First Bristol FCU Members Approve Merger With Nutmeg State Financial Credit Union

Members of the $106 million First Bristol Federal Credit Union in Bristol, Conn., approved a merger with the $610 million Nutmeg State Financial Credit Union in Rocky Hill, Conn.

Of the 11% of eligible First Bristol members who voted on the merger question, 88.21% were in favor of the consolidation, which became effective on June 1, according to a joint statement released by the credit unions.

The combined financial cooperatives will manage $716 million in assets with 105 employees who will operate 10 branches and serve nearly 50,000 members across Connecticut.

Nutmeg CEO John Holt will serve as CEO of the combined organizations and First Bristol CEO Mark Cornacchio will serve as president of Nutmeg’s Bristol Division. First Bristol will operate as a division of Nutmeg until the credit unions’ systems and operations are combined early next year, and its two Bristol branches will remain open under the Nutmeg brand.

According to the credit union’s merger document filed with the NCUA, Cornacchio will be offered compensation and benefits in line with Nutmeg’s existing senior management pay structure with a salary and benefits increase of approximately $27,915. This compensation fits market standards for a leadership position in a credit union of this size and scale and considers his seniority in the organization and the scope of his responsibilities. He also will be paid a one- time merger completion bonus of $150,000 this month, First Bristol said in its merger document.

Christopher Taylor, who served as First Bristol’s CFO, will be employed under a three-year agreement at his current annual salary and benefits totaling $153,328. He also will be eligible to receive a one-time loyalty bonus at the end of his three-year contract equal to six months of his current salary if he stays until the end of that agreement. If he does not stay through the end of that agreement, no bonus will be paid. Taylor will be paid his accrued but unused vacation salary of approximately $41,000, according to First Bristol’s merger document.

Julie Marchetti, First Bristol’s chief administrative officer, will be employed under a two-year agreement at her current annual salary and benefits totaling $117,741. She also will be eligible to receive a one-time loyalty bonus equal to six months of her current salary if she stays until the end of that agreement. If she doesn’t stay until the end of the agreement, no bonus will be paid. Marchetti will be paid her accrued but unused vacation salary of approximately $39,000, First Bristol’s merger document showed.

Jose Tintone, First Bristol’s lending collections manager, will be employed under a two-year agreement at his current annual salary and benefits of $100,750. To encourage his continued employment with the combined credit unions, he also will be eligible to receive a one-time merger loyalty bonus equal to six months of his current salary if he stays until the end of that agreement. If he doesn’t stay until the end of the agreement, no bonus will be paid. Tintone will be paid his accrued but unused vacation salary of approximately $19,000.

“First Bristol is a natural fit as a merger partner, and we couldn’t be more excited about our future together. Not only do we share deep Connecticut roots, but there are also great synergies between our member-focused cultures, goals and mission,” Holt said. “While both organizations are strong today, we know that together we can better serve our collective members and offer greater value and convenience over the long term. We look forward to welcoming First Bristol members to Nutmeg and returning to serve the Bristol community.”

Cornacchio added, “Our members clearly saw the value of our partnership with an overwhelmingly positive vote in favor of the merger. With our shared Connecticut heritage, values and commitment to serve our local communities, we will carry on First Bristol’s long legacy while offering the best possible service, products, pricing and convenience to our members. We look forward to combining the best of our organizations’ strengths to bring members much greater value from their credit union moving forward.”