Corporate CU Merger Receives NCUA Assistance

The merger of Corporate One Federal Credit Union and Southeast Corporate Federal Credit Union was facilitated by special assistance provided by NCUA.

According to Corporate One's Unaudited Q4 2012 Financial Statement (footnote 9),

"[i]n order to accomplish the merger of a $1.5 billion institution into Corporate One, the NCUA provided certain assistance up to $15 million. The assistance was in the form of cash and a conditional indemnification to cover losses on certain assets acquired by Corporate One. In NCUA Rules and Regulations Part 704.2, intangible assets in excess of one half percent of MDANA must be deducted from a corporate's adjusted core capital. For eight years, the NCUA is allowing Corporate One to add back such adjustment to adjusted core capital for any excess intangibles related to core deposits."