We Are “People Helping People” We Are “People Helping People”
The Premier Difference...experience it!
®
People helping people � Relationships � Exceptional service � Member centric � Integrity � Em
ploye
e fo
cuse
d �
Resp
onsib
ility �
1We exist to serve our members!
Through the support of a growing membership, strong fi nancials and loyalty from our members, we are pleased to report another successful year for the credit union. In 2012, we continued to enhance our product off erings, provide above market deposit rates, competitive loan rates and a level of service that we call the Premier Diff erence. We are grateful for the trust and confi dence that you have placed in us!
Safe, Sound and Growing
Though the economy remains somewhat unpredictable, Premier FCU remains fi nancially strong. We are dedicated to sustaining the highest level of safety, soundness and security for our members’ assets. 2012 brought substantial growth in assets, loans and shares. Our net worth of 13.69% remains in the “well capitalized” category, almost double the regulatory requirement. The past 5 years have proven that a solid net worth ratio is necessary to withstand the ups and downs of the economy. A strong bottom line enables us to continuously enhance the value of your membership through the best possible services and more competitive rates.
We are proud to have maintained our 5 Star – Superior rating with Bauer Financial, Inc., an independent bank and credit union research fi rm.
Our Members Matter Most
Being member-centric is at the heart of our core values. You are our fi rst priority and the foundation of our organization. We provide services to address your fi nancial needs and build relationships that will last a lifetime. Our goal is to become your trusted fi nancial partner, advisor and friend.
We consistently look for ways to return value to our members. One way to accomplish this is through free services. Another is through an interest rebate. For the third year in a row, we have given a 5% cash rebate on interest paid in 2012 for eligible loans! It defi nitely pays to have all your loans with us.
Evolving for You
Enhancements are constantly being made so that we can provide you with the products and services that best meet your fi nancial needs. We implemented several exciting new improvements to our technology-based services in 2012 to enhance your experience and make banking with us easy and convenient. A partnership with Sallie Mae® was formed to provide a resource for student loans and we introduced the customized debit card. We will continue to evolve to serve you better!
Looking forward
As we move forward into 2013 and beyond, the Premier FCU Board of Directors, management and staff will remain committed as ever to ensuring the fi nancial well-being of our members through strategically sound business decisions and enhanced benefi ts and programs. It’s a great time to belong to a credit union and be a part of a member-owned fi nancial cooperative where the philosophy of “people helping people” is embraced.
We feel privileged to serve you, our members, and to help you meet your fi nancial goals. Thank you for giving us this opportunity and for your continued support.
Sincerely,
Lori Thompson Dennie Smith
President/CEO Chairman of the Board
Board of Directors & Board of Directors & Senior Management Senior Management
Dennie W. Smith, Chairman Robert Scruggs, Vice Chairman Clara Newnam, Secretary/Treasurer Louise Pinkelton-Hofer, Membership Offi cer James E. Knight, Director Teresa Huff man, Director John L. Jones, Director Samir Gabriel, Director Charles Younce, Director
Lori Thompson, President/CEO Kimberly Walters, Chief Financial Offi cer Tyler Duke, VP Branch Operations LaKeisha Moore, VP Compliance & Product Development Eric Tapio, VP Lending
Supervisory Committee Report Supervisory Committee Report
2
The role of the Supervisory Committee is to monitor the operations of the credit union and to ensure that the highest degree of integrity is maintained.
The Committee employed Nearman, Maynard and Vallez, CPAs, an outside auditing fi rm, to conduct an opinion audit for the period of March 31, 2012– March 31, 2013. This audit was conducted in accordance with generally accepted auditing standards (GAAP). The results indicated that there were no modifi cations needed and that the fi nancial statements represented a true and accurate picture of the credit unions fi nancial position.
In September 2012, the NCUA (National Credit Union Administration) conducted an annual examination, as required, for the period ending June 30, 2012.
In addition, each quarter, the audit team from the North Carolina Credit Union Service Corporation, performs various reviews of internal controls.
Your Supervisory Committee is satisfi ed that the credit union is in sound fi nancial condition; internal controls, as well as policies and procedures established by the Board of Directors, are being followed.
Should you have any questions concerning the above stated examinations and audits, please contact a member of the Supervisory Committee.
Lee Vernon, Chairman John Jones, Member Danielle Spradling, Member
Highlights of 2012• Formed a partnership with Sallie Mae® student loans to be able to provide our members with a great resource to help pay for college.
• Introduced an online membership application. Joining has never been easier! We received 541 membershipapplications in 2012.
• Introduced our Premier App for smartphones, tablets and other mobile devices. Everything you needin one , easy to use app!
• Introduced Complete Access. Manageall of your accounts from your Premier Online website – even accounts with other institutions. Better manage your money with budgeting, savings goals and monitoring your expenses.
• Our anytime, anywhere, for anything, online loan application launched in 2012. Apply for a loan wherever, whenever. It’s always available. It’s all part of our goal to provide you with the best loan experience.
• What does your debit card say about you? My CardCreate gives you the ability to create a card that fi ts your image. Upload a picture or image and get your personalized debit card.
• Members will eligible loan interest were given a 5% cash rebate! It pays to have all of your loans at Premier!
• We became affl iated with North Carolina Consumers Council (NCCC) to off er credit union membership to it’s members. Now, anyone that joins the NCCC and lives in a state with a Premier branch can open an account with us!
We value the trust you have in us!
Audited fi nancials as of March 31, 2013 and March 31, 2012.
ASSETS 2013 2012
Cash and Receivables $7,206,005.74 $7,152,370.91
Investments $57,139,821.68 $48,130,997.10
Net Loans Outstanding $80,373,821.99 $77,696,248.05
Fixed Assets $5,800,592.50 $5,532,658.92
Other Assets $1,477,593.45 $1,615,888.60
TOTAL ASSETS $151,997,835.36 $140,128,163.58
LIABILITIES & EQUITY 2013 2012
Accounts Payable $1,182,012.41 $2,267,093.20
Accrued Expenses & Other Liabilities $610,963.98 $776,379.47
Member Shares and Certifi cates $129,800,867.27 $117,478,219.35
Regular Reserves $2,412,745.88 $2,412,745.88
Undivided Earnings $17,991,245.82 $17,193,725.68
TOTAL LIABILITIES & EQUITY $151,997,835.36 $140,128,163.58
INCOME & EXPENSE STATEMENT 2013 2012
Interest Income $1,583,853 $1,594,005
Non-Interest Income $1,035,319 $1,011,219
Total Income $2,619,172 $2,605,224
Dividend Expense $233,832 $314,590
Operating Expense $1,804,585 $1,891,100
Provision for Loan Loss $320,570 $186,893
Total Expenses $2,358,987 $2,392,583
NET INCOME YEAR TO DATE $260,185 $212,641
2,8442,844New Members 4,6214,621
New Checking Accounts$37,324,362$37,324,362
Funded Loans
60
We remain strong because of you!
4
6060New Premier
Partner Companies 3.1 Million 3.1 Million Number of Debit & ATM
Transactions Processed
We continue to grow and prosper!
608,463 608,463 Number of
Teller Transactions
4
*Data above is as of December for each year.
5
What is the Premier Diff erence?
It is the way we do business. It’s about how we treat our members. It’s about
going above and beyond to take care of your fi nancial needs. For us, going above and beyond isn’t an exception. It’s simply
what we do all day, every day!
Here are some examples of the Premier Diff erence and what our
members are saying.
We build relationships!
In 2012, Premier Federal Credit Union continued building relationships with our members and in the community. We aren’t just another fi nancial institution - we really do care. Not only do we care about our members, but we care about being part of our community. All of our branches are active in and support local organizations to help those in need!
In 2012, Premier was proud to be included in and participate in many community events.
In cooperation with Family Services
of the Piedmont:
• 2012 Family Service Community Hot Dog Dinner• 2012 Annual Hot Dog Sale Fundraiser• 2012 Community Shred Day• 2012 Annual Bake Sale• Change for Change Coin Drive• Adopt-A-Family for Christmas• Operation Elf
6
Other events:
• Kings Mountain National Night Out• Alamance County Health Fair• City of Graham Health Fair• Piedmont Triad Business Expo• Hospice Hope 5K• Kings Mountain Business Showcase• Kings Mountain Rotary Supper• Rowan County Business Expo• City of Asheville Health Fair
We are committed to our communities!
LOCATIONSGreensboro Branch - Corporate Offi ce 1400 Yanceyville Street Greensboro, NC 27405 ph. 336.370.1286 | 800.873.2929 (toll-free) fax 336.379.3506
Asheville Branch
148 Charlotte Street Asheville, NC 28801 ph. 828.252.2346 fax 828.252.6593
Carlisle Branch
3863 Carlisle-Chester Highway Carlisle, SC 29031 ph. 864.466.4145 fax 864.466.4147
Forest City Branch
Tri-City Mall, Suite 253, 2270 US Hwy 74AForest City, NC 28043 ph. 828.247.0022 fax 828.247.0028
Graham Branch
306 North Main StreetGraham, NC 27253ph. 336.226.7004 fax 336.506.0298
Kings Mountain Branch
1113 Shelby Road Kings Mountain, NC 28086 ph. 704.739.9411 fax 704.739.9240
Salisbury - Marketplace Shopping Ctr.
2116 Statesville RoadSalisbury, NC 28147ph. 704.633.4900fax 704.633.0701
Salisbury - VA Medical Center
1601 Brenner AvenueSalisbury, NC 28144ph. 704.637.6068fax 704.637.6069
24-Hour Access Teller
ph. 336.370.0912ph. 800.284.1389 (toll-free)
Visit Us Online www.PremierFCU.org
Products & Services
savings
checking
loans
credit cards
business services
online banking
online billpay
mobile banking
pre-paid debit cards
gift cards
money orders
Federally Insured by NCUA.
