2017-11-14T14:16:26-06:00 2016-12-31 410746749 CLIFTONLARSONALLEN LLP PO BOX 217 AUSTIN MN 55912 990 2016-01-01 396072970 ROYAL CREDIT UNION ROYA 7158338111 200 RIVERFRONT TERRACE EAU CLAIRE WI 54703 JON HEHLI CHIEF FINANCIAL OFFICER 7158338111 2017-11-13 1 KATHERINE L SIMMONS P01584381 5074347000 67.137.57.251 2017-11-13 10:23:59 CS P B6B6F2B8D30A14866FB848EA848D3547AA51FF29 596EC7DFF9A02DD4A3ECF98026E37F14AAC6C08F 2016 2021-01-29 14:40:06Z JON HEHLI 200 RIVERFRONT TERRACE EAU CLAIRE WI 54703 105950839 0 X WWW.RCU.ORG X 1964 WI TO CREATE A POSITIVE IMPACT IN THE LIVES WE TOUCH. 7 7 733 677 196345 -14191 0 0 87207221 96528961 4383106 2941941 0 0 91590327 99470902 1386652 1426615 7476831 10598083 32101545 34544049 0 0 0 31500251 32950833 72465279 79519580 19125048 19951322 1711373153 2025441909 1519733740 1813851175 191639413 211590734 TO CREATE A POSITIVE IMPACT IN THE LIVES WE TOUCH. 0 0 WE FUNDED 34,266 LOANS DURING 2016. AS OF 12/31/16, WE HAD 23,298 MORTGAGES/HOME EQUITY, 91,415 CONSUMER LOANS AND 2,425 MEMBER BUSINESS LOANS. WE ALSO HAD 66,547 CREDIT CARD ACCOUNTS WITH OUR MEMBERS AT 12/31/16. WE HAVE DEPOSIT, TRANSACTION, AND INVESTMENT ACCOUNTS WITH 180,346 MEMBERS AT 12/31/16. DURING 2016, WE OPENED 48,232 NEW DEPOSIT, TRANSACTION AND INVESTMENT ACCOUNTS. 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 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 1 43822 0 1 733 1 1 1 0 0 0 0 0 X 7 7 0 0 0 0 1 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 X JON HEHLI 7158338111 PO BOX 970 EAU CLAIRE WI 54702 STUART SCHAEFER DIRECTOR 10.00 X 12295 0 0 NANCY BELTZ DIRECTOR 10.00 X 14295 0 0 WILLIAM BLACKBURN DIRECTOR 10.00 X 14170 0 0 JOHN SACKETT TREASURER 10.00 X X 24550 0 0 JENNIFER MCDONOUGH SECRETARY 10.00 X X 19200 0 0 DOUGLAS OLSON CHAIRMAN 10.00 X X 28680 0 0 THOMAS HUFFCUTT VICE CHAIRMAN 10.00 X X 16170 0 0 JON HEHLI EVP-CFO 40.00 X 276032 0 27854 BRANDON RIECHERS EVP-CLO 40.00 X 252823 0 14415 RANDY BECK EVP-CORPORATE RISK MGMT 40.00 X 228946 0 22017 RODOLFO PEREIRA CEO/PRESIDENT 40.00 X 748026 0 36334 JAN JOHNSON EVP-ORGANIZATIONAL AGILITY 40.00 X 248010 0 15743 AMY FORCIER-PABST EVP-MEMBER EXPERIENCE 40.00 X 164500 0 23218 PETER NOHELTY EVP-CHIEF TECHNOLOGY OFFIC 40.00 X 219494 0 29189 DANIEL ANDERSON FINANCIAL CONSULTANT 40.00 X 306842 0 13737 DAVID THOE VP-BUSINESS LENDING MANAGER 40.00 X 203411 0 27338 MATHEW GERBER VP-MORTGAGE LOAN SALES 40.00 X 211202 0 20187 JEFFREY SPROUL MORTGAGE LOAN OFFICER 40.00 X 267234 0 10264 JARED JOHNSON MORTGAGE LOAN OFFICER 40.00 X 209315 0 11093 3465195 0 251389 38 0 1 0 GREENDOOR GRAPHICS & ADVERTISING 2726 MONDOVI ROAD EAU CLAIRE WI 54701 PROFESSIONAL DESIGN SERVICES/MEDIA BUYIN 928110 WELD RILEY S C 3624 OAKWOOD HILLS PARKWAY PO BOX EAU CLAIRE WI 547021030 LEGAL 376391 SERVICE SOLUTIONS INC 161 BUSINESS PARK CIRCLE STOUGHTON WI 53589 ATM MAINTENANCE 281145 HOWARD & HOWARD ATTORNEYS PLLC 450 WEST FOURTH STREET ROYAL OAK MI 48067 LEGAL 142604 GOLD CROSS COURIER SERVICE INC PO BOX 1245 EAU CLAIRE WI 547021245 CORPORATE COURIER 138618 18 LOAN INTEREST 522100 64782100 64782100 OTHER OPERATING INCOME 522100 18366676 18366676 SERVICE CHARGES & FEE INCOME 522100 13380185 13183840 196345 96528961 2056787 2056787 7365091 6539 6473398 -6539 891693 885154 885154 99470902 96332616 196345 2941941 1426615 10598083 2435961 24476898 1823924 3706396 2100870 812786 2314597 12146535 2777940 323897 147199 2695265 LOAN SERVICING 7349061 MISCELLANEOUS OPERATING 2267294 PROVISION FOR LOAN LOSS 1945122 OPERATING FEES 171137 79519580 81409066 161996406 21646000 18164621 5305009 22223329 1470452081 1681833954 5709677 7659261 84084554 43649972 36623377 40434582 14044209 7006506 24153693 22786777 9044274 12698391 42985767 50638082 1711373153 2025441909 25827178 46869536 20028 1493906562 1766961611 1519733740 1813851175 X 0 0 0 0 191639413 211590734 191639413 211590734 1711373153 2025441909 X 19951322 -1 X X 0 1 X 1 0 10111023 10111023 41356971 14684679 26672292 954266 860606 93660 31099917 27719824 3380093 562377 384863 177514 40434582 MEMBERS' SHARES 1766961611 1766961611 X 99123642 0 99123642 347260 347260 99470902 79172319 0 79172319 347261 347261 79519580 PART X, LINE 2: THE CREDIT UNION IS EXEMPT, BY STATUTE, FROM FEDERAL AND STATE INCOME TAXES. MANAGEMENT EVALUATED THE CREDIT UNION'S TAX POSITIONS AND CONCLUDED THE CREDIT UNION HAD TAKEN NO UNCERTAIN TAX POSITIONS THAT REQUIRE ADJUSTMENT TO FINANCIAL STATEMENTS TO COMPLY WITH THE PROVISIONS OF THIS GUIDANCE. THE CREDIT UNION FILES FORM 990 IN THE US FEDERAL JURISTICTION. PART XI, LINE 4B - OTHER ADJUSTMENTS: GAIN/LOSS ON SALE OF ASSETS REPORTED IN REVENUE SECTION 347,260. PART XII, LINE 4B - OTHER ADJUSTMENTS: GAIN/LOSS ON SALE OF ASSETS REPORTED IN REVENUE SECTION 347,260. ROUNDING 1. 1 ROYAL CREDIT UNION FOUNDATION 200 RIVERFRONT TERRACE EAU CLAIRE WI 54703 461588898 501(C)(3) 1426615 TO PROVIDE FINANCIAL SUPPORT TO THE FOUNDATION TO FULFILL ITS EXEMPT PURPOSE. 1 PART I, LINE 2: THE CEO/PRESIDENT AND TWO BOARD MEMBERS OF THE CREDIT UNION SERVE ON THE BOARD OF THE FOUNDATION AND MONITOR THE USE OF GRANT FUNDS. X X X X 0 1 0 JON HEHLI EVP-CFO 189914 0 78367 0 7751 0 13840 0 14014 0 303886 0 0 0 BRANDON RIECHERS EVP-CLO 181573 0 70970 0 280 0 12654 0 1761 0 267238 0 0 0 RANDY BECK EVP-CORPORATE RISK MGMT 161791 0 65358 0 1797 0 8084 0 13933 0 250963 0 0 0 RODOLFO PEREIRA CEO/PRESIDENT 533961 0 201295 0 12770 0 18000 0 18334 0 784360 0 0 0 JAN JOHNSON EVP-ORGANIZATIONAL AGILITY 177036 0 67479 0 3495 0 8190 0 7553 0 263753 0 0 0 AMY FORCIER-PABST EVP-MEMBER EXPERIENCE 114605 0 47530 0 2365 0 5204 0 18014 0 187718 0 0 0 PETER NOHELTY EVP-CHIEF TECHNOLOGY OFFIC 156221 0 60840 0 2433 0 10951 0 18238 0 248683 0 0 0 DANIEL ANDERSON FINANCIAL CONSULTANT 279008 0 0 0 27834 0 6127 0 7610 0 320579 0 0 0 DAVID THOE VP-BUSINESS LENDING MANAGER 157268 0 44288 0 1855 0 9791 0 17547 0 230749 0 0 0 MATHEW GERBER VP-MORTGAGE LOAN SALES 191282 0 18776 0 1144 0 7641 0 12546 0 231389 0 0 0 JEFFREY SPROUL MORTGAGE LOAN OFFICER 238382 0 28542 0 310 0 9427 0 837 0 277498 0 0 0 JARED JOHNSON MORTGAGE LOAN OFFICER 185478 0 23722 0 115 0 10460 0 633 0 220408 0 0 0 PART I, LINE 4B RODOLFO PEREIRA - PARTICIPATED IN 457-F PLAN, NO DISTRIBUTIONS BRANDON RIECHERS - PARTICIPATED IN 457-F PLAN, NO DISTRIBUTIONS FORM 990, PART VI, SECTION A, LINE 6 THE ORGANIZATION CONSISTS OF MEMBERS. TO BE A MEMBER, ONE MUST HAVE A SHARE/SAVINGS ACCOUNT. EACH MEMBER HAS ONE VOTE TO ELECT THE GOVERNING BODY (BOARD OF DIRECTORS. FORM 990, PART VI, SECTION A, LINE 7A THE BOARD OF DIRECTORS IS ELECTED BY THE MEMBERSHIP UTILIZING THEIR ONE VOTE PER MEMBER. FORM 990, PART VI, SECTION A, LINE 7B EACH MEMBER HAS ONE VOTE TO UTILIZE IN RATIFYING SIGNIFICANT DECISIONS BEYOND THE AUTHORITY OF THE BOARD AS OUTLINED IN THE ORGANIZATION'S BYLAWS. ANY DECISION TO DISSOLVE OR MERGE THE ORGANIZATION REQUIRES APPROVAL OF MEMBERSHIP, UNLESS MANDATED BY REGULATORY AGENCY (I.E., NCUA, WISCONSIN OFFICE OF CREDIT UNIONS). FORM 990, PART VI, SECTION B, LINE 11B THE RETURN PREPARER EMAILS A COPY OF THE FINAL FORM 990 TO THE VP-FINANCE FOR REVIEW. THE CFO PERFORMS A FINAL REVIEW PRIOR TO SIGNING AND SUBMISSION TO THE IRS. THE CFO REPORTS THE COMPLETION OF THE FORM 990 BY THE REQUIRED DEADLINES TO MANAGEMENT AND THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 12C THE CONFLICT OF INTEREST POLICY IS INCLUDED IN THE CODE OF ETHICS POLICY. THE POLICY, ALONG WITH OUR CORE SYSTEM, PREVENTS TEAM MEMBERS FROM TRANSACTING BUSINESS ON THEIR ACCOUNTS. THE CODE OF ETHICS ALS0 PROHIBITS TEAM MEMBERS FROM TRANSACTING ON ACCOUNTS THEY ARE ASSOCIATED WITH, REGARDLESS OF OWNERSHIP. QUARTERLY, ALL TEAM MEMBERS RECEIVE NOTIFICATION THEY SHOULD NOT TRANSACT ON ANY ACCOUNTS THAT MAY POSE A POTENTIAL CONFLICT OF INTEREST. ALSO QUARTERLY, WE NOTIFY TEAM MEMBERS THEY MUST REPORT VIOLATIONS OF CODE OF ETHICS, INCLUDING CONFLICT OF INTEREST. FORM 990, PART VI, SECTION B, LINE 15 ROYAL CREDIT UNION UTILIZED VARIOUS SALARY SURVEYS AND AN OUTSIDE CONSULTATNT TO DETERMINE COMPENSATION FOR CEO. ROYAL CREDIT UNION UTILIZED VARIOUS MARKET SALARY SURVEYS AND AN OUTSIDE COMPENSATION CONSULTANT TO ASSIST THE TALENT SERVICES TEAM IN DETERMINING MARKET APPROPRIATE SALARY GRADES AND THE PLACEMENT OF POSITIONS INTO THEM. THE TALENT SERVICES TEAM THEN REVIEWED AND DETERMINED INDIVIDUAL COMPENSATION FOR TOP MANAGEMENT AND KEY EMPLOYEES WITHIN THOSE SALARY GRADES/RANGES IN ALIGNMENT TO OUR COMPENSATION PHILOSOPHY. THIS PROCESS WAS MOST RECENTLY COMPLETED IN 2016. FORM 990, PART VI, SECTION C, LINE 19 ROYAL CREDIT UNION'S MONTHLY FINANCIAL STATEMENTS ARE POSTED IN ALL BRANCH OFFICES. YEAR-END FINANCIAL STATEMENTS ARE ALSO PROVIDED IN THE ANNUAL REPORT AND PRESENTED AT THE ANNUAL MEETING IN APRIL. GOVERNING DOCUMENTS AND THE CONFLICT OF INTEREST POLICY ARE NOT AVAILABLE TO THE PUBLIC, BUT WOULD BE PROVIDED UPON REQUEST. FORM 990, PART XI, LINE 9: ROUNDING -1. FORM 990, PART XII, LINE 2C: THIS PROCESS HAS NOT CHANGED FROM LAST YEAR. RCU FOUNDATION INC 200 RIVERFRONT TERRACE EAU CLAIRE WI 54703 461588898 BENEFIT THE COMMUNITIES ROYAL CREDIT UNION SERVES WI 501(C)(3) PF ROYAL CREDIT UNION 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 1 0 1 0 0 RCU FOUNDATION INC B 1426615