Dear Members,
On behalf of the Board of Directors, I am pleased to present Voyageurs Credit Union’s Annual Report for the 2016 fiscal year.
An institution At the heArt of its members’ lives The year 2016 was a turning point in Desjardins’
history. One of the most important events was the election of Guy Cormier as President of Desjardins Group. The youngest president in our history quickly rallied employees, officers and directors around his ambitious ideas. The first of these ideas involved reconnecting Desjardins with its purpose, which is to enhance people’s lives and the communities in which they live by making active and significant contributions to the development of a sustainable economy. A new $100-million development fund has been created to support projects in the regions where we are present.
In order for Desjardins to better understand the needs of its young members, a Youth Advisory Board has been put in place, which is made up of Desjardins members, officers, directors and employees between the ages of 18 and 35. We even reserved a special place for our young members during the 2016 Co-op Week activities which focused on academic success. On October 20, 2016, thousands of Desjardins employees participated in events to support the cause.
inspiring momentumIn 2016, our credit union reported a net profit of $6.3 million. This is an indicator of the credit union’s sound business management. Based on this performance, we will stay on course by offering you services and solutions that will continue to meet your expectations. I would like to thank our members for these excellent results. Your continued loyalty is the key to our success. Increased use of the credit union’s products and services has a direct positive impact on its profitability. In 2016, the credit union redistributed more than $210,000 to our communities to support different projects and initiatives.
DesjArDins recognition A recognition event was held during the Desjardins Group Annual General Meetings to celebrate the outstanding achievements of the Desjardins teams that
not only contribute to the organization’s goals but also benefit our members and clients. Your credit union won a prize in the Growth category for being proactive in the Greater Toronto Area (GTA). By working closely with our Desjardins partners, not only have we increased our visibility and accessibility, but we have also improved the member/client experience in the GTA.
merger projectAlong with the Board of Directors of Caisse populaire Cochrane-Témiskaming, we are analysing the advantages of a merger in order to better meet the needs of our respective members.
A committee made up of representatives from both credit unions has been put together to look into the feasibility of a merger. We have set up a tentative date for an information session on Monday, June 19, 2017, at 6:00 p.m. to allow you to express your opinion and answer any questions you may have regarding the merger project. In order to move forward, the project would have to be presented for members’ approval at a special general meeting in September 2017.
continueD improvement of our proDucts AnD servicesWe will continue to adopt simple, modern, people-centred and high-performing approaches in order to maintain our special place in your financial life. Thanks to our modern approaches, including a wide range of online and mobile services, we can be more accessible than ever. Desjardins mobile payment solutions, Apple Pay, mobile cheque deposit, and Interac transfers are only a few of the new features currently at your disposal.
To round out our virtual offer, certain financial products are available exclusively on AccèsD: in just a few clicks, you can open a high-interest savings account with no service fees, or access market-linked guaranteed investments. It’s simple and exclusive to Desjardins members.
As a member, you can play a role in your credit union’s evolution to help boost its performance, especially by sharing your ideas and constructive feedback. We can work together to share and celebrate our credit union’s profoundly human and distinctive nature.
expressing our heArtfelt thAnksI would like to extend my sincere appreciation to my fellow directors and to the managers and employees of the credit union. Under the dynamic management of
Jean-Marc Spencer, they draw on their skills and great flexibility to help our cooperative meet your needs effectively. We have an extremely mobilized team of employees as demonstrated by an excellent employee mobilisation rate provided by the firm Aon Hewitt through their annual survey. I want to congratulate all of our employees for their unwavering commitment, member satisfaction is their priority as proven by a very high member satisfaction rating! Thanks also to our Desjardins subsidiary partners for supporting our mission to serve our members. By joining forces, we enhance our capabilities to offer you an even higher range of comprehensive and competitive financial products and services.
Lastly, I would like to thank our 25,283 members for placing their trust in us.
Robert J. BoucherChair of the Board
messAge from the chAir of the boArD of Directors
Workingfor you
2016 AnnuAl report
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messAge from the executive Director
Dear Members,
In 2016 your credit union continued its mission to meet all your financial needs by offering you access to a comprehensive range of products and services.
Offering members a first-rate business experience remains one of our primary objectives for this year. In addition to ensuring that you are provided with excellent service, your credit union and Desjardins Group will continue to develop financial tools and exclusive new member benefits. Every effort is being made to ensure that Desjardins is your financial institution of choice.
Below are the financial results of Voyageurs Credit Union as well as the share of net income from investments in Desjardins Group entities as of December 31, 2016.
These results are directly related to your trust in us, and we are truly grateful. Thanks to the loyalty of our members, we can all benefit from the power of co-operation and support our business development.
business unDer mAnAgementBacked by $2.52 billion in business volume, up 13.0% over 2015, the credit union is very well positioned in its market. Through its membership in Desjardins Group, the credit union has access to a wide range of financial products and services to meet the ever-growing needs of its members.
comments on the finAnciAl stAtements1
bAlAnce sheetYour financial cooperative’s assets totalled $947.4 million, up 10.6% over the previous year. Loans to individuals and businesses stand at $848.4 million, an increase of 10.8%.
The credit union’s liabilities totalled $847.1 million, representing an increase of 10.2%. Deposits currently amount to $651.1 million, up 11.9%, whereas your credit union’s borrowings increased by 7.2% and now totals $210.8 million.
As of December 31, 2016, your cooperative’s equity posted very strong growth, rising to $73.3 million, a 16% increase.
Your credit union has also accumulated $150,000 in the Community Development Fund. We have posted ratios that exceed regulatory requirements imposed by the government of Ontario, therefore meeting minimum capitalization requirements as at December 31, 2016. Even though we meet the requirements in Ontario, we continue our efforts to comply with national and international requirements in order to ensure that our credit union remains financially strong and stable.
stAtement of incomeDuring the last fiscal year, your credit union generated $6.3 million in net profit.
Interest income totalled $25 million, up 3.9% over the previous year. Interest expenses increased by 16.6%, to $10.4 million. Credit losses totalled $206,000, i.e., 0.02% of the entire portfolio of loans granted to individual members and businesses.
Other income, generated largely from the distribution of Desjardins products and services, totalled $7 million.
Variances in other income and operating income between 2015 and 2016 mainly resulted from the sale of our building located on Lasalle Boulevard in Sudbury, which was a one-time transaction affecting our income for 2015.
Other expenses showed a slight increase overall, i.e., a 1.2% variance, and totalled $15.1 million.
1 Variances are calculated using whole numbers from the financial statements.
compArAtive finAnciAl DAtAThe amounts have been rounded for easier reading.
2015
2016
Variation
Assets($M)
chAnge in bAlAnce sheet items
liAbilities($M)
equity($M)
73.3874.1947.4856.4793.3 63.2
+10.6% +10.2% +16%
interest income($M)
chAnge in income stAtement
interest expenses($M)
provision for creDit losses($M)
0.2
10.4
2524.1
8.9
0.6
+3.9% +16.6% -64.8%
other income($M)
other expenses($M)
operAting income($M)
6.3
15.1
7
9.5 14.99.2
-26.7% +1.2% -31.2%
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investment funDsThese funds allow the Fédération des caisses populaires de l’Ontario inc. to coordinate investments in Desjardins Group subsidiaries.
Through their activities, these subsidiaries enable the credit unions to have greater outreach by offering a full range of financial products and services to individuals, groups and businesses.
The credit union contributed $22.5 million to this fund and the return on investment at year-end was 11.41%.
Like Desjardins Group in its entirety, your credit union must ensure strong capitalization despite the current environment. International standards applied to financial institutions, initiated by the Basel agreements, requires us to review products that comprise our capital. Therefore, the group of Ontario Desjardins caisses populaires/credit uinons have collectively decided not to distribute dividends this year. By ensuring the right balance between financial market rules and regulations and our members’ needs, we can ensure the sustainable development of our credit union.
moDern tools AnD proDuctsMore and more of you are using the Desjardins mobile applications. Available 24/7, these applications offer the possibility to pay bills, transfer funds or invest in exclusive financial products. Your financial autonomy goes hand in hand with the tools we place at your disposal, and we owe our sustainability and relevance to our ability to create effective tools that meet your needs.
In the coming years we will be installing new ATMs to replace our current machines, which have become obsolete. The new models will offer the features needed to carry out your transactions, while ensuring a simple and fast experience. This will provide an opportunity for the credit union to conduct a needs analysis of automated services so it can better meet the needs of its members based on their financial habits.
A teAm DeDicAteD to youOur 105 employees are ready to help you achieve your financial objectives and carry out your projects. I am grateful for their commitment and their engagement, which are central to the quality of our services. It is also thanks to them that Desjardins Group continues to stand out as one of the best employers in Canada. This recognition confirms Desjardins’ position as a leading employer that is close and committed to its employees.
I would also like to point out the contribution of our directors. Their dedication to the credit union and the community enables us to promote our cooperative nature.
By working together, we can build a stronger institution and a more dynamic society.
Jean-Marc SpencerExecutive Director
Agostino, StephanieAit-Ouazzou, NassimAllard, JoanneArbour, MoniqueArseneau, DianeAudet, TanyaBeauchamp, DavidBélanger, JeannetteBélanger, JesseBellehumeur, KierstenBertrand, LucieBoffice, TaraBoucher, BrookeBrisebois, SimonBrunet, GinetteBurke, SandraCaverson, SuzanneChajar, MaryemCheetoo, AnilChhaibi, Adil Chiasson, JulieCouture, AndréeDaoust, PaulDel Bosco, JulietteDesbois, SylvieDeschamps, AndréDiotte, ThérèseDipietro, CarmelaDubois, MoniqueFillion, Jean-ClaudeFletcher, VanessaFleury, VanessaFournier, CaitlinGagnon, Martin
Gévry, TaniaGilfillan, CurtisGingras, SophieHaché, LineHewitt, ColetteHoule, JulieJanelle, AnneJoly, Chantal Kapustik, LisaKatchen, Leslie AnnKeyes, SylvieLacelle, BrigitteLacelle, ChristianLaferrière, AlexandreLafrenière, PierretteLarcher, JulieLaybourne, CarolynLefebvre, LietteLefrançois, ZaccharieLemelin, MelikaLemire, JulieMacameau, Carol-AnnMacDonald, SuzanneManirakiza, MichaelManley, SylvieMarion, NicoleMartelli, AdamMathieu, NinaMayer, ClaudetteMcLaughlin, LynnMerkley, MeganMoore, JustineMorin, AdamMorzsolos, Samantha
Péron, ChantalePhilion, TaniaPitre, Sherri-LynnPlante, FrancinePlante, StéphanePothier, BrigittePothier, MélaniePoulin, LuciePréseault, JoséePréseault, JustinQuenville, Theresa-MarieRacine, PaulineRacine, SuzanneRancourt, MélanieRaymond, JanikRicketts, JulieRivard, SylvieRobert, PauletteRoy, JacintheRuddy, JoséeSarhan, AntoineSchacherl, ClaudetteSéguin-Bisaillon, CoreySpencer, Jean-MarcTcheconi, SoradjouThibert, AlainTremblay, TrishaVaillancourt, RachelleVatinel, SandrineVenne, MoniqueViau-Léger, MélanieWelton, MoniqueWills, Joanne
employees
boArD of DirectorsRobert J. Boucher ChairPatrick Plourde* Vice-chairCarmen Bouchard DirectorJean-Marie Comeau* DirectorSuzette Fabris* DirectorJosée Forest-Niesing* DirectorLouise Gervais-Guy DirectorTahani Joubeily Director
Bululu Kabatakaka DirectorMichel Lavoie DirectorRoger Robitaille DirectorNoémie Théberge DirectorDaniel Venne DirectorÉmilie Charrette Young Intern Officer
* Outgoing directors eligible for re-election
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In 2016, the Audit committee fulfilled its responsibilities pursuant to the Credit Unions and Caisses Populaires Act, 1994 and any regulations thereunder. The committee met five (5) times to review the credit union’s operations and the various elements involved in managing the credit union. In compliance with its administrative rules, the committee fulfilled its responsibilities in terms of the supervision of ethical and cooperative aspects.
The audit committee:
• Analyzedtheindependentauditors’mandateandauditplanandrecommendedthem and any resulting fees to the Board for approval.
• Reviewedtheindependentauditor’srecommendationsandreportsregardingthe credit union’s commercial activities, financial statements, and credit union management’s response to this issue, and presented recommendations to the Board for approval.
• ReviewedandrecommendedtheauditedannualfinancialstatementstotheBoard.
• Reviewed the planning and efficiency of the credit union’s internal auditpractices and made recommendations to the Board to address any deficiencies.
• Recommended to theBoardmeasures to take toprotect the creditunion’sassets, ensured the accuracy and reliability of accounting data, ensured that the credit union was in compliance with the applicable policies, loan and investment processes as well as addressed any questions regarding the credit union’s financial policies.
• Reviewedthecreditunion’spoliciesandprocessesgoverninghowitcomplieswith the requirements set forth in the Act and any other applicable law.
monitoring professionAl ethics Every year, the credit union’s directors and employees renew their commitment to comply with the Desjardins Code of Professional Conduct. The Code sets out the behaviours that are expected as well as those that are not acceptable.
The Audit committee has ensured that the directors and employees have taken into account Desjardins’ values to guide their conduct.
Following is a supervision report for the past year concerning the rules of professional conduct:
• Noconflictofinterestsituationswerenoted.
• Depositsfromandloanstorestrictedparties1 of the credit union were granted in accordance with the credit union’s code of ethics and applicable rules of professional conduct.
• Thecreditunionanditsbranchesdidnotgrantanycontractsforthesupplyof goods and services to restricted parties subject to the Code or any related persons.2
monitoring of cooperAtive AspectsWith regards to the supervision of cooperative aspects, the Audit committee must ensure that Desjardins values are an integral part of the credit union’s business and management practices. It must also make sure that the credit union contributes to the development of its communities and the economic and financial education of its members. Lastly, it ensures that members are informed about topics of importance to them.
Over the past year, the committee’s activities focused on the following:
• memberparticipationinthecommunity,especiallymechanismsestablishedbythe credit union to inform, listen and consult members;
• activities and resources made available to members to assist them withfinancial management;
• strategiesestablishedbythecredituniontoimprovemembersatisfactionandmeet their needs;
• thesupportofcommunitydevelopment,inparticularthroughtheCommunityDevelopment Fund and the granting of donations and sponsorships;
• intercooperationbetweenthecreditunionandothertypesofcooperatives.
The Audit committee is satisfied with the work carried out in the past year.
I would like to thank the members of the committee for their contribution, and the executive director for helping us deliver on our mandate.
Carmen BouchardChair of the Audit committee
report from the chAir of the AuDit committee
1. Restricted parties: credit union directors, officers and general managers, directors of the Fédération des caisses populaires de l’Ontario and any related persons.
2. Restricted parties subject to the Code: restricted parties, credit union employees and managers and any related persons.
Directors’ remunerAtion AnD AttenDAnce
Renumeration In person Conf. callAudit committeeBoard meetings
In person Conf. callOther committees
and eventsBoard of DirectorsExecutive committee In person Conf. call
Boucher, Robert J. $11,650 11/11 3/3 4/4 1/1Bouchard, Carmen $3,570 11/11 3/3 4/4 1/1 Comeau, Jean-Marie $3,160 11/11 2/3 4/4 1/1 3Fabris, Suzette $2,950 10/11 2/3 3/4 1/1 Forest-Niesing, Josée $3,040 8/11 3/3 3/4 1/1 8Gervais-Guy, Louise $3,160 11/11 3/3 2/4 5Joubeily, Tahani $2,540 10/11 3/3 2Kabatakaka, Bululu $2,680 9/11 2/3 3/4 1/1Lavoie, Michel $2,670 11/11 3/3 Plourde, Patrick $2,820 10/11 1/3 4/4 1/1 1Robitaille, Roger $2,680 9/11 3/3 3/4 1/1Théberge, Noémie $2,340 9/11 3/3 2Venne, Daniel $2,880 11/11 3/3 4Charette, Émilie $1,000 8/11 0/3
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2016 buDget AllocAtion
Every time you do business with Desjardins, you are choosing a cooperative financial group that invests in your community and helps enhance people’s lives and the communities in which they live. The year 2016 was marked by initiatives that showcased the credit union’s distinctive nature. We held a number of activities that were aligned with the needs of our members. We also supported community initiatives and contributed to financial education by giving back more than $210,000 to our communities in the form of sponsorships, donations and scholarships.
our cooperAtive Difference education and youth
health and co-operation
culture and community services
total: $210,143
events, pArtnerships AnD sponsorships
$77,457
$53,854
$78,832
finAnciAl eDucAtion In 2016, Desjardins announced a $50,000 financial partnership with the Conseil de la coopération de l’Ontario (CCO) to set up the Personal Finance: I’m in Charge! program. This financial education program was created for youth, ages 16 to 25, who want to learn more about finances and make informed decisions and choices as consumers, students and workers.
Zoom in on the mArket contest AnD finAnciAl eDucAtion WorkshopsThe contest’s objective is to motivate students to increase their knowledge of the stock market and develop research skills by giving them an opportunity to buy and sell shares on a mock stock market. Over 250 high school students from the Greater Sudbury and Toronto areas participate every year.
In addition, the credit union offered more than 50 financial education workshops in elementary and secondary schools in its areas.
DesjArDins school cAisse progrAm The school caisse is a financial education program offered in 18 elementary schools in our areas. Kids, parents and teachers have access to the school caisse’s educational content and games at www.schoolcaisse.com. In 2016, $1,600 in youth dividends were paid out to students who made at least seven deposits during the year.
École seconDAire Du sAcrÉ-cœur: 20 yeArs of commitment The students and staff celebrated alongside credit union employees and directors who organized a barbecue commemorating the 20th anniversary of the student caisse. This program gives high school students a chance to learn how to manage a small credit union, while kindling their individual and collective entrepreneurial spirit.
Desjardins Voyageurs Credit Union gave away 18 bicycles to some lucky young members of the school caisse program at their annual bicycle giveaway.
young intern officer progrAmThis program is an opportunity for people between the ages of 18 to 30 to contribute to the overall performance of their credit union by sitting on the Board of Directors. They play an active role in board meetings but have no voting rights. At the credit union, Émilie Charrette has the chance to experience this unique, enriching program.
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Head Office531 Notre-Dame AvenueSudbury ON P3C 5L1705-674-4234•desjardins.com/voyageursFollow us on Facebook! Desjardins Greater/Grand Sudbury
Sudbury Region St-Jean-de-BrébeufLasalleSudbury-SudSte-AnneConiston
Toronto Region MississaugaAuroraOshawaToronto (2)
Simcoe Region Midland
Great North Region Thunder Bay
brAnches AnD offices
Desjardins Member Advantage at Cinéfest: our members got a free bag of popcorn!
For Saint-Jean-Baptiste Day, our employees made pancakes to raise funds for community organizations.
DeDicAteD employeesOur employees supported a number of causes and donated more than $2,500 to community organizations, including United Way, the children’s food bank, the Centre Victoria pour femmes and many more.
$4,000 for the miDlAnD culturAl centreThe credit union is a proud sponsor of the Midland Cultural Centre (MCC) and members are able to receive a 10% discount on tickets for all MCC produced events.
intercooperAtion With other DesjArDins brAnches in greAter suDbury In the spirit of co-operation, your credit union has joined forces with other Desjardins branches in Greater Sudbury to support various local events and organizations such as the Sudbury Hospice, the Art Gallery of Sudbury, La Slague, the Northern Cancer Foundation, and Cinéfest. In 2016, the partnership with the Sudbury Wolves was renewed, giving Desjardins members a $2 discount on the purchase of a ticket.
•25,283members•13directorsand1younginternofficer•105employees•18branchesandagencies•12ATMs•$2.52billioninbusinessvolume•morethan$210,000distributedtoourcommunities
your creDit union in numbers
EXCLUSIVE MEMBER ADVANTAGES
As a member of the leading cooperative financial group in Canada, you can enjoy exclusive discounts, privileges and assistance services.
In2016,yourcredituniongaveout24,253DesjardinsMember Advantages for a total of $156,541.
Learn more: desjardins.com/advantages
