FINANCIAL REPORTS AND RATINGS
Share Guarantee
All shares and share certificates at Southwest Corporate Federal Credit Union are 100% guaranteed through December 31, 2010. In addition, on April 21, 2009, the NCUA Board modified the terms of the Temporary Corporate Credit Union Share Guarantee to extend the 100% guarantee program to a 2-year rolling expiration date with quarterly extension options through December 2012. The NCUA Board approved an initial extension to September 30, 2011.
Agency Ratings
Southwest Corporate Federal Credit Union obtained a Commercial Paper Rating addressing its capacity to service $900,000,000 in total commercial paper borrowings, and a Counterparty Credit Rating addressing its creditworthiness as a counterparty in interest rate swap and other senior obligations.
Southwest Corporate receives ratings for its ability to service commercial paper debt and its ability to meet counterparty credit. A summary of the agency ratings follows:
Commercial Paper Ratings
Fitch IBCA, Inc.: F-1+
Counterparty Credit Ratings
Standard & Poor's: BBB-
Fitch IBCA, Inc.: A+
Note 1: Standard and Poor's downgraded Southwest Corporate's ratings on April 6, 2009 and kept them on CreditWatch negative. Read the Release
Note 2: Fitch Ratings were affirmed on March 24, 2009 and the Stable Outlook on the Counterparty Ratings remains in place. - Read the Release
Individual Ratings
Southwest Corporate's Individual Rating from Fitch is E on a scale of A through F.
The ratings are based on criteria such as Southwest Corporate's asset quality, liquidity sources, capital strength, and risk management practices.
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