Speculators Seek Control Of Former CU

- NEW YORK (03/22/00) - Wall Street arbitrageurscontinued this week to push up the stock of Jade Financial, as theformer credit union known as IGA FCU became the focus of increasingtakeover speculation. News that a second Wall Street investmentmanager has joined the push to sell the thrift holding companypushed the recently public company's stock up to a new high of$13.38 with a record 493,000 shares changing hands on the NASDAQSmall Cap Market Monday, five times its average trading volume. Therun-up from its $8 initial offering price last October has earned10 insiders, including three founders of the former credit union,almost $750,000 in profits on their stock. But the insiders controljust 7.6% of the company's stock and two Wall Street investmentmanagers, who have helped push the sale of other small thrifts, nowown almost 20% of the outstanding shares. The two are agitating forseats on the board from where they hope to engineer a specialdividend from the former credit union's capital reserves or a saleof the institution. Jade Financial officials told The Credit UnionJournal Tuesday they would have no comment on thesituation.