80 Celebrating years OF PUTTING PEOPLE FIRST 1936 2016 2016 ANNUAL REPORT
We promise to... Welcome you FIRST and treat you as an honored guest. Treat you with FIRST-class professionalism and address you by name. Deliver FIRST-rate, friendly service in an accurate and timely manner. Take ownership and make you our FIRST priority. Identify your financial needs FIRST and provide you with trustworthy and value-added solutions. Make a FIRST-rate financial difference in our members lives. Keep our FIRST-rate facilities clean and operational to ensure your experience is pleasant. OUR FIRST PRIORITY IS ACHIEVING YOUR FINANCIAL DREAMS The First Financial Member Experience Defining Your Dream Goals and Lifestyle Empowering You Through Financial Education Building Your Wealth Planning Your Retirement Managing Your Risk
REPORT FROM ISSA E. STEPHAN, CCUE President and Chief Executive Officer At First Financial, our primary commitment is to assist you with your financial dreams. Together, we can help you shape your goals and budget in order to achieve the lifestyle you want. We can strengthen your accomplishments through financial education, help you build your wealth, plan your retirement, and manage your risk. All of our members are valued as a credit union, we exist to aid you with all of your financial needs. In 2016, First Financial proudly celebrated its 80th Anniversary. Throughout the year we held monthly promotions and contests to celebrate our members and the credit union s amazing history. We swapped a $20 bill in each ATM every month with a $100 bill, in turn giving members an extra surprise $80 throughout 2016 at all branch locations. We offered three lucky members a choice to receive an auto loan at.80% Annual Percentage Rate (APR), another three a Certificate at 8% Annual Percent Yield (APY),.80% APR on all new Credit Cards for the first eight months, and one member was drawn to win an $800 deposit into their new Checking Account just to name a few of our most popular campaigns to celebrate our 80th Anniversary this year. Our new Corporate Office located behind the Freehold/ Howell Service Center opened in May 2016. The new Corporate Office boasts two stories, spans 20,000 square feet, and has the same modern design as First Financial s newest branch that is directly in front of it. The new building provides enhanced operational efficiencies that will help us to grow and evolve to keep pace with our members needs. The Corporate location represents our commitment to our members and our investment in Monmouth and Ocean Counties to deliver a member-centric approach to banking. In addition to our ever-popular Visa Platinum Card, we introduced two new Credit Cards in 2016 our exclusive Visa Signature Cash Back Card and our Visa Secured Card. The Visa Signature Card offers 1% cash back on purchases, plus select benefits such as cell phone protection, lost luggage reimbursement, trip cancellation coverage, and identity theft restoration. The Secured Card is perfect for those looking to build, establish, or re-establish their credit. These new credit cards allow us to better assist and reward our membership, in addition to our already low rates. We also launched loans to help our members lifestyles in 2016, through our Fast Cash (Payday Alternative) and Lifestyle Loans. We know that sometimes, for important items needed in life the money just isn t there. First Financial is dedicated to providing small personal loans that can help cover the costs of necessary expenses for hard working professionals in New Jersey. These items may include trade school, law enforcement equipment needs, adoption loans, medical procedures, and more whatever it might be to better help our members achieve their lifestyle goals. Focusing on financial education within our membership and the surrounding Monmouth and Ocean County communities, we hosted LIFE (Learning Independent Financial Education) Financial Reality Fair events for the students at Lakewood, Jackson Liberty, and Brick Memorial High Schools this year. During a LIFE Fair, students use hands on experiences and real-life scenarios to help prepare them for their financial future. We also utilized digital media channels in order to create several short video segments on how to buy a vehicle and preventing ATM fraud and skimming this year. Our credit union puts a high priority on education because it s how First Financial began 80 years ago, with a group of school teachers from Asbury Park. The First Financial Foundation was proud to once again award $500 scholarships to four deserving college students in 2016, as well as a grant to South Toms River Elementary School for the sponsorship of the school s annual Career Day honoring fourth and fifth grade students. Thanks to the support of our staff and our members, we were able to make all of this possible. After an eventful year, the New Jersey gas tax went up 23 cents a gallon in early November. We wanted to assist the local communities around our 3 branch locations and save them on filling up their gas tanks for a day, so the credit union partnered with 3 local gas stations and eased the pain at the pump for 150 drivers, by giving out a total of $3,750 in free gas right before Thanksgiving. We care about the people outside our walls at the credit union. If we were able to help by providing groups of motorists with free gas on their way to work for a few days we were happy to be giving back to our community even in some small way. Thank you for your continued support and membership with us, as well as for choosing us for your financial needs. As we continue to provide convenient, value-driven banking services over the past 80 years that we ve been in business, we look forward to another great year in 2017. Thank you for Thinking First God Bless! Issa E. Stephan, CCUE, President/CEO Gordon E. Holder, Chairperson
STATEMENTS OF FINANCIAL CONDITION AND INCOME 2016 Financial Statement Assets 2016 2015 Loans to Members 140,265,387 132,760,640 Cash 2,148,286 2,020,928 Investments 25,103,864 32,542,568 Fixed Assets 11,517,273 9,447,573 Other Assets 7,031,499 5,223,290 Total Assets 186,066,309 181,994,999 Liabilities and Equity Accounts Payable 537,405 (908,976) Member Deposits 173,336,470 170,543,711 Equity 12,192,434 12,360,264 Total Liabilities & Equity 186,066,309 181,994,999 2016 Income Statement Income 2016 2015 Interest on Loans 7,078,506 6,933,928 Interest on Investments 313,268 447,541 Other income 2,395,796 2,278,877 Total Income 9,787,570 9,660,346 Expenses Compensation & Benefits 4,306,889 3,886,478 Office Expense 3,457,488 3,442,320 Data Proc & Prof Services 1,093,536 1,388,960 Provision for Loan Loss 1,457,639 303,243 Education/Promotion 239,023 224,223 Total Expense 10,554,575 9,245,224 Gain/Loss Sale of Assets 291,803 Income Available (475,202) 415,122 Dividends & Interest on Borrowed Funds 397,448 380,997 NCUSIF Net Income/Loss (872,650) 34,125
2016 ANNUAL REPORT 2016 NOTABLE EVENTS AND HAPPENINGS January 2016 Brick Memorial LIFE Fair July 2016 Erma Dorrer Literary Scholarship Recipients March 2016 April 2016 May 2016 80th Anniversary Contest Winner at the Freehold/Howell Service Center South Toms River Elementary School Career Day Grant New Corporate Office Opens October 2016 Reader Rewards Summer Reading Contest Winner November 2016 December 2016 Howell/Freehold Exxon Gas Giveaway Event 80th Anniversary Checking Account Grand Prize Winner
PRODUCTS & SERVICES FIRST SERVICES CHECKING & SAVINGS Checking Accounts Individual Retirement Accounts Savings Certificates Premium Money Market Accounts Club Accounts First Step Kids Account Savings Accounts Business Checking Accounts with Dividends Online Banking & Bill Pay Direct Deposit Debit Card & ATM Card e-statements Debt in Focus Save Your Change ID Theft Protection Products Investment & Retirement Center Love My Credit Union Rewards Program Merchant Services AutoSMART Mobile & Tablet Apps with 1 Click Remote Deposit Capture First Scoop Blog LOANS & CREDIT CARDS First Mortgages Visa Platinum Credit Card Vehicle Loans Personal Lines of Credit Home Equity Loans & Lines of Credit Commercial Real Estate Loans Home Improvement Loan Business Lines of Credit Personal Loans SBA Loans Lifestyle Loans Fast Cash (Payday Alternative) Loan Home Possible Advantage Mortgage Program Visa Signature Cash Back Credit Card Visa Secured Credit Card
BOARD OF DIRECTORS Gordon Holder Chairperson Earl Sutton, Jr. Vice Chairperson David Graf Secretary & Treasurer Elizabeth M. White Laurita Carr Catherine McLaughlin Karen Fiore SUPERVISORY COMMITTEE Elizabeth M. White Committee Chairperson Ronald Minsky Mitch Thaler John Ceresani LEADERSHIP TEAM Issa E. Stephan, CCUE President and Chief Executive Officer Terriann Warn Vice President, Chief Financial Officer Nancy Culp Vice President, Lending REPORT OF THE SUPERVISORY COMMITTEE The Supervisory Committee is appointed by the Board of Directors. It serves as an independent group to ensure that Management and the Board of Directors establish adequate policies and procedures, and guarantees the financial statements are properly prepared and accurately reflect the financial position and operating results of your Credit Union. The Committee, in conjunction with the Risk Officer and external auditors, reviews relevant plans, policies and control procedures established by the Board and Management to ensure they are properly administered and are sufficient to safeguard member assets. The Supervisory Committee engaged the certified public accounting firm, The Curchin Group L.L.C., to perform the audit of the Credit Union s financial statements effective December 31, 2016. A copy of their report may be obtained by writing the Supervisory Committee at P.O. Box 751, Neptune, NJ 07754. Elizabeth M. White, Committee Chairperson FREEHOLD/HOWELL NEPTUNE TOMS RIVER 389 Route 9 North Freehold, NJ 07728 783 Wayside Road Neptune, NJ 07753 1360 Route 9 South Toms River, NJ 08755 Federally insured by NCUA. THINK FIRST. FIRSTFFCU.COM 732.312.1500