America First Merges Ailing Moapa Valley in Nevada
Utah’s $5.4 billion America First Federal Credit Union is merging another ailing Nevada credit union, the $62 million Moapa Valley CU of Overton.
John Lund, executive vice president of the Riverdale, Utah, credit union, stressed the economic difficulties still impacting the Nevada economy, citing Moapa Valley’s situation as one with insufficient capital and continued losses.
The four branches of Moapa Valley will “complement our growth plan and service areas and we thank NCUA for recognizing this,” Lund said in a statement.
He declined to elaborate on NCUA’s role in the merger talks. The merger becomes effective July 1.
Three years ago, the Utah credit union expanded on its Nevada footprint via the failed Community FCU of Las Vegas.
Ten years earlier America First merged Virgin Valley CU in Mesquite.
Moapa Valley has 6,744 members with a branch in Caliente in Lincoln County and three serving Moapa, Logandale and Overton.
The Overton credit union has a net worth of 2.5% net worth and lost $3.2 million in 2011 and $1.58 million in the first quarter.
“We have many America First members in the Moapa area as well as in the greater Clark County area. It is no secret that the Nevada economy and real estate was hit especially hard during the recession,” he said. “We are hopeful that the worst is behind us and anticipate a bright future.”