 0.42% 0.42% 1.41%
Auto Delinquency 1.20% 0.92% 0.69% 0.72% 0.54%
Net Charge-Off Ratio 0.15% 0.27% 0.33% 0.32% 0.52%
1st Mortgage Charge-Offs 0.00% 0.27% 0.04% 0.05% 0.05%
Other RE Charge-Offs -0.01% 0.00% 0.12% 0.11% 0.11%
Credit Card Charge-Offs 0.61% 0.42% 1.30% 1.25% 2.20%
MBL Charge-Offs 0.00% 0.00% -0.01% -0.01% 0.19%
Auto Charge-Offs 0.09% 0.24% 0.54% 0.50% 0.62%
2015
Delinquency Ratio 0.97% 0.82% 0.63% 0.65% 0.69%
1st Mortgage Delinquency 0.20% 0.85% 0.41% 0.43% 0.70%
Other RE Delinquency 0.15% 0.68% 0.51% 0.52% 0.73%
Credit Card Delinquency 1.09% 0.82% 0.74% 0.75% 0.88%
MBL Delinquency 0.00% 1.46% 0.97% 0.98% 0.90%
Auto Delinquency 1.17% 0.85% 0.80% 0.82% 0.51%
Net Charge-Off Ratio 0.15% 0.24% 0.38% 0.37% 0.47%
1st Mortgage Charge-Offs 0.43% 0.06% 0.02% 0.02% 0.06%
Other RE Charge-Offs -0.06% -0.03% 0.16% 0.14% 0.18%
Credit Card Charge-Offs -1.66% 1.15% 1.50% 1.45% 2.00%
MBL Charge-Offs 0.00% 0.00% 0.05% 0.05% 0.11%
Auto Charge-Offs 0.08% 0.34% 0.63% 0.58% 0.53%
2014
Delinquency Ratio 0.95% 0.80% 0.72% 0.73% 0.81%
1st Mortgage Delinquency 0.78% 0.72% 0.51% 0.52% 0.91%
Other RE Delinquency 0.44% 0.60% 0.54% 0.55% 0.89%
Credit Card Delinquency 1.45% 1.01% 0.81% 0.83% 0.86%
MBL Delinquency 6.94% 0.00% 1.05% 1.04% 1.26%
Auto Delinquency 0.95% 0.83% 0.84% 0.86% 0.53%
Net Charge-Off Ratio 0.26% 0.30% 0.38% 0.36% 0.50%
1st Mortgage Charge-Offs 0.03% 0.16% 0.13% 0.13% 0.12%
Other RE Charge-Offs 0.00% 0.31% 0.19% 0.20% 0.34%
Credit Card Charge-Offs 1.95% 0.79% 1.35% 1.31% 2.00%
MBL Charge-Offs 0.00% 0.00% 0.33% 0.33% 0.16%
Auto Charge-Offs 0.25% 0.31% 0.53% 0.48% 0.51%
ASSET QUALITY COMPARISONS | DATA AS OF MARCH 31, 2016
10 1Q 2016 QUARTERLY PERFORMANCE SUMMARY
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SHARE GROWTH OUTPACES NATIONAL
AVERAGE BY 1.7 PERCENTAGE POINTS
Share balances in Iowa grew 8.4% over the past 12
months, exceeding the 6.7% growth seen nationally. As
of March 2016, total shares at Iowa credit unions rose to
nearly $12.3 billion, with every share component
growing year-over-year.
Share certificates, comprising over 28% of Iowa credit
unions’ total share portfolio, posted the fastest growth,
rising 10.4% year-over-year to nearly $3.5 billion as of
March 2016. This represents an increase of $326.2
million in share certificate balances over the previous
March. Meanwhile, credit unions nationwide saw
balances held in share certificate accounts increase by
just 2.6% from a year ago.
In Iowa, regular shares and deposits balances, which are
the largest component of the share portfolio,
experienced the second fastest growth, increasing 9.8%
from March 2015. Regular shares and deposits
balances now total $4.0 billion.
IRA and Keogh balances, making up just 5.9% of Iowa’s
share portfolio, are also up 8.6% year-over-year to reach
$721.1 million as of March 2016. Share draft balances
expanded at the fourth fastest rate of any component in
the share portfolio over the past 12 months, growing
7.5% year-over-year to reach nearly $1.8 billion as of
March 2016.
Money market shares rose 4.0% from a year ago as
members continue to seek returns on their deposits
while maintaining liquidity.
Cash and investment balances at Iowa credit unions
declined slightly, falling 4.8% over the previous March.
The largest dollar increase was in cash & cash
equivalents, expanding $130.7 million — or 15.2% —
from March 2015 to $990.4 million. Meanwhile, the
largest dollar amount decrease was from government
and agency securities, posting a year-over-year decline
of $217.2 million — or 20.0% — to $867.9 million.
Credit unions in Iowa also saw their investment
maturities shorten over the past twelve months. At the
end of March 2016, 50.5% of the Iowa credit union
investment portfolio is in holdings with maturities of
more than one year, down from 55.5% in March 2015.
The largest decline in the portfolio was seen in
investments with maturities of three to five years, this
segment decreased 27.3%, or $162.5 million, to
$433.1 million as of March 2016.
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1Q 2016 QUARTERLY PERFORMANCE SUMMARY 11
INTEREST AND NON-INTEREST INCOME
EXPAND FROM 2015 LEVELS
Credit unions nationwide saw total revenue increase
8.2% from the first quarter of 2015. Revenue for the
first three months of 2016 at Iowa credit unions is up
8.1% to $168.9 million, as increased loan income and
non-interest income offset the smaller decline in
investment income.
Interest Income
Nationally, total interest income at credit unions
increased 9.0% compared to the same period in 2015,
with loan income rising 8.7% while investment income
grew 10.3%. In Iowa, total interest income increased
8.7% in the first three months of 2016. Year-over-year,
average loan yields fell from 4.59% in March 2015 to
4.44% in March 2016. Offsetting this decline, the
13.8% rise in total loan balances was sufficient to grow
loan income, rising 9.7% year-over–year to $116.7
million at the end of March 2016. On the investments
side, Iowa credit unions saw their average yield
increase two basis points from March 2015. Despite a
slightly higher yield, interest income from investments
fell 1.0% from March 2015 to $10.4 million.
Non-Interest Income
At the end of 2015, the nation’s credit unions saw their
non-interest income expand 6.7%. In Iowa, non-interest
income grew at a slight slower pace as credit unions in
the state reported a 6.1% increase in total non-interest
income of $42.5 million through March 31. Today, the
industry as a whole derives 28.2% of its income from
non-interest sources, while credit unions in Iowa derive
a slightly lower percentage — 25.1% in March 2016,
down from 25.6% reported last year.
Both fee and other operating income in Iowa posted
growth during the period, increasing 3.1% and 9.7%,
respectively. The growth in other operating income is
largely attributed to secondary market activity.
Operating Expenses
Excluding stabilization, operating expenses for Iowa’s
credit unions rose 9.0% in the first quarter of 2016,
compared to the national average, which increased
7.2%.
Personnel compensation and benefits was the largest
contributor to the increase in operating expenses in
Iowa. Over the past twelve months, the number of Iowa
credit union employees increased 6.0%, while
compensation grew 10.5% year-over-year. Today,
employee compensation and benefits expenses
comprise 52.4% of the total operating expenses at
Iowa credit unions. Expenses related to office
operations posted the second largest dollar increase,
expanding by $1.6 million – or 11.2% – to nearly $15.7
million at the end of the first quarter.
Net Worth
As of March 31, the aggregate net worth ratio for Iowa
credit unions was 10.5%, up eight basis points from
March 2015. Overall net worth increased 10.1% to
$1.5 billion. Relatively slower asset growth-to-reserve
growth can be attributed for the increase in the ratio.
12 1Q 2016 QUARTERLY PERFORMANCE SUMMARY
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IOWA CREDIT UNION MEMBERSHIP EX-
PANDS BY NEARLY 24,000
Total membership at Iowa credit unions reached 1.07
million members as of March 2016 with the addition of
23,816 members in the past twelve months. Iowa cred-
it unions’ year-over-year membership growth of 2.3% is
slightly slower than the 3.8% growth reported by credit
unions nationwide. However, Iowa credit unions are
beating the nation with their proven track record in
member relationships.
Iowa credit unions are developing stronger relationships
with members through their products compared with
their national credit union peers. For example, all major
product penetration rates for Iowa beat the national
average as of March 2016. Over the past year, auto
penetration had the fastest growth among all product
categories, increasing 1.52 percentage points to nearly
27.0% as of March 2016, compared with the national
average of 18.6%. Share draft penetration rose by 1.13
percentage points to 56.8%, higher than the national
average of 55.3%. Credit card penetration at Iowa credit
unions increased 34 basis points over the last twelve
months to 18.2%, and remained above the national
average of 17.1%. Real estate penetration was also up
44 basis points to 8.5%, nearly double the national
average of 4.4% (This metric only reflects loans on the
balance sheet and does not reflect loans sold on the
secondary market).
With rising loan and share balances, the average mem-
ber relationship at Iowa credit unions is also increasing.
This metric, representing the total dollar amount of loan
balances (excluding member business loans) and de-
posits per member, increased 7.5% over the previous
March to reach $19,848. This tops the national average
by $2,597 as of March 2016.
© 2016 CALLAHAN & ASSOCIATES, INC | CALLAHAN.COM | CREDITUNIONS.COM
1Q 2016 QUARTERLY PERFORMANCE SUMMARY 13
SPECIAL SECTION: AUTO LENDING
Auto lending continues to boom both nationally and in Iowa. Credit
union market share and auto loan penetration rates are keeping with
recent trends as they tick upward. Auto lending has always been a
mainstay in the credit union sphere, and currently, auto loans
comprise 33.7% of the national credit union loan portfolio and 34.8%
of the Iowa credit union loan portfolio. While overall auto lending
trends have been consistently on the rise, the industry composition
could be shifting as a result of rising numbers in both new auto loans
and indirect lending.
National Auto Lending Trends
Total auto lending expanded 14.1% year-over-year to reach $272.4
billion at the end of March 2016. Although growth is down from last
year’s 16.1% rate, this quarter marks the twelfth consecutive quarter
of double-digit national auto loan growth. National market share
expanded to 17.1%, up from 16.3% in the first quarter of last year.
Auto delinquency and net charge-off ratios rose slightly over the last 12
months. Auto delinquency increased 3 basis points to 0.54%, and auto
net-charge offs rose 11 basis points to 0.62%. The auto net charge-
offs rate has been creeping up steadily and is at its highest point in the
three-year history of required reporting. The national credit union auto
portfolio has grown 32.2% since March 2014, yet the net-charge off
auto amount has grown nearly twice as fast, at 59.1%, over the same
period. The total net-charge off ratio is considerably down, at 0.52%,
since its high of 1.19% following the recession.
Iowa Auto Lending
Iowa currently holds $3.7 billion in auto loans, and each of the 96 Iowa
credit unions reported an auto loan on its balance sheet as of March
2016. Iowa bested the national average auto loan growth rate of
14.1% with an increase of 15.4% year-over-year. Boasting a 38.6%
market share, Iowa ranks fifth for total auto market share in the
nation. Iowa’s market share is up eight percentage points from last
year’s 30.6%, making Iowa’s growth the highest annual growth of any
state.
Although Iowa has a higher than average auto delinquency rate of
0.72%, its average auto net-charge off rate was below the national
average at 51 basis points. This dynamic between the delinquency and
net charge-off rates implies that Iowa credit unions are more effective
at managing delinquent loans and pursuing collections on delinquent
loans before they need to be charged off.
New vs. Used Lending
Currently, new auto loans comprise 38.1% of the national auto loan
portfolio and 27.9% of the Iowa auto loan portfolio. New auto loans
expanded 15.4% nationally to $103.9 billion, and 19.7% in Iowa to
surpass $1.0 billion. As new auto loans climb, the credit union industry
could start to approach a balanced new and used auto loan portfolio.
Delinquency rates are considerably lower for new auto loans.
Nationally, the new auto loan delinquency rate, at 0.35%, sits 31 basis
points lower than the 0.66% used auto delinquency rate. In Iowa, the
gap is even larger at 53 basis points, with a 0.87% delinquency rate for
used auto loans and a 0.34% delinquency rate for new auto loans.
The Rise of Indirect
Nationally, indirect loans reached $142.5 billion in the first quarter of
2016. Over the past ten years, indirect lending as a percentage of
total auto loans has climbed from 38.2% in the first quarter 2006 to
52.3% today. For the past few quarters, indirect lending growth has
outpaced direct lending. Year-over-year, indirect lending boasted a
19.4% growth rate while direct lending expanded 8.8%. Only 30.4% of
all credit unions hold indirect loans, but these same credit unions
hold 74.7% of the industry’s total auto loan portfolio.
In Iowa, indirect lending now accounts for 56.4% of the auto loan
portfolio, up from last year’s 53.3%. Mirroring national trends, only
34.4% of Iowa credit unions hold indirect loans, but those that hold
indirect loans collectively account for 90.7% of auto loans in the
state. Both nationally and in Iowa, indirect lending keeps climbing
and is shifting the credit union auto lending landscape.
14 1Q 2016 QUARTERLY PERFORMANCE SUMMARY
© 2016 CALLAHAN & ASSOCIATES, INC | CALLAHAN.COM | CREDITUNIONS.COM
CONSOLIDATED U.S. CREDIT UNION FINANCIAL STATEMENT | DATA AS OF MARCH 31, 2016 (THOUSANDS OF DOLLARS)
ALL U.S.
March 2015 March 2016 % Chg
3 Months Ended
March 2015
3 Months Ended
March 2016 % Chg
Assets: Income:
Cash & Equivalents 107,242,824 115,461,951 7.66% Loans 8,511,265 9,254,650 8.73%
Govt & Agencies 198,645,802 187,976,727 -5.37% (Less Rebates) (5,762) (4,476) -22.32%
Corporate Credit Union 3,018,737 2,986,387 -1.07% Investments 1,085,727 1,197,361 10.28%
Banks and S&Ls 42,896,235 40,787,682 -4.92% Fee Income 1,745,546 1,843,849 5.63%
Mutual Funds 1,982,898 1,922,660 -3.04% Trading & Other Operating 1,907,016 2,043,587 7.16%
All Other Inv & Ins 37,173,670 41,930,974 12.80% Total Income 13,243,793 14,334,971 8.24%
Total Investments, Cash & Cash Eq. 390,960,166 391,066,380 0.03%
Expenses:
Real Estate Loans 373,734,637 407,796,195 9.11% Employee Compensation and Benefits 4,524,911 4,897,237 8.23%
Auto Loans 238,773,470 272,399,221 14.08% Travel & Conference 80,640 86,110 6.78%
All Other Loans 118,010,087 128,852,145 9.19% Office Occupancy 636,457 641,572 0.80%
Total Loans 730,518,193 809,047,560 10.75% Office Operations 1,659,146 1,775,879 7.04%
Education & Promotional 312,365 334,978 7.24%
(Loan Loss Allow) (7,014,310) (7,471,621) 6.52% Loan Servicing 636,358 663,073 4.20%
Professional Services 686,228 743,761 8.38%
Repossessed Property 1,078,857 967,419 -10.33% Member Insurance 6,549 4,918 -24.90%
Land & Buildings 19,316,919 20,304,163 5.11% Operating Fees 35,005 35,559 1.58%
Other Fixed Assets 3,921,393 4,277,748 9.09% Miscellaneous 298,346 334,791 12.22%
All Other Assets 34,128,847 37,688,763 10.43% Operating Expense Subtotal 8,876,004 9,517,877 7.23%
Total Assets 1,172,910,065 1,255,880,413 7.07%
Prov/Loan Loss 806,683 1,093,883 35.60%
Liabilities & Capital: Operating Expense + PLL 9,682,687 10,611,759 9.60%
Dividends Payable 171,790 173,939 1.25%
Notes Payable 35,982,992 43,844,910 21.85% Non-Operating Gain (Loss) 139,968 161,303 15.24%
Reverse Repurchase Agreements 2,592,245 1,075,811 -58.50% Income before Dividends 3,701,073 3,884,515 4.96%
Other Liabilities 11,564,554 12,663,331 9.50%
Total Liabilities 50,311,581 57,757,990 14.80% Cost Of Funds:
Interest on Borrowed Funds 193,475 221,107 14.28%
Regular Shares & Deposits 359,781,971 392,446,113 9.08% Dividends 1,263,569 1,349,742 6.82%
Money Market Shares 227,461,956 240,851,866 5.89% Net Income Prior to Stabilization 2,244,029 2,313,666 3.10%
Share Drafts 141,717,328 157,629,180 11.23%
IRA & Keogh 77,425,393 77,805,521 0.49% Net NCUA Assessment Expenses 2,467 944 -61.75%
Share Certificates 190,799,685 195,692,035 2.56% Net Income 2,241,562 2,312,722 3.17%
Total Shares 997,186,333 1,064,424,715 6.74%
% Chg
Regular Reserve 20,361,955 20,886,974 2.58% Total Number of Credit Unions 6,334 6,080 -4.01%
FASB 115 Valuation Reserve (1,093,526) (1,507,962) 37.90% # of FCU's 3,885 3,721 -4.22%
Undivided Earnings & Other Reserves 104,202,352 111,920,431 7.41% # of SCU's - Federally Insured 2,321 2,233 -3.79%
Equity Acquired in Merger 1,941,369 2,398,265 23.53% # of SCU's - Cooperatively Insured 128 126 -1.56%
Total Reserves & Undivided Earnings 125,412,150 133,697,708 6.61% Members 101,200,991 105,018,942 3.77%
Total Liabilities & Capital 1,172,910,065 1,255,880,413 7.07% Employees 263,212 273,259 3.82%
Average Share Balance 9,799 10,066 2.72%
Average Loan Balance 13,367 13,833 3.49%
© 2016 CALLAHAN & ASSOCIATES, INC | CALLAHAN.COM | CREDITUNIONS.COM
1Q 2016 QUARTERLY PERFORMANCE SUMMARY 15
U.S. CREDIT UNION PEER GROUP PERFORMANCE | ALL U.S. CREDIT UNIONS AS OF MARCH 31, 2016
*For CUs under $20M, only those with at least one respective account are included in the calculation.
** Excludes stabilization expenses
ALL U.S.
U.S.
Totals
Under
$20M
$20M-
$50M
$50M-
$100M
$100M-
$250M
$250M-
$500M
$500M-
$1B Over $1B
# of CUs 6,080 2,616 1,140 728 726 341 237 266
Average Asset Size (000s) 206,559 7,363 32,130 73,711 158,418 353,610 696,292 2,803,440
12-MONTH GROWTH
Net Worth Growth 6.87% 1.25% 2.80% 3.88% 5.65% 6.02% 7.22% 8.78%
Loan Growth 10.75% 3.02% 3.95% 6.19% 7.73% 9.59% 11.66% 12.64%
Share Growth 6.74% 1.47% 2.81% 3.65% 4.96% 5.40% 7.36% 8.80%
Member Growth 3.77% -1.24% -0.80% 0.71% 2.10% 2.30% 5.22% 6.59%
CAPITAL
Net Worth/Assets 10.79% 13.84% 11.98% 11.29% 10.72% 10.89% 10.82% 10.60%
Solvency Ratio 115.80% 116.67% 114.06% 113.30% 112.85% 113.93% 114.17% 117.22%
Allow. For Loan Losses/Del. Loans 130.37% 81.67% 84.95% 94.03% 104.01% 111.80% 135.07% 144.39%
Delinquency Ratio 0.71% 1.40% 1.09% 0.90% 0.79% 0.77% 0.63% 0.67%
EARNINGS
ROA 0.75% 0.16% 0.26% 0.37% 0.48% 0.53% 0.58% 0.93%
Non-Interest Income/Ave. Assets 1.31% 0.80% 1.03% 1.25% 1.33% 1.44% 1.40% 1.29%
Net Interest Margin 2.87% 3.13% 2.97% 3.06% 3.06% 3.01% 2.98% 2.78%
Operating Expenses/Ave. Assets** 3.08% 3.57% 3.50% 3.69% 3.66% 3.60% 3.45% 2.74%
Yield on Average Earning Assets 3.55% 3.54% 3.40% 3.56% 3.62% 3.61% 3.58% 3.53%
Cost Of Funds 0.58% 0.35% 0.32% 0.35% 0.40% 0.45% 0.47% 0.68%
PRODUCTIVITY
YTD Income per Employee (000s) $52 $26 $35 $38 $40 $43 $47 $64
YTD Income per Member $136 $62 $86 $101 $114 $125 $138 $156
YTD Operating Exp. per Member $91 $53 $71 $81 $89 $94 $99 $93
Assets per Employee (000s) $4,596 $2,536 $3,369 $3,317 $3,426 $3,671 $4,020 $5,686
YTD Loan Originations ($) per Empl. (000s) $368 $145 $168 $180 $219 $245 $303 $511
MEMBER SERVICE USAGE
Auto Loan Penetration* 18.64% 13.01% 14.59% 15.74% 17.56% 17.88% 19.79% 19.72%
Share Draft Penetration* 55.32% 23.42% 40.06% 46.39% 50.58% 54.55% 57.04% 60.20%
Credit Card Penetration* 17.12% 5.20% 10.54% 12.09% 12.95% 15.29% 15.87% 20.54%
$ Average Share Balance $10,066 $5,110 $7,110 $7,766 $8,583 $9,101 $10,009 $11,398
# of Share & Loan Accts per Member 2.44 1.81 2.10 2.24 2.31 2.39 2.43 2.57
LENDING PROFILE
Loans to Shares 76.01% 54.63% 56.36% 61.53% 68.65% 72.86% 76.95% 80.20%
% of RE Loans to Total Loans 50.40% 19.72% 36.47% 41.15% 45.80% 47.36% 47.58% 53.73%
$ Average Loan Balance $13,833 $7,215 $9,078 $9,644 $11,816 $12,636 $14,149 $15,274
Total Loans per Employee (000s) $2,961 $1,188 $1,661 $1,793 $2,068 $2,319 $2,666 $3,797
16 1Q 2016 QUARTERLY PERFORMANCE SUMMARY
© 2016 CALLAHAN & ASSOCIATES, INC | CALLAHAN.COM | CREDITUNIONS.COM
CONSOLIDATED IOWA CREDIT UNION FINANCIAL STATEMENT | DATA AS OF MARCH 31, 2016
IOWA
March 2015 March 2016 % Chg
3 Months Ended
March 2015
3 Months Ended
March 2016 % Chg
Assets: Income:
Cash & Equivalents 859,680,016 990,369,715 15.20% Loans 106,385,843 116,697,012 9.69%
Govt & Agencies 1,085,120,253 867,892,407 -20.02% (Less Rebates) 0 0 0.00%
Corporate Credit Union 6,032,222 11,450,690 89.83% Investments 10,490,621 10,382,345 -1.03%
Banks and S&Ls 705,229,581 571,877,832 -18.91% Fee Income 19,810,296 20,430,252 3.13%
Mutual Funds 98,496,071 105,124,295 6.73% Trading & Other Operating 19,508,217 21,403,219 9.71%
All Other Inv & Ins 486,124,710 540,182,200 11.12% Total Income 156,194,977 168,912,828 8.14%
Total Investments, Cash & Cash Eq. 3,240,682,853 3,086,897,139 -4.75%
Expenses:
Real Estate Loans 5,181,623,128 5,816,441,891 12.25% Employee Compensation and Benefits 48,209,451 53,251,651 10.46%
Auto Loans 3,206,490,914 3,700,036,681 15.39% Travel & Conference 975,899 1,034,090 5.96%
All Other Loans 961,604,731 1,122,652,017 16.75% Office Occupancy 6,723,072 6,932,045 3.11%
Total Loans 9,349,718,773 10,639,130,589 13.79% Office Operations 14,094,654 15,671,734 11.19%
Education & Promotional 4,517,000 4,556,390 0.87%
(Loan Loss Allow) (74,900,278) (76,232,725) 1.78% Loan Servicing 7,493,187 8,404,293 12.16%
Professional Services 9,100,560 9,656,995 6.11%
Repossessed Property 15,497,499 13,455,674 -13.18% Member Insurance 85,929 37,207 -56.70%
Land & Buildings 242,340,609 262,370,296 8.27% Operating Fees 420,353 430,877 2.50%
Other Fixed Assets 38,441,528 45,691,851 18.86% Miscellaneous 1,611,412 1,624,721 0.83%
All Other Assets 429,833,746 491,402,737 14.32% Operating Expense Subtotal 93,231,517 101,600,003 8.98%
Total Assets 13,241,614,730 14,462,715,561 9.22%
Prov/Loan Loss 7,772,001 6,926,686 -10.88%
Liabilities & Capital: Operating Expense + PLL 101,003,518 108,526,689 7.45%
Dividends Payable 6,316,347 7,042,191 11.49%
Notes Payable 445,619,680 566,422,898 27.11% Non-Operating Gain (Loss) 704,419 632,595 -10.20%
Reverse Repurchase Agreements 0 0 0.00% Income before Dividends 55,895,878 61,018,734 9.16%
Other Liabilities 97,298,502 115,273,301 18.47%
Total Liabilities 549,234,529 688,738,390 25.40% Cost Of Funds:
Interest on Borrowed Funds 1,789,280 2,027,960 13.34%
Regular Shares & Deposits 3,644,654,193 4,000,665,112 9.77% Dividends 20,422,346 24,083,397 17.93%
Money Market Shares 2,205,724,906 2,294,180,013 4.01% Net Income Prior to Stabilization 33,684,252 34,907,377 3.63%
Share Drafts 1,643,847,385 1,767,356,714 7.51%
IRA & Keogh 663,932,059 721,056,218 8.60% Net NCUA Assessment Expenses 63,829 0 -100.00%
Share Certificates 3,142,733,819 3,468,938,547 10.38% Net Income 33,620,423 34,907,377 3.83%
Total Shares 11,300,892,362 12,252,196,604 8.42%
% Chg
Regular Reserve 392,976,309 440,681,388 12.14% Total Number of Credit Unions 107 96 -10.28%
FASB 115 Valuation Reserve 11,802,957 2,608,831 -77.90% # of FCU's 1 1 0.00%
Undivided Earnings & Other Reserves 964,535,019 1,052,666,621 9.14% # of SCU's - Federally Insured 106 95 -10.38%
Equity Acquired in Merger 22,173,554 25,823,727 16.46% # of SCU's - Cooperatively Insured 0 0 0.00%
Total Reserves & Undivided Earnings 1,391,487,839 1,521,780,567 9.36% Members 1,047,882 1,071,698 2.27%
Total Liabilities & Capital 13,241,614,730 14,462,715,561 9.22% Employees 3,133 3,321 6.00%
YTD Loan Originations 1,377,614,214 1,388,770,068 0.81%
Average Share Balance 10,589 11,148 5.28%
Average Loan Balance 14,054 15,009 6.80%
© 2016 CALLAHAN & ASSOCIATES, INC | CALLAHAN.COM | CREDITUNIONS.COM
1Q 2016 QUARTERLY PERFORMANCE SUMMARY 17
IOWA CREDIT UNION PEER GROUP PERFORMANCE | ALL IOWA CREDIT UNIONS AS OF MARCH 31, 2016
*For CUs under $20M, only those with at least one respective account are included in the calculation.
** Excludes stabilization expenses
IOWA
Iowa Totals
Under
$20M
$20M-
$100M Over $100M
# of CUs 96 43 34 19
Average Asset Size (000s) $150,653 $6,924 $44,060 $666,681
12-MONTH GROWTH
Net Worth Growth 10.08% 3.14% 6.81% 11.74%
Loan Growth 13.79% 5.53% 7.63% 14.91%
Share Growth 8.42% 0.15% 5.24% 9.85%
Member Growth 2.27% -2.94% 2.55% 3.80%
CAPITAL
Net Worth/Assets 10.53% 13.56% 12.40% 10.24%
Solvency Ratio 114.22% 116.51% 114.77% 114.10%
Allow. For Loan Losses/Del. Loans 130.05% 136.79% 82.80% 136.78%
Delinquency Ratio 0.55% 1.10% 0.87% 0.51%
EARNINGS
ROA 0.98% 0.26% 0.72% 1.02%
Non-Interest Income/Ave. Assets 1.19% 0.95% 1.18% 1.19%
Net Interest Margin 2.82% 3.01% 2.96% 2.80%
Operating Expenses/Ave. Assets** 2.84% 3.61% 3.28% 2.77%
Yield on Average Earning Assets 3.75% 3.47% 3.52% 3.79%
Cost Of Funds 0.82% 0.34% 0.42% 0.88%
PRODUCTIVITY
YTD Income per Employee (000s) $51 $27 $38 $54
YTD Income per Member $158 $61 $93 $177
YTD Operating Exp. per Member $95 $53 $69 $103
Assets per Employee (000s) $4,355 $2,647 $3,512 $4,553
YTD Loan Originations ($) per Empl. (000s) $418 $182 $233 $456
MEMBER SERVICE USAGE
Auto Loan Penetration* 26.96% 17.90% 20.25% 28.89%
Share Draft Penetration* 56.77% 28.48% 43.00% 61.32%
Credit Card Penetration* 18.22% 4.17% 7.12% 21.37%
$ Average Share Balance $11,148 $5,028 $7,179 $12,340
# of Share & Loan Accts per Member 2.65 1.89 2.18 2.79
LENDING PROFILE
Loans to Shares 86.83% 56.68% 64.58% 90.25%
% of RE Loans to Total Loans 54.67% 20.07% 37.85% 56.65%
$ Average Loan Balance $15,009 $7,400 $10,726 $15,800
Total Loans per Employee (000s) $3,204 $1,292 $1,961 $3,471
18 1Q 2016 QUARTERLY PERFORMANCE SUMMARY
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12-MONTH SHARE GROWTH NET WORTH/ASSETS
Credit Union Share Growth* Shares Credit Union Net Worth/Assets Assets
1 Du Pont Employees 10.69% $2,888,912 1 Webster City Municipal 32.71% $469,855
2 MA Ford Employees 8.79% $1,362,293 2 Morrison Employees 31.84% $1,588,150
3 Town And Country 7.28% $16,474,914 3 St. Ludmilas 28.68% $380,463
4 St. Athanasius 6.95% $563,585 4 KAH 28.66% $1,796,871
5 Aegis 6.89% $12,053,778 5 Gas & Electric Employees 28.23% $5,633,488
6 Polk County Schools Employees 6.81% $9,823,195 6 Warren 24.15% $4,199,048
7 Consumers 6.55% $5,700,399 7 NGPL Employees 23.44% $3,322,386
8 Burlington Municipal Employees 6.32% $4,385,790 8 Eaton Employees 23.27% $2,535,291
9 Davenport Police Department 5.70% $3,657,732 9 SECU 21.36% $2,150,980
10 Des Moines Water Works 5.67% $1,473,238 10 Chicago Central and Commerce 20.17% $7,039,650
12-MONTH LOAN GROWTH RETURN ON ASSETS
Credit Union Loan Growth* Loans Credit Union ROA Assets
1 Des Moines County Postal 24.67% $1,564,718 1 Eaton Employees 2.93% $2,535,291
2 Aegis 20.33% $10,896,910 2 Des Moines Fire Department 2.84% $5,045,553
3 St. Ludmilas 19.68% $256,292 3 Aegis 1.71% $13,746,411
4 St. Athanasius 18.40% $590,238 4 Gas & Electric Employees 1.67% $5,633,488
5 Village 18.31% $7,743,916 5 ETS 1.34% $2,513,959
6 NGPL Employees 17.03% $338,629 6 St. Athanasius 1.32% $665,828
7 The Hub-co 15.26% $6,820,796 7 Burlington Municipal Employees 1.29% $4,891,467
8 Polk County 15.03% $4,048,151 8 Webster City Municipal 1.25% $469,855
9 Webster City Municipal 14.63% $149,502 9 Family Community 1.19% $18,001,885
10 Town And Country 14.26% $15,603,726 10 Leeco 1.12% $3,678,761
12-MONTH MEMBER GROWTH LOANS/SHARES
Credit Union Member Growth* Members Credit Union Loans/Shares Assets
1 SECU 6.96% 768 1 St. Athanasius 104.73% $665,828
2 MA Ford Employees 5.28% 319 2 Eaton Employees 102.06% $2,535,291
3 River Community 3.31% 3,437 3 Polk County 95.54% $5,032,235
4 Aegis 2.89% 3,450 4 St. Ludmilas 94.92% $380,463
5 Dubuque Postal Employees 2.86% 288 5 Town And Country 94.71% $18,735,831
6 Du Pont Employees 2.16% 474 6 Muni Employees 92.16% $698,535
7 Town And Country 1.60% 2,352 7 Aegis 90.40% $13,746,411
8 North Western Employees 1.53% 1,192 8 Waterloo Firemen's 89.55% $2,006,322
9 Quaker Oats 0.34% 1,789 9 Allen Hospital Personnel 88.27% $5,618,104
10 Allen Hospital Personnel 0% 1,615 10 Quaker Oats 83.77% $8,612,732
IOWA CREDIT UNION LEADERS | ALL IOWA CUS UNDER $20 MILLION IN ASSETS AS OF MARCH 31, 2016
*Note: For growth tables, credit unions that have had a substantial merger in the previous 12 months are excluded. A substantial merger is a merger where
the assets of the acquired credit union are more than 10% of the assets of the acquiring credit union.
UNDER $20 MILLION
© 2016 CALLAHAN & ASSOCIATES, INC | CALLAHAN.COM | CREDITUNIONS.COM
1Q 2016 QUARTERLY PERFORMANCE SUMMARY 19
12-MONTH SHARE GROWTH NET WORTH/ASSETS
Credit Union Share Growth* Shares Credit Union Net Worth/Assets Assets
1 Cornerstone Community 14.62% $19,944,587 1 Employees 19.20% $88,236,046
2 Telco-Triad Community 14.23% $77,967,767 2 Iowa Heartland 18.54% $22,873,624
3 Affinity 13.83% $84,760,580 3 Cent 16.26% $42,384,835
4 Des Moines Police Officers 13.64% $44,285,043 4 Casebine Community 15.57% $34,403,824
5 Sioux Valley Community 8.69% $23,641,158 5 Power Co-op Employees 15.52% $31,296,793
6 Fort Dodge Family 8.66% $24,664,972 6 Advantage 15.34% $64,773,071
7 N. W. Iowa 8.01% $39,964,977 7 Sioux Valley Community 15.09% $27,963,768
8 Cent 7.63% $35,366,634 8 Capitol View 14.83% $33,254,541
9 Midwest Community 7.27% $26,289,707 9 Des Moines Police Officers 14.73% $52,307,399
10 River Valley 7.26% $51,686,054 10 Public Employees 14.61% $26,934,582
12-MONTH LOAN GROWTH RETURN ON ASSETS
Credit Union Loan Growth* Loans Credit Union ROA Assets
1 Holy Ghost Parish 33.77% $377,642 1 Bent River Community 3.14% $21,621,734
2 Telco-Triad Community 29.02% $48,219,446 2 Employees 1.96% $88,236,046
3 Des Moines Police Officers 20.46% $33,755,037 3 Sioux Valley Community 1.75% $27,963,768
4 5 Star Community 17.80% $19,494,433 4 Power Co-op Employees 1.60% $31,296,793
5 N. W. Iowa 15.83% $26,373,988 5 Affinity 1.38% $96,966,036
6 Cent 15.14% $28,448,787 6 Des Moines Police Officers 1.27% $52,307,399
7 North Star Community 14.97% $44,488,635 7 Tradesmen Community 1.26% $49,488,340
8 Affinity 14.84% $73,713,434 8 Peoples 1.10% $31,582,888
9 Lennox Employees 13.93% $19,077,893 9 Advantage 0.99% $64,773,071
10 Cornerstone Community 13.51% $12,765,641 10 Cent 0.98% $42,384,835
12-MONTH MEMBER GROWTH LOANS/SHARES
Credit Union Member Growth* Members Credit Union Loans/Shares Assets
1 Des Moines Police Officers 28.13% 3,621 1 North Iowa Community 93.40% $61,826,314
2 Cornerstone Community 11.17% 5,752 2 IntegrUS 91.26% $20,185,986
3 Cent 10.41% 4,623 3 Affinity 86.97% $96,966,036
4 Holy Ghost Parish 7.86% 1,194 4 Cent 80.44% $42,384,835
5 N. W. Iowa 7.22% 4,780 5 Members Community 79.65% $56,469,800
6 Sioux Valley Community 6.07% 2,778 6 Capitol View 79.02% $33,254,541
7 Fort Dodge Family 3.80% 3,058 7 Peoples 78.86% $31,582,888
8 Power Co-op Employees 2.77% 1,782 8 5 Star Community 76.86% $28,395,932
9 Meridian 2.47% 3,283 9 Des Moines Police Officers 76.22% $52,307,399
10 Employees 2.35% 7,496 10 Metco 73.70% $29,721,936
IOWA CREDIT UNION LEADERS | ALL IOWA CUS BETWEEN $20 MILLION AND $100 MILLION IN ASSETS AS OF MARCH 31, 2016
*Note: For growth tables, credit unions that have had a substantial merger in the previous 12 months are excluded. A substantial merger is a merger where
the assets of the acquired credit union are more than 10% of the assets of the acquiring credit union.
BETWEEN $20 MILLION AND $100 MILLION
20 1Q 2016 QUARTERLY PERFORMANCE SUMMARY
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12-MONTH SHARE GROWTH NET WORTH/ASSETS
Credit Union Share Growth* Shares Credit Union Net Worth/Assets Assets
1 University Of Iowa Community 25.43% $2,699,516,794 1 Cedar Falls Community 15.01% $102,236,787
2 1st Gateway 11.64% $108,677,982 2 Dupaco Community 14.83% $1,377,395,417
3 Premier 11.25% $135,810,281 3 Citizens Community 13.55% $192,561,959
4 Ascentra 9.22% $304,858,864 4 The Family 12.32% $148,333,265
5 Greater Iowa 8.39% $329,540,068 5 DuTrac Community 11.98% $630,719,624
6 Alliant 8.22% $102,909,722 6 Financial Plus 10.60% $169,418,530
7 Veridian 7.79% $2,614,914,066 7 Alliant 10.54% $115,951,560
8 Community 1st 6.50% $507,040,883 8 Veridian 10.18% $2,952,163,809
9 Dupaco Community 4.95% $1,146,780,324 9 First 10.11% $113,872,767
10 Collins Community 4.59% $748,976,404 10 Ascentra 10.02% $382,261,455
12-MONTH LOAN GROWTH RETURN ON ASSETS
Credit Union Loan Growth* Loans Credit Union ROA Assets
1 University Of Iowa Community 26.00% $3,046,657,339 1 Dupaco Community 1.86% $1,377,395,417
2 Members1st Community 16.63% $74,428,629 2 First 1.61% $113,872,767
3 Collins Community 16.52% $694,736,968 3 Cedar Falls Community 1.52% $102,236,787
4 Premier 15.90% $116,736,731 4 University Of Iowa Community 1.50% $3,349,122,285
5 DuTrac Community 14.36% $415,976,701 5 1st Gateway 1.09% $129,264,348
6 Veridian 12.65% $2,188,923,782 6 Premier 1.02% $154,132,096
7 1st Gateway 10.25% $102,080,854 7 Citizens Community 0.92% $192,561,959
8 Dupaco Community 10.22% $819,873,739 8 Collins Community 0.81% $936,379,161
9 Linn Area 10.13% $283,906,322 9 Linn Area 0.80% $364,897,272
10 Greater Iowa 9.84% $273,038,502 10 Alliant 0.78% $115,951,560
12-MONTH MEMBER GROWTH LOANS/SHARES
Credit Union Member Growth* Members Credit Union Loans/Shares Assets
1 University Of Iowa Community 7.64% 136,195 1 University Of Iowa Community 112.86% $3,349,122,285
2 Dupaco Community 5.87% 90,776 2 First 108.78% $113,872,767
3 DuTrac Community 5.19% 44,964 3 Linn Area 97.29% $364,897,272
4 Veridian 4.56% 196,830 4 Community 1st 95.49% $574,809,073
5 Community 1st 4.55% 55,598 5 1st Gateway 93.93% $129,264,348
6 Alliant 4.44% 10,773 6 Collins Community 92.76% $936,379,161
7 Ascentra 4.28% 35,909 7 Ascentra 90.48% $382,261,455
8 Collins Community 4.06% 68,905 8 Premier 85.96% $154,132,096
9 Premier 3.26% 15,645 9 Citizens Community 85.64% $192,561,959
10 Community Choice 2.01% 44,537 10 Community Choice 84.35% $449,359,763
OVER $100 MILLION
*Note: For growth tables, credit unions that have had a substantial merger in the previous 12 months are excluded. A substantial merger is a merger where
the assets of the acquired credit union are more than 10% of the assets of the acquiring credit union.
IOWA CREDIT UNION LEADERS | ALL IOWA CUS OVER $100 MILLION IN ASSETS AS OF MARCH 31, 2016