JACKSON, Miss. – Fast-growing community development credit union HOPE Community CU announced yesterday it has agreed to acquire American Savings CU, an ailing Memphis, Tenn.-based credit union of similar size.
American Savings reported $1.5 million in losses on $48 million in assets in the third quarter and $2.9 million of losses on $55 million in assets for 2007. The credit union was chartered 50 years ago to serve the employees of International Harvester and their families and has expanded since then to serve employees at more than 200 companies in Tennessee, Mississippi and Arkansas.
HOPE was chartered in 1995 as a small church project and has since grown to one of the most active CDCUs, with more than $64 million in assets. It reported net income of $165,000 through the first three quarters of the year.
The merger will give HOPE Community’s sponsor, the Enterprise Corporation of the Delta, more than $200 million of assets through with 30 service locations in Arkansas, Louisiana, Mississippi, and Tennessee.
