The NCUA approved mergers in the third quarter totaled 53, slightly higher than the 46 consolidations in the second quarter but just one merger less than the first quarter of 2016 when 54 mergers were given the nod by the federal agency.
The total number of 153 approved mergers in the nine months of 2016 is down from the 178 consolidations approved at the end of three quarters last year and 192 approved mergers from January to September in 2014.
During the three quarters of this year, the mergers occurred in 27 states. Pennsylvania posted the most approved mergers at 11, followed by California and New York with four each. Ohio had three mergers while Connecticut, Indiana and Illinois each had two mergers.
The largest approved merger was the $187 million Chaco Credit Union in Hamilton, Ohio into the $624 million Telhio Credit Union in Columbus. The second largest approved consolidation was in California where the $142 million Fiscal Credit Union in Glendale merged into the $2.3 billion Unify Financial Credit Union in Torrance. The remaining 51 credit unions were all under $50 million in assets.
Five credit unions were given permission to merge by the NCUA because of poor financial condition. They were the $2.9 million Ducote Federal Credit Union in Jacksonville, Fla., into the $365 million JAX Federal Credit Union also in Jacksonville; the $107,370 Immanuel Baptist Church Federal Credit Union in New Haven, Conn. into the $55.8 million Healthcare Financial Federal Credit Union also in New Haven; the $528,009 Renaissance Community Development Credit Union in Somerset, N.J. into the $2.6 billion Affinity Credit Union in Basking Ridge, N.J.; the $35.8 million Florence Dupont Employees Federal Credit Union in Florence, S.C. into the $1.5 billion South Carolina Credit Union in North Charleston, and the $2.8 million McKenzie Valley Federal Credit Union in Springfield, Ore., into the $19.8 million Register Guard Employees Federal Credit Union also in Springfield.
Because of the loss or declining field of membership, three credit unions received NCUA approval to merge. They were the $4.3 million Our Lady of Victory Institutions Federal Credit Union in Lackawanna, N.Y. into the $32.9 million Erie Metro Federal Credit Union in Blasdell, N.Y.; the $4.5 million Champaign Municipal Employees Credit Union in Champaign, Ill., into the $779 million Credit Union 1 in Rantoul; and the $1.3 million Seaboard Gateway Credit Union in Evansville, Ind., into the $1.2 billion Evansville Teachers Federal Credit Union.
Given approval to consolidate by the NCUA because of lack of growth were the $2.9 million Central Credit Union in Columbus, Ohio, into the $238 million Pathways Financial Credit Union also in Columbus and the $3.9 million Printing Office Employees Credit Union in Covina, Calif., into the $109 million Pasadena Service Credit Union in Pasadena.
Because of the lack of sponsor support, the $10.8 million Polk County Schools Employees Credit Union in Urbandale, Iowa, was approved to merge with the $53.2 million Des Moines Police Officers Credit Union.
Two credit unions were given the green light by the NCUA to consolidate because they could not find a new CEO. They were the $4.7 million Pacoe Federal Credit Union in Johnstown, Pa. into the $41.6 million PRR South Fork Federal Credit Union in South Fork, Pa., and the $11.2 million MSA Employees Credit Union in Cranberry Township, Pa. into the $33.2 million Elliott Community Credit Union in Jeannette, Pa.
The majority of consolidations were approved by the NCUA for “expanded services.”
