DFCU Financial (MW) and CapCom CU (LA) have filed an application with OFIR and the NCUA to merge the two credit unions. After the merger, the new organization will assume the DFCU Financial name and will be state chartered under OFIR. It will serve more than 200,000 members with 21 full-service branches and approximately 500 employees. DFCU Financial, already the largest credit union in Michigan and one of the largest in the U.S., will now have $2.2 billion in assets.
"This is another example of two progressive credit unions combining forces to serve their members and communities more effectively,” said MCUL President/CEO David Adams. “It is also a great example of continued migration to the state charter as credit unions look to take advantage of the Michigan Credit Union Act that was upgraded by the legislature in 2003 to allow credit unions greater flexibility in expanding their charters, investing in collaborative ventures with other credit unions and expanding their powers – all to better serve Michigan."
A board of directors consisting of DFCU Financial and CapCom CU directors will oversee the organization. The management team will be led by current DFCU Financial President/CEO Mark Shobe and current CapCom CU President/CEO Renee DeMarco. DeMarco will assume responsibility for DFCU Financial’s western Michigan presence as Regional President.
“Both credit unions have been seeking alternatives to diversify their geographic coverage to enhance the prospect for long-term success in the challenging Michigan economic marketplace,” said Dr. Robert Chapman, Chairman of the DFCU Financial Board of Directors. “The merger will allow DFCU Financial and CapCom to achieve this diversity.”
Mike Wallace, Chairman of the CapCom Board of Directors, added that credit union members across the state will benefit from the merger through a variety of factors.
“The credit union philosophy is centered on ensuring financial security for our members,” Wallace said. “Due to the new organization’s capital position, efficiency gains, diversification and growth, DFCU Financial will be able to extend its strong financial position and special dividend to a wider population of members in Michigan at a time when it is most needed.”
Through the combination of the two memberships, DFCU Financial will now serve Michigan residents from the Detroit area, through Lansing and into the west side of the state around Grand Rapids.
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