September%202010%20Financials%20Executive%20Summary

League of Southeastern Credit Unions September 2010 Operations Executive Summary As of September 30, 2010 the League of Southeastern Credit Unions (LSCU) assets totaled $3,996,744. As in prior months, the highest concentration of assets was the $1,937,548 (48%) held in cash and short term investments. No changes have been made this year in the $1,750,450 long-term investments in credit union system partners. Deferred income will continue to decline as we recognize dues revenue each month.

LSCU’s $305,107 total revenue for the month was $14,347 more than budgeted.

The greatest variance in revenue was in Education and was due to timing differences. The majority of the Supervisory Committee Conference revenue budget was posted in July, but actual revenue from the event was not posted until September. The same timing difference occurred for direct cost of sales for the event. If revenue and expense budget and actual had been recorded in the same month, you would have seen that gross profit (revenue less cost of sales) for the conference was $8,293 which was $293 more than budgeted.

Most of the other variances continue as reported in previous months and were discussed in October 78 Board Planning Retreat.

Cooperative Initiatives income continued to fall short of budget for the month ($6,442 in September) while the department’s operating expenses surpassed budget by $4,136 for the same period. Staff continues to concentrate on credit union, chapter, and other direct contacts which drive up travel expense and take time away from revenue generating activities.

Governmental Affairs expense was $26,334 less budget in September. The department still has one vacant position and, as discussed with the Board, will save approximately $125,000 in 2010 due to changes in lobbyist contracts.

At the Board Retreat staff noted the difficulty in projecting 2010 costs, especially for staff that were expected to increase their time in the field visiting credit unions, something we have put a high emphasis on this year.

The Communications Department was finally fully staffed last month, but expense was still $14,906 less than budget in September and $110,119 less year to date.

While losses of $16,345 and $41,599 were budgeted for the month and year to date, LSCU reported $31,595 net income in September to bring year to date net income to $260,300.

Respectfully submitted, Carol A. Lucas, CPA Chief Financial Officer League of Southeastern Credit Unions