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Shareholder Profile: LGE Community Credit Union
Advances and Letters of Credit

LGE Community Credit Union (LGE) traces its beginnings to 1951 when seven employees of Lockheed Martin in suburban Atlanta founded the Lockheed Georgia Employees’ Federal Credit Union. Today, the $1.3 billion financial institution provides a full range of financial services to more than 112,000 members in Northwest Georgia communities. Throughout its evolution and growth, LGE has remained dedicated to improving the financial well-being of its members through economically priced and conveniently delivered services, caring personal service, and sound financial management.

Chris A. Leggett, President and Chief Executive Officer of LGE Community Credit Union, says their relationship with FHLBank Atlanta helps the credit union serve its members.

“We seek to provide as much value to our members as possible, which means operating efficiently, paying appropriate attention to compliance matters, and ensuring that the organization is viable through economic ups and downs,” said Leggett. “Our access to stable, reliable funding from FHLBank Atlanta supports these goals.”

LGE became a member of FHLBank Atlanta as a means to strategically hedge interest-rate risk with borrowings. The credit union has used various types of advances over the years, ranging from overnight funding to fixed-rate term advances to advances with optionality such as the Expander. Advances have proved to be a beneficial source of funds, according to Leggett, particularly in a competitive deposit market like Atlanta.

“Funding from FHLBank Atlanta is a more reliable and immediate source for funding, as compared to the retail market which can be quite expensive,” said Leggett. “Advances offer favorable terms that help us manage our balance sheet and exposures to changing markets, in particular interest rates.”

In addition to advances, Leggett notes that access to experts at FHLBank Atlanta and their strategic guidance has been a unique and valuable aspect of their membership over the years. LGE’s relationship managers have reinforced the validity of the credit union’s strategic funding decisions, and continually educate LGE management about funding strategies and various advance structures that FHLBank Atlanta offers.

Furthermore, Leggett says that events such as the Annual Member Conference and Credit Union Conference provide valuable opportunities to network with industry peers, discuss strategy ideas, and learn about products that may open doors to new opportunities in the future.

“We have gained strategy ideas at these events that we were able to adopt into our policies and operations that ultimately strengthen the credit union and add value to our members,” said Leggett.


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