2005 was an exceptional year for the MCUL and its members. The MCUL Board of Directors decided to distribute excess earnings in two ways. First, a one-time dues reduction of 24 percent — $500,000 — was given to credit unions. Second, additional expenditures of $1,192,000 were made to benefit the membership in areas of cooperative advertising, research, on-line learning, small credit union support and other initiatives.
Revenue from Sales, Programs and Service Fees increased by 4.6 percent due to higher-than-expected income from subsidiaries. MCUL membership fees of $1,537,000 were net of a reduction of 24 percent or $500,000 that benefited all credit unions. Members’ Net Assets fell below the $40,700,000 benchmark due to planned dues reductions and contributions to cooperative advertising, research, on-line learning, SAS credit union support and other initiatives. Additionally, the investment portfolio performed slightly below the 7 percent targeted return.
Cost of Sales, Programs & Services Provided included $1,000,000 for the cooperative advertising campaign designed to benefit credit unions, as well as $192,000 in new expenditures for research, on-line learning, small credit union support and other initiatives.
The MCUL/CUcorp Consolidated Statement of Activities and Changes in Members’ Net Assets reports a net decrease of $1,926,000 as a planned result of the MCUL Board’s decision to distribute excess earnings.
The MCUL and CUcorp are well positioned for the future. A financially strong League and service corporation will ensure the delivery of excellent products and services to credit unions in the years ahead.
The Year in Review MCUL 2005
MCUL/CUcorp Consolidated Statements of Financial Position
MCUL/CUcorp 2005: Financial Report and Statistics
Consolidated Statements of Activities and Changes in Members' Net Assets
The Operating Environment
The Year in Review CUcorp 2005