2018-11-01T15:22:15-05:00 2017-12-31 382492570 DOEREN MAYHEW 305 WEST BIG BEAVER ROAD TROY MI 48084 990 2017-01-01 381418001 1199 CORNERSTONE COMMUNITY FINANCIAL CREDIT UNION 1199 2483409310 2955 UNIVERSITY DRIVE AUBURN HILLS MI 48326 HEIDI KASSAB CEO 2483409310 2018-10-29 1 JOSEPH ZITO CPA P00648440 2482443000 64.95.240.2 2018-10-29 10:37:27 ED P DA39A3EE5E6B4B0D3255BFEF95601890AFD80709 A7DB26C3BB201601930FCFA0C4651552B54C26A2 2017 2018-06-14 16:35:46Z HEIDI KASSAB 2955 UNIVERSITY DR AUBURN HILLS MI 48326 13102216 0 1359 X WWW.CCFINANCIAL.COM X 1951 MI WE ARE COMMITTED TO BEING A LEADING COMMUNITY-FOCUSED CREDIT UNION THAT IS THE CORNERSTONE TO HELPING MEMBERS ACHIEVE THEIR FINANCIAL GOALS. 7 7 82 8 24611 -35665 0 0 13613175 12872177 123236 205428 27568 24611 13763979 13102216 0 0 0 0 4219164 4260027 0 0 0 8267760 6923752 12486924 11183779 1277055 1918437 272282111 269342427 239622346 234701856 32659765 34640571 WE ARE COMMITTED TO BEING A LEADING COMMUNITY-FOCUSED CREDIT UNION THAT IS THE CORNERSTONE TO HELPING MEMBERS ACHIEVE THEIR FINANCIAL GOALS. 0 0 GRANTED OVER 4,000 LOANS TO OUR MEMBERS TOTALING OVER $77 MILLION DURING 2017. OPENED OVER 2,000 NEW MEMBER DEPOSIT ACCOUNTS DURING 2017. SERVED OVER 22,000 DEPOSITORS WITH AGGREGATE DEPOSIT BALANCES APPROXIMATING $224,000,000 AS OF DECEMBER 31, 2017. 0 0 0 0 0 0 0 0 0 1 0 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 4094 0 1 82 1 1 1 0 0 0 0 0 X 7 7 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 1 0 0 X BETH WIELGAT 2483731438 2955 UNIVERSITY DRIVE AUBURN HILLS MI 48326 LEO MOSES CHAIRMAN 10.00 X 0 0 0 TIM MCGLINCHEY VICE CHAIRMAN 5.00 X 0 0 0 DAVID WOODWARD SECURITY OFFICER 5.00 X 0 0 0 CHRIS BAKER TREASURER 5.00 X 0 0 0 MELVIN LEE TRUSTEE AND MEMBERSHIP OFFICER 5.00 X 0 0 0 TIM GREEN SECRETARY 5.00 X 0 0 0 JOHN ELSE DIRECTOR 5.00 X 0 0 0 HEIDI KASSAB CEO 40.00 X 314113 0 36904 DAVID BRANDT CFO 40.00 X 157872 0 13203 CHRIS MANGENO VP OF LENDING AND COLLECTIONS 40.00 X 115588 0 26634 TONYA DUPREE VP RETAIL DELIVERY 40.00 X 120819 0 9335 708392 0 86076 4 0 1 0 VISA PO BOX 4521 CAROL STREAM IL 60197 CREDIT CARD PROCESSING 296212 JACK HENRY AND ASSOCIATES PO BOX 609 MONETT MO 65708 CORE SOFTWARE 259089 CO-OP 9692 HAVEN AVENUE RANCHO CUCAMONGA CA 91730 DEBIT CARD/SHARED BRANCHING 193660 HOLZMAN CORKERY PLLC 28366 FRANKLIN ROAD SOUTHFIELD MI 48034 ATTORNEY 151832 WESCOM RESOURCES GROUP 5601 E LA PALMA AVE ANAHEIM CA 92807 MOBILE/HOMEBANKING HOST 119710 7 LOAN INCOME 522100 9146889 9146889 FEE INCOME 522100 3725288 3725288 12872177 205428 205428 NON-MEMBER ATM FEES 525990 24611 24611 24611 13102216 12872177 24611 205428 X 522092 3150826 234932 49270 302907 14383 79621 9291 536946 404692 653800 459729 78443 12983 1596024 42886 607029 88088 LOAN SERVICING EXPENSE 755988 DEBIT/CREDIT CARD EXPEN 730743 PROVISION FOR LOAN LOSS 343130 ATM EXPENSES 198633 311343 11183779 2072122 1794598 7855550 10690723 1895847 1093154 4887206 236743731 233304097 625966 619399 16765602 7163212 10075825 9602390 5302925 1232339 4179472 2708800 79870 64709 3450803 3345012 272282111 269342427 2362682 2576669 10000000 8000000 227259664 224125187 239622346 234701856 X 0 0 0 0 32659765 34640571 32659765 34640571 272282111 269342427 1918437 62369 0 X X 0 1 X 1 0 2043939 2043939 8549345 2344062 6205283 142483 123247 19236 5342738 4349637 993101 687097 346266 340831 9602390 MEMBER SHARES 224125187 224125187 X 13102216 0 13102216 0 13102216 11183779 0 11183779 0 11183779 PART X, LINE 2: CORNERSTONE COMMUNITY FINANCIAL 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. THE CREDIT UNION'S OPEN AUDIT PERIOD IS FOR THE THREE YEAR PERIOD ENDED DECEMBER 31, 2017. X 1 1 X X X X X 0 1 0 HEIDI KASSAB CEO 264845 0 49268 0 0 0 20129 0 16775 0 351017 0 0 0 DAVID BRANDT CFO 152517 0 5355 0 0 0 12288 0 915 0 171075 0 0 0 PART I, LINE 4B HEIDI KASSAB PARTICIPATED IN A 457(F) PLAN; HOWEVER, THE PLAN WAS TERMINATED DURING 2017 RESULTING IN A ONE-TIME LIABILITY REVERSAL AND REDUCTION TO THE CREDIT UNION'S COMPENSATION AND BENEFIT EXPENSE OF APPROXIMATELY $379,000. HEIDI KASSAB PRESIDENT/CEO TO FUND SPLIT DOLLAR PLAN X 4750000 4887206 0 1 1 4887206 FORM 990, PART VI, SECTION A, LINE 6 ALL ACCOUNT HOLDERS ARE REFERRED TO AS MEMBERS. FORM 990, PART VI, SECTION A, LINE 7A THE CREDIT UNION MEMBERSHIP ELECTS THE BOARD OF DIRECTORS WHICH GOVERN THE OPERATIONS OF THE CREDIT UNION. FORM 990, PART VI, SECTION A, LINE 7B MEMBERS OF THE CREDIT UNION HAVE THE RIGHT TO APPROVE THE GOVERNING BODY'S ELECTION AND REMOVAL OF MEMBERS OF THE GOVERNING BODY, AS WELL AS OTHER MATTERS THAT ARE SUBJECT TO THE APPROVAL OF MEMBERS OF THE CREDIT UNION AS THEY OCCUR. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 WILL BE SUBMITTED TO THE BOARD OF DIRECTORS FOR REVIEW PRIOR TO SUBMISSION. FORM 990, PART VI, SECTION B, LINE 12C ACCOUNT RELATIONSHIPS ARE MONITORED BY THE INTERNAL AUDITOR. ANY BUSINESS RELATIONSHIPS WOULD BE REVIEWED BY THE CEO OR CHAIRMAN AS APPLICABLE. FORM 990, PART VI, SECTION B, LINE 15A AN INDEPENDENT CONSULTANT IS USED IN THE REVIEW PROCESS OF THE CEO. THE BOARD REVIEWS THE REVIEW AND COMPENSATION LEVELS. ALL OTHER EMPLOYEES ARE REVIEWED BY THEIR SUPERVISOR AND REVIEWS ARE APPROVED BY THE CEO. FORM 990, PART VI, SECTION C, LINE 19 THE CREDIT UNION'S CONFLICT OF INTEREST POLICY AND GOVERNING DOCUMENTS ARE NOT MADE AVAILABLE TO THE PUBLIC. FINANCIAL STATEMENTS ARE AVAILABLE UPON REQUEST. FORM 990, PART IX, LINE 24E MAINTENANCE 159,016. EDUCATION AND TRAINING 79,987. MISCELLANEOUS EXPENSES 72,340. FORM 990, PART XII, LINE 2C: THE ORGANIZATION HAS A COMMITTEE THAT ASSUMES RESPONSIBILITY FOR THE OVERSIGHT OF THE AUDIT OF ITS FINANCIAL STATEMENTS AND THE SELECTION OF AN INDEPENDENT ACCOUNTANT. THIS PROCESS HAS NOT CHANGED FROM PREVIOUS YEARS.