Silver State Schools Credit Union posts $90,000 profit

Silver State Schools Credit Union, one of the state's largest and most troubled credit unions, reported that it eked out a $90,000 profit in the first quarter, reversing a string of nine quarterly losses.

The $725 million-asset financial institution lost $8.5 million in the first quarter last year.

The credit union, which has 65,000 members around the state, announced its first-quarter earnings late Wednesday and its financial results were posted later by American Share Insurance, an Ohio insurance company that backs Silver State's deposits.

American Share was late in posting results for Silver State in the fourth quarter, but Silver State is one of the first Nevada credit unions to announce first-quarter financial results.

The credit union is second only to Bank of Nevada, a subsidiary of Western Alliance Bancorporation, which on April 25 reported a $900,000 profit, contrasting $3 million in losses in the first quarter last year and $5.8 million in the fourth quarter.

The credit union reported $29.7 million in net worth at the end of March, but that includes a $22 million subordinated loan that ASI made to bail out Silver State in February 2010.

Silver State's net worth represents 4.3 percent of total assets. It reported $44.7 million in loans that have been delinquent for two months or more, down from $46 million on Dec. 31.

A year ago, Silver State reported $62.7 million in loans that were two months or more past due. The credit union has set aside $22.5 million as an allowance for potential loan losses.

The credit union charged off $6.7 million in loans during the first quarter this year.