Oregon CUs to Merge
The $34 million, 3,262- member Greater Oregon Federal Credit Union in Burns, Ore., will merge with the $1 billion, 89,677-member SELCO Community Credit Union in Eugene, Ore., by July 1, the credit unions said.
This is SELCO’s second merger in the past 18 months. In April 2012, SELCO merged with the $40 million Forest Park FCU in Portland.
“The GOFCU Board of Directors had a lot of confidence in SELCO’s history of professional merger experience,” said Ann Lessar, GOFCU’s board chair. “We appreciated SELCO’s sensitivity to the member impact, cultural and technical aspects of credit union mergers.”
Like many small credit unions, Greater Oregon FCU has been struggling financially. With declining loan, fee and investment income, the credit union has posted a total net loss of $2.4 million since 2009, according to NCUA financial performance reports.
Greater Oregon Federal Credit Union received its charter in 1940 as Hines Employees FCU. In 1982, the charter was changed and so was the name to Harney County FCU. In February 2005, the credit union received a charter expansion from NCUA to serve five additional counties and changed its name again to the Greater Oregon FCU to better reflect the geographical area served.
Greater Oregon FCU’s three branches will become part of 15-branch SELCO Community CU, Oregon’s largest state-chartered credit union.
The merger’s operational integration is scheduled to be completed by the first quarter of 2014, the credit unions said.