2018Annual Report7275 Members

46% of Members receive eStatements (up 2% from 2017)

Funded 699 auto loans and 50 mortgages

878 Facebook Followers

Added a net total of 283 checking accounts

eBranch - online banking is used by 78% of Membership

78 MY (Members Youth) Accounts were opened in 2018

Checking 2.0 users earned an average of $3.33/mo (that’s $40 in one year)

Interesting Tid bits of 2018

A look back at our Random Acts of Kindness

Credit Committee Report

Audit Committee Report

Loan demand continued to strengthen in 2018. Auto loans and mortgage lending fueled loan growth. Loan losses and delinquencies remained well within acceptable levels.

2018 ended with $46,354,406 in loans outstanding. 2,347 new loans totaling $26,203,750 were approved during 2018. The credit union helped 68 members purchase or refinance their homes in 2018, totaling almost $8.5 million, including several first-time home buyers. The number of loans granted since organization is 83,020 exceeding $410,038,808.

The audit committee has contracted Petersen & Associates to conduct a semiannual review and year-end opinion audit of the credit union’s financial statements, accounting practices, and internal procedures. They have recently issued their report for our review. The audit report indicates that management is properly accounting for the operations of the credit union.

The credit union was also examined by the Credit Union Division of the State of Iowa in April of 2019. Any and all issues relating to the examination have been addressed by management in a timely and appropriate manner.

Board of DirectorsDon BottorffMegan Francis - SecretaryTim Chapman - President/CEOBrooke MehaffeyJoan Trullinger - Chair

Mike Nelson - Vice ChairSue MarxPhil Schliesman

Our board is comprised of volunteers who are elected by the membership (you guys) & we appreciate the time they dedicate to our/your credit union. Thank you, Board of Directors!

Shredded Chicken on Hawaiian Buns with various sauce toppings of your choiceButtered CornPotato ChipsMacaroni SaladMini Apple Pies

As Chairman of the Board of Directors, I am pleased to report another successful year for your credit union. Your continued participation has improved the financial lives of your fellow credit union members & allowed you to save more, earn more, and pay less in fees and interest than you otherwise would through for-profit banks. Our credit union and others like it are proof the cooperative model is alive and well. As a not-for-profit, member-owned cooperative, we are able to act in the best interest of the membership, not stockholders maximizing profits.

The more members return to the credit union for loans and deposit services, the more the credit union is able to return to you! So for that reason, we encourage you to refer your friends and families to come to the credit union for their financial needs.

The board of directors represents you, our member-owners, so we encourage your feedback. Please feel free to contact any of us or the credit union management team with your questions or concerns. We are always looking for ways to improve. Together we’re better!

Chairman of the Board Report

The Meeting Agenda5:30 Grab a beverage, socialize and find a seat5:45 Dinner will be served6:15 Meeting Time Called to Order Secretary’s Report Chairman’s Report President’s Report Financial Report Credit Committee Report Audit Committee Report Old Business/New Business Meeting Adjourned Prize time (woot, woot!) Annual gift will be passed out

The end of 2018 capped our most successful year ever. Net Income topped $465,300, which allowed our net worth to build to over 10.3% of assets. Our loan to share ratio approached 98%, meaning for every one dollar in share accounts almost 98 cents were loaned back to members. Our best investment is in you, our members, and contributed to this year’s outstanding results. It is this cooperative principle of people helping people that serves as our foundation for everything we do as we provide products and services to improve your financial lives.

Technology continues to be a point of emphasis in our service delivery to you. We want you to experience the same level of service regardless of your preferred point of contact-whether it be face-to-face, over the phone, online, or mobile. Look for major upgrades in our online and mobile services this fall, including mobile deposits, instant text alerts, and more.

The upgrades to our online and mobile services won’t be the only upgrade happening. In September we will complete our most extensive data processing upgrade in 20 years. This upgrade will

allow us to become more efficient, enhance our product offerings and personalize your experience.

Fraud continues to be a concern and takes many forms. For our front line staff, it includes closely monitoring paper check deposits for counterfeits & scams. We don’t ask to be nosy, we ask for your protection. If an unexpected check comes from an unknown source, we, and you should be cautious. For electronic transactions, unauthorized debits, debit card compromises by negligent merchants, and tax refund identity theft are the main culprits. And of course, the ongoing online scams including Nigerian princes, lottery winnings, online dating, secret shoppers, and eBay/Craigslist scammers are just a sample of what we see. We closely watch trends & identify potential scams to help protect you. Just remember, if it sounds too good to be true, it is!

We know you have a choice in where you conduct your financial business and we strive to be the best choice through products, pricing, service and convenient access to your credit union. We strongly encourage and welcome any feedback from our membership. Thank you for the opportunity to serve you! Together we’re better!

President’s Report

ASSETS 2018 Loans to Members $46,354,406 Allowance for Loan Loss $(169,481) Cash & Cash Equivalents $2,653,356 Total Investments $4,276,403 Land and Buildings $2,594,800 Other Fixed Assets $146,049 Other Assets $3,159,303

TOTAL ASSETS $59,014,836

LIABILITIES & CAPITAL Dividends Payable $21 Accounts Payable $1,039,687 Notes Payable $4,500,000 Shares $22,016,063 Share Drafts $9,765,677 Share Certificates $11,139,997 IRAs $2,360,236 Other Shares $2,079,327 Regular Legal Reserve $2,413,090 Other Reserves $3,472 Undivided Earnings $3,231,965 Net Income from Operations $465,301 TOTAL LIABILITIES & EQUITY $59,014,836

2018

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t $500 Scholarship

SAVE THE DATE

Did You Know?

There’s still time to get applications in for our annual $500 Scholarship, applications are due May 17th. You must be a member and a high school senior planning to enroll in a two- or four-year undergraduate degree/program to be eligible. See website or stop in for more information or to apply.

You heard it here first...we have a BIG change coming this fall, specifically LABOR DAY WEEKEND, as our entire system is getting a major UPGRADE.

You’ll probably get tired of us reminding/telling you how and what this will affect, but bear with us as everything we share (and there will be LOTS) will be of the utmost importance, heck you might even end up being a winner of something awesome! But we cannot stress enough to READ, REVIEW, and SAVE what we send you, as it could easily alleviate a headache down the road. Come September 3rd, we will be on a brand-spankin’ new system.

Add your email address to your account to stay in the loop with all things related to the upgrade and more!

We will rate match local competitors CD rates and/or CD specials. Simply bring in a copy of the advertised rates and ask. Some exclusions may apply, but it never hurts to check.

Test Your Knowledge - TriviaThe Federal Reserve estimates there is currently ________ in U.S. Currency in circulation. A) $1.91 Billion C) $1.67 Trillion B) $98.6 Million D) $2.64 Quadrillion

Did You Know - The Bureau of Engraving and Printing (aka the Money Factory) has two facilities and together they use 9.7 tons of ink PER DAY! C. 1.67 Trillion

The Grub Catered by The Rendezvous