This week’s HealthScore Chart of the Week focuses on a credit union merger of equals, specifically looking at the comparison of credit union HealthScores pre- and post-merger.
This chart illustrates, at least from a health perspective, what a merger is supposed to do for credit unions. Namely, elevate performance and health beyond where the merger parties existed at the time of the merger. After what appeared to be a rocky transition period, likely caused by a combination of common integration challenges and the lingering impact of the financial crises, credit union health blossomed.
While not reflected in the chart, overall score improvements were driven by efficiency, operating expense, and membership growth component score improvements – all areas you would expect to see improve in a merger of equals.
Comments and interpretations are welcome. To share your thoughts, use the comments feature below.
Interested in learning more about where your credit union stands in relation to Glatt Consulting’s Credit Union Industry HealthScore? Schedule an appointment to discuss your scores. You may also want to learn more about our approach to credit union strategy consulting.
Data is as of 3/31/2013