EL SEGUNDO, Calif. — Setting its sights on becoming a major player in "workplace" or SEG-based business in priority markets next year, the $750 million Xerox Federal Credit Union said Wednesday it is on the lookout for more CU partners in California or on the East Coast even as it absorbs a $2 million loss for 2007.
"We're well capitalized at 12% and our board has known from the start that our makeover, branch expansion and shift in strategy away from community and toward SEGs would be an investment," declared Teresa Freeborn, the president/CEO.
Only two months ago Xerox completed a merger of the $65 million Tiger CU, also of El Segundo and which Freeborn describes as a "like-minded credit union" on par with Xerox FCU. Now her CU which serves employees of the office products firm is looking to join up with "other like minded credit unions that see their future in workplace growth."
Under current planning, Xerox FCU plans to change its name by next February and has hired a St. Louis firm, Newground, to research new branding. At the same time, Xerox FCU expects to open a $20 million headquarters complex in El Segundo by April and add 10 branches in its three major markets here, San Jose and Rochester, N.Y.
"We're convinced that the way to grow is through SEGs and based on what I've learned that as community charter, you simply can't compete with the big boys like BofA or Wells Fargo," said Freeborn.