VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb. 26, 2016) - Central 1 Credit Union (Central 1) announced today it posted a profit of $52.4 million for the year ended December 31, 2015, compared to $53.6 million for the same period in 2014.

"Central 1 had another good financial year, despite difficult market conditions and continued low interest rates," said Don Wright, President and CEO of Central 1. "We are focused on increasing our value to our members and supporting the success of the credit union system. I am encouraged by our results and the financial health of credit unions over the past year."

Highlights for 2015, compared to the same period in 2014:

  • Total assets were $14.9 billion, compared to $13.1 billion.
  • Return on average equity of 5.5 per cent, compared to 5.9 per cent.
  • Net financial income of $50.1 million, compared to $72.4 million.
  • Other income of $140.7 million, compared to $119.7 million.
  • Operating expenses of $129.5 million, compared to $129.5 million.

Net financial income decreased $22.3 million compared to the previous year to $50.1 million, due to lower realized gains on Central 1's investment portfolios, together with lower interest margin due to the low interest rate market environment. Though interest margin decreased year-over-year, the latter half of the year gathered momentum, with interest margin $6.3 million higher than the first six months.

Central 1 recognized a recovery of $7.7 million as a result of the settlement of a legal action brought by Central 1 and other claimants with respect to a long-standing defaulted loan. Central 1's original loan had been previously written off. Excluding the one-time litigation settlement of $7.7 million, profit after tax would have been $46.0 million for the year.

Other income increased across most areas, reflecting growth in many of Central 1's innovative product and service offerings, including increased financial services to our credit unions and also benefitting from income from affiliates. This growth was mainly driven by increased activities in electronic payments processing and MemberDirect® online services in 2015 within Digital & Payments Services.

As at December 31, 2015 Central 1's ratio of regulatory capital to risk-weighted assets for provincial capital adequacy purposes was 40.6 per cent. Central 1's borrowing multiple for federal capital adequacy purposes was 13.2:1.

B.C. and Ontario credit union systems

Assets of the B.C. system totalled $66.4 billion at the end of 2015, compared to $61.5 billion in the prior year. The B.C. system's net income was $257.3 million, an increase of $4.6 million over the prior year. Deposits were $57.8 billion up from $54.4 billion, while loans increased to $55.6 billion from $52.8 billion.

The B.C. system's regulatory risk-weighted capital ratio was 14.9 per cent at the end of 2015.

Assets of the Ontario system increased to $39.9 billion at the end of 2015, compared to 36.2 billion in the prior year. The Ontario system's net income was $115.9 million, a decrease of $9.6 million from the prior year, driven by higher expenses. Non-interest income increased $23.1 million over the same period last year.

The Ontario system's regulatory capital as a percentage of risk-weighted assets was 13.8 per cent at the end of December, an increase of 0.8 per cent from a year ago.

Central 1's Financial Review 2015 has been filed with SEDAR and is posted on and on

About Central 1

With offices in Vancouver, Mississauga and Toronto, Central 1 holds on balance sheet approximately $14.9 billion in assets. We provide wholesale financial products, trust services, payment processing solutions and direct banking services to more than 300 credit unions and institutional clients from coast to coast.

In addition, Central 1 is the primary liquidity manager, payments provider and trade association for our 42 member credit unions in B.C. and 77 Ontario member credit unions. Our members represent a consumer-oriented, full-service retail financial system that collectively serves 3.3 million members and holds more than $106.3 billion in assets. For more information, visit

Contact Information:

Media: Art Chamberlain
Media Relations Manager
Central 1 Credit Union
905.282.8534 or 1.800.661.6813 ext. 8534

Investors: Brent Clode
Chief Investment Officer
Central 1 Credit Union
905.282.8588 or 1.800.661.6813 ext. 8588