2 million to guard against future capital depletions, after an internal audit turned up it had overstated OTTI in April due to a one-time formula error.
15 billion Members United Corporate FCU and $3 billion Southeast Corporate FCU are both covering new OTTIs with existing retained earnings, the credit unions announced in separate releases July 26.
NCUA Director of Public and Congressional Affairs John McKechnie said the adjustment is consistent with OTTIs
being recorded at corporate credit unions.
Members United President/CEO Joseph Herbst warned members that the forced restructuring would have a significant impact on Ambac's ability to pay and could result in additional OTTI
for the Warrenton, Ill.
In its report, Fitch discusses how differences in OTTI
recognition can impact the financial statements filed by insurers using both generally accepted accounting principles (GAAP) as well as under Statutory Accounting Principles (SAP) used for regulatory filings.
Though OTTIS is being positioned as a super-premium ice cream, it does not act like regular "fattening" ice cream, according to QFD, as it "does not stimulate adipose tissue fat-storage.