Southeast Corporate Proceeds With Plan To Build Capital

For More Information, Contact:
Margaret Blankers, MJB Public Relations Group
(866) 714-7041 •  margaret@mjblankerspr.com

TALLAHASSEE, Fla. (May 23, 2011)— NCUA has indicated it has no objections to Southeast Corporate Federal Credit Union proceeding with raising capital based on the Strategic Business and Recapitalization Plan submitted to the Agency and members in March. Now, Southeast Corporate will present its Perpetual Contributed Capital (PCC) subscription offering to the membership.

“Over the past few months, we have laid out a comprehensive, 10-year strategy for member/ owner credit unions,” said Brad Miller, Southeast Corporate’s President/CEO. “We have incorporated members’ feedback and are pleased to move ahead with our PCC offering.”

In presenting the Plan to its membership, Southeast Corporate implemented a multi-channel, communication program, which included avenues for obtaining member feedback. The Corporate held a series of town hall meetings and webinars, as well as presentations at chapter meetings, credit union manager luncheons and other meetings. Southeast Corporate staff also met one-on-one with numerous credit unions and their boards.

Jeanne Kucey, President/CEO of JetStream Federal Credit Union, Miami Lakes, Florida recently announced, “the JetStream Board of Directors voted unanimously to recapitalize Southeast Corporate.” Ms. Kucey further says JetStream FCU had several reasons for supporting Southeast in its recapitalization. “It’s our best opportunity to preserve current capital. There will be no disruption of services or member inconvenience, and it allows for maintaining an effective and cost efficient single source for payment, settlement and liquidity services.”

Southeast Corporate’s Plan focuses on continuity of service, preservation and protection of member capital, long-term sustainable value to credit unions, and compliance with NCUA’s new Part 704 corporate regulation as various requirements take effect over the next few years.

“Many credit unions rely on Southeast Corporate for key services, such as payment systems, liquidity, investments, and settlement,” Miller said.  

Miller says the priority behind Southeast Corporate’s Plan is to make sure member credit unions retain access to the efficiencies and economies of scale that are foundational to the corporate business model.

 Southeast Corporate a will conduct 90-day capital subscription process beginning May 25, 2011, with a goal of raising $80 million in PCC.

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About Southeast Corporate Federal Credit Union

Southeast Corporate Federal Credit Union is a corporate credit union serving more than 400 credit unions throughout the southeast and nationally from offices in Tallahassee and Jacksonville. With assets under management of approximately $4 billion, the Corporate was chartered in 1976. In addition to providing liquidity, investments, payment services and other back-office services, Southeast Corporate is the sole owner of Accolade Investment Advisory, LLC, which offers portfolio management and reporting solutions for credit unions. Southeast Corporate also is co-owner of two additional CUSOs, Member Business Solutions, LLC, which assists credit unions in serving the financial needs of small-business members; and Corporate Synergies, LLC, which provides data processing and hosting services to its member/owners. For more information about Southeast Corporate, visit www.secorp.org.

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