LAKELAND, Fla. – Three weeks after announcing their nuptials, MidFlorida FCU and Sarasota Coastal CU called of the marriage, one of three large mergers pending among the state’s troubled credit unions.
Sarasota Coastal, which followed last year’s $2.7 million loss with a first quarter loss $3.1, walked away after MidFlorida reneged on a promise to seat two Sarasota directors on its board, according to officials of the $220 million credit union.
MidFlorida, the $1.4 billion credit union and one of the few large Florida credit unions still operating a profit, board of directors has decided to move forward with converting the credit union’s charter from federal to state. A state charter would allow MidFlorida greater flexibility to branch out in Central Florida, officials said.
The merger is one of several being considered by the state’s beleaguered large credit unions, following plans by Suncoast Schools FCU and GTE FCU to combine, and this year’s announcement by Space Coast CU it plans to acquire the failed Eastern Financial Florida CU.
