A Special Announcement to Our Members
A Partnership of Strength
Dear Midcoast Members,
As President/CEO, a large part of my role is to monitor trends in the financial services industry and together with our Board of Directors, set a strategic course that will ensure the long-term success of your Credit Union. Even pre-pandemic, those trends have clearly illustrated modest population growth in our State and escalating operational costs as primary drivers for credit union consolidation. Since 2006, the number of Maine credit unions has declined by 28%, while the combined member assets have grown by 128%, closing in on $10 billion. Today’s forecast for a sustained economic slowdown and low interest rate environment will only serve to accelerate those trends. Clearly fewer, yet larger credit unions will serve our communities into the future. It is with this perspective that I announce our intent to merge with, and into, Maine State Credit Union.
The Boards of Directors of both Credit Unions view this as a partnership of strength. While market forces may have brought us to the table, months of analysis have revealed many synergies that will enhance our ability to serve our combined membership. We begin as two independently strong, well-capitalized institutions that share common values and are propelled by talented, highly engaged employees. We share a strong commitment to our members, to the communities we serve, and to the professional development of our people. Combined, we will expand services to the local business community and convert redundant operational costs into enhanced member value. Together, we will become the second largest credit union in the state, with over $725 million in member assets, serving over 46,000 members from eight locations in Central and Mid Coast Maine.
Beyond the operational scale benefits, we remain committed to providing a personalized member service experience and view this partnership as a means of preserving and enhancing that commitment. All employees and locations will be retained, and Midcoast’s management team will play an integral role in the future of the combined Credit Union. We intend to take the best mix of financial products and services, delivery channels, and cultural commitments of each credit union and build upon it.
While I share many members’ pride and nostalgia for the Midcoast name, it is paramount that the Mid Coast region maintain a strong, not-for-profit banking alternative to serve your financial needs. Your Credit Union is much more than the name on the door. It is the dedicated people inside and the products and services that we provide that define us. This partnership of strength will ensure the continued fulfillment of our mission of empowering member and community success through financial education, technology, and service excellence. I encourage you to visit our merger information page and to review the official press release for answers to common member concerns. I thank you for choosing us as your trusted financial partner, and I hope that you share my excitement for the elevated member experience to come.
Joseph R. Gervais