Credit Unions in Five States Announce Mergers
Credit unions in California, Washington, Michigan, Illinois and Iowa have announced mergers this month and most of them are expected to be completed later this year.
Pending approvals by state and federal regulators, the board of directors for the $129 million, 11,164-member South Western Federal Credit Union in La Habra, Calif., agreed to merge with the $742 million, 59,369-member Credit Union of Southern California in Brea, Calif.
If the merger also receives approval from SWFCU members, the combined cooperatives will have more than $871 million in assets, serve about 70,000 members in Los Angeles and Orange counties as well as parts of San Bernardino County, and operate 13 branches with a workforce of more than 200 employees.
Laura Poore, SWFCU’s president/CEO, will be retained in an advisory capacity, according to a May 7 CU of SoCal prepared statement announcing the proposed merger. All branches will remain open and SWFCU employees will be offered positions with CU of SoCal.
During a May 20 meeting, members of the $4.9 million Darigold Federal Credit Union of Shoreline, Wash., approved to merge with the $1 billion, 99,050-member Sound Credit Union of Tacoma, according to a joint statement. Darigold FCU has 1,132 members. The merger will be effective on Nov. 1.
The combined credit union will hold more than $1.1 billion in assets, serve approximately 100,000 members and operate 21 branches located throughout Pierce, Thurston, and King counties.
The $96.5 million, 8,501-member BestSource Credit Union in Waterford, Mich., will merge with the $192 million, 21,260-member Oakland County Credit Union also of Waterford on Sept. 1, according to a May 22 prepared statement released by Oakland County CU.
BestSource CU has two branches, one in Waterford and another in West Bloomfield. Oakland County CU operates four branches, two in Waterford, one in Clarkston and another in Oxford.
Post merger, the combined credit union will manage more than $288 million in assets, serve nearly 40,000 members and operate six branches serving four communities in Oakland County as well as thousands of members across the country
The $15.5 million, 1,366-member School District 40 Employees Credit Union of Moline, Ill., agreed to merge with the $593 million, 41,368-member Du Trac Community Credit Union in Dubuque, Iowa, according to a May 2 joint statement.
The boards of directors have signed a letter of intent to merge. The consolidation has received preliminary approvals from both state and federal regulators.
The combined credit union will hold more than $600 million in assets, serve about 42,000 members and operate 11 branches throughout a 21-county region in Iowa, Illinois and Wisconsin.
The merger is pending completion of the credit unions’ due diligence process and a vote by SD40ECU members.
On July 1, the $58 million, 8,739-member Community Driven Credit Union in Ypsilanti, Mich., will merge with the $183 million, 22,632-member Peoples Trust Credit Union in Southfield, Mich.
The combined credit union also will operate under a new name, People Driven Credit Union, with more than $241 million is assets and 31,371 members.
Bob Podzikowski, president/CEO of Peoples Trust CU, will retire, according to a Community Driven CU prepared statement. Renee DeMarco, president/CEO of Community Driven CU, will become the president/CEO of People Driven CU.