ACB: Press Releases

Joint News Release

Contact:	Robert Schmermund (202) 857-3104 Jim Eberle (202) 857-3145	ABA – Charlotte Birch, (202) 663-5470; ICBA – Paul McGuire, (202) 659-8111.	For Immediate Release June 2, 2004
E-mail: [email protected]

BANKING TRADE GROUPS FORM CREDIT UNION COORDINATING COUNCIL

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Joint News Release

America’s Community Bankers
American Bankers Association
Independent Community Bankers of America

WASHINGTON, June 2, 2004 — Three major banking trade groups announced today that they have decided to unite in addressing the growing credit union competitiveness issue – specifically, that bank-like credit unions remain tax-exempt.

The Inter-Trade Credit Union Coordinating Council includes the American Bankers Association, America’s Community Bankers and the Independent Community Bankers of America.

The council will coordinate the individual efforts of the three associations, facilitate communication among the groups, provide a forum for sharing ideas and assist in specific joint efforts.

The trade groups are currently engaged in campaigns to call congressional and public attention to the activities of bank-like credit unions, their exemption from taxes, their exemption from Community Reinvestment Act requirements and their proposals to expand credit union powers and fields of membership.

“Influential leaders are beginning to talk about the elephant in the room,” ABA Chairman Ken Fergeson said. “Namely, aggressive credit unions that are trying to blend in with the furniture while gobbling up the hors d’oeuvres at taxpayers’ expense.” Fergeson is also chairman of NbanC, Altus, Okla.

“Leveling the playing field with bank-like credit unions is a priority for all three trade groups and our community bank members across the country,” said ACB Chairman William W. Zuppe. “We believe it is critical for us to better coordinate and communicate a clear and cogent message to legislators: ‘Credit unions that want to play like banks, should pay like banks,'” said Zuppe, who is also chairman and CEO of Sterling Savings Bank, Spokane, Wash.

“As to the matter of unfair credit union competition, it is imperative that all national banking associations work together for the common good of the industry,” said ICBA Chairman Dale L. Leighty. “By coordinating our efforts, we will stand united before the Congress and the Administration on this critical long-term issue,” said Leighty, who is also chairman and president of First National Bank of Las Animas, Las Animas, Colo.

The three trade groups committed staff and banker resources to resolve the credit union issue and said that it would be a long, arduous task. They noted, however, that progress was being seen in public statements by the House Ways and Means chairman and the chairman and vice chairman of the FDIC.

America’s Community Bankers is the national trade association committed to shaping the future of banking by being the innovative industry leader strengthening the competitive position of community banks. To learn more about ACB, visit www.AmericasCommunityBankers.com.

The American Bankers Association brings together all categories of banking institutions to best represent the interests of this rapidly changing industry. Its membership – which includes community, regional and money center banks and holding companies, as well as savings associations, trust companies and savings banks – makes ABA the largest banking trade association in the country.

The Independent Community Bankers of America represents the largest constituency of community banks of all sizes and charter types in the nation, and is dedicated exclusively to protecting the interests of the community banking industry. ICBA aggregates the power of its members to provide a voice for community banking interests in Washington, resources to enhance community bank education and marketability, and profitability options to help community banks compete in an ever-changing marketplace.

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