The member of Safeway Los Angeles Federal Credit Union have voted to approve a merger with Xceed Financial Credit Union. Supported by both credit unions’ boards of directors and management, and recently approved by the, the merger will take effect on Dec. 31.
The combined credit union will operate as Xceed Financial Credit Union. Both credit unions are chartered as workplace credit unions, with membership open to employees of their SEG partners.
Teresa Y. Freeborn, Xceed Financial’s president\CEO, noted that the current Safeway LAFCU branch in Norwalk will become an Xceed Financial Center and will continue to serve members at that location following the merger.
“This merger is a perfect fit because both credit unions share a focus on serving select employer groups and a passion for being true partners with our members,” said Freeborn. “It’s also ideal since it will increase Xceed Financial’s membership by almost 20% and offer outstanding opportunities for us to grow.”
While Safeway LAFCU is financially sound, its board of directors said they had been searching for some time for a strategic partner, since greatly expanded regulatory requirements and technological changes have made the long term viability of the credit union increasingly difficult.
“By combining forces, we will gain efficiencies that better position us to serve all of our members and meet the needs of employer groups,” said Safeway LAFCU’s current President\CEO David Holmes, who will join Xceed Financial’s management team following the merger.
Xceed Financial Credit Union, based in El Segundo, Calif., has 59,000 members and $752 million in assets before the merger. Safeway LAFCU operates one branch and serves 9,000 members and has assets of $50 million.