2018-11-15T14:26:57-06:00 2017-12-31 570381582 ELLIOTT DAVIS LLCPLLC 1901 MAIN STREET SUITE 900 COLUMBIA SC 29201 990 2017-01-01 580801176 SOUTHEASTERN CREDIT UNION SOUT 2292442732 PO BOX 2067 VALDOSTA GA 316042067 E MICHAEL GUDELY PRESIDENT/CEO 2292931318 2018-11-08 1 BEVERLY SEIER P00763869 8032560002 2018-11-08 24.181.201.165 2018-11-08 09:41:59 ES P FA5339BBC5EB4AE761E53CC89E2C0845D636DEBC 99AFABE94547B544723E04EEA8F4500EFBDE7EE5 2017 2019-02-21 02:37:17Z E MICHAEL GUDELY PO BOX 2067 VALDOSTA GA 316042067 16940989 0 X WWW.SOUTHEASTERNCU.COM X 1953 GA THE MISSION OF SOUTHEASTERN CREDIT UNION IS TO DELIVER VALUE AND PROVIDE LEGENDARY SERVICE TO ITS MEMBERSHIP. SOUTHEASTERN CREDIT UNION IS A COMMUNITY CHARTERED ORGANIZATION COVERING TWELVE SOUTH GEORGIA COUNTIES (BENN HILL, BERRIEN, BROOKS, COOK, ECHOLS, IRWIN, LANIER, LOWNDES, TIFT, TURNER, WARE AND PIERCE). SOUTHEASTERN CREDIT UNION IS ORGANIZED AND CHARTERED UNDER THE LAWS OF GEORGIA TO PROVIDE FINANCIAL SERVICES TO INDIVIDUALS AND BUSINESSES. 7 7 87 8 122477 -76119 0 0 11598411 11758532 824898 1135765 414062 317958 12837371 13212255 0 0 0 0 4376379 5079287 0 0 0 6755296 6902029 11131675 11981316 1705696 1230939 228784729 240932850 207034786 217774499 21749943 23158351 X THE MISSION OF SOUTHEASTERN CREDIT UNION IS TO DELIVER VALUE AND PROVIDE LEGENDARY SERVICE TO ITS MEMBERSHIP. SOUTHEASTERN CREDIT UNION IS A COMMUNITY CHARTERED ORGANIZATION COVERING TWELVE SOUTH GEORGIA COUNTIES (BENN HILL, BERRIEN, BROOKS, COOK, ECHOLS, IRWIN, LANIER, LOWNDES, TIFT, TURNER, WARE AND PIERCE). SOUTHEASTERN CREDIT UNION IS ORGANIZED AND CHARTERED UNDER THE LAWS OF GEORGIA TO PROVIDE FINANCIAL SERVICES TO INDIVIDUALS AND BUSINESSES. 0 0 SOUTHEASTERN CREDIT UNION SERVED THE FINANCIAL NEEDS OF 26,583 MEMBERS IN 2017. IT PROVIDED BUSINESS AND CONSUMER LOANS AND DEPOSITS TOTALING $165.6 MILLION AND $214.3 MILLION, RESPECTIVELY, THROUGH SEVEN FULL SERVICE LOCATIONS. SOUTHEASTERN CREDIT UNION SEEKS TO BE A GOOD COMMUNITY CITIZEN AND IS INVOLVED IN MANY COMMUNITY SERVICE ACTIVITIES. IN ITS 2017 FILL-A-TRUCK FOOD DRIVE, SOUTHEASTERN CREDIT UNION ORGANIZED EFFORTS TO RAISE 50,000 POUNDS OF FOOD THAT WAS DONATED TO LOCAL FOOD BANKS TO ASSIST RESIDENTS IN NEED. 0 0 0 0 0 0 0 1 0 1 0 0 0 1 1 1 1 0 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 5285 0 1 87 1 1 1 0 0 0 0 0 0 0 X 7 7 0 0 0 0 1 1 1 1 1 0 0 0 1 0 0 1 1 1 0 0 X E MICHAEL GUDELY 2292442732 PO BOX 2067 VALDOSTA GA 316042067 ANTHONY PAYTON CHAIRMAN 0.00 X 0 0 0 JOHN LEONARD VICE-CHAIRMAN 0.00 X 0 0 0 ROY MCNEAL TREASURER 0.00 X 0 0 0 MOLLY DEESE SECRETARY 0.00 X 0 0 0 JERRY PERMENTER CHAIRMAN SUPERVISORY COMMITTEE 0.00 X 0 0 0 CHARLES EIDSON DIRECTOR 0.00 X 0 0 0 DR WAYNE PLUMLY DIRECTOR 0.00 X 0 0 0 E MICHAEL GUDELY CEO 40.00 X 252247 0 27282 SHARON L LABRANCHE COO 40.00 X 161829 0 15873 JAMES P DOYLE CFO 40.00 X 166538 0 19924 STEVEN P SAINZ SVP/CRO 40.00 X 134917 0 15402 DONNEE L UPSON VP IT 40.00 X 119209 0 15589 BERRY C TANNER WARE/PIERCE AREA EXECUTIVE 40.00 X 100770 0 5206 MATTHEW WILLIAMS MORTGAGE LENDER 40.00 X 142475 0 8751 1077985 0 108027 7 0 1 0 FISERV PO BOX 745148 ATLANTA GA 30374 DATA PROCESSING SERVICES 677101 LEE OFFICE EQUIPMENT 201 WEST HILL AVE VALDOSTA GA 31601 SERVICES 129432 JM FLOYD AND ASSOCIATES 125 N BURNETT DR BAYTOWN TX 77520 SERVICES 119209 LEE & MASON FINANCIAL SERVICES PO BOX 270 NORTHVILLE NY 12134 SERVICES 113834 SYMITAR 8985 BALBOA AVE SAN DIEGO CA 921231507 SERVICES 113088 5 INCOME FROM LOANS 522100 7084655 7084655 FEES, CHARGES, AND OTHER INCOME 522100 4551400 4551400 UNRELATED BUSINESS INCOME 900099 122477 122477 11758532 1141079 1141079 3723420 3728734 -5314 -5314 -5314 MISCELLANEOUS INCOME 522100 317958 317958 317958 13212255 11948699 122477 1141079 643693 3605219 100669 414558 315148 42858 112375 923857 300094 583267 406866 67028 1057551 79519 432714 94554 PROVISION FOR LOAN LOSS 981850 BANK FEES 643802 LOAN SERVICING 398516 MISCELLANEOUS 310918 466260 11981316 3292753 3961141 19163264 7745674 486000 729000 141222905 164388309 257338 465937 12457031 3715729 8895067 8741302 49466469 48903030 1891735 1891000 98857 86918 4010341 4020539 228784729 240932850 2710492 3513853 55344 93747 204268950 214166899 207034786 217774499 X 0 0 0 0 21749943 23158351 21749943 23158351 228784729 240932850 1230939 177469 0 X X 0 1 X 1 0 0 1 X 2947708 2947708 7004393 1684179 5320214 173586 120799 52787 2331344 1910751 420593 8741302 SHARES 62957416 IRA SHARES 4635326 CERTIFICATES OF DEPOSIT 46325087 SHARE DRAFT ACCOUNTS 33201914 MONEY MARKET ACCOUNTS 67047156 214166899 X 13217569 0 13217569 -5314 -5314 13212255 11986631 5315 5315 11981316 0 11981316 PART IV, LINE 2B: AS A MORTGAGE LOAN SERVICER, THE CREDIT UNION RECEIVES PROPERTY TAX PAYMENTS AND INSURANCE PAYMENTS AND THEN REMITS THESE FUNDS TO THE APPLICABLE THIRD PARTIES ON BEHALF OF THE BORROWERS. PART X, LINE 2: THE CREDIT UNION IS EXEMPT FROM MOST FEDERAL, STATE, AND LOCAL TAXES UNDER THE PROVISIONS OF THE INTERNAL REVENUE CODE AND THE STATE TAX LAWS. THE INCOME TAXES TOPIC OF THE FASB ASC CLARIFIES ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES REPORTED IN THE FINANCIAL STATEMENTS. THE INTERPRETATION PROVIDES CRITERIA FOR ASSESSMENT OF INDIVIDUAL TAX POSITIONS AND A PROCESS FOR RECOGNITION AND MEASUREMENT OF UNCERTAIN TAX POSITIONS. TAX POSITIONS ARE EVALUATED ON WHETHER THEY MEET THE "MORE LIKELY THAN NOT" STANDARD FOR SUSTAINABILITY UPON EXAMINATION BY TAX AUTHORITIES. THE CREDIT UNION IS A STATE-CHARTERED CREDIT UNION AS DEFINED IN INTERNAL REVENUE CODE (IRC) SECTION 501(C) (14). AS SUCH, THE CREDIT UNION IS EXEMPT FROM FEDERAL TAXATION OF INCOME DERIVED FROM THE PERFORMANCE OF ACTIVITIES DIRECTLY RELATED TO ITS EXEMPT PURPOSES. HOWEVER, IRC SECTION 511 IMPOSES A TAX ON THE UNRELATED BUSINESS INCOME (UBI) DERIVED BY STATE-CHARTERED CREDIT UNIONS. BEGINNING IN MARCH 2008, THE INTERNAL REVENUE SERVICE (IRS) RELEASED TECHNICAL ADVICE MEMORANDUMS (TAMS) TO SPECIFIC STATE-CHARTERED CREDIT UNIONS SPECIFYING THE REVENUE SOURCES SUBJECT TO UNRELATED BUSINESS INCOME TAX (UBIT). UBI MAY ALSO BE SUBJECT TO TAX IN CERTAIN STATES. MANAGEMENT HAS ASSESSED THE CREDIT UNION'S ACTIVITIES AND ANY POTENTIAL FEDERAL OR STATE INCOME TAX LIABILITY AND DETERMINED THAT THE CREDIT UNION HAS NO UNCERTAIN TAX POSITIONS THAT QUALIFY FOR EITHER RECOGNITION OR DISCLOSURE IN THE FINANCIAL STATEMENTS. ADDITIONALLY, NO INTEREST AND PENALTIES HAVE BEEN RECORDED IN THE ACCOMPANYING FINANCIAL STATEMENTS RELATED TO UNCERTAIN TAX POSITIONS. PRIOR TO THE CONVERSION TO A STATE CHARTER, THE CREDIT UNION WAS NOT REQUIRED TO FILE ANY FEDERAL INCOME TAX RETURNS. PART XI, LINE 4B - OTHER ADJUSTMENTS: NET LOSSES ON INVESTMENTS REPORTED AS REVENUE ON TAX RETURN PART XII, LINE 2D - OTHER ADJUSTMENTS: NET LOSSES ON INVESTMENTS REPORTED AS REVENUE ON TAX RETURN ROUNDING X 1 1 X X X 0 1 0 E MICHAEL GUDELY CEO 242470 0 0 0 9777 0 8748 0 18534 0 279529 0 0 0 SHARON L LABRANCHE COO 144642 0 17187 0 0 0 3925 0 11948 0 177702 0 0 0 JAMES P DOYLE CFO 145913 0 20625 0 0 0 2274 0 17650 0 186462 0 0 0 STEVEN P SAINZ SVP/CRO 118208 0 16709 0 0 0 3890 0 11512 0 150319 0 0 0 MATTHEW WILLIAMS MORTGAGE LENDER 30429 0 112046 0 0 0 0 0 8751 0 151226 0 0 0 PART I, LINE 4B THE CREDIT UNION HAS ENTERED INTO A SPLIT DOLLAR LIFE INSURANCE AGREEMENT WHICH IS A COLLATERAL ASSIGNMENT ARRANGEMENT BETWEEN THE CREDIT UNION AND THE CEO, MICHAEL GUDELY. THIS AGREEMENT INVOLVES A METHOD OF PAYING FOR LIFE INSURANCE COVERAGE FOR THE EXECUTIVE BY SPLITTING THE ELEMENTS OF A LIFE INSURANCE POLICY. UNDER THE AGREEMENT, THE EXECUTIVE IS THE OWNER OF THE POLICY AND MAKES A COLLATERAL ASSIGNMENT OF LIFE PROCEEDS TO THE CREDIT UNION. IN RETURN FOR A LOAN EQUAL TO THE AMOUNT OF PREMIUMS PAID, THE EXECUTIVE AND THEIR ESTATE AGREE TO REPAY THE CREDIT UNION WITH LIFE INSURANCE PROCEEDS UPON DEATH. THE FACE VALUE OF THE POLICY WAS APPROXIMATELY $3,800,000 AND THE TOTAL LOAN BALANCE UNDER THIS AGREEMENT WAS APPROXIMATELY $729,000 AS OF DECEMBER 31, 2017. E MICHAEL GUDELY CEO TO FUND SPLIT DOLLAR LIFE INSURANCE POLICY X 243000 729000 0 1 1 729000 FORM 990, PART VI, SECTION A, LINE 6 THE CREDIT UNION HAS MEMBERS. FORM 990, PART VI, SECTION A, LINE 7A THE ANNUAL MEETING OF MEMBERS OF THE CREDIT UNION SHALL BE HELD DURING THE MONTH OF MARCH, FOR THE PURPOSE OF ELECTING DIRECTORS AND TRANSACTING ANY AND ALL BUSINESS THAT MAY PROPERLY COME BEFORE THE MEETING. ANY VACANCY ON THE BOARD OR SUPERVISORY COMMITTEE SHALL BE FILLED BY VOTE OF A MAJORITY OF THE DIRECTORS THEN HOLDING OFFICE, EVEN THOUGH LESS THAN A QUORUM. DIRECTORS SO APPOINTED SHALL HOLD OFFICE ONLY UNTIL THE NEXT ANNUAL MEETING, AT WHICH ANY UNEXPIRED TERMS SHALL BE FILLED BY VOTE OF THE MEMBERS, AND UNTIL THE QUALIFICATION OF THEIR SUCCESSORS. MEMBERS OF THE SUPERVISORY COMMITTEE SO APPOINTED SHALL HOLD OFFICE UNTIL THE FIRST REGULAR MEETING OF THE BOARD FOLLOWING THE NEXT AT WHICH THE REGULAR TERM EXPIRES AND UNTIL THE APPOINTMENT AND QUALIFICATION OF THEIR SUCCESSORS. 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 DIRECTORS AND FIELD OF MEMBERSHIP. BYLAWS ADOPTED BY THE BOARD OF DIRECTORS MAY BE ALTERED, AMENDED OR REPEALED, AND NEW BYLAWS ADOPTED BY THE MEMBERS. THE MEMBERS MAY PRESCRIBE THAT ANY BYLAW OR BYLAWS ADOPTED BY THEM SHALL NOT BE ALTERED, AMENDED OR REPEALED, BY THE BOARD OF DIRECTORS. AS WELL AS OTHER MATTERS THAT ARE SUBJECT TO THE APPROVAL OF MEMBERS OF THE CREDIT UNION AS THEY OCCUR. FORM 990, PART VI, SECTION B, LINE 11B THE RETURN IS PREPARED BY A THIRD PARTY CPA FIRM. THE RETURN IS REVIEWED BY THE CEO AND CFO. ONCE THE REVIEW AND ANY NECSSARY CORRECTIONS ARE COMPLETED, THE RETURN IS FILED. FORM 990, PART VI, SECTION B, LINE 15A THE PERSONNEL COMMITTEE OF THE CREDIT UNION ENGAGED AN INDEPENDENT THIRD PARTY TO CONDUCT AN ANALYSIS OF CEO COMPENSATION IN 2017. FORM 990, PART VI, SECTION C, LINE 19 GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICIES ARE NOT MADE AVAILABLE TO THE PUBLIC. FINANCIAL STATEMENTS ARE MADE AVAILABLE TO THE PUBLIC ON THE NCUA'S WEBSITE VIA THE 5300 CALL REPORT FILING. FORM 990, PART XII, LINE 2C: THERE WERE NO CHANGES IN THE PROCESS OF THE COMMITTEE THAT ASSUMES RESPONSIBILITY OF THE OVERSIGHT OF THE AUDIT AND SELECTION OF THE INDEPENDENT AUDITOR.