CUNA Exits Red Ink, Projects $300,000 Profit

RENO, Nev. – Barring unforeseen problems, CUNA, which reported a $2.3 million loss in 2002, is looking to become profitable for fiscal 2003 by $300,000, according to the organization’s outgoing treasurer, Donald Larsen. Larsen, who Oct. 1 moved up in the CUNA chairs from treasurer to secretary at CUNA’s annual Future Forum meeting here, said the trade group’s exit from red ink follows losses from 9/11, high expenses on a service corp. subsidiary spun off to Liberty Enterprises as well as losses from long term leases on unoccupied space of its former Washington office. The Washington property has been leased and the Liberty venture recently underwent a name change, now called Cavion Network, said Larsen, who also is president of Community CU in Tacoma, Wash. Larsen told CUNA delegates the trade group’s operations were on the road to overcoming economic difficulties after “being severely tested” by 9/11 and other events. In his conference remarks, Dan Mica, CUNA’s president and CEO, also observed that CUNA now has “a very positive bottom line.” In a separate reshuffling, Juri Valdov, who was elected vice chairman of CUNA for 2004, has given up one of his old duties as secretary: chairman of CUNA’s Strategic Services Inc. “I am gratified where we have brought CSSI over the last three years,” said Valdov in citing a favorable earnings track for the subsidiary which manages all of CUNA’s service operations. Valdov, who also is president of Northwest Federal CU in Herndon, Va. is being succeeded as CSSI chairman by Richard Ghysels, a CUNA director and president/CEO of First Financial CU of West Covina, Calif. Ghysels was elected at a CSSI Board meeting Sept. 29 during the Future Forum conference. -