2018 YEAR IN REVIEW
Letter from the President I’m pleased to report we continued to experience strong growth in 2018. Our focus on providing superb and responsible customer service has been crucial to our success. That growth is evidenced by our key year-over-year performance metrics. We have continued to return member-value in the form of lower loan rates, fewer fees, and increased dividends. Additionally, it was a busy year as we expanded our charitable giving through a number of initiatives including donations to local humane societies, hurricane disaster relief as well as involvement in a number of community outreach events. These efforts worked together in support of our primary mission: delivering valued solutions for all our members’ financial needs, whatever their stage of life. As our organization enters its’ 85th year of operations, we remain more committed than ever to serving you and your families for many years to come.
Chris Dickman
Serving our Members and Communities In 2018, CTFCU served over 38,000 members in nine communities.
RE AL SCHOOL GARDENS On April 10, 2018, volunteers from Carolinas Telco FCU joined AT&T, REAL School Gardens, and Sprouts Farmers Market to build a learning garden for Tuckaseegee Elementary in Charlotte, NC.
INTERNATIONAL CREDIT UNION DAY
we
our members.
Thank you for patience and fabulous customer ser vice. - Cyndi, Valued Member
WE DROVE INTO SUMMER SUCCESS In the summer of 2018, we booked over $24 MILLION in total car loans. For the second year in a row, this is our highest production for a vehicle loan campaign in CTFCU history.
CTFCU SUPPORTING DREAMS AND THE FUTURE We pride ourselves in giving back to our members and the communities we serve. In 2017-2018, we partnered with Carolinas Credit Union Foundation to award a $1,000 CTFCU Legacy Scholarship to two members— Devin from Charleston, SC, and Latisha from Charlotte, NC.
$2,000
DONATED TO OUR FUR FRIENDS We raised over $2,000 to benefit local humane societies with the assistance of your Santa Helper Loans. We helped you and your loans helped: Humane Society of Charlotte, Pawmetto Lifeline in Columbia, Charleston Animal Society, Greenville Humane Society, and Second Chance Pet Adoptions in Raleigh.
[C TFCU] provided ser vice that you just can’t get from a bank! - Carla, Valued Member
Wouldn’t bank any where else and I love the way they treat me. - Laura, Valued Member
Letter from the Chairman By all measures, 2018 was an excellent year for Carolinas Telco Federal Credit Union. Our allvolunteer Board of Directors provided oversight to aid CTFCU with the execution of several noteworthy strategic initiatives, none more successful than the summer auto loan campaign. Our credit union continued an impressive run of robust returns on our assets, which led to record earnings. This remarkable performance further improves our net worth position, placing CTFCU within the top 15% of all Carolinas’ credit unions. This notable designation is due in large part to our consistent solid growth of new members and loans. To meet the ever-changing and expanding needs of our members, we continue to make timely investments in our systems, products, and people. The focus of our actions is the on-going pursuit of providing our membership with the very best in financial solutions. Thank you for your continued loyalty and support.
Larry W. Davis
Board of Directors Larry W. Davis, Chairman E. Leland Haywood, Vice Chairman Mitchell D. McIntosh, Secretary John A. Gentry III, Treasurer Lyn Bowen, Director William L. Flowers, Director James W. Rhodes, Director Larry E. Shumpert, Director William B. Smith, Director Eddie M. Veale, Director
The Board of Directors sincerely applauds our employees for their dedication and our members for their continued support of Carolinas Telco FCU.
Supervisory Committee Lyn Bowen, Chairman Maurice Holloway, Committee Member Daniel Lugo, Committee Member
The Supervisory Committee is made up of one director and two additional volunteer members of the credit union. We are charged with the responsibility of ensuring that CTFCU is operating in full compliance with established rules and regulations. The Doeren Mayhew Firm performed the annual financial audit for the year ending December 31, 2018. Based on our review of the audit and analysis performed during the year, it is the opinion of the Supervisory Committee that CTFCU is operating in accordance with the by-laws of the organization and rules and regulations of the National Credit Union Administration.
Treasurer Report John A. Gentry III, Treasurer From a financial perspective, Carolinas Telco FCU experienced another year of positive results. Net income from continuing operations totaled approximately $3.97 million. To celebrate these strong earnings, we will return half of our net income [$1,983,190] proportionally to our member-owners in March 2019. This bonusdividend demonstrates our commitment to promoting the financial well-being of our members. Other operating highlights include total member deposits and loans increasing to over $358 million and $240 million, respectively. 2018 was another solid growth year with more than 1200 new members, bringing our total membership to well over 38,000.
$67
MILLION
15.31%
$14.88
$2.71
2018 C apit al Dollars
MILLION
2017 to 2018 G row th in Net Loans Receivable
2018 Net Wor th Ratio
MILLION
2017 to 2018 G row th in Members’ Shares
Financial Highlights Below are the 2017 and 2018 financial highlights, which were obtained from financial statements, which were audited by the Doeren Mayhew firm.
CONDENSED STATEMENTS OF REVENUES, EXPENSES AND DIVIDENDS Operating Revenue
*Dec. 31, 2018
*Dec. 31, 2017
Gross Interest on Loans
$10,515,465
$9,397,553
Investment Income
$4,332,113
$4,222,544
Other Income
$4,967,798
$4,093,204
Total Income
$19,815,376
$17,713,301
Operating Expenses
$14,473,991
$17,903,230
Income Before Dividends
$5,341,385
($189,929)
Dividends
$3,358,195
$1,379,202
Net Income
$1,983,190
($1,569,131)
* For the year ended. // Above is certain information concerning the financial position and results of operations of Carolinas Telco FCU, as of the dates indicated. This data is derived from, and should be read in conjunction with, the audited financial statements of Carolinas Telco FCU.
CONDENSED STATEMENTS OF FINANCIAL CONDITION Assets
Dec. 31, 2018
Dec. 31, 2017
Loans Receivable - Net
$240,570,325
$225,687,807
Cash and Equivalents
$7,661,062
$18,766,345
Investments
$175,134,245
$187,059,412
Property and Equipment - Net
$4,867,326
$4,740,301
Other Assets
$9,551,821
$14,881,797
Total Assets
$437,784,779
$451,135,662
Liabilities and Equity
Dec. 31, 2018
Dec. 31, 2017
Liabilities
$5,893,828
$2,912,676
Note Payable
$11,000,000
$30,000,000
Members’ Shares
$358,303,506
$355,591,699
Statutory Reserve
$11,222,510
$11,222,510
Undivided Earnings
$55,800,782
$53,817,592
Accumulated Other Comprehensive Loss
($4,435,847)
($2,408,815)
Total Liabilities and Equity
$437,784,779
$451,135,662
Our mission is to deliver valued solutions for all our members’ financial needs— whatever their stage in life.
1-800-622-5305 ctelco.org
All information current as of March 9, 2019, and all information, including rates, are subject to change. All services, such as loans, credit cards and checking accounts, are subject to approval. For information regarding the rates and services you may qualify for, contact any credit union branch.