Global Credit Union Members Approve Merger With Alaska USA
The Anchorage-based credit union will operate more branches in Washington than in its home state.
Members of Global Credit Union in Spokane, Wash., approved its merger with Alaska USA Federal Credit Union in Anchorage, creating a financial cooperative that will manage $11.4 billion in assets, operate 76 branches across five states and service more than 760,000 members.
The consolidation also means Alaska USA will have more branches in Washington than in its home state. Alaska USA operates 27 branches in its home state and 22 branches in Washington. Global’s seven branches will increase Alaska USA’s branches in the Evergreen State to 29.
Additionally, the merger will give Alaska USA a foothold in Idaho where Global operates two branches. Global also operates three branches on military bases in Italy.
Alaska USA also has 12 branches in Arizona and six in California.
A “significant majority” of Global members voted in favor of the merger, an Alaska USA spokesperson said. A specific vote tally, however, was not released. The Global member vote was certified by Moss Adams on June 10.
Global President/CEO Jack Fallis did not respond to CU Times‘ phone and email requests for comment.
Merger documents filed with the NCUA showed that Fallis’ employment contract has a change of control provision. That means after he assumes his role as president of Pacific Northwest and International markets for Alaska USA after the merger is completed, he will receive a payment for $875,000. According to Global’s 2019 990 Form filed with the IRS, Fallis received total compensation of $1,024,029. The credit union’s 2020 990 Form filing was not yet available on IRS’ website.
Global Chief Information Officer David Cummings will be eligible to receive a one-time incentive payment totaling $185,000 if he successfully integrates the credit unions’ IT systems, according to the merger documents.
Once the merger has been completed, Global will continue to operate under its brand name.
Both credit unions were founded through military connections. Alaska USA was established on the Alaska Air Depot in 1948 and Global opened for business on the Fairchild Air Force Base in 1954.