Southern Pine Credit Union Released From Conservatorship
Atlanta, Georgia - Today, the National Credit Union Administration ("NCUA") released Southern Pine Credit Union, located in Valdosta, Georgia, from the conservatorship that had been in place since June of 2020. Conservatorship is a tool used by credit union regulators to resolve operational problems that could affect that credit union’s safety and soundness. During conservatorship, the NCUA controlled Southern Pine Credit Union; however, during this period, the credit union remained open, members continued to transact business, and accounts remained insured by the National Credit Union Share Insurance Fund.
It is noteworthy that in 2015, legislation was passed that authorized the Department of Banking and Finance ("Department") to appoint itself or a third party as conservator over a credit union. When a conservator is appointed, the primary aim is to rehabilitate the credit union and return it to the membership as a going concern instead of liquidating the credit union.
“Effective utilization of conservatorship powers for Southern Pine Credit Union combined the expertise and resources of the Department, NCUA, and new management team,” Department Commissioner Kevin Hagler stated. “These efforts resulted in the best possible outcome as the credit union has survived and has sufficient resources to serve the financial needs of its members.”
Southern Pine Credit Union is a state-chartered credit union with deposits insured by the NCUA. As of December 31, 2021, assets totaled $42,004,832 with 1,434 members. Southern Pine Credit Union became a Georgia state-chartered credit union in 1991 and membership includes current and retired employees of Packaging Corporation of America, located in Valdosta, Georgia, and their immediate family members.
Deputy Commissioner for Supervision
Email: [email protected]