https://www.coosapinesfcu.org

Federally Insured by NCUA

MISSION STATEMENTMaximize member benefits by providing cost-effective services while maintaining financial soundness and promoting the philosophy of the credit union movement.

• Call to Order

• Invocation

• Ascertain a Quorum

• Acceptance of the Minutes of the 69th Annual Meeting held March 25, 2019

• Opening Remarks

• Chairman’s Report to Membership Report of Directors

• President’s Report to Membership

• Report of Committees

• Unfinished Business

• New Business

• Nominating Committee Results

• Adjournment

70TH ANNUAL MEETING AGENDA 2019 ANNUAL MEETING MINUTES

• The 69th Annual Meeting was held March 25, 2019 at the Limbaugh Community Center in Childersburg, Alabama with approximately 315 members in attendance.

• Chairman Gene Welch called the meeting to order at 7:00 PM.

• The Invocation was led by Jimmy Johnson.

• The Pledge of Allegiance was led by Mark Haynes, followed by the National Anthem by Wes Allen.

• Chairman Gene Welch ascertained there was a quorum present and gave the Chairman’s Report.

• Chairman Gene Welch entertained a motion to accept the prior meeting’s minutes as included in the Annual Meeting Report. On a Motion and Second, the minutes were approved.

• Opening remarks were given by Chairman Gene Welch.

• Chairman Gene Welch presented to the members the Membership Report of Directors.

• President/CEO Don Carden gave the President’s Report.

• Chair of the Supervisory Committee Edwina Gaither gave the Supervisory Committee’s Report.

• The Reports were approved as printed and included in the 2018 Annual Report.

• Directors elected for new three-year terms were Roger Barnett and Gene Welch.

• There was no Unfinished or New Business.

• Members were entertained by Wes Allen and the Nashburg band, which was followed by Prize Drawings.

• A motion to adjourn was made and seconded, and the meeting adjourned at 8:00.

I’ve been doing business with Coosa Pines Federal Credit Union for 53 years. I changed from a bank because there is no comparison to the friendly service. They are like family and I treat them that way.

- JOHNNY A. (FACEBOOK)

As we commemorate Coosa Pines FCU’s 70 years of service, it is natural to look back on the challenges and changes experienced through the decades. Whether personally, financially, politically, or socially, a great deal happens in 70 years. Yet we are facing an ordeal the magnitude of which we have not seen in the history of our credit union, a global pandemic called Coronavirus. As the virus grows and spreads, tensions and fears mount. The daily news reports reactions ranging from panic to denial to sensible preparation. World leaders do not know what lies ahead.

While monitoring the progression of the virus, our management team has gone about preparing for the worst. We have plans in place for these sort of things, natural disasters and the like. There are plans that allow us to continue to serve our members in case of disaster. Because of this preparation, Coosa Pines has remained steady amidst the storm. There are several factors that have worked in our favor: our staff, our technology, and our stability.

The credit union pledged that members would have uninterrupted access to deposits and loans. Yet to protect the health of members and employees, we adopted social distancing and closed our lobbies. Putting distance between the members and staff could have removed the personal aspect of our service. Instead, our employees have conducted business at the drive thru, by phone, and online with the same focus on excellence, finding alternative methods to meeting member needs.

The fact that the credit union has stayed abreast of current technology has also played a major role in business continuity. Most transactions can be made in the safety of members’ own homes through an Online Banking system that offers complete access to accounts, loan applications, and now credit monitoring through the CP CREDITCHECK service. These services, in addition to mobile check deposits, can also be made through our smartphone apps. At the end of March, the credit union introduced a new app, CP CARDCOMMAND, which allows members to lock their debit and credit cards when not in use, providing an additional tool in fraud prevention. When it comes to technology, Coosa Pines is competitive with even the largest banks and credit unions, all at no cost to members.

Finally, members can rest assured that their deposits are safe. Coosa Pines Federal Credit Union is one of the most stable financial institutions in Alabama. Deposits are federally insured by the National Credit Union Share Insurance Fund, which is administered by the National Credit Union Administration. The Fund insures individual accounts, IRAs, and a member’s interest in joint accounts up to $250,000 each.

Because of our ongoing stability, Coosa Pines can offer an additional $250,000 in Excess Share Insurance (ESI) through American Share Insurance, the nation’s largest provider of private share insurance for credit unions since 1974. As with NCUA insurance, ESI coverage may be more than $250,000 when considering individual, retirement, and joint accounts. In fact, there is no safer place to keep your money.

This credit union, established by a handful of papermill employees in 1950, has endured and thrived through seven decades of natural disasters, boom and bust economies, political swings left and right, and widespread social challenges. We have survived, and will survive, by relying on each other. A great deal has happened in our 70 years, but almost 23,000 of us still belong to this credit union. That is why we say, “Coosa Pines Federal Credit Union… Where You Belong.”

Thank you, and be safe,

Donald W. Carden, President/CEOCoosa Pines Federal Credit Union

PRESIDENT’S REPORT

We have plans in place for these sort of things, natural disasters and the like. There are plans that allow us to continue to serve our members in case of disaster.

When it comes to technology, Coosa Pines is competitive with even the largest banks and credit unions, all at no cost to members.

Coosa Pines Federal Credit Union is one of the most stable financial institutions in Alabama… In fact, there is no safer place to keep your money.

Great service, friendly tellers. Loan officers who will work with you on all your loan needs.

- JUDITH G. (FACEBOOK)

It was another great year for Coosa Pines Federal Credit Union. The Committee’s quarterly and annual audits for 2019 were excellent with no issues, and member satisfaction and security were exceptional.

The Supervisory Committee is appointed each year by the Board of Directors to act in the members’ best interest. The Supervisory Committee is required by the Federal Credit Union Act and most state credit union laws. The Committee is not responsible for making operating decisions but does play a critical role in the credit union’s success.

The Supervisory Committee must ensure that the Board’s plans and policies are reasonable, and that the financial condition of the credit union is accurately and fairly presented in its financial statements. The Committee must also confirm that the credit union’s management practices and procedures are sufficient to safeguard members’ assets by protecting the safety and soundness of the credit union along with the security of members’ accounts. The Committee does this by making sure that internal controls are tested regularly.

Supervisory Committee members must have a clear understanding of procedural requirements and keep abreast of legislative and regulatory changes that may affect the scope of their responsibilities.

To meet these general goals, the Committee is responsible for determining whether the credit union management teams have:

1. Established and maintained effective internal controls to achieve the credit union’s financial reporting objectives. Made sure a complete and thorough audit of the credit union’s records and operations, including a verification of member loan and share accounts, is conducted at least once a year.

2. Verified that adequate internal controls are established and effectively maintained to safeguard the credit union’s assets, and that accounting records and financial reports are promptly prepared and accurately reflect operations.

3. Properly administered the relevant plans, policies, and control procedures established by the Board of Directors to safeguard against error, carelessness, conflict of interest, self-dealing, and fraud.

4. Ensured that the credit union is in full compliance with all relevant laws and regulations.

The Supervisory Committee’s certified public accountants perform four scheduled quarterly and one annual audit per year. All audits for 2019 were within compliance with no findings. The Committee works with the auditors, Board, and management if any audit results need to be addressed and ensures that appropriate changes are implemented. The Committee also reviews members’ online security controls and our information security systems, procedures, and policies that serve as a deterrent to theft. These systems prevent our documents that exist on our network from being stolen and used for identity theft purposes. Finally, the Committee investigates member complaints. For the year 2019, the audits in all categories by all auditors were rated above most credit union peers.

The goals for 2019 have been met by Coosa Pines Federal Credit Union.

Edwina Gaither, Chairman Peggy Berryman, Member Wayne Hall, MemberJoe Allen, Member Mack Lee, Member

SUPERVISORY COMMITTEE REPORT

The Committee would like to report that goals for 2019 have been met by the credit union, with continued growth in membership and assets.

The best place to bank in Pell City. Great people, great service, great all around!!

- LYNN S. (FACEBOOK)

ASSETS Gross Loans 154,980,446 Less: Allowance for Loan Losses -1,120,166NET LOANS 153,860,280 Investments & Cash 87,699,591 Fixed Assets 5,204,689 Other Assets 3,699,213 TOTAL ASSETS 250,463,773 LIABILITIES, Member Savings and Reserves Accounts Payable 1,589,924 Notes Payable 0 Member Deposits 212,382,844 Reserves 36,491,005 TOTAL LIABILITIES AND EQUITY 250,463,773

INCOME STATEMENT INCOME Interest on Loans 8,108,911 Total Interest Refunds -266,823 Income from Investments 1,904,015 Other Operating Income 3,547,997 TOTAL INCOME 13,294,100 EXPENSES Operating Expenses 7,977,504 Provision for Loan Loss 1,055,886 Return to Membership 1,527,606 TOTAL EXPENSES 10,560,996 INCOME FROM OPERATIONS 2,733,104 Total Non-Operating Gain/Loss -186,458NET INCOME 2,546,646

STATEMENT OF FINANCIAL CONDITION

2019 BY THE NUMBERS

$317,446given to members in bonus dividend & interest refund

22,925total members

$16,000awarded in

scholarships

OVER $10,000bought Christmas gifts for 150 children in need

$250,463,773in total assets

$212,382,844in total deposits

$1,527,606returned to members

$2,604donated to Children’s Hospital

96%approval rating

OVER $154 million in loans

OVER $1.5 million loaned to small businesses

56 EMPLOYEESand 6 college interns

$11,263,689increase in loans over 2018 including 152 home loans and 1,737 auto loans

$6,635,884increase in deposits over 2018

23,000Facebook followers

$35,000in donations to schools & community programs

Credit unions worldwide have a common mission of meeting the credit and savings needs of consumers; they exist to serve all members well, including those of modest means who have traditionally been underserved by banks and other institutions. Beyond this mission, they seek to improve the lives of members and others by promoting financial literacy, supporting worthwhile charities, and volunteering in their own communities.

CHILDERSBURG33710 US Hwy 280Childersburg, AL 35044(256) 378-5559

SYLACAUGA 255 James Payton Blvd Sylacauga, AL 35150 (256) 245-7110

CHELSEA 9571 Old Hwy 280 Chelsea, AL 35043 (205) 678-3600

PELL CITY 2708 Stemley Bridge Rd Pell City, AL 35128 (256) 378-5559

VINCENT 42828 Hwy 25 Vincent, AL 35178 (205) 672-7169

EXPRESS LINE 1-800-794-5693

coosapinesfcu.org