Members Vote to Merge With Larger Pennsylvania Neighbor
Wilmac Employees’ CU seeks a merger with Belco Community CU after its sponsor company is sold.
Members of a shrinking Southeast Pennsylvania credit union voted Wednesday in favor a merger with a larger neighbor.
Members of Wilmac Employees’ Credit Union in York, Pa., which had $3.4 million in assets and 468 members as of March 31, voted 106 to five for the merger with Belco Community Credit Union of Harrisburg, Pa. ($834.6 million in assets, 71,251 members).
The board of Wilmac Employees’ CU decided to pursue a merger after its sponsor, Wilmac Corp., was sold in late 2021. The company was founded in 1957 and operated four skilled nursing facilities for the elderly in southeast Pennsylvania. Its headquarters, also in York, is 25 miles south of Harrisburg.
The credit union, founded in 1976, has lost a quarter of its members in the last 12 months. The boards of both credit unions approved a deal in December. With Wednesday’s approval by members, the credit unions expect the merger to be completed in the first week of July.
Belco Community President/CEO Amey Sgrignoli said she welcomed the new members, many of whom are current or retired health care workers.
“We are looking forward to providing Wilmac CU members with the many added benefits the merger with Belco provides,” Sgrignoli said. “We have a long history of providing the best possible credit union experience to our members, and we are excited to offer the same great customer service to Wilmac CU members.”
Wilmac Employees’ CU earned $3,581 in the first quarter, or a 0.42% annualized return on average assets, down from 0.46% ROA in 2021’s first quarter. For the year 2021, it lost $8,429, or -0.24% ROA, down from ROA of 0.48% for 2020. Its net worth ratio was 19.05% on March 31, up from 17.19% a year earlier.
Belco Community earned $8.5 million last year, or 1.09% ROA, up 41 basis points from a year earlier. It earned $1.1 million in the first quarter, or 0.56% ROA, down from 0.82% in 2021’s first quarter. Belco Community’s net worth ratio was 9.83% on March 31, up from 9.24% a year earlier.
Belco Community has 14 branches and 22 ATMs in York, Lancaster, Cumberland, Adams, Perry, Dauphin and Lebanon counties. Online/mobile banking is also available.