SAN DIMAS, Calif. — The list of "real" reasons why Wings Financial Federal Credit Union went after Continental Federal Credit Union did not include having members' best interests in mind.
That was part of the message Continental FCU President/CEO Tom Glatt shared yesterday with attendees at the CFO Forum, hosted by WesCorp and the California Credit Union League's CFO Network. Wings Financial has said all along that the merger would have brought more products and services and lower rates to Continental's members. Glatt said the $1.6 billion CU aggressively pursued Continental because of its "obscene amount of net worth" at 17%, the possibility of a coast-to-coast branch network, and its trade, industry and profession charter, which opened up membership to everyone in the aviation industry. Wings Financial also has a TIP charter.
"This was all about growth potential. [Wings Financial] hit a wall on growth," Glatt said. "You can't tell me greed was not behind this."
Glatt said he is "not a victim" and he understands what Wings Financial did, but had a hard time grasping how they pursued Continental. In the end, Wings Financial made several "gross miscalculations" including underestimating Continental's board and staff, and how the industry would react, Glatt pointed out.
"Is it over? I don't think so," said Glatt on whether "hostile takeover" attempts will continue. As protection, he urged CUs to be "totally focused" on member relations and SEG and community relations, review bylaws on member voting procedures, have strong capital and management retention plans as well as formal media training.
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.