Community First Credit Union (CFCU) and Your Neighbourhood Credit Union (YNCU) announced today the approval of their amalgamation by their memberships, following Special General Meetings held in Kitchener January 12, 2016 and Sault Ste. Marie January 25, 2016.
Two thirds of eligible votes were required to carry the special resolution. At YNCU, Investment Shareholders voted 96% in favour, while the general membership voted unanimously for the partnership. Last night at CFCU, the Investment Shareholders voted in favour of the proposal by a margin of 99% while the general membership also supported the amalgamation by a margin of 99%.
“I’m so pleased with the result,” said YNCU Chief Executive Officer Kerry Hadad. “The results tell us that the members of our credit unions are engaged and solidly in favour of this partnership; they recognize as well as we do the benefits of our two great organizations becoming one. The support we have received from staff on both sides is particularly heartening. They see the potential, and know we are building a better organization for our members and for the future.”
Community First Chief Executive Officer, Brent Lamming, echoed the sentiment. “This is an exciting move for our organization, employees and members. We took great care in selecting a partner, and believe wholeheartedly that Your Neighbourhood Credit Union supports and believes in the same things our members support and believe in. This move means our members have more options when it comes to their banking, with branches in both Northern and Southern Ontario. We eagerly look forward to the future of our organization.”
In the submission to the Financial Services Corporation of Ontario (FSCO), CFCU and YNCU put forth a business case that would allow Community First to retain its name and branding in the areas it currently serves. This model would be the first of its kind in Ontario. FSCO accepted the proposal and granted permission for the special request. The combined operation will be known as Your Neighbourhood Credit Union Limited; in Southern Ontario it will continue to operate as Your Neighbourhood Credit Union while in Northern Ontario, CFCU will be known as Community First, a division of Your Neighbourhood Credit Union. This model represents a true partnership between the two organizations.
Kerry Hadad will be President and CEO of the new organization, while Brent Lamming will be Senior Vice President of Strategy of YNCU and President of the Community First division. The new YNCU will maintain corporate offices in Kitchener and Sault Ste. Marie.
The combined organization will become the 6th largest credit union in Ontario, serving approximately 58,000 members through 21 branches and overseeing approximately $1.5 billion in assets. The closing date for the amalgamation is scheduled for April 1, 2016.
About Community First Credit Union
Community First Credit Union Limited is a full service credit union open to everyone living in the province of Ontario. Community First offers a full range of financial products and services for both personal and business banking. Located in Northeastern Ontario and operating for over 65 years, Community First has two branch locations in Sault Ste. Marie, and one in Timmins. Members/Owners have convenient access to over 2,400 surcharge-free ATMs across Canada through THE EXCHANGE® Network.