APPLE VALLEY, Calif. – Alaska USA FCU became the latest credit union giant to enter the California market with an acquisition of a troubld credit union, High Desert FCU, a one-time $190 million credit union that was taken over by NCUA in October.
The $3.9 billion Alaska USA will add three branches in the Barstow, Calif., area to its network of 52 branches in Alaska and Washington state. High Desert is located in the community of Apple Valley.
The Alaska USA deal follows last year's acquisition of troubled credit unions by Illinois credit union giants Alliant CU and CEFCU.
High Desert, chartered in 1951 to serve George Air Force Base in Victorville, Calif., High Desert has run afoul of the poor California economy, wracking up losses of $16.7 million in 2008, and $12.9 million for the first quarter of 2009. The credit union had as much as $190 million in assets less than three years ago, but that has dwindled to $102 million.
Alaska USA serves more than 330,000 members all over the country.
