ROANOKE, Va.–After a seven-week voting process, members of Member One FCU have voted in favor of merging into Virginia Credit Union.
The 154,000-member credit union said 3,479 members voted in favor, while 1,404 opposed the combination. As CUToday.info reported here, the merger was one of the few in credit unions in which opponents publicly opposed the deal, including creating a website.
The $1.658-billion Member One and the $5.29-billion Virginia CU, based in North Chesterfield, will have approximately a half-million members, 37 branches and approximately 1,100 employees when the merger is completed. The CUs said no jobs will be cut nor will any branches be closed as a result of the merger.
‘Better Together’
“Both organizations believe ‘Better Together’ is a great way to describe the partnership, because this merger is between two financially healthy, future focused credit unions committed to providing unparalleled branch and digital access, along with amazing service for the members and the communities they serve,” the credit unions said in a statement. “In a highly competitive financial services industry where consumers want things easier and more seamless than ever, this merger positions VACU and Member One to be a leading credit union doing just that.”
The merger plan calls for Member One to retain its name and operate as a division of Virginia CU. VACU CEO Chris Shockley is to lead the combined organization.
Payout for Senior Execs
According to the disclosure forms filed with NCUA by Member One, the five highest-paid executives at the credit union are to receive $570,000 in bonuses as a result of the merger, with CEO Frank Carter receiving $250,000.
There is no planned distribution to members, according to the disclosure forms.
‘Grateful for Support’
“We’re grateful for the tremendous support this merger garnered from members and staff,” Carter said in a statement. “By joining together two thriving, financially healthy organizations and combining our resources, we’re ensuring we can step confidently into the future and that we’re best positioned to serve our members and help them achieve financial success.”
Updates Available
The credit unions said information regarding member services and the merger integration process, will continue to be posted to thememberonefcu.com and vacu.org websites