The $349 million CBC Federal Credit Union of Oxnard, Calif. cleared major hurdles last week to merge the struggling $11 million Civic Arts Plaza CU of nearby Thousand Oaks by Dec. 1.
"In a time of increased consolidations and acquisitions, we are pleased to find a local partner to help expand our reach in Ventura County," commented Ray Ewin, president/CEO of CBC.
Kelly Baker, vice president of business development, called the merger "a natural fit," since both CUs already use the Symitar operating system.
Like a number of southern California CUs, Baker explained, Civic Arts had experienced the high cost of the assessments, mounting delinquencies and compliance concerns.
Civic Arts, founded in 1953 and serving SEGs with one office, had a $300,000 loss last year with 5.46% net worth in July.
The merger has now received approval of NCUA and Civic Arts members. The consolidated CU will be serving 21,000 members. CBC, formed in 1952 for the Naval Construction Battalion Center and the Navy Seabees facility in Port Hueneme, expanded its membership eligibility in 1999 to include all of Ventura County. It is the credit union's first merger in more than a decade.