BERLIN, N.H. – Members of troubled Woodlands CU on Wednesday brushed off some opposition and voted by a three-to-two margin to merge the $112-million timber employees’ credit union into $731-million Northeast CU in Portsmouth.
After the merger Timothy Collia, president of Woodlands CU, will stay on as chief operating officer and executive vice president of the combined entity, reporting to CEO Peter Kavalauskas.
The merger ran into opposition from some members of Woodlands CU, which has reported losses of six straight years, including a $600,000 loss for the first three quarters of 2012. Opponents, noting the credit union's local roots – it was started in 1956 by mill workers who worked in Berlin – said the credit union would abandon its founding mission if it went along with the merger and chafed at the idea of control being in Portsmouth. They also thought that the credit union would bounce back as the North Country economy improved.
The merger will be effective on Jan. 1.
