BOWLING GREEN, Ky. – Mergers have been announced in three more states.
In Kentucky, the $213-million Service One Credit Union announced plans to merge with the tiny $727,327 Security Plus FCU in Russellville, Ky., pending regulatory approval and member approval.
“The pending merger with Security Plus Federal Credit Union is an opportunity to further invest in our communities to make a positive impact on the lives of all those we serve,” said Service One CEO Rebecca S. Stone. “Our plan is to bring expanded products and business hours, as well as, increased accessibility through our branch network, mobile and online banking services and nationwide ATM network.”
If approved, plans call for the merger to be completed in mid-2022, with Security Plus’ single location to become a branch of Service One.
As of Sept. 30, Service One reported $514,111 in net income, with 9.9% capital. Security Plus reported a loss of $5,523, with capital of 42.5%. SPFCU has 182 members.
Service One/Security Plus have not yet filed disclosure documents with NCUA regarding any plans for distribution of capital or payouts to management.
Merger Proposal in Florida
In Tallahassee, Fla., the $58.2-million FLAG Credit Union is proposing to merge into the $117.4-million Bay Credit Union in Panama City, Fla.
In its disclosure documents filed with NCUA, FLAG CU said the merger will provide additional economies of scale and provide enhanced products and services to members, as well as ore branch locations.
Through Sept. 30, FLAG CU reported $994,510 in net income with capital of 9.80%. Although double the asset size of FLAG CU, Bay CU reported half the net income at $449,691, with capital of 9.73%.
FLAG CU said it does not plan to distribute any capital to members, citing costs to be incurred as a result of terminating contracts and related to the “transition” of its 6,272 members to Bay CU.
Merger in Maine
In Maine, South Portland-based Blue Cross and Blue Shield of Maine Employees FCU is proposing to merge into the $190.3-million TruChoice FCU, which is also based in South Portland.
A member meeting has been set for Jan. 13, 2022 for a member meeting and vote.
In its disclosure form filed with NCUA, the $8.3-million BCBSMEFCU said the reasons for the merger include the ability to offer its 687 members enhanced product and service options, including credit cards, mortgages, remote deposit capture, mobile banking and access to three branches and multiple ATMs in York and Cumberland counties.
Blue Cross and Blue Shield of Maine EFCU reported a loss of $57,855 through Sept. 30, according to its call report, with capital of 14.27%. TruChoice FCU reported net income of $1.864 million with capital of 10.18%.
BCBSMEFCU said it will distribute $60,000 of its capital to members as of Dec. 31 based on the percentage of total member dividends paid to each individual member in 2020.
The credit union also said it will pay Manager Susan Thurlow a separation package of $28,325.