WASHINGTON, DC (June 27, 2019) — Callahan & Associates has recognized Innovations Federal Credit Union for the Panama City, FL, cooperative’s success in walking the long road to recovery after 2018’s Hurricane Michael.
Innovations is featured in Callahan’s quarterly series “Anatomy Of A Credit Union,” which explores the strategies and analyzes the performance of an exemplary credit union.
“Callahan chose the Florida credit union for its business lending success, disaster recovery efforts, and resilience in the face of hardship,” said editor-in-chief Rebecca Wessler. “Innovations has grand plans for the future, but those plans changed in October 2018.”
On Oct. 10, 2018, Hurricane Michael, a Category 5 storm, slammed into the Florida Panhandle, destroying houses, power lines, and disrupting all sense of normalcy for Innovations, its members, and the thousands who call the area home. It caused 49 deaths and an estimated $25 billion in damage. It was a catastrophe from which the area is still recovering, including Innovations.
In the storm’s immediate aftermath, the credit union worked quickly to become the first local financial institution back online, knowing how important it was for members to regain access to cash. Today, Innovations is working to take care of its affected members in other ways, including loans, accounts, donations, and more. The hurricane disrupted many lives, and the credit union is working to be part of the solution.
“It’s going to take time for this community to get back to where we were,” says Chief Marketing Officer Karen Hurst. “But we want to do whatever we can to help bring it back.”
The hurricane affected Innovations’ balance sheet, as well. The credit union added approximately $70 million in shares between third quarter 2018 and first quarter 2019, turning a $200 million credit union into a $270 million credit union almost overnight, impacting many of its financial ratios in the process. In addition, its branches absorbed millions of dollars of damage resulting in multiple insurance claims. How the credit union manages these funds over the coming year will prove critical as these balances run off into early 2020, and will set the course for Innovations’ bright future.
The newest installment of Anatomy Of A Credit Union is available to read now in the first quarter issue of Credit Union Strategy & Performance.
For more than 35 years, Callahan & Associates has helped credit union leaders identify strategic growth opportunities that increase member value. We create meaningful dialogue, connect people, provide counsel, and help organizations thrive through our competitive analytics, best-practice media, leadership consulting, and collaborative ventures. Our clients grow assets, members, shares, and loans faster than industry averages. Learn more at www.callahan.com.
Victoria Taylor
vtaylor@callahan.com
