The Cadmus printing facility could shut down due to the effects of the coronavirus pandemic. (Courtesy Google Maps)
Already struggling and left further in the lurch when its namesake printing plant was shut down due to coronavirus, a tiny local credit union has found its savior.
Cadmus Credit Union, a $1.2 million institution with 350 members – many of whom were employees of the recently shuttered Cadmus Specialty Publications facility at 2901 Byrdhill Road – is set to be absorbed into Hampton Roads-based Chartway Federal Credit Union.
Chartway is among the larger credit unions in the state, with $2.3 billion in total assets and 190,000 members in Hampton Roads, Utah and Texas.
CEO Brian Schools said Chartway has a track record of coming to the rescue of small credit unions, having done two similar deals in the last two years and another in the works.
“We’re known for helping out and merging in small credit unions,” Schools said.
That reputation helped lead to the Cadmus deal, which was facilitated in part by the Virginia State Corporation Commission’s Bureau of Financial Institutions.
The BFI deemed the Cadmus situation an emergency once word got out that the printing plant would shutter due to the coronavirus economic slowdown. The plant employed 30 percent of the credit union’s members and also housed the credit union’s lone office, which remains open until the completion of the merger July 31.
“Cadmus (CU) had already been in decline for several years in terms of its assets, net worth, and membership, and it has not operated profitably since 2008. These trends have reached a point where Cadmus is no longer viable as a separate entity…” the BFI said in a recent filing.
BFI promptly approved the merger, following approval from the boards of both credit unions.
The merger marks the end of a nearly 70-year run for Cadmus CU. It was founded in 1951 by employees of William Byrd Press Inc., according to its website. Its current membership is offered only to employees of Cadmus and sister company Cenveo, and those employees’ family members.
The deal marks Chartway’s entrance into the Richmond banking market, though it won’t have a physical presence here, at least in the immediate future. Schools said Cadmus members will bank with Chartway via its online services, including video banking capabilities.
“While we don’t have a branch in Richmond, in today’s day of digital banking we have the tools for this membership,” Schools said.
The deal also doesn’t mean Chartway has carte blanche to expand throughout Richmond. It has a multiple common bond charter, which allows it to expand only by adding specific groups at a time, such as employees of certain organizations.
But Schools did say it will watch for opportunities in the Richmond market.
“We’ll certainly pay attention to opportunities and as it’s time to grow, we’ll consider it,” he said.
The Cadmus printing facility could shut down due to the effects of the coronavirus pandemic. (Courtesy Google Maps)
Already struggling and left further in the lurch when its namesake printing plant was shut down due to coronavirus, a tiny local credit union has found its savior.
Cadmus Credit Union, a $1.2 million institution with 350 members – many of whom were employees of the recently shuttered Cadmus Specialty Publications facility at 2901 Byrdhill Road – is set to be absorbed into Hampton Roads-based Chartway Federal Credit Union.
Chartway is among the larger credit unions in the state, with $2.3 billion in total assets and 190,000 members in Hampton Roads, Utah and Texas.
CEO Brian Schools said Chartway has a track record of coming to the rescue of small credit unions, having done two similar deals in the last two years and another in the works.
“We’re known for helping out and merging in small credit unions,” Schools said.
That reputation helped lead to the Cadmus deal, which was facilitated in part by the Virginia State Corporation Commission’s Bureau of Financial Institutions.
The BFI deemed the Cadmus situation an emergency once word got out that the printing plant would shutter due to the coronavirus economic slowdown. The plant employed 30 percent of the credit union’s members and also housed the credit union’s lone office, which remains open until the completion of the merger July 31.
“Cadmus (CU) had already been in decline for several years in terms of its assets, net worth, and membership, and it has not operated profitably since 2008. These trends have reached a point where Cadmus is no longer viable as a separate entity…” the BFI said in a recent filing.
BFI promptly approved the merger, following approval from the boards of both credit unions.
The merger marks the end of a nearly 70-year run for Cadmus CU. It was founded in 1951 by employees of William Byrd Press Inc., according to its website. Its current membership is offered only to employees of Cadmus and sister company Cenveo, and those employees’ family members.
The deal marks Chartway’s entrance into the Richmond banking market, though it won’t have a physical presence here, at least in the immediate future. Schools said Cadmus members will bank with Chartway via its online services, including video banking capabilities.
“While we don’t have a branch in Richmond, in today’s day of digital banking we have the tools for this membership,” Schools said.
The deal also doesn’t mean Chartway has carte blanche to expand throughout Richmond. It has a multiple common bond charter, which allows it to expand only by adding specific groups at a time, such as employees of certain organizations.
But Schools did say it will watch for opportunities in the Richmond market.
“We’ll certainly pay attention to opportunities and as it’s time to grow, we’ll consider it,” he said.