Sound business profile and dominant market position Low credit risk profile Strong asset liquidity and stable funding profile Moderate and volatile earnings profile Low quantum of capital resources The ratings on Credit Union Services Corp. (Australia) Ltd. (CUSCAL) reflect its principal position in Australia's credit union sector, very good asset quality, and its strong liquidity and funding profile. Moderating the rating is CUSCAL's history of low absolute earnings, and instability in its earnings base, stemming from several nonprofitable, noncore activities. In recent times, CUSCAL has returned to its core role of supporting credit unions' operations, and on improving its operational efficiency. Tangible results are emerging in improved underlying earnings, and the commerciality of its operations. Capital adequacy remains consistent with
