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2Q 2018 QUARTERLY PERFORMANCE SUMMARY

IOWA CREDIT UNION LEAGUE

Callahan & Associates was founded

in 1985 to assist credit unions in

developing their unique competitive

advantages. A leading consulting,

research and data analysis firm,

Callahan works with 4,000+ credit

unions and industry suppliers na-

tionwide to provide insight and

solutions that help drive credit

unions toward success.

TABLE OF CONTENTS

Key Performance Comparisons 3

Executive Summary 4

The National Economic Summary 5

IOWA CREDIT UNION RESULTS

Iowa Credit Unions Top All Peers In Share And Loan Growth 6

Rising Interest Rates Help Grow Net Income By 14.1% 6

Loan Originations In Iowa Grow 15.9%, Topping National Average 7

Delinquency Rate Ticks Up Slightly In The Second Quarter 8

Asset Quality Comparisons 9

Members Seek Better Returns As Interest Rates Rise 10

Double Digit Income Growth Reported In Iowa In The Second Quarter 11

Iowa Credit Unions Serve Over 1.16 Million Members 12

Special Section: Liquidity And Asset-Liability Management 13-14

PERFORMANCE DATA TABLES

Consolidated U.S. Credit Union Financial Statement 15

U.S. Credit Union Peer Group Performance 16

Consolidated Iowa Credit Union Financial Statement 17

Iowa Credit Union Peer Group Performance 18

Iowa Credit Union Leaders 19-21

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CALLAHAN & ASSOCIATES, INC.

1001 Connecticut Ave, NW Ste. 1001,

Washington, DC, 20036

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2ND QUARTER 2018

PERFORMANCE COMPARISON REPORT

© 2018 CALLAHAN & ASSOCIATES, INC | CALLAHAN.COM | CREDITUNIONS.COM

2Q 2018 QUARTERLY PERFORMANCE SUMMARY 3

KEY PERFORMANCE COMPARISONS | AS OF JUNE 30, 2018

AS A % OF AVERAGE ASSETS

U.S. CUs IA CUs

Interest Income 3.69% 3.89%

Interest Expense 0.62% 0.92%

Net Interest Margin 3.08% 2.97%

Loss Provisions 0.48% 0.33%

Operating Expenses (including stabilization expenses) 3.10% 2.82%

Non-Interest Income 1.41% 1.29%

ROA 0.90% 1.10%

U.S. CUs IA CUs

12-Month Loan Growth 9.73% 15.77%

12-Month Share Growth 5.40% 9.84%

12-Month Member Growth 4.29% 2.92%

12-Month Net Worth Growth 7.90% 10.96%

12-Month Asset Growth 5.81% 11.23%

Loans/Shares 82.89% 99.38%

Net Worth/Assets 11.02% 10.32%

Capital/Assets 11.24% 10.73%

Delinquency Ratio 0.67% 0.70%

Average Loan Balance $15,229 $17,391

Average Share Balance $10,499 $12,276

U.S. CUs IA CUs IA as % of Industry

Number of CUs 5,596 88 1.57%

Federal Chartered CUs 3,444 1 0.03%

State Chartered CUs, NCUSIF Insured 2,037 87 4.27%

State Chartered CUs, ASI Insured 115 0 0.00%

Total State Chartered CUs 2,152 87 4.04%

Total Members 115,377,804 1,162,866 1.01%

Members, Average per CU 20,618 13,214 64.09%

# of Mergers/Liquidations YTD 93 2 2.15%

Total Assets $1,446,368,419,406 $18,402,594,903 1.27%

Total Loans $1,013,127,822,189 $14,966,329,405 1.48%

Total Shares $1,222,323,217,356 $15,059,314,759 1.23%

Total Net Worth $159,345,704,340 $1,899,075,998 1.19%

Average Asset Size $258,464,693 $209,120,397 80.91%

4 2Q 2018 QUARTERLY PERFORMANCE SUMMARY


KEY TAKEAWAYS FOR IOWA CREDIT UNIONS

• Nationwide, loan originations increased 6.2%. Iowa bested this rate, with loan originations increasing

15.9% over June 2017 levels to reach nearly $4.3 billion. First mortgage originations posted the

strongest growth, up 38.6% year-over-year. Non-real estate secured consumer loan originations, the

largest component of the origination portfolio, grew 6.6% to just under $2.0 billion as of June 30.

• As originations increase, the overall loan portfolio on Iowa credit unions’ books is also increasing. Loan

balances now total nearly $15.0 billion, a 15.8% increase from June 2017, more than double the growth

of Iowa commercial and savings banks. The fastest growth was reported in the auto loan portfolio, with

new auto loan balances up 27.7% and used auto balances increasing 15.0% annually. The loan growth

rate in Iowa exceeded the national average by over six percentage points in the second quarter.

• Credit unions in Iowa are looking to boost deposits, as the loan to share ratio in the state stood at 99.4%

as of June 30. Share certificates, the second largest share component, posted the fastest growth in the

second quarter, up 15.8%.

• With an expanding loan portfolio, maintaining asset quality becomes increasingly important. The

delinquency ratio increased three basis points from June 2017, reaching 70 basis points at the end of

the second quarter. This rate is in-line with the national average of 67 basis points. Credit unions in Iowa

were charging off 0.36% of their loans as of June 30, below the national average of 0.60%.

• With interest rates on the rise and growth reported in the loan portfolio, interest income from loans

increased 17.1%. Despite a smaller investment portfolio, Fed rate increases helped push average yields

higher, leading to a 19.5% increase in income from investments. Non-interest income also increased. All

of these factors led to a 15.5% increase in total income. Due to income rising faster than expenses, net

income as of June 30 was 14.1% higher than a year ago.

• As of June 30, there were 88 credit unions operating in Iowa and serving over 1.16 million members. The

average member relationship (the outstanding combined loan and share balances per member,

excluding business loans) in the state was $23,466, which is $4,729 higher than the national average,

highlighting the fact that members in Iowa are continuing to depend heavily on their credit union for

financial products and services.

EXECUTIVE SUMMARY

The economy expanded 4.2% in the second quarter of 2018, the fastest quarterly growth in almost

four years. In addition, unemployment levels have continued their extended decline as the Iowa

unemployment rate was the second lowest in the country as of the second quarter. Riding this

wave, credit unions nationally have reported strong growth in nearly all metrics including loans,

shares, members, and net worth. Not to be left behind, Iowa credit unions are outpacing their

national peers, posting double-digit loan, asset, and net worth growth, while maintaining a strong

and sound loan portfolio with low delinquency and net-charge offs. A few highlights from the second

quarter in Iowa are listed below.



THE NATIONAL ECONOMIC SUMMARY

Real gross domestic product (GDP) increased 4.2% in

the second quarter of 2018, according to the “second”

estimate released by the Bureau of Economic Analysis

(BEA). This is up from the 2.2% growth reported in the

first quarter of this year. Second quarter GDP growth was

the highest since the third quarter of 2014. The increase

in real GDP in the second quarter reflected positive

contributions from personal consumption expenditures,

nonresidential fixed investment, exports, federal

government spending, and state and local government

spending that were partly offset by negative

contributions from private inventory investment and

residential fixed investment (BEA).

According to the National Association of Realtors,

national median home prices were up 5.2% year-over-

year, reaching $276,900 as of June 30. Total existing-

home sales decreased 2.2% from June 2017. Home

sales were at a seasonally adjusted annual rate of 5.38

million units in June. According to Lawrence Yun, the

chief economist at the National Association of Realtors,

"There continues to be a mismatch since the spring

between the growing level of homebuyer demand in

most of the country in relation to the actual pace of

home sales, which are declining. What is for sale in most

areas is going under contract very fast and in many

cases, has multiple offers. This dynamic is keeping home

price growth elevated, pricing out would-be buyers and

ultimately slowing sales.”

The unemployment rate in Iowa was 2.7% as of June

2018, down 50 basis points from a year ago. Iowa’s

unemployment rate is still significantly below the

national average of 4.0%, and was the second lowest of

any state in the country as of June 2018, down 30 basis

points from June 2017.

Total nonfarm payroll data shows that over 1.6 million

people were employed in Iowa as of June 2018. The

trade, transportation, and utilities sector remains the largest

component of overall nonfarm payrolls in the state, accounting

for 19.7% of all nonfarm jobs. The next largest industry is

government, accounting for 16.2% of total nonfarm payrolls.

Education and health services account for 14.2% of Iowa’s

total nonfarm employees as of June 2018.



IOWA CREDIT UNIONS TOP ALL PEERS IN

SHARE AND LOAN GROWTH

On an annual basis, Iowa credit unions grew their loan

and shares faster than all peer groups. This strong growth

is only one of the many areas where Iowa credit unions

are exceeding not only their national credit union peers,

but also their banking peers.

Earnings

Iowa credit unions recorded an ROA of 1.10% in June

2018, up 3 basis points from June 2017. This rate is

higher than the 0.90% U.S. credit union average, but

below the average for Iowa savings and commercial

banks and banks nationwide. Iowa savings banks posted

the highest ROA in the second quarter, at 1.91%.

Growth

Outstanding loan balances at Iowa credit unions

expanded a strong 15.8% since June 2017. This loan

growth is the highest among all peer groups. It was more

than double the growth rate reported by state and local

banks. Share balances at Iowa credit unions grew 9.8%

year-over-year, also faster than the growth rate posted by

all peer groups.

Asset Quality

At 70 basis points, Iowa credit unions’ delinquency ratio is

lower than the averages for Iowa savings banks and

banks nationwide. The rate in Iowa was in-line with the

national credit union rate.

Net Worth

As of June 2018, Iowa credit unions reported a net worth

ratio of 10.3%, down two basis points from a year prior.

Iowa credit unions are more capitalized than their local

savings and national bank peers, outpaced only by Iowa

commercial banks and national credit union peers.

RISING INTEREST RATES HELP GROW NET

INCOME BY 14.1%

Nationally, mid-year net income at credit unions

increased 24.5% from June 2017 levels. This growth was

driven by a 13.1% increase in total revenue, offsetting

increased operating expenses, higher provision expenses,

and cost of funds increases.

Iowa credit unions’ mid-year net income of $98.2 million

is 14.1% higher than the net income of $86.1 million

reported in June 2017. Total income increased by $61.8

million (15.5%), driven predominantly by an increase in

interest income from loans and investments as interest

rates continue to rise. The increase in income was

partially offset by a 10.0% increase in operating expenses

and 22.6% increase in provision expenses.

Nationally, credit unions reported an annualized ROA of

90 basis points, which is up 13 basis points from June

2017. Iowa credit unions reported a 3 basis point

increase in their ROA, rising to 1.10%. The 14.1%

increase in net income, versus asset growth of 11.2%, led

to the increase.

Through June, credit unions nationwide reported a net

interest margin of 3.08%, up 15 basis points from the

second quarter of 2017. Iowa credit unions reported a 5

basis point increase in their net interest margin, reaching

2.97% in the second quarter, as interest income as a

percent of average assets increased 22 basis points

annually, faster than the 16 basis point increase in

interest expense as a percent of average assets. Of note,

the net interest margin in the state now sits 15 basis

points above the operating expense ratio, whereas

nationally the net interest margin remains two basis

points below the operating expense ratio.



LOAN ORIGINATIONS IN IOWA GROW 15.9%,

TOPPING NATIONAL PACE

In the first half of 2018, credit unions nationally posted a

growth rate of 6.2% in loans originated compared to mid-

year production for 2017. The growth rate reported in Iowa

was significantly higher than the rate seen nationally, with

total originations up 15.9% over June 2017 levels, to nearly

$4.3 billion.

On a national level, origination growth led to a record

second quarter origination total of $254.6 billion through

June 30. This helped lead to a 9.7% growth rate in the

national loan portfolio. Within the state of Iowa, credit union

originations pushed balance sheet loan growth to nearly

15.8%, over twice the rate reported by both Iowa

commercial and savings banks.

Real Estate

Nationally, first mortgage originations posted modest year-

over-year growth of 2.1% to $68.9 billion as of June 30. First

mortgage originations in Iowa grew an outstanding 38.6%,

with over $1.5 billion in originations through June 30,

compared to $1.1 billion in the same time period last year.

Other real estate originations, which includes home equity

lines, declined 10.4% annually in Iowa, while they increased

5.5% nationwide.

Through June 30, Iowa credit unions sold over $547.6

million in first mortgages to the secondary market, or 36.0%

of total first mortgage originations. This is down from the

49.8% of originations sold in the first six months of 2017.

However, this was above the percentage of originations sold

by credit unions nationally, which on average sold only

30.6% of the first mortgages they granted. Despite Iowa

credit unions selling a higher percentage of mortgages to

the secondary market, Iowa’s first mortgage portfolio grew a

strong rate of 23.0%, significantly above the national

average growth rate of 10.6%. Of note, 69.4% of mortgages

on the balance sheets at Iowa credit unions are adjustable

rate products, compared to the national average of 42.7%.

Consumer Loans

Iowa credit unions originated nearly $2.0 billion in non-real

estate secured consumer loans during the first half of 2018,

up $122.9 million from the same period in 2017. This 6.6%

increase lags the 10.1% increase in originations seen at the

national level.

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 27.7% to reach

nearly $1.8 billion, outpacing the national average of

11.7%. Iowa credit unions’ used auto loan growth of 15.0%

also exceeds the national average of 9.9%, with used

balances in Iowa totaling over $3.7 billion. In aggregate,

Iowa credit unions’ total auto portfolio increased $868.3

million, up 18.8% from the previous June, to reach nearly

$5.5 billion. Over the past twelve months, outstanding

balances of indirect loans in Iowa grew 29.7% year-over-

year, and now total nearly $3.7 billion. Indirect loans now

represent 67.4% of Iowa’s total auto portfolio, up from

61.7% a year ago.

Credit card loans, while just 3.3% of the total loan portfolio

in the state, rose 6.4% annually to over $495.7 million.

Other unsecured loans and lines of credit at Iowa credit

unions, which include student loans, totaled $796.1 million

as of June 2018, down 11.3% from one year ago. 53% of

Iowa’s credit unions decreased their other loan balances

annually, while 47% increased year-over-year.

Member Business Lending

Nationally, credit unions originated $11.2 billion in member

business loans (MBL), down 14.2% from mid-year 2017

figures. Credit unions in Iowa originated $536.6 million

through June 30, an increase of 15.7% from the $463.8

million originated in 2017. MBL originations posted the

second fastest growth rate of any major loan category.



DELINQUENCY RATE TICKS UP SLIGHTLY

IN THE SECOND QUARTER

The overall delinquency rate at credit unions nationwide

decreased eight basis points year-over-year to 67 basis

points. Iowa reported an opposite trend, with

delinquency increasing three basis points from June

2017, standing at 70 basis points as of June 30. All

major loan categories reported an increase in

delinquency over the past year (see chart on the next

page for comparisons). This is the second year in a row

in which the delinquency rate in the second quarter has

inched higher from the previous year.

Both first mortgage and other real estate delinquency

rates posted annual increases; however, both rates at

Iowa credit unions remain below the national averages.

As of June 2018, credit unions in Iowa reported an

average first mortgage delinquency rate of 0.49%, up 1

basis point from June 2017. Other real estate

delinquency increased 14 basis points over the previous

June to 0.47%, compared to the national average rate of

0.48%.

Since June 2017, the net charge-off ratio for first

mortgages decreased to 1 basis point. Other real estate

loans net charge-offs also decreased annually, down

three basis points to 0.08%.

The credit card delinquency rate for Iowa credit unions

increased 5 basis points to 1.03%, but the rate fell back

below the national average, which stood at 1.15% as of

June 30. Iowa credit unions charged off 2.17% of their

credit card loans in the second quarter, a 50 basis point

annual increase.

As of June 2018, credit unions in Iowa have written off a

slightly higher percentage of their total loans than in

prior years. Their annualized net charge-off rate is 36

basis points, up one basis point from the 0.35% reported

in June 2017. However, the net charge-off rate of 36

basis points for Iowa is lower than the national average,

which stood at 60 basis points as of June 2018.

In addition to the differences in delinquency and charge-

off rates seen when comparing Iowa to the national

averages, there are also variations within the state

based on institution size. Charge-off rates in the second

quarter varied from a low of 31 basis points at credit

unions between $20 million and $100 million in assets,

to a high of 39 basis points at credit unions with under

$20 million in assets.

Historically, smaller credit unions in Iowa have posted

higher delinquency rates than larger credit unions. In the

second quarter, the largest credit unions in the state

reported a delinquency ratio of 0.68% in comparison to

the smaller credit unions’ delinquency ratio of 1.37%.

Iowa credit unions between $20 million and $100

million in assets reported a delinquency rate of 0.88% at

the end of the second quarter. This group saw a 12 basis

point decrease in their delinquency from June 2017,

while credit unions over $100 million in assets reported

a four basis point increase. Credit unions under $20

million in assets reported that their delinquency rate

increased 13 basis points from the 1.24% reported in

June 2017.



IA CUs

Under $20M

IA CUs

$20M-$100M

IA CUs

Over $100M All IA CUs All U.S. CUs

2018

Delinquency Ratio 1.37% 0.88% 0.68% 0.70% 0.67%

1st Mortgage Delinquency 0.85% 0.55% 0.49% 0.49% 0.52%

Other RE Delinquency 0.60% 0.65% 0.45% 0.47% 0.48%

Credit Card Delinquency 1.20% 1.49% 1.01% 1.03% 1.15%

MBL Delinquency 0.00% 0.76% 0.59% 0.59% 1.12%

Auto Delinquency 1.49% 1.01% 0.89% 0.91% 0.55%

Net Charge-Off Ratio 0.39% 0.31% 0.36% 0.36% 0.60%

1st Mortgage Charge-Offs 0.00% 0.02% 0.01% 0.01% 0.02%

Other RE Charge-Offs 0.00% 0.00% 0.09% 0.08% 0.02%

Credit Card Charge-Offs 0.84% 1.19% 2.21% 2.17% 2.87%

MBL Charge-Offs 0.00% 0.00% 0.00% 0.00% 0.15%

Auto Charge-Offs 0.41% 0.45% 0.53% 0.52% 0.61%

2017





MBL Delinquency 0.00% 1.21% 0.54% 0.54% 1.67%




Other RE Charge-Offs 0.00% 0.04% 0.11% 0.11% 0.03%


MBL Charge-Offs 0.00% 0.00% 0.03% 0.03% 0.24%

Auto Charge-Offs 0.27% 0.49% 0.49% 0.48% 0.64%

2016





MBL Delinquency 0.00% 0.67% 0.33% 0.33% 1.57%




Other RE Charge-Offs -0.03% 0.01% 0.11% 0.10% 0.09%


MBL Charge-Offs 0.00% 0.00% -0.01% -0.01% 0.23%

Auto Charge-Offs 0.21% 0.29% 0.54% 0.50% 0.57%

ASSET QUALITY COMPARISONS | DATA AS OF JUNE 30, 2018



MEMBERS SEEK BETTER RETURNS AS

INTEREST RATES RISE

Share balances in Iowa grew 9.8% over the past 12

months, exceeding the 5.4% growth seen nationally. As

of June 2018, total shares at Iowa credit unions rose to

nearly $15.1 billion.

As nationwide interest rates have risen, share certificate

rates at many credit unions have followed, and total

share certificate balances at Iowa credit unions have

increased 15.8% from June 2017. This reflects credit

union members’ desires to obtain better returns on their

investments. With a high loan to share ratio in Iowa

(99.4%), the growth of share certificate balances is a

welcome sign for credit unions.

Despite certificates helping bring in money quickly,

regular shares and deposits posted the fastest growth of

any share component, with balances increasing 21.4%

to $5.5 billion as of June 30. Regular shares and

deposits now account for 36.7% of the share portfolio at

Iowa credit unions and are a preferred funding source for

the balance sheet due to their lower interest rate profile.

Share drafts decreased 12.3% annually with balances

totaling $1.8 billion as of June 30, down from $2.0

billion in June 2017. A portion of the decline in share

drafts and increase in regular shares can be attributed

to a large Iowa credit union reclassifying share drafts as

regular shares. Despite lower balances, Iowa credit

unions still posted a strong share draft penetration rate

of 57.6%, on par with the national average.

IRA & Keogh, the smallest share component at 5.5%,

reported annual growth of 3.4% to just over $792.9

million. This is below the 5.1% growth reported last year.

Money market share balances decreased 30 basis

points from a year ago. As credit unions try to boost

liquidity, they are generally shying away from broad rate

increases on non-maturity deposit accounts such as

money markets due to the associated cost of funds

impact. Over $2.5 billion is currently held in money

market accounts at Iowa credit unions.

Cash and investment balances at Iowa credit unions

declined from June 2017, falling nearly 2.1% annually.

The largest dollar amount decrease was from

government banks and S&L investments, posting a year-

over-year decline of $72.8 million — or 14.1% — to

$445.6 million. Cash and equivalents, the largest

component of the investment portfolio, increased 4.9%

annually to $814.6 million.

Credit unions in Iowa also saw their investment

maturities hold fairly steady over the past twelve

months. At the end of June 2018, 47.8% of the Iowa

credit union investment portfolio is in holdings with

maturities of less than one year, up from the 47.6% rate

reported in June 2017. With additional rate increases

expected for the remainder of 2018, credit unions in the

state are staying short, allowing investments to roll-off

and fund loan growth.



DOUBLE DIGIT INCOME GROWTH REPORTED IN IOWA IN THE SECOND

QUARTER

Credit unions nationwide saw year-to-date revenue

increase 13.1% from year-to-date 2017 levels.

Revenue for the first half of 2018 at Iowa credit unions

is up 15.5% to $459.5 million, as every income

category posted a double digit annual increase.

Interest Income

The primary driver in revenue growth is interest income

and has been aided by rising interest rates. Nationally,

total interest income at credit unions increased 13.3%

compared to June 2017, with loan income rising 12.3%

while investment income grew 21.4%. In Iowa, total

interest income increased 17.2% from June 2017

levels to nearly $346.5 million. Year-over-year, average

loan yields in Iowa increased six basis points to 4.44%.

This rate increase, combined with the 15.8% increase

in loan balances, drove interest income from loans up

17.1%. On the investments side, Iowa credit unions

also saw their average yield increase, rising 46 basis

points to 2.14% from June 2017 to June 2018. This

increase led to a 19.5% gain in investment income,

despite the investment portfolio contracting 2.1%.

Non-Interest Income

As of June 30, the nation’s credit unions saw their non-

interest income expand 12.5%. In Iowa, non-interest

income grew at a slower pace, increasing 10.6%. Non-

interest income totaled $113.1 million through June 30.

Today, the industry as a whole derives 27.1% of its

income from non-interest sources, while credit unions

in Iowa report a slightly lower percentage — 24.6% as

of June 2018, down from 25.7% reported last year.

Both fee and other operating income at credit unions in

Iowa posted growth during the period, increasing

10.8% and 10.3%, respectively. The growth in other

operating income is largely attributed to sustained

secondary market activity and NCUSIF rebates which

credit unions begun recognizing in the first quarter of

2018.

Operating Expenses

Excluding stabilization expenses, operating expenses

for Iowa’s credit unions rose 10.0% from June 2017

levels, compared to the national average, which

increased 7.8%.

Personnel compensation and benefits was the largest

dollar contributor to the increase in operating expenses

in Iowa. Over the past twelve months, the number of

Iowa credit union employees increased 4.8%, while

compensation grew 7.6%. Today, employee

compensation and benefit expenses account for 51.4%

of the total operating expenses at Iowa credit unions.

Education & promotional expenses posted the second

largest dollar increase, expanding by $4.4 million – or

37.5% – to $16.3 million at the end of the second

quarter.

Net Worth

As of June 30, the average net worth ratio for Iowa

credit unions was 10.3%, down two basis points from

June 2017. Overall net worth increased 11.0% to $1.9

billion. This growth was slightly lower than the 11.2%

growth in assets, leading to the decrease in the net

worth ratio. Credit unions in Iowa remain significantly

above the 7% threshold set by the NCUA. All 88 credit

unions in Iowa are above the 7% threshold.



IOWA CREDIT UNIONS SERVE OVER 1.16

MILLION MEMBERS

Total membership at Iowa credit unions topped 1.16

million members as of June 2018 with the addition of

32,976 members over the past twelve months. Iowa

credit unions’ year-over-year membership growth of

2.9% is lower than the 4.3% growth reported by credit

unions nationwide. However, Iowa credit unions are

outpacing the nation with their proven track record fos-

tering valuable member relationships.

Iowa credit unions are developing stronger relationships

with members through their products, compared to

their national credit union peers. For example, all major

product penetration rates for credit unions in the state

bested national averages as of June 2018. Over the

past year, auto penetration had the largest increase

among all product categories, growing 290 basis points

to 32.4% as of June 2018, compared with the national

average of 20.8%. Share draft penetration rose by 31

basis points to 57.6%, slightly higher than the national

average of 57.5%. Credit card penetration at Iowa credit

unions increased 5 basis points over the last twelve

months to 19.5%, and remained above the national

average of 17.3%. Real estate penetration was also up

54 basis points to 9.4%, more than 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 expanding,

exceeding $23,000 this quarter. This metric, represent-

ing the total dollar amount of loan balances (excluding

member business loans) and deposits per member,

increased 9.3% over the previous June to reach

$23,466. This tops the national average by $4,729 as

of June 2018.



SPECIAL SECTION: LIQUIDITY AND ASSET-LIABILITY MANAGEMENT

Overview

For the first time, the industry’s total loan portfolio surpassed

$1 trillion in June 2018, growing 9.8% year-over-year, while

total share growth slowed to 5.4% annually. Loan growth and

share growth have an inverse relationship, in times of econom-

ic prosperity, consumers demand more loans, while during

times of economic contraction, consumers seek safe havens

for their savings. The Fed increased rates three times in 2017

and three times to date in 2018, with an additional rate hike

projected for the remainder of the year, giving the market

strong momentum for the second half of 2018.

The net difference between annual deposit growth and loan

growth is referred to as net liquidity change. As share growth

slows, the industry’s net liquidity position is driven further

negative. On a quarterly basis, deposit inflows are typically

largest in the first quarter (giving credit unions a positive net

liquidity position), while quarters two through four see smaller

deposit balance growth, pushing net liquidity negative. Over

the past few years, the deposit flow observed in quarters two

through four has resulted in smaller quarterly inflows, driving

net liquidity change even further negative. From June 2017 to

June 2018 the credit union industry lent out $26 billion more

than it took in via deposit channels.

Over the past five years, the average credit union loan-to-share

ratio has increased 15.5 percentage points. In the second

quarter of 2018 alone, it increased 2.3 percentage points to

82.9%. This is only 86 basis points below the 83.7% record

high reached in the third quarter of 2008.

As loan-to-share ratios creep higher, and the economy contin-

ues to grow, institutions must find ways to boost their liquidity.

Strategies include selling first mortgage loans to the secondary market, selling loan participations, deposit product pricing strategies,

and leveraging borrowings and other lines of credit.

One way to boost liquidity is through the sale of first mortgage loans, of the $68.9 billion first mortgage loans originated in the first six

months of 2018, 30.6% of them have been sold to the secondary market. Sales to the secondary has decreased 7.6% year-over-year,

down from $22.8 billion in June 2017 to $21.1 billion in June 2018, while first mortgage originations increased 2.1% in the same time

frame.

This is in part due to the current rate environment as the type of first mortgages originated has shifted in recent years. In June 2013,

82.2% of all first mortgage originations were fixed rate mortgages, while fixed rate mortgages still hold a majority of the origination pie

today, the percentage has dropped to 64.2%. As a result, adjustable rate and balloon mortgages have increased their share of the origi-

nation portfolio by 18 percentage points to 35.8% in June 2018. In an increasing rate environment, credit unions are more likely to keep

these adjustable rate mortgages on their books instead of selling them to the secondary market. Selling loan participations to other

financial institutions has a similar effect as selling first mortgage loans to the secondary market and is another way for credit unions to

manage liquidity. Credit unions can convert assets into liabilities to free up capital by selling real estate, member business and consum-

er loans. Year-to-date participation sales have grown 7.8% year over year to $5.1 billion in June 2018.

As competition with interest and dividends on share accounts heats up, credit unions are looking towards borrowings to fund future

growth. Over the last five years, total borrowings have increased from $26.7 billion in June 2013 to $53.9 billion in June 2018, of which

93.2% ($50.3 billion) from borrowings from the Federal Home Loan Bank. Draws against lines of credit account for 58.4% of total bor-

rowings, which has accounted for over half of the debt portfolio for the past four years, the remainder is comprised other notes, repur-

chase transactions, subordinate debt and secondary capital.



SPECIAL SECTION: LIQUIDITY MANAGEMENT

Iowa Credit Unions

Iowa credit unions have experienced robust growth on both

sides of the balance sheet as loans have grown 15.8% an-

nually (6.1 percentage points higher than the industry aver-

age) to $15.0 billion while total shares grew 9.8% year-over-

year to $15.1 billion.

Iowa credit unions follow the same quarterly deposit trend

as their national peers, growing shares in the first quarter of

2018 by $534.2 million. In the second quarter of 2018,

Iowa credit unions added $229.9 million shares, less than

half of what was added in the first three months of the year.

Second quarter loan growth resulted in $779.6 million

loans added to the balance sheets of Iowa credit unions,

compared to the $360.2 million added in the first quarter

of 2018. From the first to the second quarter of 2018, Iowa

credit unions observed a negative quarterly net liquidity

position of $550.7 million. Over the course of the past year,

credit unions in the state lent out $950.7 million more than

they took in through deposit channels, pushing net liquidity

further negative.

Although total share growth for Iowa credit unions is 4.4

percentage points higher than the national average, loan

growth continues to outpace share growth, resulting in a

loan-to-share ratio in the state that is nearing 100%

(99.4%).

Iowa credit unions have gradually increased the share of

first mortgage loans in their portfolios, now comprising

44.1% of the total loan portfolio in June 2018, 3.1 percent-

age points higher than the national average (41.0%). Com-

pared to last year, Iowa credit unions originated 38.6%

more first mortgage loans in the first half of 2018. Of the

$1.5 billion first mortgage loans that Iowa credit unions

originated, 36.0% were sold to the secondary market. Of

the 88 Iowa credit unions, three are actively selling partici-

pation loans, bringing year-to-date participations sold to

$122.9 million in June 2018, more than tripling the $40.2

million sold in June 2017.

Over the last five years the number of Iowa credit unions

actively borrowing has more than doubled, rising from nine

in June 2013 to 19 in June 2018. Total borrowings are

comprised of draws against lines of credit and other notes.

Contrary to the industry, other notes make up a larger share

of the borrowing portfolio at 67.5% versus 36.9% for the

U.S. average.

Liquidity management will continue to be a necessary prac-

tice for credit unions. Regardless of the financial climate,

during economic expansion and contraction alike, different

liquidity management strategies exist to help credit unions

better position themselves.



CONSOLIDATED U.S. CREDIT UNION FINANCIAL STATEMENT | DATA AS OF JUNE 30, 2018 (THOUSANDS OF DOLLARS)

ALL U.S.

June 2017 June 2018 % Chg

6 Months Ended

June 2017

6 Months Ended

June 2018 % Chg

Assets: Income:

Cash & Equivalents 105,882,729 103,209,520 -2.52% Loans 20,315,134 22,809,714 12.28%

Govt & Agencies 190,376,417 180,668,482 -5.10% (Less Rebates) (12,525) (13,966) 11.51%

Corporate Credit Union 3,361,651 3,500,382 4.13% Investments 2,826,441 3,432,193 21.43%

Banks and S&Ls 37,654,942 33,085,168 -12.14% Fee Income 4,076,182 4,296,292 5.40%

Mutual Funds 2,050,104 2,311,995 12.77% Trading & Other Operating 4,586,882 5,446,691 18.74%

All Other Inv & Ins 45,131,885 46,912,592 3.95% Total Income 31,792,116 35,970,924 13.14%

Total Investments, Cash & Cash Eq. 384,457,727 369,688,139 -3.84%

Expenses:

Real Estate Loans 456,579,959 500,481,610 9.62% Employee Compensation and Benefits 10,540,744 11,318,200 7.38%

Auto Loans 321,399,716 355,527,785 10.62% Travel & Conference 197,852 215,493 8.92%

All Other Loans 145,277,674 157,118,427 8.15% Office Occupancy 1,355,349 1,442,447 6.43%

Total Loans 923,257,349 1,013,127,822 9.73% Office Operations 3,771,890 4,071,481 7.94%

Education & Promotional 760,114 850,930 11.95%

(Loan Loss Allow) (8,225,181) (9,256,366) 12.54% Loan Servicing 1,400,237 1,536,059 9.70%

Professional Services 1,622,309 1,786,140 10.10%

Repossessed Property 833,286 769,734 -7.63% Member Insurance 12,969 10,078 -22.29%

Land & Buildings 21,992,926 23,679,806 7.67% Operating Fees 87,950 100,244 13.98%

Other Fixed Assets 4,619,819 5,049,604 9.30% Miscellaneous 692,382 714,930 3.26%

All Other Assets 39,977,961 43,309,680 8.33% Operating Expense Subtotal 20,441,731 22,046,002 7.85%

Total Assets 1,366,885,429 1,446,368,419 5.81%

Prov/Loan Loss 2,883,398 3,389,675 17.56%

Liabilities & Capital: Operating Expense + PLL 23,325,129 25,435,677 9.05%

Dividends Payable 196,265 235,080 19.78%

Notes Payable 46,937,831 52,815,728 12.52% Non-Operating Gain (Loss) 223,333 231,304 3.57%

Reverse Repurchase Agreements 1,131,621 835,145 -26.20% Income before Dividends 8,690,320 10,766,551 23.89%

Other Liabilities 14,456,074 17,032,829 17.82%

Total Liabilities 62,721,792 70,918,782 13.07% Cost Of Funds:

Interest on Borrowed Funds 518,426 692,136 33.51%

Regular Shares & Deposits 433,193,708 461,179,491 6.46% Dividends 3,027,507 3,686,642 21.77%

Money Market Shares 260,256,881 265,201,382 1.90% Net Income Prior to Stabilization 5,144,243 6,387,774 24.17%

Share Drafts 180,035,735 195,718,122 8.71%

IRA & Keogh 79,085,752 78,232,109 -1.08% Net NCUA Assessment Expenses 10,447 (5,663) -154.21%

Share Certificates 207,177,920 221,992,114 7.15% Net Income 5,133,814 6,393,436 24.54%

Total Shares 1,159,745,139 1,222,323,217 5.40%

% Chg

Regular Reserve 21,193,641 21,918,303 3.42% Total Number of Credit Unions 5,815 5,596 -3.77%

FASB 115 Valuation Reserve (3,050,182) (5,961,064) 95.43% # of FCU's 3,568 3,444 -3.48%

Undivided Earnings & Other Reserves 123,307,356 133,779,386 8.49% # of SCU's - Federally Insured 2,128 2,037 -4.28%

Equity Acquired in Merger 2,990,152 3,389,794 13.37% # of SCU's - Cooperatively Insured 119 115 -3.36%

Total Reserves & Undivided Earnings 144,440,967 153,126,420 6.01% Members 110,636,772 115,377,804 4.29%

Total Liabilities & Capital 1,366,885,429 1,446,368,419 5.81% Employees 287,656 298,785 3.87%

Average Share Balance 10,399 10,499 0.96%

Average Loan Balance 14,624 15,229 4.14%



U.S. CREDIT UNION PEER GROUP PERFORMANCE | ALL U.S. CREDIT UNIONS AS OF JUNE 30, 2018

*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 5,596 2,206 1,049 727 709 354 246 305

Average Asset Size (000s) $258,465 $7,500 $32,366 $71,888 $159,568 $357,109 $707,896 $3,048,907

12-MONTH GROWTH

Net Worth Growth 7.90% 1.54% 3.59% 4.63% 5.43% 6.24% 8.41% 9.51%

Loan Growth 9.73% 4.11% 5.25% 6.43% 7.91% 8.65% 9.90% 10.97%

Share Growth 5.40% 0.15% 1.50% 2.39% 3.27% 4.46% 5.46% 6.94%

Member Growth 4.29% -1.24% -0.37% 0.42% 1.71% 3.80% 4.35% 6.76%

CAPITAL

Net Worth/Assets 11.02% 14.18% 12.23% 11.57% 11.04% 11.02% 11.03% 10.88%

Solvency Ratio 115.78% 117.18% 114.41% 113.62% 113.38% 114.01% 114.91% 116.65%

Allow. For Loan Losses/Del. Loans 136.05% 81.23% 89.49% 98.87% 114.44% 115.86% 129.79% 148.85%

Delinquency Ratio 0.67% 1.37% 0.98% 0.81% 0.77% 0.82% 0.62% 0.63%

EARNINGS

ROA 0.90% 0.25% 0.47% 0.54% 0.62% 0.72% 0.82% 1.02%

Non-Interest Income/Ave. Assets 1.41% 0.84% 1.08% 1.29% 1.46% 1.58% 1.54% 1.38%

Net Interest Margin 3.08% 3.31% 3.16% 3.19% 3.26% 3.20% 3.15% 3.01%

Operating Expenses/Ave. Assets** 3.10% 3.61% 3.52% 3.64% 3.72% 3.67% 3.49% 2.83%

Yield on Average Earning Assets 3.87% 3.74% 3.63% 3.73% 3.88% 3.89% 3.87% 3.89%

Cost Of Funds 0.70% 0.38% 0.36% 0.38% 0.44% 0.52% 0.57% 0.82%

PRODUCTIVITY

YTD Income per Employee (000s) $120 $59 $79 $83 $88 $96 $107 $143

YTD Income per Member $312 $140 $196 $222 $259 $280 $308 $348

YTD Operating Exp. per Member $191 $114 $152 $169 $189 $198 $208 $194

Assets per Employee (000s) $4,841 $2,688 $3,520 $3,519 $3,535 $3,777 $4,231 $5,758

YTD Loan Originations ($) per Empl. (000s) $852 $344 $412 $438 $499 $560 $654 $1,117

MEMBER SERVICE USAGE

Auto Loan Penetration* 20.83% 15.20% 17.98% 20.85% 19.97% 19.99% 21.56% 21.36%

Share Draft Penetration* 57.49% 32.94% 41.67% 47.98% 52.84% 55.09% 58.45% 61.49%

Credit Card Penetration* 17.33% 13.25% 10.56% 11.90% 13.28% 14.14% 15.72% 20.23%

$ Average Share Balance $10,499 $5,398 $7,555 $8,168 $8,960 $9,407 $10,273 $11,555

# of Share & Loan Accts per Member 2.52 1.82 2.16 2.26 2.37 2.38 2.44 2.66

LENDING PROFILE

Loans to Shares 82.89% 57.58% 59.61% 65.05% 73.82% 78.85% 82.93% 87.00%

% of RE Loans to Total Loans 49.40% 16.46% 34.50% 38.79% 43.13% 46.02% 47.66% 52.08%

$ Average Loan Balance $15,229 $7,604 $9,298 $10,087 $12,376 $13,969 $15,147 $16,710

Total Loans per Employee (000s) $3,391 $1,321 $1,829 $2,003 $2,283 $2,578 $2,993 $4,180



CONSOLIDATED IOWA CREDIT UNION FINANCIAL STATEMENT | DATA AS OF JUNE 30, 2018

IOWA

June 2017 June 2018 % Chg

6 Months Ended

June 2017

6 Months Ended

June 2018 % Chg

Assets: Income:

Cash & Equivalents 776,308,779 814,643,300 4.94% Loans 273,158,426 319,744,925 17.05%

Govt & Agencies 773,377,374 722,413,445 -6.59% (Less Rebates) 0 0 0.00%

Corporate Credit Union 7,948,270 32,514,719 309.08% Investments 22,360,346 26,721,978 19.51%

Banks and S&Ls 518,413,283 445,618,687 -14.04% Fee Income 47,010,412 52,134,054 10.90%

Mutual Funds 125,697,967 130,635,602 3.93% Trading & Other Operating 55,242,885 60,948,490 10.33%

All Other Inv & Ins 552,011,395 550,704,646 -0.24% Total Income 397,772,069 459,549,447 15.53%

Total Investments, Cash & Cash Eq. 2,753,757,068 2,696,530,399 -2.08%

Expenses:

Real Estate Loans 6,951,858,397 8,194,082,630 17.87% Employee Compensation and Benefits 119,986,276 129,100,758 7.60%

Auto Loans 4,612,183,512 5,480,459,865 18.83% Travel & Conference 2,520,004 2,818,385 11.84%

All Other Loans 1,363,530,700 1,291,786,910 -5.26% Office Occupancy 15,152,059 17,101,221 12.86%

Total Loans 12,927,572,609 14,966,329,405 15.77% Office Operations 33,175,617 36,222,053 9.18%

Education & Promotional 11,834,341 16,269,072 37.47%

(Loan Loss Allow) (84,919,404) (96,644,826) 13.81% Loan Servicing 19,257,968 21,937,190 13.91%

Professional Services 21,515,341 21,943,665 1.99%

Repossessed Property 12,548,589 9,452,581 -24.67% Member Insurance 86,073 46,901 -45.51%

Land & Buildings 292,508,227 311,641,077 6.54% Operating Fees 1,010,817 987,547 -2.30%

Other Fixed Assets 47,809,661 55,279,464 15.62% Miscellaneous 4,017,521 4,892,063 21.77%

All Other Assets 596,002,112 460,006,803 -22.82% Operating Expense Subtotal 228,556,017 251,318,855 9.96%

Total Assets 16,545,278,862 18,402,594,903 11.23%

Prov/Loan Loss 24,200,250 29,637,305 22.47%

Liabilities & Capital: Operating Expense + PLL 252,756,267 280,956,160 11.16%

Dividends Payable 7,750,251 3,902,897 -49.64%

Notes Payable 954,054,897 1,261,552,591 32.23% Non-Operating Gain (Loss) 2,095,931 1,566,564 -25.26%

Reverse Repurchase Agreements 0 0 0.00% Income before Dividends 147,111,733 180,159,851 22.46%

Other Liabilities 166,780,794 199,615,240 19.69%

Total Liabilities 1,128,585,942 1,465,070,728 29.81% Cost Of Funds:

Interest on Borrowed Funds 5,355,245 10,993,187 105.28%

Regular Shares & Deposits 4,548,370,198 5,519,375,591 21.35% Dividends 55,633,344 70,948,959 27.53%

Money Market Shares 2,558,103,759 2,550,628,555 -0.29% Net Income Prior to Stabilization 86,123,144 98,217,705 14.04%

Share Drafts 2,004,212,224 1,758,792,534 -12.25%

IRA & Keogh 767,120,334 792,912,196 3.36% Net NCUA Assessment Expenses 40,680 0 -100.00%

Share Certificates 3,832,833,712 4,437,605,883 15.78% Net Income 86,082,464 98,217,705 14.10%

Total Shares 13,710,640,227 15,059,314,759 9.84%

% Chg

Regular Reserve 511,144,797 580,866,662 13.64% Total Number of Credit Unions 93 88 -5.38%

FASB 115 Valuation Reserve -1,630,960 -16,880,232 934.99% # of FCU's 1 1 0.00%

Undivided Earnings & Other Reserves 1,167,136,841 1,284,956,374 10.09% # of SCU's - Federally Insured 92 87 -5.43%

Equity Acquired in Merger 29,402,015 29,266,612 -0.46% # of SCU's - Cooperatively Insured 0 0 0.00%

Total Reserves & Undivided Earnings 1,706,052,693 1,878,209,416 10.09% Members 1,129,890 1,162,866 2.92%

Total Liabilities & Capital 16,545,278,862 18,402,594,903 11.23% Employees 3,585 3,757 4.80%

YTD Loan Originations 3,701,815,119 4,291,479,568 15.93%

Average Share Balance 11,671 12,276 5.18%

Average Loan Balance 16,381 17,391 6.17%



IOWA CREDIT UNION PEER GROUP PERFORMANCE | ALL IOWA CREDIT UNIONS AS OF JUNE 30, 2018

*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 88 36 32 20

Average Asset Size (000s) $209,120 $6,662 $47,636 $831,921

12-MONTH GROWTH

Net Worth Growth 10.96% 3.49% 5.27% 12.25%

Loan Growth 15.77% 7.88% 7.18% 16.83%

Share Growth 9.84% 1.05% 2.74% 11.16%

Member Growth 2.92% -2.27% -1.69% 4.69%

CAPITAL

Net Worth/Assets 10.32% 14.68% 13.08% 10.00%

Solvency Ratio 115.72% 117.94% 115.94% 115.67%

Allow. For Loan Losses/Del. Loans 92.21% 88.87% 81.36% 93.18%

Delinquency Ratio 0.70% 1.37% 0.88% 0.68%

EARNINGS

ROA 1.10% 0.56% 0.69% 1.15%

Non-Interest Income/Ave. Assets 1.29% 0.78% 1.13% 1.31%

Net Interest Margin 2.97% 3.22% 3.15% 2.95%

Operating Expenses/Ave. Assets** 2.82% 3.23% 3.42% 2.76%

Yield on Average Earning Assets 4.08% 3.68% 3.80% 4.11%

Cost Of Funds 1.04% 0.43% 0.52% 1.09%

PRODUCTIVITY

YTD Income per Employee (000s) $122 $58 $83 $129

YTD Income per Member $395 $130 $213 $438

YTD Operating Exp. per Member $216 $97 $155 $232

Assets per Employee (000s) $4,899 $2,741 $3,595 $5,127

YTD Loan Originations ($) per Empl. (000s) $1,142 $410 $567 $1,237

MEMBER SERVICE USAGE

Auto Loan Penetration* 32.40% 19.06% 22.21% 34.71%

Share Draft Penetration* 57.56% 39.72% 45.50% 60.83%

Credit Card Penetration* 19.49% 12.26% 7.15% 22.27%

$ Average Share Balance $12,276 $5,167 $7,799 $13,342

# of Share & Loan Accts per Member 2.73 1.86 2.25 2.85

LENDING PROFILE

Loans to Shares 99.38% 64.04% 69.04% 102.83%

% of RE Loans to Total Loans 54.75% 19.21% 36.43% 56.27%

$ Average Loan Balance $17,391 $8,346 $11,599 $18,161

Total Loans per Employee (000s) $3,984 $1,491 $2,123 $4,294



12-MONTH SHARE GROWTH NET WORTH/ASSETS

Credit Union Share Growth* Shares Credit Union Net Worth/Assets Assets

1 Morrison Employees 20.91% $1,148,290 1 Gas & Electric Employees 32.88% $5,266,773

2 The Municipal 12.15% $17,298,860 2 St. Ludmilas 31.26% $349,362

3 Du Pont Employees 9.89% $3,311,016 3 Morrison Employees 30.76% $1,660,255

4 Quaker Oats 9.56% $8,749,110 4 KAH 30.36% $1,746,301

5 St. Athanasius 8.26% $720,681 5 NGPL Employees 28.38% $2,789,006

6 Village 7.91% $11,792,288 6 Hometown 25.57% $2,436,445

7 Dubuque Postal Employees 5.24% $4,257,348 7 SECU 24.63% $2,023,785

8 Waterloo Firemen's 5.09% $1,713,640 8 Des Moines County Postal 22.85% $2,110,371

9 Polk County 3.49% $4,526,481 9 Warren 22.29% $4,568,830

10 Warren 3.46% $3,533,693 10 Leeco 21.10% $3,594,013

12-MONTH LOAN GROWTH RETURN ON ASSETS

Credit Union Loan Growth* Loans Credit Union ROA Assets

1 SECU 54.54% $1,362,590 1 SECU 1.49% $2,023,785

2 River Community 31.18% $14,104,419 2 Polk County 1.36% $5,482,181

3 Village 29.07% $11,578,350 3 Gas & Electric Employees 1.19% $5,266,773

4 Dubuque Postal Employees 24.25% $993,765 4 ETS 1.11% $2,878,795

5 Morrison Employees 24.14% $232,920 5 River Community 1.07% $17,101,262

6 The Hub-co 19.01% $10,643,461 6 Leeco 0.98% $3,594,013

7 The Municipal 16.16% $9,306,781 7 The Municipal 0.96% $19,000,437

8 Hometown 7.85% $1,871,090 8 Des Moines County Postal 0.88% $2,110,371

9 North Western Employees 7.27% $4,267,142 9 Quaker Oats 0.88% $10,235,256

10 Davenport Police Department 7.21% $1,968,998 10 North Western Employees 0.87% $7,576,783

12-MONTH MEMBER GROWTH LOANS/SHARES

Credit Union Member Growth* Members Credit Union Loans/Shares Assets

1 River Community 3.95% 3,740 1 Hometown 103.70% $2,436,445

2 Aegis 3.16% 3,522 2 Aegis 100.13% $15,196,459

3 SECU 3.03% 748 3 Des Moines County Postal 99.82% $2,110,371

4 MA Ford Employees 2.56% 320 4 River Community 98.94% $17,101,262

5 The Municipal 1.74% 2,049 5 Village 98.19% $13,628,671

6 Hometown 1.72% 771 6 St. Ludmilas 98.12% $349,362

7 Burlington Municipal Employees 1.62% 626 7 Waterloo Firemen's 93.44% $1,973,529

8 Waterloo Firemen's 1.38% 294 8 Polk County 90.73% $5,482,181

9 Warren 1.34% 829 9 SECU 89.72% $2,023,785

10 Polk County 0.99% 818 10 Allen Hospital Personnel 89.08% $5,705,761

IOWA CREDIT UNION LEADERS | ALL IOWA CUS UNDER $20 MILLION IN ASSETS AS OF JUNE 30, 2018

*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





1 Lennox Employees 10.91% $37,647,314 1 Employees 21.96% $95,369,312

2 Cent 10.19% $44,535,933 2 Iowa Heartland 19.00% $23,089,107

3 North Iowa Community 7.81% $62,056,751 3 Power Co-op Employees 18.22% $34,755,622

4 Tradesmen Community 7.76% $50,420,224 4 Casebine Community 16.36% $30,337,945

5 5 Star Community 7.34% $29,203,727 5 Advantage 16.21% $69,990,095

6 Telco-Triad Community 6.02% $81,887,551 6 Capitol View 15.52% $35,641,760

7 Town And Country 5.87% $20,277,139 7 Serve 15.04% $68,016,127

8 First Class 4.62% $70,461,775 8 Meridian 15.04% $28,236,668

9 N. W. Iowa 4.13% $44,174,886 9 Public Employees 14.90% $27,472,416

10 River Valley 3.98% $57,390,977 10 Peoples 14.64% $52,739,345



1 Uni 37.45% $9,929,321 1 Employees 2.44% $95,369,312

2 Peoples 19.08% $38,167,952 2 Power Co-op Employees 2.15% $34,755,622

3 North Iowa Community 19.03% $65,240,104 3 Advantage 1.05% $69,990,095

4 5 Star Community 16.64% $24,211,963 4 Peoples 1.04% $52,739,345

5 Fort Dodge Family 15.37% $17,476,992 5 Tradesmen Community 0.97% $58,942,957

6 North Star Community 13.02% $55,039,857 6 N. W. Iowa 0.94% $50,335,321

7 Cent 12.76% $41,669,337 7 Capitol View 0.91% $35,641,760

8 Midwest Community 9.82% $9,291,605 8 Fort Dodge Family 0.87% $29,991,912

9 Meridian 9.19% $11,585,959 9 Serve 0.86% $68,016,127

10 Members Community 8.75% $43,595,240 10 Members Community 0.85% $59,823,739



1 Cent 9.77% 5,237 1 Town And Country 111.92% $26,084,366

2 Town And Country 7.65% 2,729 2 North Iowa Community 105.13% $72,475,996

3 North Iowa Community 6.58% 12,659 3 Cent 93.56% $52,228,307

4 Fort Dodge Family 4.67% 3,316 4 Serve 86.01% $68,016,127

5 Advantage 3.37% 5,794 5 Peoples 85.27% $52,739,345

6 Power Co-op Employees 3.33% 1,953 6 Members Community 85.06% $59,823,739

7 North Star Community 2.49% 10,338 7 5 Star Community 82.91% $32,386,011

8 Metco 2.29% 3,086 8 Metco 77.90% $33,181,889

9 5 Star Community 1.99% 4,758 9 Cornerstone Community 77.33% $21,526,909

10 Employees 1.75% 7,915 10 Midland 75.80% $53,798,420

IOWA CREDIT UNION LEADERS | ALL IOWA CUS BETWEEN $20 MILLION AND $100 MILLION IN ASSETS AS OF JUNE 30, 2018



BETWEEN $20 MILLION AND $100 MILLION





1 University Of Iowa Community 19.41% $3,895,124,341 1 Cedar Falls Community 16.08% $119,166,176

2 Affinity 17.28% $102,257,222 2 Dupaco Community 15.31% $1,651,681,613

3 Veridian 15.84% $3,327,863,133 3 Citizens Community 15.27% $195,981,046

4 First 15.56% $110,569,131 4 The Family 13.26% $158,386,920

5 DuTrac Community 9.32% $636,942,841 5 DuTrac Community 12.07% $727,450,607

6 Community 1st 5.81% $572,352,851 6 1st Gateway 11.68% $135,941,899

7 Dupaco Community 4.93% $1,325,316,466 7 Alliant 11.57% $125,448,543

8 Members1st Community 4.59% $149,217,290 8 Financial Plus 11.33% $173,623,411

9 Greater Iowa 4.05% $386,024,157 9 Community Choice 10.71% $493,596,566

10 Collins Community 3.93% $991,383,884 10 Members1st Community 10.41% $167,978,110



1 Veridian 25.35% $3,488,827,835 1 University Of Iowa Community 1.49% $5,124,525,535

2 University Of Iowa Community 19.73% $4,722,929,984 2 Dupaco Community 1.45% $1,651,681,613

3 Affinity 19.19% $100,116,571 3 Veridian 1.40% $3,935,232,245

4 Cedar Falls Community 16.88% $91,530,286 4 Cedar Falls Community 1.38% $119,166,176

5 Members1st Community 15.34% $105,218,564 5 Community Choice 1.10% $493,596,566

6 First 14.51% $113,567,793 6 DuTrac Community 1.09% $727,450,607

7 DuTrac Community 13.07% $559,816,269 7 Citizens Community 1.00% $195,981,046

8 Dupaco Community 12.69% $1,048,297,152 8 Alliant 0.98% $125,448,543

9 Greater Iowa 11.72% $358,201,054 9 The Family 0.92% $158,386,920

10 Collins Community 11.68% $1,016,766,665 10 1st Gateway 0.91% $135,941,899



1 Affinity 14.98% 13,845 1 University Of Iowa Community 121.25% $5,124,525,535

2 University Of Iowa Community 10.30% 175,135 2 Linn Area 115.68% $466,772,375

3 Dupaco Community 8.65% 108,820 3 1st Gateway 108.76% $135,941,899

4 Veridian 4.88% 221,697 4 Veridian 104.84% $3,935,232,245

5 Premier 3.99% 17,619 5 First 102.71% $146,169,508

6 DuTrac Community 3.48% 46,950 6 Collins Community 102.56% $1,198,287,666

7 Greater Iowa 3.30% 31,675 7 Citizens Community 98.20% $195,981,046

8 The Family 2.36% 18,710 8 Affinity 97.91% $114,529,092

9 Community 1st 2.00% 55,847 9 Community 1st 97.43% $648,151,835

10 Ascentra 1.98% 38,609 10 Premier 97.26% $192,482,659

OVER $100 MILLION



IOWA CREDIT UNION LEADERS | ALL IOWA CUS OVER $100 MILLION IN ASSETS AS OF JUNE 30, 2018

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