Navy Federal Credit Union 2006 Annual Report Download - page 20

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N F C U
C S  O
(dollars in thousands)
e accompanying notes (beginning on page 6) are an integral part of these consolidated financial statements.
N F C U
C S  F C
(dollars in thousands)
e accompanying notes (beginning on page 6) are an integral part of these consolidated financial statements.
Years Ended December 31 2006 2005
Interest income
Interest on loans to members $ 1,290,002 $ 1,032,533
Interest on securities available-for-sale 169 181
Interest on securities held-to-maturity 219,822 218,255
Total interest income 1,509,993 1,250,969
Dividend and interest expense
Dividends to members 552,228 412,268
Interest on securities sold under repurchase agreements and notes payable 131,095 92,772
Total dividend and interest expense 683,323 505,040
Net interest income 826,670 745,929
Provision for loan losses (120,567) (244,370)
Net interest income after provision for loan losses 706,103 501,559
Non-interest income
Gain on mortgage loan sales, net 12,992 11,677
Mortgage servicing 50,292 43,155
Credit card interchange 82,323 70,891
Check card interchange 98,695 84,139
ATM interchange 17,522 24,922
Overdrawn check fee 87,758 79,026
Mortgage loan origination 7,312 2,997
Other 54,603 44,514
Total non-interest income 411,497 361,321
Non-interest expense
Salaries and employee benefits 337,220 276,725
Office operating 118,417 94,838
Loan servicing 120,213 91,467
Professional and outside services 34,832 33,448
Office occupancy 36,572 30,763
Loan protection life insurance 3,741 5,884
Life savings insurance 1,465 1,677
Education and marketing 11,639 8,939
Impairment of mortgage servicing assets –4,973
Amortization of mortgage servicing assets –20,672
Fair value adjustment of mortgage servicing assets 21,147 –
Unrealized (gain)/loss on mortgage loans awaiting sale (891) 914
Unrealized (gain)/loss from derivative and economic hedging activities (2,537) 2,744
Other 34,194 23,499
Total non-interest expense 716,012 596,543
Net income $ 401,588 $ 266,337
December 31 2006 2005
ASSETS
Cash $ 356,657 $ 349,216
Short term investments 2,195,036 2,816,010
Securities available-for-sale 2,897 7,891
Securities held-to-maturity 1,916,900 2,875,428
Mortgage loans awaiting sale 90,597 241,209
Loans to members, net of allowance for loan losses of $176,326
at December 31, 2006 and $201,102 at December 31, 2005 20,403,815 16,502,095
Investment in FHLB-Atlanta 76,107 26,458
Interest-bearing deposits 606,367 579,594
Other investments 3,209 2,221
Accounts receivable 461,057 455,096
Accrued interest receivable 102,111 90,769
Fixed assets 339,160 257,871
NCUSIF deposit 173,057 164,484
Mortgage servicing assets, at fair value at December 31, 2006 and
net of accumulated amortization and impairment at December 31, 2005 198,707 131,667
Prepaid expenses 167,428 121,929
Other assets 28,787 22,419
Total assets $ 27,121,892 $ 24,644,357
LIABILITIES AND MEMBERS’ EQUITY
Liabilities
Securities sold under repurchase agreements $ 1,824,147 $ 2,690,873
Notes payable 1,135,700 32,400
Drafts payable 169,777 168,421
Dividends payable –106
Accrued expenses and accounts payable 138,199 111,852
Accrued interest payable 12,076 5,898
Other liabilities 693 2,102
Total liabilities 3,280,592 3,011,652
Members’ Equity
Members’ accounts
Share savings accounts 5,353,844 6,255,682
Money market savings accounts 3,061,374 2,142,609
Checking accounts 3,248,313 3,173,550
Share certificate accounts 6,567,735 5,153,089
Individual retirement accounts 2,474,822 2,215,345
Total members’ accounts 20,706,088 18,940,275
Reserves and undivided earnings
Regular reserve 349,808 349,406
Capital reserve 2,735,507 2,323,133
Undivided earnings 50,000 20,000
Accumulated other comprehensive income (103) (109)
Total reserves and undivided earnings 3,135,212 2,692,430
Total members’ equity 23,841,300 21,632,705
Total liabilities and members’ equity $ 27,121,892 $ 24,644,357