February Brings 11 New Credit Union Mergers
Eleven credit union mergers were announced or completed in February with the largest consolidation coming from California, where the $335 million Visterra Credit Union in Moreno Valley will merge into the $757 million Altura Credit Union in Riverside, Calif.
When finalized in July, the merger will result in the 38th billion dollar cooperative in the Golden State.
“Following the major challenges experienced during the Great Recession, some of which still linger, Visterra's board began exploring opportunities and ideas that would ensure Visterra's long-term survival in a changed marketplace,” Barbara Purvis, Visterra’s board chair, wrote in a letter to members. “A merger with Altura quickly emerged as the best option for maintaining and improving our range of products and the level of member service that you expect and deserve.”
Robert Cameron, Visterra’s president/CEO, will retire, and Mark Hawkins, Altura’s president/CEO, will assume the reins of the combined cooperatives that will serve more than 116,000 members.
Seven of the credit unions that already consolidated or will be merged out of existence had less than $50 million in assets.
The second largest merger was in Michigan, where members of the $208 million Tri-Point Community Credit Union in Grand Blanc voted to approve merging with the $1.6 billion Genisys Credit Union in Auburn Hills, the credit unions jointly announced on Feb. 3.
The merger is expected to become official on April 1, according to a prepared statement.
Also in Michigan, the $92 million Good Shepherd Credit Union in Lincoln Park announced Feb. 25 that it plans to merge into the $850 million Credit Union ONE in Ferndale.
If approved by members of Good Shepherd CU this month, the consolidation is expected to be completed by June 30.
The $191 million Educational Credit Union in Topeka, Kan. intends to merge with the $261 million Quest Credit Union, also based in Topeka, which is the third largest consolidation announced in February.
But both credit unions said in a prepared statement that the merger won’t be completed until April 2016. The combined cooperative is expected to announce a new name later.
On Feb. 12, the $18 million Sperry Marine Federal Credit Union in Charlottesville, Va., announced it plans to merge with the $2.6 billion Virginia Credit Union in Richmond.
If approved by regulators and Sperry Marine FCU members, the consolidation is expected to close on May 31.
The $13.6 million Educational Employees Credit Union in Janesville, Wis., said it expects to merge with the $2 billion Summit Credit Union in Madison, Wis.
The consolidation is set to close during the summer.
Also in the Badger State, the $3.3 million LaCrosse Area Postal Credit Union in LaCrosse said it will merge the $274 million Co-op Credit Union in Black River Falls.
The consolidation is expected to become effective March 31, according to a prepared statement.
On Feb. 1, the $7.7 million California Center Credit Union in Ontario completed its merger with the $927 million Credit Union of Southern California in Anaheim.
On Feb. 2, members of the $681,000 Pine to Prairie Federal Credit Union in Twin Valley, Minn., approved to merge with the $259 million Mid-Minnesota Federal Credit Union in Baxter.
Members of the $29 million Chino Federal Credit Union in Silver City, N.M. voted to approve its consolidation on Feb. 12 with the $427 million First Financial Credit Union in Albuquerque. The merger is scheduled to close on April 1, a prepared statement said.
On Feb. 28, the $5.7 million Morrison Community Federal Credit Union in Morrison, Ill., finalized its merger with the $105 million 1st Gateway Credit Union in Camanche, Iowa.