Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

CU System
Mid-Atlantic Corporate reaches 115M in capital conversions
MIDDLETOWN, Pa. (7/7/10)--Mid-Atlantic Corporate FCU announced that as of June 30, it had received capital conversion agreements from 626 credit unions, totaling about $115.5 million in capital. Of that amount, about $107.7 million is in Perpetual Contributed Capital (PCC) and another $7.8 million is in Nonperpetual Capital Accounts (NCA), the corporate said in an update on its website. Of the agreements, 583 are platinum level memberships. The conversions are part of the corporate's plan to create a new membership structure that would convert its existing membership capital into Tier-1 capital. The PCC will be considered Tier-1 capital under the National Credit Union Administration's (NCUA) proposed Regulation Part 704, according to Pennsylvania Credit Union Association's Life is a Highway and New Jersey Credit Union League's The Daily Exchange (July 6). The return of the agreements means Mid-Atlantic Corporate will have more capital holding members than under its previous membership structure, they said. "Mid-Atlantic has been a very conservative, well-run corporate, which provides critical financial services to smaller credit unions," said Bob Marquette, president/CEO of Members 1st FCU, a $1.7 billion asset credit union based in Mechanicsburg, Pa. "We also obtain some financial services from Mid-Atlantic--some of which are difficult to obtain elsewhere. "The losses we experienced at Mid-Atlantic were the result of the structure of the corporate system and the fact that all of the corporates were encouraged to use the expertise and services of U.S. Central FCU to achieve economies of scale. We believe Mid-Atlantic has been a good, solid, dependable business partner and deserves our support," Marquette added. The new membership levels and capital plans will take effect after the publication of NCUA's revised Regulation Part 704, according to Life is a Highway.
Other Resources

RSS





print
News Now LiveWire
.@CUNA says new House bill is "further evidence" of lawmakers' interest in how @TheNCUA uses its funds from CUs. See News Now Monday.
18 hours ago
.@MECreditUnions announces winner of @YoungFreeME #SoundOff contest. @Sassquatch_Band will play Old Port Festival in June @PDD_Downtown
1 day ago
House Financial Services Com. to hold March 3 hearing to receive the semi-annual report of @CFPB Director Richard Cordray.
1 day ago
Rep. Jeff Miller (R-Fla.) re-introduced bill to ease veterans' access to loans for #smallbusiness purposes from a #creditunion (HR 1133)
1 day ago
You can get your subscription to @cuna 's free, daily, online #creditunion #news service News Now here: http://t.co/YtUejEmAYP
1 day ago