2013-05-10T07:44:54-05:00 2012-06-30 410746749 CLIFTONLARSONALLEN LLP 9515 DEERECO RD - SUITE 500 TIMONIUM MD 210932184 990 2011-07-01 560475645 STATE EMPLOYEES' CREDIT UNION STAT 9198395000 1000 WADE AVENUE RALEIGH NC 276051157 MICHAEL J LORD 9198395000 2013-05-09 1 MELISSA DYER CPA P01222987 4104530900 2011 2016-02-25 16:41:14Z JAMES C BLAINE 1000 WADE AVENUE RALEIGH NC 276051157 15592051306 0 X WWW.NCSECU.ORG X 1937 NC AS A FINANCIAL COOPERATIVE OWNED BY OUR MEMBERS, OUR MISSION IS TO IMPROVE THE ECONOMIC LIFE AND SOCIAL CONDITION OF MEMBERS TO ENCOURAGE THRIFT, TO PROVIDE A SOURCE OF CREDIT AT A FAIR AND REASONABLE RATE OF INTEREST AND TO BROADEN THE ECONOMIC AWARENESS OF MEMBERS THROUGH PROGRAMS OF CONSUMER PROTECTION. 11 11 4986 3352 34544231 -30191531 0 0 792315907 800509405 235255316 146827611 0 0 1027571223 947337016 0 0 0 0 249038249 250320206 0 0 0 587503097 525258221 836541346 775578427 191029877 171758589 23061232954 25097413322 21404794165 23291853584 1656438789 1805559738 X AS A FINANCIAL COOPERATIVE OWNED BY OUR MEMBERS, OUR MISSION IS TO IMPROVE THE ECONOMIC LIFE AND SOCIAL CONDITION OF MEMBERS, TO ENCOURAGE THRIFT, TO PROVIDE A SOURCE OF CREDIT AT A FAIR AND REASONABLE RATE OF INTEREST AND TO BROADEN THE ECONOMIC AWARENESS OF MEMBERS THROUGH PROGRAMS OF CONSUMER PROTECTION. 0 0 775578427 912792785 THE STATE EMPLOYEES' CREDIT UNION IS OWNED BY OUR 1.8 MILLION MEMBERS. SECU PROVIDES SERVICES TO OUR MEMBERS THROUGH 245 BRANCH OFFICES, OVER 1,100 ATMS, 24/7 CONTACT CENTERS AND A WEBSITE - WWW.NCSECU.ORG. AS A CREDIT UNION, MEMBERS DEPOSIT FUNDS INTO SHARE ACCOUNTS WHICH ARE THEN LOANED TO OTHER MEMBERS. THE CREDIT UNION OFFERS SHARE ACCOUNTS OF VARIOUS TYPES: MEMBERSHIP SHARES, SHARE DRAFTS, MONEY MARKET SHARES, IRA SHARES AND SHARE TERM CERTIFICATES. LOANS TO MEMBERS CONSIST OF MORTGAGE, HOME EQUITY, AUTO AND OTHER CONSUMER LOANS. AT JUNE 30, 2012, THERE WERE 469,000 PERSONAL LOANS AND 131,000 FIRST AND SECOND MORTGAGE LOANS OUTSTANDING. THE CREDIT UNION RECEIVED $912,792,785 IN REVENUES FROM INTEREST ON LOANS, INTEREST ON INVESTMENTS AND OTHER NON INTEREST SOURCES DURING THE YEAR ENDING JUNE 30, 2012. THE COST OF PROVIDING SERVICES TO CREDIT UNION MEMBERS WAS $775,578,427 FOR THE YEAR. THE COST OF SERVICES CONSISTS OF INTEREST PAID ON SHARE ACCOUNTS, SALARIES, BUILDING EXPENSES, EQUIPMENT EXPENSES AND OTHER OPERATIONAL EXPENSES. 775578427 0 0 0 0 0 0 0 1 0 1 0 0 0 1 0 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 1 0 1 999999 0 1 4986 1 1 1 0 0 0 0 0 X 11 11 1 0 0 0 1 1 1 1 1 0 1 1 0 1 1 1 1 1 1 1 0 NC X X THE ORGANIZATION 9198395084 1000 WADE AVENUE RALEIGH NC 276051157 JIM BARBER 5.00 X 0 0 0 MCKINLEY WOOTEN 5.00 X X 0 0 0 JIM JOHNSON 5.00 X X 0 0 0 KARAN BUNN 5.00 X 0 0 0 TOM KING 5.00 X 0 0 0 DAVID KING 5.00 X 0 0 0 BOB PARKER 5.00 X 0 0 0 CYNTHIA JOLLY 5.00 X X 0 0 0 JOANNE SANFORD 5.00 X 0 0 0 BOB BRINSON 5.00 X 0 0 0 SHIRLEY BELL 5.00 X 0 0 0 JAMES C BLAINE 40.00 X 745992 0 12240 ROBERT S HALL 40.00 X 383667 0 29970 MICHAEL J LORD 40.00 X 236593 0 34401 SUE A DOUGLAS 40.00 X 193738 0 28475 MARK TWISDALE 40.00 X 221075 0 42004 CHRIS AYER 40.00 X 193355 0 34624 PHIL GREER 40.00 X 204186 0 23706 RANDY PARTIN 40.00 X 203854 0 36411 JERRY HARMON 40.00 X 171670 0 32120 WALLACE W UMPHLETT 40.00 X 208560 0 33938 EDWARD T HOFFMAN JR 40.00 X 182870 0 24853 THOMAS K MARION 40.00 X 180108 0 23091 JOSEPH M BANKS 40.00 X 174826 0 25687 RANDALL WELBORN 40.00 X 175142 0 31860 3475636 0 413380 14 0 1 0 CLANCY & THEYS CONSTRUCTION CO PO BOX 27608 RALEIGH NC 27603 CONSTRUCTION 17684283 AR CHESSON CONSTRUCTION CO PO BOX 1147 WILLIAMSTON NC 27892 CONSTRUCTION 4561487 KOURY CONTRUCTION SERVICE 400 FOUR SEASONS TOWN CENTRE GREENSBORO NC 27407 CONSTRUCTION 2289019 LECHASE CONSTRUCTION SERVICES 2820 SELWYN AVE SUITE 5002820 SE CHARLOTTE NC 28209 CONSTRUCTION 1726636 RL CASEY INC 4916 BARTLETT STREET GREENSBORO NC 27409 CONSTRUCTION 1226718 50 INTEREST ON LOANS - RE 522100 504232251 504232251 INTEREST ON PERSONAL L 522100 150265693 150265693 INTERCHANGE FEES 522100 80995070 80995070 NON-MEMBER FEES 541200 34544231 34544231 DEMAND DEPOSIT PROCESS 522100 13590330 13590330 16881830 16881830 800509405 48755093 48755093 14700562679 42224129 14604246891 40467399 96315788 1756730 98072518 98072518 947337016 912792785 34544231 0 3905963 181663966 17143025 32777106 14830146 216168 369544 1242477 21769860 6013436 25010137 2515684 355446 271068084 34529337 253509 PROVISION FOR LOAN LOSS 57000000 EQUIPMENT REPAIR AND MA 28840148 CARD PROCESSING FEES 24920871 NCUSIF INSURANCE EXPENS 24597707 26555813 775578427 495257368 371148393 3174313059 9060683353 13419655833 13353901392 13906783 13471323 855283931 303980640 497197984 551303291 4924621094 1211625000 236102469 226963861 300178364 308316709 23061232954 25097413322 25362333 25959243 102016809 113570360 21277415023 23152323981 21404794165 23291853584 X 0 0 0 0 1656438789 1805559738 1656438789 1805559738 23061232954 25097413322 X 171758589 -22637640 X X 0 1 1 X 0 0 1 154053042 154053042 432242386 97930571 334311815 9232395 8728988 503407 259756108 197321081 62435027 551303291 MEMBER DEPOSITS 23107388591 OTHER LIABILITIES 44935390 23152323981 947337016 775578427 171758589 -22637640 -22637640 149120949 945872602 385738 385738 945486864 1850152 1850152 947337016 774152499 424224 424224 773728275 1850152 1850152 775578427 PART IV, LINE 2B: THE CREDIT UNION MAINTAINS ESCROW ACCOUNTS ON MEMBERS' FIRST MORTGAGE LOANS AS A SERVICE TO OUR MEMBERS. INTEREST IS PAID AT A SAVINGS ACCOUNT RATE AS AN ADDITIONAL BENEFIT. THESE ACCOUNTS ARE FUNDED ON A MONTHLY BASIS BY THE MEMBERS. THE PROCEEDS ARE USED TO PAY THE PROPERTY TAXES AND INSURANCE ON THE REAL PROPERTY SECURED BY THE FIRST MORTGAGE. PART XII, LINE 2D - OTHER ADJUSTMENTS: REVENUE FROM SUBSIDIARY 292,316. LOSS ON SALE OF FIXED ASSETS 93,422. PART XII, LINE 4B - OTHER ADJUSTMENTS: GAIN ON REO 1,850,152. PART XIII, LINE 2D - OTHER ADJUSTMENTS: EXPENSES FROM SUBSIDIARY 330,802. LOSS ON SALE OF FIXED ASSETS 93,422. PART XIII, LINE 4B - OTHER ADJUSTMENTS: GAIN ON REO 1,850,152. X X X X X 0 0 0 JAMES C BLAINE 718928 0 0 0 27064 0 0 0 12684 0 758676 0 0 0 ROBERT S HALL 344900 0 0 0 38767 0 22050 0 8266 0 413983 0 0 0 MICHAEL J LORD 204908 0 0 0 31685 0 22281 0 12372 0 271246 0 0 0 SUE A DOUGLAS 146585 0 0 0 47153 0 18435 0 11428 0 223601 0 0 0 MARK TWISDALE 177643 0 0 0 43432 0 21324 0 21190 0 263589 0 0 0 CHRIS AYER 174242 0 0 0 19113 0 18944 0 17330 0 229629 0 0 0 PHIL GREER 180982 0 0 0 23204 0 18810 0 5148 0 228144 0 0 0 RANDY PARTIN 173143 0 0 0 30711 0 19491 0 17250 0 240595 0 0 0 JERRY HARMON 142283 0 0 0 29387 0 16640 0 15810 0 204120 0 0 0 WALLACE W UMPHLETT 177797 0 0 0 30763 0 19874 0 14394 0 242828 0 0 0 EDWARD T HOFFMAN JR 136806 0 0 0 46064 0 17077 0 8410 0 208357 0 0 0 THOMAS K MARION 135544 0 0 0 44564 0 16799 0 6544 0 203451 0 0 0 JOSEPH M BANKS 145439 0 0 0 29387 0 16567 0 9450 0 200843 0 0 0 RANDALL WELBORN 141578 0 0 0 33564 0 16684 0 15428 0 207254 0 0 0 FORM 990, PART VI, SECTION A, LINE 2 ROBERT S. HALL, SENIOR EXECUTIVE VICE-PRESIDENT AND SUE A. DOUGLAS, SENIOR VICE-PRESIDENT ARE BROTHER-IN-LAW AND SISTER-IN-LAW. FORM 990, PART VI, SECTION A, LINE 6 SECU IS A NON-PROFIT FINANCIAL COOPERATIVE OWNED BY AND OPERATED FOR THE BENEFIT OF ITS 1,772,000 MEMBERS. FORM 990, PART VI, SECTION A, LINE 7A SECU MEMBER/OWNERS ELECT THE BOARD OF DIRECTORS. EACH MEMBER OF THE ORGANIZATION IS ENTITLED TO ONE VOTE. ELEVEN BOARD MEMBERS SERVE THREE YEAR STAGGERED TERMS. ELECTIONS FOR OPEN SEATS ARE HELD EACH YEAR DURING THE ANNUAL MEMBERS' MEETING. FORM 990, PART VI, SECTION A, LINE 7B SECU MEMBERS HAVE THE RIGHT TO VOTE ON THE MERGER OF THE ORGANIZATION INTO ANOTHER FINANCIAL INSTITUTION, DISSOLUTION OF THE CREDIT UNION, CONVERSION FROM A STATE TO A FEDERALLY CHARTERED CREDIT UNION OR THE CONVERSION TO ANOTHER TYPE OF FINANCIAL INSTITUTION. FORM 990, PART VI, SECTION B, LINE 11 THE RETURN IS COMPLETED BY THE FINANCE AND ACCOUNTING DEPARTMENT STAFF OF THE ORGANIZATION AND REVIEWED BY THE SR VP-FINANCE AND ACCOUNTING AND THE PRESIDENT BEFORE FILING. A COPY OF THE 990 FORM IS MADE AVAILABLE TO THE BOARD OF DIRECTORS AFTER IT IS FILED. FORM 990, PART VI, SECTION B, LINE 12C EACH EMPLOYEE OF THE ORGANIZATION MUST ACKNOWLEDGE HAVING READ THE CODE OF ETHICS ANNUALLY. THE ORGANIZATION PROVIDES A TOLL FREE ANONYMOUS HONOR LINE THROUGH AN OUTSIDE, INDEPENDENT VENDOR. EMPLOYEES ARE ENCOURAGED TO REPORT ALL VIOLATIONS OF THE ETHICS, OPERATIONS, LENDING, AND PERSONNEL POLICIES. ALL INFORMATION RECEIVED THROUGH THE HONOR LINE IS FORWARDED TO AUDIT SERVICES AND HUMAN RESOURCES DEPARTMENTS FOR REVIEW AND ACTION. DETAILS OF ALL REPORTED INCIDENTS AND RESOLUTIONS ARE SHARED WITH SENIOR MANAGEMENT AND THE BOARD OF DIRECTORS ON A MONTHLY BASIS. ALL REPORTS ARE INVESTIGATED THOROUGHLY AND RESOLVED IN A TIMELY MANNER. FORM 990, PART VI, SECTION B, LINE 15 THE BOARD OF DIRECTORS SETS THE SALARY AND BENEFITS OF THE PRESIDENT. A FORMAL ANNUAL REVIEW OF THE PERFORMANCE OF THE PRESIDENT IS CONDUCTED BY THE BOARD OF DIRECTORS. IN ADDITION, A COMPENSATION COMMITTEE, COMPRISED OF MEMBERS OF THE BOARD OF DIRECTORS, UTILIZES SURVEYS AND MARKET COMPARISONS OF PEER CREDIT UNIONS AND OTHER FINANCIAL INSTITUTIONS TO BENCHMARK THE COMPENSATION PACKAGE OF THE PRESIDENT. THESE SURVEYS ARE INDEPENDENTLY OBTAINED FROM COMPENSATION CONSULTANTS CONTRACTED BY THE SECU HR DEPARTMENT. THE BOARD OF DIRECTORS REVIEWS THE COMPENSATION SURVEYS, RECOMMENDATIONS OF THE COMPENSATION COMMITTEE, THE PERFORMANCE OF THE PRESIDENT AND THE CREDIT UNION AND SETS THE SALARY AND BENEFITS LEVEL OF THE PRESIDENT. PERIODIC SALARY SURVEYS AND BENCHMARKING ARE LIKEWISE OBTAINED FOR ALL STAFF AND MANAGEMENT POSITIONS OF THE ORGANIZATION. THERE IS NO INCENTIVE OR COMMISSION BASED COMPENSATION FOR ANY EMPLOYEE. ALL EMPLOYEES RECEIVE A SALARY AND SET DOLLAR AMOUNT OF BOARD APPROVED BENEFIT DOLLARS THROUGH A CAFETERIA PLAN. FORM 990, PART VI, SECTION C, LINE 19 THE GOVERNING DOCUMENTS OF THE ORGANIZATION ARE MADE AVAILABLE UPON REQUEST. A SUMMARY OF THE FINANCIAL STATEMENTS IS MADE AVAILABLE MONTHLY ON THE ORGANIZATION'S WEB SITE ALONG WITH PERIODIC UPDATES ON THE FINANCIAL CONDITION OF THE ORGANIZATION. THE ANNUAL REPORT TO THE MEMBERSHIP AND THE COMPLETE AUDITED FINANCIAL STATEMENTS WITH FOOTNOTES ARE AVAILABLE ON THE ORGANIZATION'S WEB SITE PAPER COPIES AVAILABLE UPON REQUEST. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED LOSSES ON INVESTMENTS: -22,637,640. FORM 990, PART XII, LINE 2C: THE ORGANIZATION HAS NOT CHANGED EITHER ITS OVERSIGHT PROCESS OR SELECTION PROCESS FOR ITS ANNUAL AUDIT. SECU FOUNDATION 1000 WADE AVENUE RALEIGH NC 27605 562255292 PROMOTES LOCAL AND COMMUNITY DEVELOPMENT NC 501(C)(3) PF 0 CREDIT UNION INVESTMENT SERVICES 1000 WADE AVENUE RALEIGH NC 27605 260627380 INVESTMENT ADVISOR NC STATE EMPLOYEES' CREDIT UNION C 39389 1030228 1.00000 SECU BROKERAGE SERVICES 1000 WADE AVENUE RALEIGH NC 27605 262442926 BROKER/DEALER NC CREDIT UNION INVESTMENT SERVICES C -77874 832029 1.00000 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 0 CUIS AND SBS N 899329 PRORATED