Reliant Community Credit Union

Transcription

1 ANNUAL REPORT 10 Benton Place, PO Box 40, Sodus, NY Brockport Canandaigua Geneva Henrietta Irondequoit Macedon Newark Sodus Webster This credit union is federally insured by the National Credit Union Administration.

2 President & Chairperson s Report Pamela P. Heald President/CEO Jane Slack Board Chairperson IT S A GREAT TIME TO BE A RELIANT MEMBER Reliant Community Credit Union experienced a successful year while continuing to provide innovative products and services that improve member s financial lives. We enjoyed increased membership, maintained a solid capital position, balanced loan growth, and a strong return on average assets. Our excellent performance is the result of outstanding member service, continued member loyalty and trust, committed volunteers, and a highly focused, knowledgeable staff. MEMBER GROWTH More than 3,250 new members joined the credit union during the year. Thank you for telling your family, friends, and co-workers about Reliant. Member referrals remain one of the most effective ways we gain members. STRATEGIC INITIATIVES Reliant also leveraged several initiatives that allowed us to grow as an organization while increasing the quality and convenience of our services that help our members reach their financial goals. New branch opening Located within the Henrietta Walmart Supercenter, our newest branch has been positively welcomed by the community, businesses, and area residents. This is evident by the credit union growth in both new members and increased participation by existing members. Over 13% of our overall new member growth was realized in Henrietta in just over 6 months. Enhanced technology-based services A state-of-the-art online member banking experience was introduced in the fall. The new system offers online services such as expanded transfer capabilities, check copies, additional bill pay features, mobile/text banking, budgeting tools, and the introduction of mobile apps. Online services provide convenience, a priority for our members and we have positioned the credit union to offer secure, current, and relevant user-friendly technology. Expanded mortgage capabilities A new, expanded online mortgage experience was introduced allowing members access to features such as a personalized online application process, the ability to have rates ed to you, and personalized mortgage quotes. Enhanced ATMs At each of our locations, members began to enjoy easy-to-read screens, enhancements for the visually impaired, and the addition of Spanish screen options. Connected with members through Along with the website, became our primary means of keeping members informed about credit union news and events, product/service offerings, and current promotions that benefit members. Saved our members money From mortgages and home equity loans to credit cards and auto loans, Reliant members have experienced substantial savings by refinancing loans that were financed elsewhere. This is one of our greatest strengths and proves to offer our members outstanding value. In 2012, Reliant saved its members over $742,000 through auto buyout loans. That translates into savings for members and in turn, money that goes back into our local economy. Introduced Health Savings Accounts As the popularity of highdeductible health plans increases, the demand for health savings accounts has also grown. We were pleased to add this specialized savings account offering. Conducted member survey We participated in a national credit union survey program that measures member feedback to gain a better understanding of the financial needs of our membership. We learned that 98.5% of our membership is satisfied with their credit union and that a significant number of members plan to bring both their future deposit and loan business to Reliant. We also held two focus groups and an online survey to gather feedback from our members. You can be assured that member feedback plays a pivotal role in future planning. COMMUNITY INVOLVEMENT Reliant has a rich tradition in caring for members, employees, and the communities we serve. In addition to the products and services that provide solutions, we are extensively involved in worthy causes beyond our doors. Reliant staff provided free financial educational sessions in more than 50 school and community settings. Through the Donald K. Rhine Scholarship program, 10 students were awarded scholarships based on their demonstration of the credit union philosophy of people helping people. The third annual Moore Than a Race, a 5K run that supports the ongoing scholarship program and honors the memory of Richard K. Moore, Reliant s board chairman from , raised over $6,900. Staff volunteers participated with several organizations including YEA!, United Way, American Red Cross, Literacy Volunteers, local Chambers of Commerce, Rotary clubs, and the YMCA. In addition, Reliant provided financial support to many organizations in the three-county area. THE FUTURE As we look to the future, the Credit Union will continue to do what we do best: provide outstanding service to our members each and every day. We are pleased to announce that we will move our Webster office to a new, free-standing branch located on Holt Road. We are excited to provide our members with a new, convenient facility that includes a drive-thru window and drive-up ATM access. Additional technological initiatives are also underway in the coming year to benefit members and attract new members online account opening and debit purchase rewards. Reliant remains committed to ensuring the financial well-being of our members. We are excited about the future and look forward to every opportunity to serve you and meet your financial needs. As always, we thank you for your continued trust in placing your financial needs with Reliant Community Credit Union.

3 Super visor y Committee Report George Cataldo Chairperson The role of the Supervisory Committee is to ensure that an overall financial audit and verification of members accounts are performed on an annual basis to safeguard members assets. Additionally, the committee reviews the actions taken by the Board of Directors and other officials to ensure adherence to board policies and responsibilities. The Supervisory Committee follows up in a timely manner on member inquiries to The National Credit Union Association (NCUA). The Supervisory Committee is appointed by the Board of Directors. To support the committee in fulfillment of its responsibilities, audits are regularly conducted by the credit union s internal auditor. The committee also contracts with Firley, Moran, Freer & Eassa, P.C., an independent, external annual audit firm, to conduct an audit in accordance with Generally Accepted Accounting Principles. NCUA, the regulatory agency of all federally insured credit unions, additionally performs an annual examination to determine the safety and soundness of the credit union. The most recent findings through internal and external audits, including the NCUA review, continue to show your credit union is operating in a financially sound manner and that the financial statements accurately reflect the performance and condition of the credit union. The Supervisory Committee commends the Board of Directors, management team, and staff for their continued efforts to ensure the safety and soundness of Reliant Community Federal Credit Union. We appreciate the opportunity to serve you, our members Supervisory Committee George Cataldo, Chairperson John Baker Audrey Ferris Jane Slack Board of Directors Jane Slack Board Chairperson John Boogaard Vice Chairman Thomas Miller Secretary/Treasurer Francis Coots Director Cassandra Tilliman Director Our Vision Reliant will be recognized as the premier financial partner in the communities we serve. Our Mission Reliant Community Credit Union is member owned and member driven. We are committed to satisfying members financial needs through competitive, innovative, value-added products delivered with high quality personal and professional service. We will manage the organization to maintain financial soundness, to encourage growth, and to challenge employees with rewarding work.

4 Financials Income Statement and Ratios Consolidated Summary of Operating Results and Year ended December 31 Selected Ratios (dollars in thousands) Interest Income: Investments $ 833 1,105 Loans 12,566 12,461 Total Interest Income 13,399 13,566 Interest Expense: Shares 1,389 1,648 Borrowings 0 0 Total Interest Expense 1,389 1,648 Net Interest Income 12,010 11,918 Provision for Loan Losses Service Fees, Credit/Debit Card Income and Other Income (Expense) 5,107 4,709 Operating Expenses: Compensation and Benefits 8,841 8,277 Operations and Processing Costs 4,623 4,241 Occupancy 1,073 1,045 Marketing NCUSIF Share Insurance Premium Other Total Operating Expenses 15,646 15,187 Net Income $ 1,018 1,112 For the Year* Yield on Earning Assets % Dividends and Interest Member Deposits Interest Rate Spread Return on Assets Return on Members Equity Charge-Offs to Loans At Year End Loans to Shares % Borrowings to Assets Members Equity to Assets Delinquencies to Loans Allowance to Loans * Based on an average of year ending balances.

5 Financials Balance Sheet Consolidated Summary of Financial Condition Year ended December 31 (dollars in thousands) Assets Cash $ 7,592 4,005 Deposits at Federal Reserve and Corporate Credit Unions 15,704 23,120 Certificates of Deposit 18,820 11,843 Investments Available for Sale 37,866 42,361 Investments Held to Maturity 973 1,362 Investment in Federal Home Loan Bank, at Cost Loans: Mortgage 81,585 72,287 Home Equity 26,049 24,689 Home Equity Lines of Credit 38,667 33,951 Vehicle 48,286 48,688 Credit Card and Other Lines of Credit 25,867 24,578 Member Business 11,444 6,696 Personal and Other 18,773 16,453 Allowance for Loan Losses (1,171) (1,101) Net Loans 249, ,241 Mortgage Loans Held for Sale 763 2,077 Property & Equipment, Net 8,411 8,004 NCUA Share Insurance Fund Deposit 3,086 2,868 Interest Receivable and Other Assets 4,087 3,622 Total Assets $ 347, ,778 Liabilities and Members Equity Shares: Share Draft Accounts $ 50,105 44,982 Money Market Accounts 101,610 93,538 Regular Shares 69,179 61,322 Certificates 87,079 88,547 Total Shares 307, ,389 Accounts Payable and Accrued Liabilities 6,858 6,061 Long-Term Debt 0 0 Total Liabilities 314, ,450 Members Equity 32,283 31,328 Total Liabilities and Members Equity $ 347, ,778

6 People Helping People: It s What We Do Reliant staff sit down for a Thanksgiving tradition at Reliant a smorgasbord! Reliant staff and Board members serenade staff and members with carols Donald K. Rhine Scholarship recipients, with President & CEO Pamela Heald. 22 staff members wore Reliant-branded shirts at the 2012 Corporate Challenge. Reliant opened a new branch in Henrietta, Reliant supported the Angel Tree program, and Spikes stopped by to help celebrate! which provides gifts for kids at Christmas. As a sponsor of the Haunted Hayrides, WBEE came to our Webster branch to give tickets away to listeners. Runners take off at the start of Reliant s third annual Moore Than a Race 5K. Pamela Heald, CEO, was a finalist for the RBJ s ATHENA Award for the second year in a row. Reliant staff and their families enjoyed a day of fun & baseball at Frontier Field. Pamela Heald was a YEA! spokesperson in 2012, for which she filmed a commercial with several young entrepreneurs. Steve Hausmann from WBEE joined us for a Shred Day. Reliant staff participate in training. Reliant s Business Lending team gets in the holiday spirit. Reliant supported the Twilight Run for the Red 5K to support the American Red Cross, West Ontario Office. Reliant is proud to support the Rochester Reliant s Amy Calabrese was a finalist for A staff committee discusses Reliant s corporate Chapter CU Scholarship golf tournament. the Young Professional Leadership Award. culture of accountability, respect, and teamwork. Reliant was recognized for its support of the Ad Council s Distracted Driving Campaign.