2018-08-14T16:53:03-05:00 2017-09-30 420714325 RSM US LLP 801 NICOLLET MALL SUITE 1100 MINNEAPOLIS MN 55402 990 2016-10-01 042348884 LEOMINSTER CREDIT UNION LEOM 9785378021 20 ADAMS STREET LEOMINSTER MA 01453 GARY ABRAMS EVPCOOCFO EVP, CFO, COO 9785378021 2018-08-10 1 GERALD B KISSELL P00092658 6123324300 2016 2022-09-23 18:48:47Z JOHN O'BRIEN 20 ADAMS STREET LEOMINSTER MA 01453 25585766 0 X WWW.LEOMINSTERCU.COM X 1954 MA LEOMINSTER CREDIT UNION (LCU) EXISTS TO FULFILL OUR MEMBERS' FINANCIAL NEEDS THROUGH OUTSTANDING SERVICE AND EFFECTIVE TECHNOLOGY. 10 10 168 0 129670 -19685 0 0 19557972 20271256 5071264 4541774 424091 348827 25053327 25161857 122206 123520 2674286 2677549 10417312 10299620 0 0 0 9756687 10495829 22970491 23596518 2082836 1565339 648396762 661258604 583268632 597996869 65128130 63261735 X LEOMINSTER CREDIT UNION (LCU) IS A COMMUNITY-BASED FINANCIAL SERVICES PROVIDER. WE EXIST TO FULFILL OUR MEMBERS' FINANCIAL NEEDS THROUGH OUTSTANDING SERVICE AND EFFECTIVE TECHNOLOGY. AS A RESPONSIBLE CORPORATE CITIZEN, WE ARE COMMITTED TO ENRICHING THE COMMUNITIES IN WHICH WE LIVE AND WORK. 0 0 TO SERVE OUR MEMBERS, OUR HIGHEST EXPENSE IS INTEREST PAID ON CERTIFICATES OF DEPOSIT. AT YEAR-END, THE CREDIT UNION HAD 54,174 MEMBERS, AND INTEREST PAID ON CERTIFICATES OF DEPOSIT TOTALED $1,166,558. OUR SECOND HIGHEST EXPENSE IS INTEREST PAID ON INDIVIDUAL RETIREMENT ACCOUNTS FOR OUR MEMBERS. AT YEAR-END, THE CREDIT UNION HAD 54,174 MEMBERS, AND INTEREST PAID ON INDIVIDUAL RETIREMENT ACCOUNTS TOTALED $415,656. OUR THIRD HIGHEST EXPENSE IS INTEREST PAID ON DEMAND DEPOSIT ACCOUNTS FOR OUR MEMBERS. AT YEAR-END, THE CREDIT UNION HAD 54,174 MEMBERS, AND INTEREST PAID ON DEMAND DEPOSIT ACCOUNTS TOTALED $251,273. WE CONTINUE TO MAKE CREDIT AVAILABLE TO OUR MEMBERS FOR THE PURCHASE OF HOMES, VEHICLES, AND SMALL BUSINESSES. WE RAISE CAPITAL BY RECEIVING MEMBER DEPOSITS AND PAYING INTEREST ON THOSE DEPOSITS. 0 0 0 0 0 0 0 1 0 1 0 0 0 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 11298 0 1 168 1 1 1 0 0 0 0 0 X 10 10 0 0 0 0 1 1 1 1 1 0 1 1 1 1 1 1 1 1 1 1 0 X GARY ABRAMS 9784667263 20 ADAMS STREET LEOMINSTER MA 01453 MICHAEL SAUVAGEAU CHAIR 2.00 X X 5518 0 0 ANDREW COUSINS TREASURER 1.00 X X 4034 0 0 NANCY GRAVES ASSISTANT TREASURER 1.00 X X 3177 0 0 GIULIO GRECO CLERK 1.00 X X 3468 0 0 ANTHONY GASBARRO DIRECTOR 1.00 X 1868 0 0 RICHARD SHEPPARD DIRECTOR 1.00 X 3144 0 0 AMEDEO BILOTTA DIRECTOR 1.00 X 7280 0 0 BRUCE BOLLIVAR DIRECTOR 1.00 X 3491 0 0 JOYCE LAFLEUR DIRECTOR 1.00 X 2066 0 0 JOSEPH QUINTAL DIRECTOR 1.00 X 4104 0 0 JOYCE LEGER DIRECTOR 1.00 X 477 0 0 JOHN O'BRIEN PRESIDENT/CEO 40.00 X 340065 0 34690 GARY ABRAMS EVP/COO/CFO 40.00 X 253613 0 36308 CAROL PERRON SENIOR VICE PRESIDENT 40.00 X 162660 0 18994 CRAIG MADONIA SENIOR VICE PRESIDENT 40.00 X 157528 0 36578 BARBARA MAHONEY SENIOR VICE PRESIDENT 40.00 X 159298 0 38455 THOMAS CLANCY VICE PRESIDENT 40.00 X 141270 0 37710 DIANE FARNSWORTH MORTGAGE ORIGINATOR 40.00 X 150168 0 26495 JANET BELSKY VP MARKETING 40.00 X 118777 0 18769 1522006 0 247999 8 0 1 0 FISERV PO BOX 22705 LINCOLN NE 68542 IT SERVICES 1110049 DAVIS ADVERTISING 1331 GRAFTON ST WORCESTER MA 01604 ADVERTISING SERVICES 260930 WINDSTREAM PO BOX 9001013 LOUISVILLE KY 40290 TECHNOLOGY SERVICES 227699 AKUITY TECHNOLOGIES 1 WESTEC DRIVE AUBURN MA 01501 IT SERVICES 194819 VELOCITY SOLUTIONS PO BOX 460939 FORT LAUDERDALE FL 33346 LOAN DATA SERVICES 136131 11 INTEREST ON LOANS 522100 15956182 15956182 SERVICE CHARGES AND FEE INCOME 522100 4315074 4185404 129670 20271256 4480570 4480570 34583 0 34583 34583 34583 485113 423909 61204 61204 61204 CREDIT UNION OWNED LIFE INSURANCE 900099 314244 314244 314244 25161857 20141586 129670 4890601 123520 2677549 1316114 6861207 468915 1036318 617066 790 240000 685774 516633 732288 2291408 39026 66832 2235479 1062939 285131 ATM EXPENSE 631224 PROVISION FOR LOAN LOSS 449524 SECURITY 211273 1047508 23596518 6322861 6443015 431349952 464404638 922409 978076 23493057 12381530 11106671 11111527 170907318 150775056 7165500 7135800 20622051 20410492 648396762 661258604 2968418 2496064 1564438 1810474 135125000 144405000 443610776 449285331 583268632 597996869 X 0 0 0 0 65128130 63261735 65128130 63261735 648396762 661258604 1565339 -3431734 0 X 0 1 X 1 0 0 1 X 1796395 1796395 13202130 5594559 7607571 628838 355050 273788 7492224 6376388 1115836 373470 55533 317937 11111527 MEMBERS' SHARES 449285331 449285331 X 25161857 0 25161857 0 25161857 23596518 0 23596518 0 23596518 PART IV, LINE 2B: THE CREDIT UNION HOLDS FUNDS IN ESCROW TO PAY INSURANCE AND TAXES ON BEHALF OF ITS MORTGAGE LOAN ACCOUNTS. PART X, LINE 2: MANAGEMENT EVALUATED THE CREDIT UNION'S TAX POSITIONS AND CONCLUDED THAT THE CREDIT UNION HAD TAKEN NO UNCERTAIN TAX POSITIONS THAT REQUIRE ADJUSTMENT TO THE FINANCIAL STATEMENTS. THE IRS AND CERTAIN STATE TAXING AUTHORITIES ARE CURRENTLY REVIEWING WHAT, IF ANY, PRODUCTS AND SERVICES PROVIDED BY THE CREDIT UNION ARE SUBJECT TO UBIT. THE IRS HAS INDICATED THAT THEY ARE STUDYING THE ISSUE AND MAY ISSUE ADDITIONAL GUIDANCE. AS A RESULT, AT THIS TIME THERE IS UNCERTAINTY REGARDING WHETHER THE CREDIT UNION SHOULD PAY INCOME TAX ON CERTAIN TYPES OF NET TAXABLE INCOME FROM ACTIVITIES THAT MAY BE CONSIDERED BY TAXING AUTHORITIES AS UNRELATED TO THE PURPOSE FOR WHICH THE CREDIT UNION WAS GRANTED NONTAXABLE STATUS. IN THE OPINION OF MANAGEMENT, ANY LIABILITY RESULTING FROM TAXING AUTHORITIES IMPOSING INCOME TAXES ON THE NET TAXABLE INCOME FROM ACTIVITIES DEEMED TO BE UNRELATED TO THE CREDIT UNION'S NONTAXABLE STATUS IS NOT EXPECTED TO HAVE A MATERIAL EFFECT ON THE CREDIT UNION'S FINANCIAL POSITION OR RESULTS OF OPERATION. 1 HEALTH ALLIANCE HOSPITAL FOUNDATION 60 HOSPITAL RD LEOMINSTER MA 01453 042103555 501(C)(3) 5360 PROGRAM SUPPORT STARBURST PO BOX 621 LEOMINSTER MA 01453 046006004 501(C)(3) 8000 GENERAL SUPPORT UNITED WAY OF NORTH CENTRAL MASSACHUSETTS 649 JOHN FITCH HIGHWAY FITCHBURG MA 01420 042233021 501(C)(3) 9794 GENERAL SUPPORT WORCESTER STATE FOUNDATION 486 CHANDLER ST WORCESTER MA 01602 223248067 501(C)(3) 6500 PROGRAM SUPPORT YMCA OF CENTRAL MA 108 ADAMS ST LEOMINSTER MA 01453 042105885 501(C)(3) 5500 PROGRAM SUPPORT NORTH CENTRAL MASS CHAMBER OF COMMERCE 860 SOUTH ST LEOMINSTER MA 01420 222505324 501(C)(3) 6650 PROGRAM SUPPORT 6 PART I, LINE 2: THE CREDIT UNION INFORMALLY FOLLOWS UP WITH GRANT RECIPIENTS AND ENSURES THAT THE GRANT FUNDS ARE USED FOR THE PURPOSE INTENDED. X 1 1 X X X X 0 0 0 JOHN O'BRIEN PRESIDENT/CEO 310071 0 28500 0 1494 0 21200 0 15050 0 376315 0 0 0 GARY ABRAMS EVP/COO/CFO 224022 0 15683 0 13908 0 20593 0 17275 0 291481 0 0 0 CAROL PERRON SENIOR VICE PRESIDENT 154131 0 7693 0 836 0 9697 0 10703 0 183060 0 0 0 CRAIG MADONIA SENIOR VICE PRESIDENT 147173 0 9027 0 1328 0 13063 0 27130 0 197721 0 0 0 BARBARA MAHONEY SENIOR VICE PRESIDENT 146076 0 11897 0 1325 0 13252 0 29020 0 201570 0 0 0 THOMAS CLANCY VICE PRESIDENT 133437 0 6911 0 922 0 11891 0 27091 0 180252 0 0 0 DIANE FARNSWORTH MORTGAGE ORIGINATOR 51087 0 0 0 99081 0 12241 0 14742 0 177151 0 0 0 PART I, LINE 1A THE CREDIT UNION WILL REIMBURSE THE COST OF BOARD-APPROVED SPOUSAL OR "SIGNIFICANT OTHER" TRAVEL EXPENSES WHEN ACCOMPANYING A DIRECTOR ON AN EDUCATIONAL EVENT OR SPECIAL PLANNING/MEETING HELD OFF-SITE FROM LEOMINSTER CREDIT UNION. COSTS INCLUDE TRAVEL, GUEST REGISTRATION, LODGING, MEALS, TELEPHONE CALLS, REFRESHMENTS AND REASONABLE TIPS TO HOTEL EMPLOYEES, CAB/LIMOUSINE DRIVERS AND RESTAURANT STAFF. FORM 990, PART VI, SECTION A, LINE 6 THE CREDIT UNION'S MEMBERS HAVE RIGHTS TO ELECT THE MEMBERS OF THE GOVERNING BODY. THE CREDIT UNION'S MEMBERS ALSO RECEIVE A SHARE OF THE ORGANIZATION'S PROFITS IN THE FORM OF CASH DIVIDENDS. FORM 990, PART VI, SECTION A, LINE 7A MEMBERS OF THE CREDIT UNION HAVE THE RIGHT TO ELECT ONE OR MORE MEMBERS OF THE ORGANIZATION'S GOVERNING BODY, WHETHER PERIODICALLY, OR AS VACANCIES ARISE, OR OTHERWISE. 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 MEMBERS OF THE GOVERNING BODY, 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 AVP/TREASURY AND EXECUTIVE VICE PRESIDENT REVIEW FORM 990 PRIOR TO ITS FILING. A COPY IS ALSO PROVIDED TO THE BOARD OF DIRECTORS PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C WE SHARE OUR CONFLICT OF INTEREST POLICY WITH NEW EMPLOYEES WHEN WE HIRE THEM, AND THEY SIGN OFF TO ACKNOWLEDGE RECEIPT. THIS POLICY OUTLINES THE PARAMETERS AROUND ACTIVITIES WHICH CONFLICT WITH OR APPEAR TO CONFLICT WITH THE BUSINESS INTEREST OF LCU. ANNUALLY, WE DISTRIBUTE OUR ETHICS POLICY AND WHISTLEBLOWER POLICY TO REITERATE THE GUIDELINES IN REFERENCE TO CONFLICT OF INTEREST AND THE PROCESS IN PLACE TO ADDRESS ISSUES THAT MAY ARISE. EMPLOYEES SIGN OFF ON BOTH OF THESE PROCESSES ANNUALLY TO ACKNOWLEDGE THEIR RECEIPT. FORM 990, PART VI, SECTION B, LINE 15 HUMAN RESOURCES (HR) REVIEWS ALL RECOMMENDATIONS TO INCREASE THE SALARY OF ITS OFFICERS AND KEY EMPLOYEES WITHIN THE CREDIT UNION. HR REFERENCES PRE-DETERMINED SALARY RANGES FOR THE RESPECTIVE POSITION, AS WELL AS INFORMATION FROM PURCHASED SALARY SURVEYS TO DETERMINE THE APPROPRIATENESS OF THE RECOMMENDATION. IN ADDITION, HR LOOKS AT THE EQUITY TO COMPARABLE ROLES WITHIN THE CREDIT UNION BEFORE APPROVING THE RECOMMENDATION. FORM 990, PART VI, SECTION C, LINE 19 OUR GOVERNING DOCUMENTS AND FINANCIAL STATEMENTS ARE AVAILABLE TO MEMBERS UPON REQUEST FOR THE SAME PERIOD OF DISCLOSURE AS SET FORTH IN SECTION 6104(D). FINANCIAL STATEMENTS ARE POSTED IN THE LOBBIES OF OUR BRANCHES FOR MEMBERS TO REVIEW. WE DO NOT MAKE OUR CONFLICT OF INTEREST POLICY AVAILABLE TO THE PUBLIC. LCU INSURANCE SERVICES LLC 20 ADAMS STREET LEOMINSTER MA 01453 452079582 INSURANCE SERVICES MA 2730 8970 LEOMINSTER CREDIT UNION