2016-11-09T16:00:29-06:00 2015-12-31 410746749 CLIFTONLARSONALLEN LLP PO BOX 217 AUSTIN MN 55912 990 2015-01-01 396072970 ROYAL CREDIT UNION ROYA 7158338111 200 RIVERFRONT TERRACE EAU CLAIRE WI 54703 JOHN HEHLI CHIEF FINANCIAL OFFICER 7158338111 2016-11-04 1 SHERRI WESSELS P00888088 5074347000 2015 2017-02-10 21:41:12Z X JOHN HEHLI 200 RIVERFRONT TERRACE EAU CLAIRE WI 54703 343528166 0 X WWW.RCU.ORG X 1964 WI TO CREATE A POSITIVE IMPACT IN THE LIVES WE TOUCH. 7 7 664 0 230723 0 0 0 85839222 87207221 651613 4383106 0 0 86490835 91590327 0 1386652 0 7476831 29569951 32101545 0 0 0 40513843 31500251 70083794 72465279 16407041 19125048 1543001886 1711373153 1370487521 1519733740 172514365 191639413 TO CREATE A POSITIVE IMPACT IN THE LIVES WE TOUCH. 0 0 WE FUNDED 29,615 LOANS DURING 2015. AS OF 12/31/15, WE HAD 22,956 MORTGAGES/HOME EQUITY, 82,771 CONSUMER LOANS AND 2,146 MEMBER BUSINESS LOANS. WE ALSO HAD 46,155 CREDIT CARD ACCOUNTS WITH OUR MEMBERS AT 12/31/15. WE HAVE DEPOSIT, TRANSACTION, AND INVESTMENT ACCOUNTS WITH 167,040 MEMBERS AT 12/31/15. DURING 2015, WE OPENED 37,657 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 41301 0 1 664 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 SCHAFER DIRECTOR 10.00 X 11710 0 0 NANCY BELTZ DIRECTOR 10.00 X 11710 0 0 WILLIAM BLACKBURN DIRECTOR 10.00 X 13495 0 0 JOHN SACKETT TREASURER 10.00 X X 21475 0 0 JENNIFER MCDONOUGH SECRETARY 10.00 X X 16380 0 0 DOUG OLSON CHAIR 10.00 X X 27195 0 0 THOMAS HUFFCUTT VICE CHAIR 10.00 X X 13495 0 0 JOHN HEHLI EVP-CFO 40.00 X 418950 0 25501 BRANDON RIECHERS EVP-CLO 40.00 X 239931 0 16448 RANDY BECK EVP-CORPORATE RISK MGMT 40.00 X 205852 0 17957 RODOLFO PEREIRA CEO/PRESIDENT 40.00 X 625863 0 565472 JAN JOHNSON EVP-ORGANIZATIONAL AGILITY 40.00 X 225008 0 14013 AMY FORCIER-PABST EVP-MEMBER EXPERIENCE 40.00 X 137106 0 20917 PETER NOHELTY EVP-CHIEF TECHNOLOGY OFFICER 40.00 X 196083 0 26931 DANIEL ANDERSON FINANCIAL CONSULTANT 40.00 X 209394 0 12701 GLENN KENNISON VP-CREDIT RISK MBMT 40.00 X 178250 0 14965 MATHEW GERBER VP-MORTGAGE LOAN SALES 40.00 X 193547 0 23559 JEFFREY SPROUL MORTGAGE LOAN OFFICER 40.00 X 185023 0 9481 BARBARA OAS-HOLMES MORTGAGE LOAN OFFICER 40.00 X 184587 0 21990 3115054 0 769935 38 0 1 0 GREENDOOR GRAPHICS & ADVERTISING 2726 MONDOVI ROAD EAU CLAIRE WI 54701 PROFESSIONAL DESIGN SERVICES/MEDIA BUYIN 651603 WELD RILEY S C 3624 OAKWOOD HILLS PARKWAY PO BOX EAU CLAIRE WI 547021030 LEGAL 374925 SERVICE SOLUTIONS INC 161 BUSINESS PARK CIRCLE STOUGHTON WI 53589 ATM MAINTENANCE 270059 HTK MARKETING COMMUNICATIONS 394 LAKE AVE S SUITE 800 DULUTH MN 55802 CREATIVE MARKETING AGENCCY 153077 GOLD CROSS COURIER SERVICE INC PO BOX 1245 EAU CLAIRE WI 547021245 CORPORATE COURIER 151803 12 LOAN INTEREST 522100 60819657 60819657 OTHER OPERATING INCOME 522100 13617514 13617514 SERVICE CHARGES & FEE INCOME 522100 12770050 12539327 230723 87207221 465972 465972 255854973 251937839 3917134 3917134 3917134 91590327 86976498 230723 4383106 1386652 7476831 2851492 22117773 1188647 3715819 2227814 1107309 2438023 2162818 5221253 2464851 27136 2657002 246333 OPERATIONS 5426282 CREDIT CARD 2848483 PROVISION FOR LOAN LOSS 2299396 CHECK CARD 2223563 2377802 72465279 24676067 81409066 38094684 21646000 6205606 5305009 1361733933 1470452081 3947418 5709677 77829056 41205679 38804086 36623377 11002368 14044209 23212764 24153693 9456560 9044274 25868400 42985767 1543001886 1711373153 15938973 25827178 1354548548 1493906562 1370487521 1519733740 X 0 0 0 0 172514365 191639413 172514365 191639413 1543001886 1711373153 19125048 0 X X 0 1 X 1 0 8205749 8205749 38989203 13511787 25477416 950984 805627 145357 29188545 26560970 2627575 494575 327295 167280 36623377 MEMBERS' SHARES 1493906562 1493906562 X 91421215 -169112 -169112 91590327 0 91590327 72296169 2 2 72296167 169112 169112 72465279 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. 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 FURTHEREANCE 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. 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 PURPOSES IS NOT EXPECTED TO HAVE A MATERIAL EFFECT ON THE CREDIT UNION'S FINANCIAL POSITION OR RESULTS OF OPERATION. FORM 990, SCHEDULE PART XIII, LINE 2D REPORTED AS INCOME ON AUDIT, REPORTED AS EXPENSE ON FORM 990. FORM 990, SCHEDULE D PART XIII, LINE 4B REPORTED AS INCOME ON AUDIT, REPORTED AS EXPENSE ON FORM 990. 1 ROYAL CREDIT UNION FOUNDATION 200 RIVERFRONT TERRACE EAU CLAIRE WI 54703 461588898 501(C)(3) 1386652 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 JOHN HEHLI EVP-CFO 190214 0 224435 0 4301 0 12936 0 12565 0 444451 0 0 0 BRANDON RIECHERS EVP-CLO 183629 0 56014 0 288 0 15547 0 901 0 256379 0 0 0 RANDY BECK EVP-CORPORATE RISK MGMT 165014 0 38847 0 1991 0 5438 0 12519 0 223809 0 0 0 RODOLFO PEREIRA CEO/PRESIDENT 532693 0 80138 0 13032 0 548680 0 16792 0 1191335 0 0 0 JAN JOHNSON EVP-ORGANIZATIONAL AGILITY 171141 0 51342 0 2525 0 7380 0 6633 0 239021 0 0 0 AMY FORCIER-PABST EVP-MEMBER EXPERIENCE 112669 0 22288 0 2149 0 4368 0 16549 0 158023 0 0 0 PETER NOHELTY EVP-CHIEF TECHNOLOGY OFFICER 146183 0 47262 0 2638 0 10256 0 16675 0 223014 0 0 0 DANIEL ANDERSON FINANCIAL CONSULTANT 205201 0 0 0 4193 0 6051 0 6650 0 222095 0 0 0 GLENN KENNISON VP-CREDIT RISK MBMT 143731 0 33907 0 612 0 8416 0 6549 0 193215 0 0 0 MATHEW GERBER VP-MORTGAGE LOAN SALES 177742 0 13710 0 2095 0 7765 0 15794 0 217106 0 0 0 JEFFREY SPROUL MORTGAGE LOAN OFFICER 171354 0 13337 0 332 0 9063 0 418 0 194504 0 0 0 BARBARA OAS-HOLMES MORTGAGE LOAN OFFICER 170063 0 13405 0 1119 0 9609 0 12381 0 206577 0 0 0 PART I, LINE 4B JOHN HEHLI - RECEIVED PAYOUT FROM SUPPLEMENTAL NON-QUALIFIED RETIREMENT PLAN - $162,500 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 11 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 AND TOP MANAGEMENT. ROYAL CREDIT UNION UTILIZED VARIOUS SALARY SURVEYS AND AN OUTSIDE CONSULTANT TO DETERMINE COMPENSATION FOR OTHER OFFICERS. THIS PROCESS WAS MOST RECENTLY COMPLETED IN 2015. 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 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 1386652