2011-11-10T08:40:47-06:00 2010-12-31 WIPFLI LLP 7601 FRANCE AVENUE SOUTH SUITE 400 MINNEAPOLIS MN 55435 990 2010-01-01 390945701 COVANTAGE CREDIT UNION COVA 7156274336 723 6TH AVENUE PO BOX 107 ANTIGO WI 544090107 DOUG ANDERSON 7156274336 2011-11-08 1 RICHARD RUVELSON 9525483400 2010 2016-02-24 21:20:13Z DOUG ANDERSON 723 SIXTH AVE ANTIGO WI 54409 54053394 0 2157 X WWW.COVANTAGECU.ORG X 1953 WI A COOPERATIVE, NONPROFIT CORPORATION, INCORPORATED UNDER WISCONSIN STATE LAW TO ENCOURAGE THRIFT AMONG ITS MEMBERS, CREATE A SOURCE OF CREDIT AT A FAIR AND REASONABLE COST, AND PROVIDE OPPORTUNITY FOR ITS MEMBERS TO IMPROVE THEIR ECONOMIC AND SOCIAL CONDITIONS. 8 8 259 8 28894 -5481 0 0 41352919 39522073 2979918 2067709 51142 93153 44383979 41682935 0 0 0 0 9461638 10527010 0 0 0 29486385 25016829 38948023 35543839 5435956 6139096 784077218 861217025 705087991 775204126 78989227 86012899 X A COOPERATIVE, NONPROFIT CORPORATION, INCORPORATED UNDER WISCONSIN STATE LAW TO ENCOURAGE THRIFT AMONG ITS MEMBERS, CREATE A SOURCE OF CREDIT AT A FAIR AND REASONABLE COST, AND PROVIDE OPPORTUNITY FOR ITS MEMBERS TO IMPROVE THEIR ECONOMIC AND SOCIAL CONDITIONS. 1 0 COVANTAGE HAS 62,132 MEMBERS, AND FOR THOSE LOOKING TO SAVE, COVANTAGE STRIVES TO PAY DIVIDEND RATES THAT ARE ABOVE MARKET RATES, EVEN IN THESE TOUGH ECONOMIC TIMES. AS OF DECEMBER 31, 2010, COVANTAGE WAS STILL PAYING AN ANNUAL PERCENTAGE RATE OF 1.00% ON REGULAR SHARE ACCOUNTS WHEN MANY OTHER FINANCIALS DROPPED SIGNIFICANTLY AS THE ECONOMIC CONDITIONS CHANGED. OUR MINIMUM BALANCE OF ONLY $10 WAS STILL MAINTAINED, WHICH HELPED MANY IN TIMES OF HARDSHIP. MEMBERS WERE NOT ONLY ABLE TO RECEIVE THE BENEFIT OF HIGHER THAN AVERAGE RATES DURING THESE TOUGH TIMES, BUT COVANTAGE STILL REWARDED MEMBERS WITH AN ADDITIONAL PATRONAGE PAYMENT AGAIN IN 2010. COVANTAGE CONTINUES TO OFFER COST-FRIENDLY LOAN PRODUCTS TO OUR MEMBERS. WE NOT ONLY DO THIS THROUGH OUR COMPETITIVE RATES, BUT ALSO BY GOING ABOVE AND BEYOND TO HELP THOSE IN NEED. WE CONTINUE TO OFFER COST-FRIENDLY OPTIONS TO PAYDAY LENDERS SUCH AS KWIK CASH OVERDRAFT PROTECTION LOANS WITH NO SERVICE CHARGE OR TRANSFER FEE, COURTESY PAY CHECKING ACCOUNT SERVICES ALSO WITHOUT HEFTY FEES, IN ADDITION TO CREDIT CARDS WITH A FIXED LOW RATE OF 8.95%. OTHER LOW-COST OPTIONS INCLUDE OUR OWN PAYDAY ADVANCE LOANS IN ADDITION TO SHARE-SECURED CREDIT CARDS FOR THOSE MEMBERS THAT MAY NEED TO REBUILD CREDIT. 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 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 40134 0 259 1 1 1 0 0 0 0 0 0 0 X 8 8 0 0 0 0 1 1 1 1 1 0 0 1 1 0 0 1 1 1 1 0 X BRIAN PRUNTY PRESIDENTCEO 7156274336 723 SIXTH AVE ANTIGO WI 54409 THOMAS BRADLEY 3.00 X 400 0 0 ROBERT MACINTOSH 2.00 X 2400 0 0 CHARLES DALLAS 2.00 X 2400 0 0 WILLIAM P NOVAK 2.00 X 2400 0 0 JANELLE MARKGRAF 2.00 X 2400 0 0 DWIGHT NELSON 2.00 X 2400 0 0 BENJAMIN ZELAZOSKI 2.00 X 2400 0 0 DAVID VISSER 2.00 X 2400 0 0 KAREN NOVAK 2.00 X 2400 0 0 BRIAN PRUNTY 40.00 X X 307074 0 37425 PAUL GRINDE 40.00 X X 169105 0 27983 ROBERT VAN ABEL 40.00 X X 124958 0 26905 DOUG ANDERSON 40.00 X X 132652 0 31509 STEVE WILDER 40.00 X 125428 0 18080 SHERRY AULIK 40.00 X 113737 0 24175 992554 0 166077 6 0 1 0 0 INTEREST ON LOANS 522100 34356582 34356582 CREDIT AND DEBIT CARD 522200 2299655 2275458 24197 SERVICE FEES 522100 2066757 2062060 4697 CUNA INSURANCE INCOME 522100 757465 757465 OTHER INCOME 524298 41614 41614 39522073 2746946 2746946 69403 69403 23750 23750 23750 23750 10731437 959785 11258024 1112435 -526587 -152650 -679237 -152650 -526587 41682935 39433682 28894 2220359 1158631 6857016 453939 1440053 617371 13175 143885 4527 862393 1512260 404900 527365 114915 76128 159 1190264 343128 DIVIDENDS PAID ON MEMBE 13306605 PROVISION FOR LOAN LOSS 2400000 NCUA SHARE INSURANCE 1673717 LOAN SERVICING EXPENSE 1609824 OPERATIONAL EXPENSE 833584 35543839 4531284 5160762 26681913 44182422 595958633 646917254 542899 446792 25037727 6351652 16902352 18686075 90695348 90629839 33982000 34668000 14782789 20525881 784077218 861217025 1740593 1963786 703347398 773240340 705087991 775204126 X 0 0 0 0 78989227 86012899 78989227 86012899 784077218 861217025 X 6139096 884576 X X 0 1 1 X 0 3146232 3146232 14937702 2578563 12359139 5877273 3417108 2460165 1076520 355981 720539 18686075 SHARE DRAFTS 83686494 REGULAR SHARES 174554325 MONEY MARKET SHARES 199117339 SHARE CERTIFICATES 221870727 IRA/KEOUGH ACCOUNTS 94011455 773240340 41682935 35543839 6139096 926484 -41908 884576 7023672 41682935 0 41682935 0 41682935 35543839 0 35543839 0 35543839 PART XI, LINE 8 - OTHER ADJUSTMENTS: OTHER COMPREHENSIVE INCOME -41,908. PART XI, LINE 8: THE AMOUNT OF $-41,908 IS FROM A DECREASE TO EQUITY FROM OTHER COMPREHENSIVE INCOME 1 X X X X 0 0 0 BRIAN PRUNTY 289982 0 17092 0 0 0 0 0 37425 0 344499 0 0 0 PAUL GRINDE 159616 0 9489 0 0 0 0 0 27983 0 197088 0 0 0 ROBERT VAN ABEL 117900 0 7058 0 0 0 0 0 26905 0 151863 0 0 0 DOUG ANDERSON 125029 0 7623 0 0 0 0 0 31509 0 164161 0 0 0 NEW PROGRAM SERVICES FORM 990, PART III, LINE 2 COVANTAGE CREDIT UNION BEGAN OFFERING A SHARE SECURED CREDIT CARD. THIS NEW PROGRAM OFFERS A LINE OF CREDIT UP TO 90% OF THE FUNDS PLEDGED VIA DEPOSIT HERE AT COVANTAGE. THE MAXIMUM CREDIT LINE IS $2,500 WITH A FIXED INTEREST RATE AT A LOW 8.95%. NO APPLICATION FEE OR ANNUAL FEE IS CHARGED FOR THIS PRODUCT. AS OF DECEMBER 31, 2010 COVANTAGE HAD 40 SHARE SECURED CREDIT CARDS OPENED WITH OUTSTANDING BALANCES AT $12,844.70. COVANTAGE CREDIT UNION ALSO INTRODUCED OUR NEW CREDIT BUILDER LOAN. THE PROCEEDS FROM THIS LOAN ARE DEPOSITED INTO A SAVINGS ACCOUNT HERE AT COVANTAGE. THE LOAN IS THEREFORE 100% SECURED, HOWEVER THE LOAN GIVES THE MEMBER AN OPPORTUNITY TO DEVELOP A POSITIVE CREDIT HISTORY, WHICH WILL HOPEFULLY AID IN FUTURE BORROWINGS. THIS ALSO ALLOWS THE MEMBER TO HAVE A SAVINGS ACCOUNT BALANCE AT THE END OF THE LOAN TERM. THE INTEREST RATE CHARGED FOR A CREDIT BUILDER LOAN IS ONLY 2% OVER THE RATE BEING PAID ON THE SAVINGS ACCOUNT. FORM 990, PART VI, SECTION A, LINE 6 COVANTAGE CREDIT UNION IS OWNED AND OPERATED BY ITS 62,132 MEMBERS AND A VOLUNTEER BOARD OF DIRECTORS. A SAVINGS ACCOUNT WITH A MINIMAL $10 DEPOSIT MEETS THE REQUIREMENT OF BEING A MEMBER-OWNER JUST AS LONG AS THEY MEET ONE OF THE OTHER MEMBERSHIP REQUIREMENTS SUCH AS RESIDING IN THE CHARTERED AREA, A FAMILY MEMBER IS ALREADY A MEMBER, ARE A MEMBER OF SERVO FS COOPERATIVE IN ANTIGO, OR ARE A STUDENT/ALUMNI OF A POST-SECONDARY SCHOOL IN MARATHON COUNTY. OUR MEMBER-OWNERS BENEFIT FROM BELONGING TO COVANTAGE THROUGH LOWER LOAN RATES, HIGHER SAVINGS RATES, FEWER FEES, IN ADDITION TO THE INTRODUCTION OF NEW PRODUCTS AND OTHER INCENTIVES. FORM 990, PART VI, SECTION A, LINE 7A THE BOARD OF DIRECTORS ARE ELECTED BY THE MEMBERSHIP UTILIZING THEIR ONE VOTE PER MEMBER. FORM 990, PART VI, SECTION A, LINE 7B THE MEMBERS WOULD NEED TO APPROVE DECISIONS SUCH AS CHANGE OF NAME OR A MERGER DECISION. FORM 990, PART VI, SECTION B, LINE 11 THE BOARD OF DIRECTORS WAS PRESENTED WITH A COPY OF FORM 990 AT A MONTHLY BOARD MEETING, WHICH ALLOWED THEM TO REVIEW IT AT THIS TIME ALSO. FORM 990, PART VI, SECTION B, LINE 12 THE CREDIT UNION OPERATES IN A SMALL ENOUGH ENVIRONMENT THAT THEY WOULD BE AWARE OF ANY CONFLICTS THAT WOULD ARISE. FORM 990, PART VI, SECTION B, LINE 15 THE PROCESS OF DETERMINING COMPENSATION FOR OFFICERS INCLUDING PAUL GRINDE, DOUG ANDERSON, STEVE WILDER, ROBERT VAN ABEL, SHERRY AULIK AND BRIAN PRUNTY (ALSO CEO), INCLUDE AN ANNUAL COMPARABILITY SURVEY BASED OFF OF DATA FROM OTHER CREDIT UNIONS OF SIMILAR ASSET SIZE TO COVANTAGE. THIS DATA IS USED TO CREATE AN INDUSTRY AVERAGE FOR EACH POSITION. THE MIDPOINT OF OUR PAYGRADE IS TARGETED TO BE COMPARABLE TO THAT INDUSTRY AVERAGE. THESE SURVEYS ARE COMPLETED ANNUALLY, BEGINNING IN SEPTEMBER/OCTOBER. THE NEW SALARY AMOUNTS ARE THEN APPROVED BY THE BOARD IN NOVEMBER FOR THE UPCOMING YEAR. SALARIES ARE THEN ADJUSTED ON EACH INDIVIDUAL'S ANNUAL REVIEW DATE. FOR THOSE INDIVIDUALS LISTED, THIS PROCESS WAS LAST COMPLETED IN 2009 FOR THE 2010 CALENDAR YEAR. FORM 990, PART VI, SECTION C, LINE 19 COVANTAGE CREDIT UNION MAKES ITS GOVERNING DOCUMENTS, IN ADDITION TO ITS CONFLICT OF INTEREST POLICY, AVAILABLE TO THE PUBLIC UPON REQUEST. FINANCIAL STATEMENTS ARE AVAILABLE BY VIEWING THE NCUA 5300 CALL REPORT OR BY OBTAINING AN ANNUAL STATEMENT BROCHURE AVAILABLE IN THE LOBBIES OF ALL COVANTAGE CREDIT UNION BRANCHES. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED GAINS ON INVESTMENTS: 926,484. OTHER COMPREHENSIVE INCOME -41,908. TOTAL TO FORM 990, PART XI, LINE 5: 884,576. FORM 990, PART XII, LINE 2C NO CHANGE IN THE PROCESS FROM THE PRIOR YEAR.