Three small credit unions in California, Idaho and Illinois haverecently merged with larger counterparts.

In California, the $19 million AM FCU has agreed to merge withthe $366 million SkyOne FCU in Hawthorne, according to a SkyOne FCUstatement.

AMFCU, which served 4,679 members, was chartered in 1936 byArden Dairy employees.

Like many small credit unions, AMFCU has been strugglingfinancially over the last few years with declining loan, fee andinvestment income.

The credit union has posted a total net income loss of $2.4million from 2008 to 2012, according to NCUA financial performancereports. The cooperative did post a net income gain of $99,210 inthe first half of this year, NCUA financial reports show.

The merger has been approved by members and the NCUA. All ofAMFCU's employees continue to work at SkyOne FCU.

“We are honored and excited to be able to serve the members ofAM Federal Credit Union,” said Eileen Rivera, president/CEO ofSkyOne FCU. “We look forward to providing these members withgreater value and still continue to bring them local, personalizedservice.”

The $17 million A + Credit Union of Idaho, however, is afinancially sound cooperative that decided to merge with the $3.5billion Mountain America Federal Credit Union in West Jordan, Utah.

“A+ Credit Union of Idaho has a proud tradition of service,”said Phillip Sorensen, president/CEO of A+ Credit Union based inIdaho Falls. “We have been serving educators in BonnevilleCounty, Idaho for 68 years. We are pleased with our plan to mergewith Mountain America Credit Union. I have worked in the creditunion industry for 26 years and belonged to several credit unions;Mountain America is one of them. I know their service reputationand suggested our board approach them about a merger.”

Sorensen said increasing competitive pressures, low loan yieldsand the increasing costs and burdens of regulations led the creditunion's board to make the merger decision.

Though the cooperative has seen some declines in loan incomeover the last couple of years, it has shown net income gains of$24,887 in 2012, $61,047 in 2011 and $32,945 in 2010, according toCallahan & Associates. Although the cooperative had a netincome loss of $49,622 in 2009 it recorded a net income gain of$86,326 in 2008.

The merger has been approved by the membership and NCUA.

A+ Credit Union's office will remain open and its employees willcontinue to work for Mountain America.

In Illinois, the $5.7 million Danville Consolidated CU inDanville has merged with the $65 million Landmark CU, also inDanville, effective Sept. 3.

Danville Consolidated was chartered in 1950 by the employees ofESCO Corp, a manufacturer and distributor. The cooperative receivedits community charter in 2002 and merged with the former EastgateCredit Union to expand its field of membership. The credit unionserved 1,379 members.

Danville Consolidated CU's four employees continue to work underthe Landmark CU banner and Danville Consolidated's sole branchremains open, said Jeri Hanson, the former president/CEO ofDanville Consolidated CU.

Like many very small credit unions, Danville Consolidated CU hadbeen struggling financially. Since 2010, the cooperative's loan,fee and investment revenues have been declining, according to NCUAfinancial performance reports.

In addition to its net income falling 2010 and 2011, DanvilleConsolidated posted a net income loss of $97,838 at the end of2012, as well as a net income loss of $22,182 in the first half ofthis year, according to NCUA financial performance reports.

Danville Consolidated CU decided to merge because of competitivepressures and rising costs of meeting regulations, said Hanson.