As Lake Trust Credit Union, we’ll be better able to meet the ever-changing needs of our members in the marketplace of today and tomorrow. This is a unique time in our economy’s history and an ideal time to create a credit union that will offer a combined NuUnion and DECU membership greater benefits.
Lansing, MI (Vocus) February 19, 2010
NuUnion Credit Union, headquartered in Lansing, received approval from its members last night when the majority voted in favor of a merger with Detroit Edison Credit Union (DECU), headquartered in Plymouth. The merger will create the fourth largest credit union in the state and strongly positions the organizations to better serve both memberships through increased access to branches and ATMs, stronger capital position, and enhanced best-in-class products and services.
“We’re appreciative our members were so engaged in the process. We heard their feedback and plan to provide more information. We’re glad that they too see the value of combining our two financially strong and stable credit unions,” said Steve Winninger, President/CEO at NuUnion. “We’re well on our way to creating an even stronger organization, and we’re committed to bringing the benefits of our combined organization to our memberships.”
Pending approval from state and national regulators, Office of Finance and Insurance Regulation, National Credit Union Administration, Federal Trade Commission, and Department of Justice, the merger is expected to be final in early April.
“Last night’s meeting was a clear expression of member loyalty and commitment to their credit union. Our merger is not a done deal until the regulators have approved it. We strongly believe in the opportunities that will be provided through improved access, enhanced products, and cost efficiencies, and NuUnion members agree,” said Winninger.
Credit unions are owned by their members, unlike banks who are stockholder supported. Like other mergers, when two credit unions come together they do so after recognizing the benefits that can be realized as a result of joining forces. However, unlike typical bank mergers, no money is exchanged and, in this case, the two credit unions will partner to form a new organization that best serves both sets of members. The new organization will become Lake Trust Credit Union.
“The Lake Trust name is representative of the new organization which will stretch from Lake Michigan to Lake Huron and Lake Erie, based on the combined fields of memberships of both organizations, and the continued priority of building strong trust-based relationships with members,” Winninger said.
He continued, “As Lake Trust Credit Union, we’ll be better able to meet the ever-changing needs of our members in the marketplace of today and tomorrow. This is a unique time in our economy’s history and an ideal time to create a credit union that will offer a combined NuUnion and DECU membership greater benefits."
Long-term confidence in the strength of their credit union with greater capital and resources.
Increased operating efficiencies through combined systems and support networks.
Increased convenience through expanded branch and ATM locations in more communities where members live and work.
Enhanced best-in-class deposit and loan products and services.
According to William J. Thiess, Detroit Edison Credit Union’s CEO, “We both have decades of rich history to build on. We saw a great opportunity to step ahead for members of both credit unions. The values of our two organizations are aligned and our members-first philosophy was the basis of this potential partnership – more for the member.”
Lake Trust Credit Union, with assets of $1.5 billion – ranking it in the top 1% of credit unions nationwide and the fourth largest credit union in Michigan in terms of asset size, gains the opportunity to obtain substantial savings through economies of scale. NuUnion’s CEO Stephan L. Winninger will be the CEO of the new organization and DECU’s CEO, William J. Thiess, will be the President.
NuUnion was established in 1952 by State of Michigan employees and today is more than 91,000 members strong. With over $850 million in assets and 14 branches, including eight locations in Lansing, two in Mt. Pleasant, and four in west Michigan, NuUnion believes in providing total financial solutions to its members through a unique service experience. Membership is open to anyone in its 29-county service area.
Established in 1944, Detroit Edison Credit Union is a $681 million state-chartered credit union headquartered in Plymouth, Michigan originally serving the employees, retirees, and contractors of DTE Energy and family members. In November of 2007, Detroit Edison Credit Union completed a purchase and assumption of Huron River Area Credit Union, which is now operating as Huron River Financial, a division of Detroit Edison Credit Union. Also at that time, the charter of Detroit Edison Credit Union was expanded to serve anyone living, working or worshipping in the counties of Lenawee, Livingston, Macomb, Monroe, Oakland, St. Clair, Washtenaw and Wayne. Detroit Edison Credit Union serves more than 66,000 members at eight branches in Ann Arbor, Auburn Hills, Brighton, Center Line, Chelsea, Detroit, and Howell. More information can be found at detedcu.org.