Credit Unions: The Godfather Mergers - Part X

  

       "It's time to go to the mattresses." - M. Grant (?)

✅ The CEO of SAFE on the proposed merger with BECU [link]... interestingly in front of a vacant board table.

BNC Mag: "Asked if the merger will provide a specific financial benefit to SAFE members, spokesman Micah Grant said via e-mail, “We fully expect SAFE members to benefit with lower fees and loan rates, higher dividends on savings, and enhanced products and services.” [link]

Mergers of financial institutions often involve bonuses and extended employment contracts for executives of the selling concerns. Asked if the SAFE merger included such provisions, Grant said, “Our standard policy is not to discuss confidential personnel information.” 

✅ SAFE Board members are not compensated, BECU Board members are compensated [link]. Apparently, at least two SAFE board members have agreed to join the BECU board. 

✅ According to the SAFE CEO:  "I will continue to lead our region as the Market President for the Greater Sacramento region reporting to Beverly Anderson, BECU's President and CEO." [see link above].  

The non-profit monitor, Candid (formerly "Guidestar"), provides full, state-chartered credit union financial disclosures. Here's the SAFE "IRS Form 990" [link]. Will the SAFE CEO retain the $1.2+ million compensation package and for what guaranteed period, in the new, lesser role? The BECU "IRS Form 990" can be found here [link].

✅  Clearly there is a lot of money up for grabs in this merger proposal... particularly the $400+ million in cash owned by the 244,000 member shareholders of SAFE.

 😎 Maybe a couple of members should ask Micah Grant [From SAFE website:"please email mediainquiry@safecu.org or call VP Communications and Public Relations Micah Grant at 323-868-9067"] : "Who is looking after those members' best interests?"

  Credit Union mergers: "This is not your father's Oldsmobile", is it!

** For the entire Godfather series click the "Godfather" button at top.