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CU System Archive

CU System

Man arrested in slaying at CUs ATM

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NEWPORT NEWS, Va. (12/14/07)--A man has been arrested in connection with the shooting death of a sailor found in the parking lot of Langley FCU in Newport News seven months ago. Police arrested David A. Runyon, 36, Tuesday in Morgantown, W.Va., on charges of carjacking, attempted robbery, abduction, murder, and using a firearm during a felony in the shooting of 30-year-old sailor Cory Voss (McClatchy-Tribune Regional News Dec. 13). Voss left his home and drove to the Langley FCU ATM late at night on April 29, police said. After his wife report him missing the next morning, police found Voss in the driver’s seat of his pickup in the parking lot behind the credit union. He had died from a gunshot wound. ATM surveillance footage shows that a man wielding a handgun got into the passenger side of Voss’ truck when Voss pulled up to the ATM, police said. After unsuccessfully trying to withdraw cash from the ATM several times, Voss drove away with the gunman still in his truck. Police said they don’t know if Voss did not have any funds available to withdraw, or if he purposely entered the wrong information at the ATM to protect his funds at the credit union. They said Voss was shot because he didn’t deliver money to the killer.

Near collapse of CU prompts reform in New Brunswick

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FREDERICTON, N.B. (12/14/07)--The New Brunswick legislature is calling for recommendations on strengthening the province's Credit Union Act to avoid a repeat of the near-collapse of a credit union. In March, the province's government approved $60 million to bail out the Caisse Populaire de Shippagan after it accumulated a $33.7 million deficit through improper accounting and loans (The Canadian Press Dec. 12). The bailout included a $31.5 million grant, a $10 million loan through stabilization shares of the credit union, and another $18.5 million earmarked as provisional funds for the New Brunswick Credit Union Deposit Insurance Corp. The legislature was scheduled to release a discussion paper Thursday--the first step in drawing up amendments to the act, said the New Brunswick Justice Department. The paper asks for recommendations on how to ensure the credit union system is adequately capitalized, how to strengthen regulators, how to improve governance structures, and how to avoid future conflicts of interest. The Justice Department said it wants to move to a system where credit unions and caisse populaires placed under government supervision must comply first to regulations before appealing.

National brand potential addressed in white paper

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MADISON, Wis. (12/14/07)--Should there be a national credit union brand? The background and issues behind this question are discussed in a new white paper from the Credit Union National Association (CUNA) Councils. “A National Brand for Credit Unions: A compendium of opinions about a national brand for the credit union industry,” from the CUNA Marketing and Business Development Council (CMBDC), offers historical perspective, expert opinion, and differing views on the issue. The three-section white paper explores:
* The big picture on branding. Branding consultants Paul and Mary Lucas explain the components and the meaning of a national brand campaign. They also offer examples of campaign successes and failures from other industries. * National branding and the credit union perspective. Credit union marketing consultants Dick Radtke and Lucy Harr detail the history of CUNA’s marketing and advertising campaigns, and the branding and fundraising efforts of several leagues and foreign countries. Comments are included from a spectrum of industry leaders about the possibilities of a national credit union brand. * Will it work? Credit union consultant Randy Harrington tells why he thinks a strong national brand is desirable but almost impossible to achieve.
During the 2008 CMBDC conference, March 16-19 in Nashville, Tenn., Harrington and Lucas will be point/counterpoint panelists for a session on implementing a national brand campaign. The council commissioned the white paper to help credit union professionals understand the important and complex concept of branding, and facilitate an informed and productive discussion, said CMBDC Chair and Vice President Mike Weber, marketing and public relations for Dupaco Community CU, Dubuque, Iowa. A new Cooperative Branding Showcase, available exclusively to all CUNA Council members, provides a snapshot of the state and national marketing and advertising programs in the credit union movement. CUNA Council members are entitled to a complimentary copy of the white paper; non-members may purchase the white paper for $50 per copy. For more information or to download the white paper, use the resource links.

CUs digging out in wake of storms

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MADISON, Wis. (12/14/07)--As credit unions in the Northeast braced for a major winter storm Thursday, credit unions in the Midwest were digging out from Tuesday's ice and snow storms. Oklahoma, Kansas and Missouri were hit hardest by ice storms Tuesday. The Oklahoma Credit Union League had just received its power and e-mail back Thursday, D.J. Morrow Ingram, league interim CEO, told News Now. The league is aware of three credit unions without power and about 25 that were affected by the ice storm. Two of six league stand-alone service centers were down during the storm, but are “up and running now,” Ingram said. Of the 15 league employees, only two had homes with power until late Wednesday. No damage has been reported to the league yet, but it is still monitoring the situation, she said. Four of Oklahoma Central CU’s nine branches were without power Monday, Rick Loyd, executive vice president of business development, told the Tulsa World (Dec. 11). About 80% of the credit union’s staff is without power, he noted. As of Thursday afternoon, two of the credit union’s branches were still closed, according to a recorded message on the credit union’s main phone line. In Missouri, nearly 160,000 homes and businesses were without power from downed power lines due to the ice storm, said the Missouri Credit Union Association (CourierNet Dec. 12). The central and southern sections of Missouri had been hit by a Dec. 9 storm, while the Dec. 11 storm targeted northern parts of the state. Northwest Missouri Regional CU in Maryville told MCUA it lost power to its main location and branch Tuesday. District One Highway CU, St. Joseph, was without power through Wednesday. A snowstorm in southern Wisconsin with icy road conditions closed the Credit Union National Association's Madison campus at 3 p.m. Tuesday. However, some staff stayed later or worked remotely from home. The area had accumulated 21 inches of snow since Dec. 2 (Wisconsin State Journal Dec. 12). The southern Milwaukee area was hard-hit with the snowstorm, Wisconsin Credit Union League director of communications Chris Olson reported to News Now. Among the credit unions closed early due to icy road conditions were Guardian CU, West Allis, which closed at 1:30; Enterprise CU, Elm Grove; and Wauwatosa CU, Menomonee Falls. Avestar CU, Waterloo, sent staff home early but kept a minimum number of staff to "hold down the fort." In Illinois, Will Willie, public relations specialist for the Illinois Credit Union System, told News Now that "in general, we fared a lot better than those in Oklahoma and Kansas." The league itself, which is in the northern part of the state near Chicago, "was unaffected. It was rainy and messy, but we stayed all day just above freezing, so the weather was almost a non-issue." The league had no reports from field staff in areas affected by icy weather.

HSFPP students assisted by CUs top half million

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MADISON, Wis. (12/14/07)--More than half a million students have participated in credit union-assisted High School Financial Planning Programs (HSFPP), as of Sept. 30, reports the Credit Union National Association (CUNA). Roughly 29,668 students received workbooks for financial education in 231 schools working with credit unions during the first half of the current school year, said Phil Heckman, CUNA's director of youth programs. That brings the total number of students benefiting from credit unions' financial education efforts in the HSFPP to 517,830 since the 2000-2001 academic year--the first year CUNA began tracking credit unions' participation. Overall, the HSFPP has educated more than four million students since 2000-2001. Currently it is educating 387,969 students in 6,305 schools. HSFPP is offered through the National Endowment for Financial Education. Credit unions work with Cooperative Extension in about 10% of the credit union-assisted programs.

Latino CU wins 5.5 million national award

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MIAMI (12/14/07)--Latino Community CU (LCCU) of Durham, N.C., has won a $5.5 million grant that will help support its expansion. LCCU plans to expand into three new markets with the help of the $5.5 million Wachovia NEXT Award for Opportunity Finance, announced Wednesday at the Opportunity Finance Network conference in Miami. The NEXT awards recognize community development financial institutions (CDFIs) with “exceptional track records.” “The Wachovia NEXT Awards for Opportunity Finance are designed to propel CDFIs such as LCCU to the next level of growth, success, and staying power with a major one-time infusion of capital,” said Mark Pinsky, president/CEO of Opportunity Finance Network. The Wachovia Foundation, the John D. and Catherine T. MacArthur Foundation and the Opportunity Finance Network created the awards. The Wachovia Foundation is a private foundation that provides grants to tax-exempt organizations in education and community development. The Opportunity Finance Network is a network of private financial intermediaries identifying and investing in opportunities to benefit low-income populations. The MacArthur Foundation has supported opportunity finance since the mid-1980s. LCCU was founded in 2002 to respond to violence against Latino residents in North Carolina. It is the first multicultural financial institution in North Carolina to provide all of its services in English and Spanish. LCCU also serves African and European populations. The credit union has $50 million in assets and 42,000 members. It has branches in Durham, Charlotte, Raleigh, Greensboro and Fayetteville.

Former CU terminates second-step conversion

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WAYCROSS, Ga. (12/14/07)--A second-step conversion and public offering for a former Georgia credit union has been terminated, the holding company for Atlantic Coast Bank announced Wednesday. “Market conditions for bank and thrift stocks, especially in the Florida market, have changed significantly since we began the stock offering process seven months ago,” said Atlantic Coast Federal Corporation President/CEO Robert J. Larison Jr., referring to the mortgage crisis. In November, the community portion of its second-step offering had been extended to Dec. 28. However, because subscriptions from depositors received to date were not sufficient to reach the minimum of the offering range, the second-step conversion was terminated (Business Wire Dec. 12). The recently formed Maryland corporation is the proposed holding company for Atlantic Coast Bank and a successor company to Atlantic Coast Federal Corp. The bank was organized in 1939 as Atlantic Coast FCU to serve employees of the Atlantic Coast Line Railroad. In November 2000, the credit union converted to a federal mutual savings association charter. In January 2003, Atlantic Coast Federal Corp. was formed as the holding company. Atlantic Coast Federal Corp. completed its initial public stock offering in October 2004 (News NowOct. 19).