MADISON, Wis. (9/17/13)--Several credit union mergers are continuing the national trend toward consolidation.
Recent mergers include:
The National Credit Union Administration and the California Department of Business Oversight approved the merger of CarePoint FCU, Anaheim, Calif., with Financial Partners CU, Downey, Calif. The merger was strongly supported by both credit union boards of directors and is slated to take effect on Nov. 1, after which the combined credit union will operate as Financial Partners CU. The merger will result in a credit union with more than $856 million in assets and 60,000 members throughout Southern California, Texas, Florida and several other states.
Flint, Mich.-based Security CU (SCU) with $367,000 in assets, has acquired Craftsman CU of Detroit through a purchase-and-assumption agreement with NCUA. The purchase agreement came about because the Michigan Department of Insurance and Financial Services liquidated Craftsman CU. SCU will absorb Craftsman's assets, membership and about 50% of its loans (The Burton View Sept.12).
Greater Milwaukee CU, West Allis, Wis., intends to merge into Summit CU, Madison, Wis., the two credit unions announced Sept. 9. Greater Milwaukee CU has roughly $14 million in assets and 2,000 members. Summit CU has more than $1.9 billion in assets and about 130,000 members. The takeover will strengthen Summit's rank as the second-biggest credit union in Wisconsin, behind Landmark CU in New Berlin. The merger will become effective Dec. 1 (The Milwaukee Journal Sentinel Sept. 9).
kyOne FCU, Hawthorne, Calif., will acquire Gardena, Calif.-based AM FCU. The merger of the $336.5 million asset SkyOne and the $20.4 million asset AM has been approved by the NCUA and the credit unions' memberships (SNL Bank and Thrift Daily Sept. 10).
The membership of Arlington, Texas-based Security One FCU voted Aug. 28 to merge into Texas Trust CU, Mansfield, Texas, with $764 million assets, pending approval of the state regulator. NCUA already has Ok'd the consolidation. Security One FCU has $57 million in assets. Security One's 25 employees will join the Texas Trust work force. Texas Trust will assume all of Security Ones' assets and liabilities (PR.com Aug. 31).
Effective Aug. 31, Rock Valley CU (RVCU), Loves Park, Ill., merged with Del Monte Eastern Region Employees FCU (DMCU) of Rochelle, Ill., after approvals of both boards of directors, regulatory approval from NCUA and a majority vote of the DMCU members at a special meeting June 26. The combined entity will have assets of more than $83 million, according to an RVCU press release.
Clearpath FCU, Glendale, Calif., with $86.8 million in assets, will merge with $6.3 million asset Lithuanian CU, Los Angeles. Also, Credit Union of Southern California, Brea, Calif., will merge with Firestone Financial FCU, Anaheim, Calif. Both mergers were approved Aug. 1 by the California Department of Business Oversight, according to its monthly bulletin.
NCUA has approved a merger of USU Charter CU, Logan, Utah, with $140 million assets, into Ogden, Utah-based Goldenwest FCU, with $850 million assets. When the merger is finalized Oct. 1, the combined entity, operating as Goldenwest FCU, will have 26 branches and nearly $1 billion in assets (Standard-Examiner Aug. 24).
Indiana Members CU, with $1.3 billion in assets, and Warren MSD FCU, with $17 million in assets, both based in Indianapolis, completed a merger Aug. 1. Indiana Members CU is the surviving entity and now has 25 branches throughout Central Indiana (SNL Bank and Thrift Daily Aug. 16).
$1.89 billion asset Chartway FCU in Virginia Beach, Va., will consolidate two of its divisional credit unions--Utah Central CU, Salt Lake City, and HeritageWest FCU, Tooele, Utah, effective Oct. 1. They will operate under the HeritageWest name (SNL Bank and Thrift Daily Aug. 15).
avage Arms CU, Westfield, Mass., with $1.2 million in assets, was granted permission to merge into Pioneer FCU, Springfield, Mass., with $44.8 million in assets, last month by the Massachusetts Office of Consumer Affairs and Business Regulation.