2015-11-24T07:47:17-06:00 2014-12-31 420714325 RSM US LLP 801 NICOLLET MALL SUITE 1100 MINNEAPOLIS MN 55402 990 2014-01-01 953442691 PREMIER AMERICA CREDIT UNION PREM 8187724021 19867 PRAIRIE STREET CHATSWORTH CA 91311 BRAD CUNNINGHAM SVP/CFO 8187724021 2015-11-23 1 GERALD B KISSELL P00092658 6123324300 2014 2016-03-07 17:11:31Z JOHN MERLO 19867 PRAIRIE STREET CHATSWORTH CA 91311 137257363 0 1526 X WWW.PREMIERAMERICA.COM X 1957 CA A COOPERATIVE ORGANIZED FOR THE PURPOSE OF PROMOTING THRIFT AND SAVINGS AMONGST ITS MEMBERS. 9 8 296 13 615658 -148558 0 0 48413432 59354863 3459975 4310742 2450186 400212 54323593 64065817 0 0 6938839 7660765 18410817 20380742 0 0 0 15425393 15762961 40775049 43804468 13548544 20261349 1519729084 1718277920 1376852240 1550301534 142876844 167976386 X A COOPERATIVE ORGANIZED FOR THE PURPOSE OF PROMOTING THRIFT AND SAVINGS AMONGST ITS MEMBERS, CREATING A SOURCE OF CREDIT FOR THEM AT RATES OF INTEREST SET BY THE BOARD OF DIRECTORS, AND PROVIDING AN OPPORTUNITY FOR THEM TO USE AND CONTROL THEIR OWN MONEY ON A DEMOCRATIC BASIS IN ORDER TO IMPROVE THEIR ECONOMIC AND SOCIAL CONDITIONS. AS A COOPERATIVE, PREMIER AMERICA CREDIT UNION CONDUCTS ITS BUSINESS FOR THE MUTUAL BENEFIT AND GENERAL WELFARE OF ITS MEMBERS WITH THE EARNINGS, SAVINGS, BENEFITS, OR SERVICES OF THE CREDIT UNION BEING DISTRIBUTED TO ITS MEMBERS AS PATRONS. 0 0 THE CREDIT UNION ENCOURAGED AND PROMOTED SAVINGS AND ACQUIRED 15,604 NEW MEMBERS IN 2014, OF WHOM 4,227 MEMBERS BELONGED TO NBCU EMPLOYEES FEDERAL CREDIT UNION WHICH MERGED INTO PREMIER AMERICA. TOTAL MEMBERSHIP STOOD AT 79,002 AS OF DECEMBER 31, 2014 WHILE DEPOSIT BALANCES GREW BY $171 MILLION COMPARED TO THE PREVIOUS YEAR, AND THE ORGANIZATION CONTINUED TO PAY MEMBERS FAVORABLE DIVIDEND RATES ON THEIR SAVINGS. THE CREDIT UNION MET MORTGAGE NEEDS OF FIRST TIME HOME BUYERS AND REFINANCING NEEDS OF EXISTING HOMEOWNERS, ALLOWING THEM TO TAKE ADVANTAGE OF LOWER INTEREST RATES. LOWER INTEREST RATES WERE MADE POSSIBLE BY BEING A FNMA MORTGAGE LOAN SELLER AND SERVICER. DURING THE YEAR, THE ORGANIZATION GRANTED 771 REAL ESTATE LOANS AND HOME EQUITY LINES OF CREDIT TOTALING $336 MILLION TO ITS MEMBERS. PREMIER AMERICA CU PROVIDED EDUCATIONAL INFORMATION ON DEPOSIT AND LOAN PRODUCTS AS WELL AS CU PRODUCTS SUCH AS INVESTMENT AND RETIREMENT, HOME BANKING, BILL PAY AND MOBILE BANKING. IN ADDITION TO NEWSLETTERS AND EDUCATIONAL BROCHURES, THE ORGANIZATION CONDUCTED 31 EDUCATIONAL SEMINARS WITH 532 PARTICIPANTS, AND SPONSORED 25 COMMUNITY EVENTS WITH A TOTAL OF ALMOST 45 THOUSAND PARTICIPANTS. 0 0 1 0 0 0 0 0 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 1 48585 0 1 296 1 1 1 0 0 0 0 0 X 9 8 0 0 1 0 1 1 1 1 1 0 1 1 1 1 1 1 1 1 1 1 0 CA X LINDA MARQUEZ 8187724021 19867 PRAIRIE STREET CHATSWORTH CA 91311 JOHN M MERLO PRESIDENT/CEO 40.00 X X 902776 0 1346235 ERIC GOLDNER CHAIR 1.00 X X 687 0 0 LARRY COLSON VICE CHAIR 1.00 X X 926 0 0 WILLIAM COLE SECRETARY/TREASURER 1.00 X X 801 0 0 JAMES ANDERSEN DIRECTOR 1.00 X 1034 0 0 ROGER LUBIG DIRECTOR 1.00 X 907 0 0 GARY HOLMEN DIRECTOR 1.00 X 1057 0 0 S LAWRENCE HOKE DIRECTOR 1.00 X 0 0 0 JOHN DE VERE DIRECTOR 1.00 X 0 0 0 W BRAD CUNNINGHAM SENIOR VP, CFO 40.00 X 367146 0 89007 MARJORIE MCNAUGHT SENIOR VP, LENDING & COLLECTIONS 40.00 X 582808 0 983055 SANA SALEH SENIOR VP, MEMBER SERVICES 40.00 X 280828 0 7687 DONNA MCNEELY SENIOR VP, INVESTMENTS & INSURANCE SERVICES 40.00 X 326838 0 59399 TONI DANIELS SENIOR VP, ADMINISTRATION 40.00 X 317958 0 61940 LIZBETH CONDERCURI DIRECTOR, CORPORATION PROJECTS 40.00 X 265199 0 9776 JAMES RITTER VP, COMMERCIAL LOAN SERVICES 40.00 X 176170 0 31385 GLEN CHRZAS VP, SYSTEMS & TECHNOLOGY 40.00 X 224307 0 25027 KELLY KAREN INVESTMENT REP/CONSULTANT 40.00 X 169797 0 17922 KIRK JOSEPH BOWREN DIRECTOR OF SPONSOR RELATIONS 40.00 X 180476 0 25881 3799715 0 2657314 23 0 1 0 NTR CONSTRUCTION CO INC 7500 TOPANGA CANYON BLVD 2ND FLR CANOGA PARK CA 91303 OFFICE AND BRANCH REMODELS 924810 STARNET DATA DESIGN INC 2659 TOWNSGATE RD STE 227 WESTLAKE CA 91361 PHONE/NETWORK SERVICE & MAINTENANCE 387224 FINANCIAL STATEMENT SERVICE INC 3300 SOUTH FAIRVIEW ST SANTA ANA CA 92704 STATEMENT PRINTING/MAILING 322634 MP PRINTING & DIGITAL GRAPHICS 14675 TITUS ST PANORAMA CITY CA 91402 PRINTING SERVICES 303996 BLUE SPIRE INC 7650 EDINBOROUGH WAY STE 500 MINNEAPOLIS MN 55435 MARKET RESEARCH/CONSULTING 230535 12 INCOME FROM MEMBER LOANS 522100 44170262 44170262 PROVISION (RECOVERY) FOR LOAN LOS 522100 5400000 5400000 SERVICE CHARGES & OTHER FEES 522100 4657296 4510254 147042 INTERCHANGE INCOME 522100 2966424 2966424 INVESTMENT BROKERAGE COMMISSIONS 523000 1551454 1551454 609427 140811 468616 59354863 3021936 3021936 703661 303449 400212 400212 400212 70166841 4010062 69782869 3105228 383972 904834 1288806 1288806 64065817 58739205 615658 4710954 7660765 3051621 13553914 302534 2360957 1111716 407791 253774 282935 1520340 5252858 2309699 126703 1629008 173375 2000 290331 889146 183848 LOAN PROCESSING EXPENSE 1543858 CORE DEPOSIT PREMIUM AM 449057 MISCELLANEOUS OPERATING 437991 GOODWILL AMORTIZATION 10247 43804468 207837763 179001839 4052119 4072536 889547196 1143723603 28427459 12512908 15530455 15914551 363796000 312300000 6769476 31650360 4074814 4191357 28121261 27423674 1519729084 1718277920 15107343 17908632 1361744897 1532392902 1376852240 1550301534 X 0 0 0 0 142876844 167976386 142876844 167976386 1519729084 1718277920 X 20261349 512360 4325833 X 0 1 X 1 0 2000 2000 2000 1 JACQUI IRWIN FOR STATE ASSEMBLY 2014 2033 EUCLID CIRCLE CAMARILLO CA 93010 2000 PART I-A, LINE 1: THE CREDIT UNION MAKES CONTRIBUTIONS TO SUPPORT CANDIDATES OR POLITICAL ACTION COMMITTEES PROMOTING CREDIT UNION CAUSES. 3731592 3731592 13415988 6051116 7364872 3980984 2563696 1417288 7298895 3898096 3400799 15914551 MEMBERS' SHARES 1532392902 1532392902 X 58665817 0 58665817 5400000 5400000 64065817 38404468 0 38404468 5400000 5400000 43804468 PART X, LINE 2: AS OF AND FOR THE YEARS ENDED DECEMBER 31, 2014 AND 2013, MANAGEMENT HAS DETERMINED THAT THERE ARE NO MATERIAL UNCERTAIN TAX POSITIONS REQUIRING RECOGNITION IN THE CONSOLIDATED FINANCIAL STATEMENTS. PART XI, LINE 4B - OTHER ADJUSTMENTS: PROVISION (RECOVERY) FOR LOAN LOSS RECLASSED FROM FUNCTIONAL EXPENSES 5,400,000. PART XII, LINE 4B - OTHER ADJUSTMENTS: PROVISION (RECOVERY) FOR LOAN LOSS RECLASSED AS REVENUE 5,400,000. X X 1 1 X X X X 1 1 0 JOHN M MERLO PRESIDENT/CEO 590013 0 265000 0 47763 0 1325358 0 21283 0 2249417 0 0 0 W BRAD CUNNINGHAM SENIOR VP, CFO 269946 0 97200 0 0 0 79378 0 12841 0 459365 0 0 0 MARJORIE MCNAUGHT SENIOR VP, LENDING & COLLECTIONS 406451 0 151644 0 24713 0 973494 0 9967 0 1566269 0 0 0 SANA SALEH SENIOR VP, MEMBER SERVICES 191351 0 89477 0 0 0 7687 0 350 0 288865 0 0 0 DONNA MCNEELY SENIOR VP, INVESTMENTS & INSURANCE S 241728 0 85110 0 0 0 59399 0 1035 0 387272 0 0 0 TONI DANIELS SENIOR VP, ADMINISTRATION 234534 0 83424 0 0 0 56318 0 5927 0 380203 0 0 0 LIZBETH CONDERCURI DIRECTOR, CORPORATION PROJECTS 240947 0 24252 0 0 0 8465 0 1689 0 275353 0 0 0 JAMES RITTER VP, COMMERCIAL LOAN SERVICES 176170 0 0 0 0 0 0 0 32807 0 208977 0 0 0 GLEN CHRZAS VP, SYSTEMS & TECHNOLOGY 181910 0 42397 0 0 0 8200 0 17109 0 249616 0 0 0 KELLY KAREN INVESTMENT REP/CONSULTANT 169797 0 0 0 0 0 8279 0 10358 0 188434 0 0 0 KIRK JOSEPH BOWREN DIRECTOR OF SPONSOR RELATIONS 180476 0 0 0 0 0 8461 0 17560 0 206497 0 0 0 PART I, LINE 1A TRAVEL FOR COMPANIONS - THE CREDIT UNION WILL PAY FOR THE SPOUSE OR ONE COMPANION'S PLANE FARE FOR OUT OF TOWN OFFICIAL TRAVELS (CONFERENCES), HOTEL ACCOMODATIONS (SHARED ROOM) AND MEALS. A 1099-MISC IS FILED WHEN THE TOTAL EXPENSES INCURRED FOR THE COMPANION REACHES THE REPORTABLE AMOUNT. TAX INDEMNIFICATION AND GROSS UP PAYMENTS - THE CREDIT UNION GROSSES UP FOR TAX ON CERTAIN NON-CASH BENEFITS REPORTED IN THE RECIPIENT'S W-2. PART I, LINES 4A-B KIRK BOWREN, DIRECTOR OF SPONSOR RELATIONS, RECEIVED A CHANGE OF CONTROL PAYMENT OF $100,000 IN 2014. THE FOLLOWING INDIVIDUALS PARTICIPATED IN A NONQUALIFIED RETIREMENT PLAN: JOHN M. MERLO MARJORIE MCNAUGHT THERE WERE NO DISTRIBUTIONS DURING 2014. FORM 990, PART VI, SECTION A, LINE 4 THE BYLAWS WERE AMENDED TO EXPAND THE FIELD OF MEMBERSHIP TO COVER MEMBERS OF NBCU FEDERAL EMPLOYEES CU THAT WAS MERGED INTO PREMIER AMERICA ON 8/1/2014. FORM 990, PART VI, SECTION A, LINE 6 THE CREDIT UNION'S MEMBERS HAVE RIGHTS TO ELECT THE MEMBERS OF THE GOVERNING BODY. THE CREDIT UNION'S MEMBERS ALSO RECEIVE A SHARE OF THE ORGANIZATION'S PROFITS IN THE FORM OF CASH DIVIDENDS. FORM 990, PART VI, SECTION A, LINE 7A MEMBERS OF THE CREDIT UNION HAVE THE RIGHT TO ELECT ONE OR MORE MEMBERS OF THE ORGANIZATION'S GOVERNING BODY, WHETHER PERIODICALLY, OR AS VACANCIES ARISE, OR OTHERWISE. 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 BY LAW, RULES OR REGULATIONS, SUBJECT TO THE APPROVAL OF MEMBERS OF THE CREDIT UNION AS THEY OCCUR. FORM 990, PART VI, SECTION B, LINE 11 THE DRAFT FORM 990 PREPARED BY THE TAX ACCOUNTANT IS REVIEWED BY SENIOR MANAGEMENT IN THE FOLLOWING ORDER: VP/CONTROLLER, SVP/CHIEF FINANCIAL OFFICER, PRESIDENT AND CHIEF EXECUTIVE OFFICER, AND FINALLY, THE BOARD OF DIRECTORS. QUESTIONS, COMMENTS AND CORRECTIONS ARE ADDRESSED AT EACH STAGE OF THE REVIEW BEFORE THE FINAL REPORT IS FILED BY THE TAX PREPARER FOR THE CREDIT UNION. FORM 990, PART VI, SECTION B, LINE 12C THE CONFLICT OF INTEREST POLICY IS CONTAINED IN THE CODE OF RESPONSIBILITY AND ETHICS THAT EACH EMPLOYEE IS REQUIRED, ANNUALLY, TO ACKNOWLEDGE. VIA WRITTEN POLICY, ALL EMPLOYEES AND OFFICIALS ARE MADE AWARE OF THE CREDIT UNION'S COMPLIANCE REQUIREMENTS INCLUDING, BUT NOT LIMITED TO, THE CONFLICTS OF INTEREST POLICY. STANDARD CREDIT UNION PROCEDURES AND REQUIREMENTS ARE CONSISTENTLY APPLIED TO ANY BUSINESS TRANSACTION BY DIRECTORS, OFFICERS, AND EMPLOYEES. IF A DECISION IS REQUIRED REGARDING A BUSINESS TRANSACTION THAT COULD POTENTIALLY RISE TO A PERCEPTION OF A CONFLICT OF INTEREST, THE INVOLVED PARTY WILL RECUSE HIM OR HERSELF FROM DISCUSSION AND REVIEW OF THE TRANSACTION. TRANSACTIONS INVOLVING INDIVIDUAL ACCOUNTS ARE MONITORED BY THE INTERNAL AUDITOR ON A REGULAR BASIS. FORM 990, PART VI, SECTION B, LINE 15 EXTENSIVE ANNUAL SURVEYS ARE CONDUCTED FOR KEY POSITIONS IN THE CREDIT UNION INCLUDING, BUT NOT LIMITED TO, TOP MANAGEMENT AND KEY EMPLOYEES. THESE SURVEYS ARE PROVIDED BY PROFESSIONAL COMPENSATION ANALYSTS WHO WORK DIRECTLY WITH DATA WITHIN THE FINANCIAL INDUSTRY FIELD. THESE SURVEYS PROVIDE TOTAL COMPENSATION INFORMATION THAT RANGES FROM BROAD MACRO ISSUES TO SPECIFIC ELEMENTS OF TOTAL COMPENSATION STRUCTURES. FORM 990, PART VI, SECTION C, LINE 19 UNAUDITED FINANCIAL STATEMENTS ARE POSTED MONTHLY IN ALL BRANCHES. THE ANNUAL REPORT CONTAINING AUDITED FINANCIAL STATEMENTS IS AVAILABLE AT THE CREDIT UNION'S WEBSITE AND DISTRIBUTED TO ATTENDING MEMBERS DURING ANNUAL MEETINGS. GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE AVAILABLE UPON REQUEST FOR THE SAME PERIOD OF DISCLOSURE AS SET FORTH IN SECTION 6104(D). FORM 990, PART XI, LINE 9: RECLASS ADJ FOR GAINS INCLUDED IN NET INCOME -383,972. EQUITY ACQUIRED IN MERGER 4,709,805. PREMIER FINANCIAL SERVICES INC PO BOX 2178 CHATSWORTH CA 91313 954391970 INVESTMENT & INSURANCE PRODUCTS (INACTIVE SINCE 2012) CA PREMIER AMERICA CREDIT UNION C 1.00000 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 PREMIER AMERICA CREDIT UNION'S 2014 FORM 990 WAS ORIGINALLY ELECTRONICALLY FILED ON NOVEMBER 9, 2015; HOWEVER THE RETURN WAS REJECTED, STATING 1) THE "EIN" IN THE RETURN MUST HAVE BEEN ESTABLISHED AS AN EXEMPT ORGANIZATION RETURN FILER IN THE E-FILE DATABASE. 2) TAX-EXEMPT STATUS SPECIFIED IN ITEM I, MUST MATCH THE DATA IN THE EFILE DATABASE AND 3) THE RETURN TYPE INDICATED IN THE RETURN HEADER MUST MATCH THE RETURN TYPE ESTABLISHED WITH THE IRS FOR THE EIN. WE HAVE BEEN IN CONTACT WITH THE IRS TO RESOLVE THE ISSUE; THEREFORE WE RESPECTFULLY REQUEST NO LATE FEES OR PENALTIES BE ASSESSED DUE TO THE FACT THE RETURN WAS ORIGINALLY SUBMITTED BY THE EXTENDED DUE DATE OF NOVEMBER 16, 2015.