2018-11-15T13:48:48-06:00 2017-12-31 382492570 DOEREN MAYHEW 305 WEST BIG BEAVER ROAD TROY MI 48084 990 2017-01-01 381489454 CREDIT UNIONS CHARTERED IN THE STATE OF MICHIGAN CRED 9898355100 600 W WACKERLY STREET MIDLAND MI 48641 CHARLES OTTO VICE PRESIDENT 9898355100 2018-11-15 1 JACK C TRACY P01974742 2482443000 64.95.240.2 2018-11-15 12:41:35 ES P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 A7DB26C3BB201601930FCFA0C4651552B54C26A2 2017 2019-02-21 02:37:17Z MEMBERS FIRST CREDIT UNION ERIC BRUBAKER 600 W WACKERLY STREET MIDLAND MI 48641 30763702 0 X WWW.MFCU.NET X 1936 MI THE MISSION OF MEMBERS FIRST CREDIT UNION IS TO ENCOURAGE A BETTER TOMORROW. 12 12 234 17 29292 0 0 0 25286874 28227636 1304748 2355681 0 11824 26591622 30595141 0 0 0 0 9182065 11244199 0 0 0 13940963 14601129 23123028 25845328 3468594 4749813 390656272 475692884 348616423 423066026 42039849 52626858 X OUR PROMISE IS TO BE TRUSTWORTHY, CARING AND ENTHUSIASTIC TO HELP MEMBERS SUCCEED. AT OUR CORE, WE WILL DELIVER EXCELLENCE THROUGH KNOWLEDGE. WE CAN BE DEPENDED UPON TO DO THE RIGHT THING AND EXCEED MEMBER EXPECTATIONS. WE ARE COMMITTED TO ENCOURAGEMENT AND POWER OF POSTITIVITY. 0 0 PROVIDED ALMOST 41,000 LOANS TO MEMBERS, INCLUDING CONSUMER, REAL ESTATE, CREDIT CARD AND SMALL BUSINESS LOANS. OFFER OVER 61,000 MEMBERS METHODS TO INCREASE THEIR FINANCIAL WELLBEING WITH SAVINGS, CHECKING, CERTIFICATES OF DEPOSIT AND OTHER DEPOSIT AND INVESTMENT PRODUCTS AND OPTIONS. OFFER MEMBERS VARIOUS METHODS TO ACHIEVE THEIR FINANCIAL GOALS THROUGH PERSONAL CONTACT, ELECTRONIC AND ONLINE SERVICES. 0 0 0 0 0 0 0 0 0 1 1 0 0 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 10277 0 1 234 1 1 1 0 0 0 0 0 X 12 12 0 0 0 0 1 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 X MEMBERS FIRST CREDIT UNION 9898355100 600 W WACKERLY STREET MIDLAND MI 48641 ROBERT COOPER CHAIRPERSON 4.00 X 0 0 0 KEVIN BROTT VICE CHAIRPERSON 4.00 X 0 0 0 GEORGE YOST SECRETARY 4.00 X 0 0 0 LARRY SHERWOOD TREASURER 4.00 X 0 0 0 DAVID THOMPSON DIRECTOR 4.00 X 0 0 0 DIANE BECHTEL DIRECTOR 4.00 X 0 0 0 ELIZABETH CHRISTIANSEN DIRECTOR 4.00 X 0 0 0 DAVID CRONK JR DIRECTOR 4.00 X 0 0 0 CLARE TAYLOR JR DIRECTOR 4.00 X 0 0 0 JOSEPH ASHCROFT DIRECTOR 4.00 X 0 0 0 ERIC BRUBAKER PRESIDENT/CEO 40.00 X 291100 0 35598 CHARLES OTTO VP OF FINANCE 40.00 X 127200 0 35898 CARRIE IAFRANTE EVP OF DEVELOPMENT 40.00 X 192642 0 27899 AMY GARVER VP MEMBER SERVICES 40.00 X 110860 0 20833 PAMELA AYERS VP LENDING 40.00 X 107060 0 17880 JEREMY GOLDSWORTHY VP IT 40.00 X 110860 0 20833 JOSEPH WEHNER COMM SERV DIR 40.00 X 118257 0 21637 1057979 0 180578 7 0 1 0 FIDELITY NATIONAL INFORMATION SERVICES 601 RIVERSIDE AVENUE JACKSONVILLE FL 32204 PAYMENT AND NETWORK SYSTEMS 1380618 JACK HENRY & ASSOCIATES INC 663 W HIGHWAY 60 MONETT MO 65708 CORE PROCESSING SYSTEMS 891549 DOXIM 747 E WHITCOMB AVE MADISON HTS MI 48071 STATEMENT PROCESSING 449195 Q2 13785 RESEARCH BLVD STE 150 AUSTIN TX 78750 ONLINE BANKING SYSTEMS 393087 MAINLINE INFORMATION SYSTEMS INC 1700 SUMMIT LAKE DR TALLAHASSEE FL 32317 NETWORK SYSTEMS AND IT SOLUTIONS 179358 16 LOAN INTEREST 522100 17751720 17751720 FEES AND OTHER 522100 10446624 10446624 UNRELATED BUSINESS INCOME 900099 29292 29292 28227636 2167427 2167427 32098 20274 11824 11824 11824 336541 148287 188254 188254 188254 30595141 30565849 29292 0 489796 8425529 510000 1092062 726812 37384 144137 330926 820667 4976149 817119 121210 365414 1544031 1682426 127293 PROVISION FOR LOAN LOSS 2225370 LOAN SERVICING FEES 1144925 MERGER RELATED EXPENSES 200810 LOSSES ON DEPOSIT ACCOU 63268 25845328 6230562 7104218 17962332 26626299 77435 734954 890639 242434563 291390378 664008 902787 24088256 7915780 14549536 16172476 38692906 61130886 61183189 60047033 615980 8861741 10077234 390656272 475692884 2655860 5672439 345960563 417393587 348616423 423066026 X 0 0 0 0 42039849 52626858 42039849 52626858 390656272 475692884 X 4749813 -652590 6489786 X X 0 1 X 1 0 2899065 2899065 13994135 4168619 9825516 122387 64768 57619 7072669 3682393 3390276 16172476 CMC INVESTMENT VALUATION 89424 C BROKERED CD'S 58130615 C CUSO INVESTMENTS 388550 C FHLB STOCK 666400 C TRUST FOR CREDIT UNIONS 490644 C ALLOYA CORPORATE PIC INVESTMENT 281400 C 60047033 MEMBER DEPOSITS 417393587 417393587 X 30595141 0 30595141 0 30595141 25845328 0 25845328 0 25845328 PART X, LINE 2: MEMBERS FIRST CREDIT UNION IS EXEMPT, BY STATUTE, FROM FEDERAL INCOME TAXES ON INCOME RELATED TO THE EXEMPT PURPOSE OF THE CREDIT UNION. THE CREDIT UNION IS A STATE-CHARTERED CREDIT UNION DESCRIBED IN INTERNAL REVENUE CODE ("IRC") SECTION 501(C)(14). AS SUCH, THE CREDIT UNION IS EXEMPT FROM FEDERAL TAXATION OF INCOME DERIVED FROM THE PERFORMANCE OF ACTIVITIES THAT ARE IN FURTHERANCE OF ITS EXEMPT PURPOSES. HOWEVER, IRC SECTION 511 IMPOSES A TAX ON THE UNRELATED BUSINESS INCOME (AS DEFINED IN SECTION 512) DERIVED BY STATE-CHARTERED CREDIT UNIONS. MANY STATES HAVE SIMILAR LAWS. THE SPECIFIC APPLICATION OF SECTION 512 TO THE VARIOUS ACTIVITIES CONDUCTED BY STATE-CHARTERED CREDIT UNIONS HAS BEEN AN ISSUE FOR MANY YEARS. IN 2007, THE INTERNAL REVENUE SERVICE ("IRS") ISSUED A SERIES OF TECHNICAL ADVICE MEMORANDA ("TAM") TO A NUMBER OF STATE-CHARTERED CREDIT UNIONS LOCATED THROUGHOUT THE COUNTRY. IN THESE TAMS, THE IRS RULED CERTAIN PRODUCTS AND SERVICES TO BE SUBJECT TO TAXATION AS UNRELATED BUSINESS INCOME. IN LIGHT OF THE TAMS, THE CREDIT UNION HAS ASSESSED ITS ACTIVITIES AND ANY POTENTIAL FEDERAL OR STATE INCOME TAX LIABILITY. IN THE OPINION OF MANAGEMENT, ANY LIABILITY ARISING FROM FEDERAL OR STATE TAXATION OF ACTIVITIES DEEMED TO BE UNRELATED TO ITS EXEMPT PURPOSE IS NOT EXPECTED TO HAVE A MATERIAL EFFECT ON THE CREDIT UNION'S FINANCIAL CONDITION OR RESULTS OF OPERATIONS. X X X 0 1 0 ERIC BRUBAKER PRESIDENT/CEO 263440 0 27660 0 0 0 23150 0 12448 0 326698 0 0 0 CHARLES OTTO VP OF FINANCE 117795 0 9405 0 0 0 23150 0 12748 0 163098 0 0 0 CARRIE IAFRANTE EVP OF DEVELOPMENT 176985 0 15657 0 0 0 15319 0 12580 0 220541 0 0 0 PART I, LINE 4B ONE PARTICIPANT IN A COLLATERAL ASSIGNED SPLIT DOLLAR ARRANGEMENT FOR WHICH NO ACTUAL FUNDS WERE DISTRIBUTED. ERIC BRUBAKER CEO DEFERRED RETIREMENT PROGRAM-COLLATERAL ASSIGNED X 1000000 890639 0 1 1 890639 FORM 990, PART VI, SECTION A, LINE 6 THE CREDIT UNION HAS A SINGLE CLASS OF MEMBERS WITH EQUAL RIGHTS OF OWNERSHIP, GOVERNANCE AND VOTING. FORM 990, PART VI, SECTION A, LINE 7A THE MEMBERS OF THE BOARD OF DIRECTORS HAVE STAGGERED TERMS OF 3 YEARS AND THEIR ELECTION IS HELD ANNUALLY AT AN ANNUAL MEETING FOR THE FULL MEMBERSHIP. FORM 990, PART VI, SECTION A, LINE 7B CREDIT UNION DECISIONS THAT ARE SUBJECT TO MEMBERSHIP APPROVAL ARE BYLAW CHANGES. ANY CHANGE IN THE CREDIT UNION'S BYLAWS ARE APPROVED BY A VOTE OF THE FULL MEMBERSHIP AT THE ANNUAL MEETING OR A SPECIAL MEETING CALLED FOR THAT PURPOSE. FORM 990, PART VI, SECTION B, LINE 11B A REVIEW IS CONDUCTED BY THE VICE PRESIDENT PRIOR TO SUBMISSION TO THE IRS. A FULL COPY OF THE 990 RETURN IS PROVIDED TO THE BOARD OF DIRECTORS FOR THEIR ANNUAL REVIEW AND DISCUSSION AT A REGULAR MEETING OF THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 12C THE CREDIT UNION HAS A FULL-TIME AUDIT AND COMPLIANCE DEPARTMENT WHOM, WITH THE HUMAN RESOURCES MANAGER, ENSURES COMPLIANCE WITH REGULATIONS AND STATUTES. THE BOARD OF DIRECTORS AND SENIOR MANAGEMENT SIGN A CONFLICT OF INTEREST DISCLOSURE. ADDITIONALLY, COMPLIANCE WITH CONFLICT OF INTEREST POLICIES IS MONITORED BY THE SUPERVISIORY COMMITTEE, WHO ARE NOT MEMBERS OF THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 15 A PERSONNEL COMMITTEE COMPOSED OF SEVERAL MEMBERS OF THE BOARD OF DIRECTORS PERFORM AN ANNUAL REVIEW OF THE PRESIDENT/CEO WHICH IS THEN SUBMITTED TO THE FULL BOARD OF DIRECTORS. A PERSONNEL COMMITTEE COMPOSED OF SEVERAL MEMBERS OF THE BOARD OF DIRECTORS SET THE OVERALL EMPLOYEE COMPENSATION, BENEFIT PARAMETERS AND ANNUAL INCREASE GUIDELINES WHICH ARE THEN APPROVED BY THE FULL BOARD OF DIRECTORS. FORM 990, PART VI, SECTION C, LINE 19 MONTHLY FINANCIALS ARE POSTED AT EACH BRANCH AND ANNUAL FINANCIALS ARE PROVIDED TO ALL MEMBERS AT THE ANNUAL MEETING OF THE MEMBERSHIP. THEY ARE ALSO AVAILABLE UPON REQUEST. CREDIT UNION POLICIES ARE REVIEWED AT LEAST ANNUALLY AT A MEETING OF THE BOARD OF DIRECTORS AND ARE AVAILABLE UPON REQUEST TO BE REVIEWED AT THE CREDIT UNION'S CORPORATE HEADQUARTERS DURING REGULAR BUSINESS HOURS. THE CREDIT UNION'S GOVERNING DOCUMENTS ARE AVAILABLE UPON REQUEST TO BE REVIEWED AT THE CREDIT UNION'S CORPORATE HEADQUARTERS DURING REGULAR BUSINESS HOURS. FORM 990, PART XI, LINE 9: EQUITY ACQUIRED IN MERGER WITH FEDCOM CREDIT UNION 6,489,786. FORM 990, PART XII, LINE 2C WE HAVE A COMMITTEE THAT ASSUMES RESPONSIBILITY FOR THE OVERSIGHT OF THE AUDIT OF ITS FINANCIAL STATEMENTS AND SELECTION OF AN INDEPENDENT ACCOUNTANT. OUR PROCESS HAS NOT CHANGED FROM THE PRIOR YEAR.