2012-11-08T10:35:43-06:00 2011-12-31 410746749 CLIFTONLARSONALLEN LLP PO BOX 217 AUSTIN MN 55912 990 2011-01-01 390402815 KOHLER CREDIT UNION KOHL 9204592585 850 WOODLAKE ROAD KOHLER WI 53044 JOHN EHMANN 9204592585 2012-11-05 1 RICHARD J GABRIELSON P00001024 5074347000 2011 2016-02-24 21:20:13Z TONY KLOCKOW 850 WOODLAKE ROAD KOHLER WI 53044 16370541 0 X WWW.KOHLERCU.COM X CU 1938 WI TO ENCOURAGE THRIFT AMONG MEMBERS; TO CREATE A SOURCE OF CREDIT AT A FAIR AND REASONABLE COST; TO PROVIDE AN OPPORTUNITY FOR EACH MEMBER TO IMPROVE THEIR RESPECTIVE ECONOMIC AND SOCIAL CONDITIONS; AND TO PERFORM THE FUNCTIONS AND EXERCISE THE POWERS DESIGNATED FOR CREDIT UNIONS UNDER APPLICABLE LAW. 9 9 125 23 56842 -47488 0 0 15659381 14867779 221344 -645689 157742 841227 16038467 15063317 13000 12000 2281004 1431186 5087951 5305142 0 0 0 8370221 7381067 15752176 14129395 286291 933922 247535960 249882057 228328490 229913295 19207470 19968762 X TO ENCOURAGE THRIFT AMONG MEMBERS; TO CREATE A SOURCE OF CREDIT AT A FAIR AND REASONABLE COST; TO PROVIDE AN OPPORTUNITY FOR EACH MEMBER TO IMPROVE THEIR RESPECTIVE ECONOMIC AND SOCIAL CONDITIONS; AND TO PERFORM THE FUNCTIONS AND EXERCISE THE POWERS DESIGNATED FOR CREDIT UNIONS UNDER APPLICABLE LAW. 0 0 MORE THAN $130,000,000 IN NEW LOANS WERE ORIGINATED, OVER $187,000,000 IN LOAN BALANCES WERE SERVICED, AND OVER $227,000,000 IN DEPOSIT ACCOUNTS WERE MAINTAINED FOR MEMBER/OWNERS. DIVIDENDS OF $1,431,186 WERE PAID ON DEPOSIT ACCOUNTS TO APPROXIMATELY 34,240 MEMBER/OWNERS IN 2011. DATA PROCESSING COSTS EXCEEDING $1,000,000 WERE INCURRED TO RECORD MEMBER ACCOUNT ACTIVITY AND PROVIDE MEMBERS ACCESS TO THEIR ACCOUNTS VIA HOME BANKING, ATM NETWORKS AND IN PERSON AT THE CREDIT UNION. 0 0 0 0 0 0 0 0 0 1 0 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 4751 0 125 1 1 1 0 0 0 0 0 X 9 9 0 0 0 0 1 1 1 1 1 0 0 0 1 1 1 1 1 1 1 0 X JOHN EHMANN 9204592585 850 WOODLAKE ROAD KOHLER WI 53044 JOHN HARMS 4.00 X 0 0 0 CHRISTOPHER LACEY 2.50 X 0 0 0 DONNA MEIVES 2.50 X 0 0 0 PAUL WAGNER 2.50 X 0 0 0 LAURIE LINDOW 2.50 X 0 0 0 JOHN PERONNE 2.50 X 0 0 0 RICHARD SCHOESSOW 2.50 X 0 0 0 JOSEPH VIRANT 2.50 X 0 0 0 BRIAN POST 2.50 X 0 0 0 TODD ULLMAN 2.50 X 0 0 0 TONY KLOCKOW 60.00 X 162192 0 54486 KEN SACKMANN 60.00 X 113675 0 13283 JOHN EHMANN 60.00 X 82818 0 16500 PHIL ZASTROW 60.00 X 31720 0 0 390405 0 84269 2 0 1 0 FIS 4900 W BROWN DEER RD BROWN DEER WI 53223 DEBIT CARD PROCESSING 468000 UNITED HEALTHCARE 10701 RESEARCH DRIVE MILWAUKEE WI 53226 HEALTH INSURANCE 372000 FISERVE 1250 DRUMMERS LANE VALLEY FORGE PA 19481 DATA PROCESSING 210000 CUNA MUTUAL 5910 MINERAL POINT ROAD MADISON WI 53705 BOND/INSURANCE 110000 4 LOAN INTEREST 900099 9640946 9640946 FEE INCOME 522100 3161101 3104259 56842 OTHER INCOME 524298 2065732 2065732 14867779 366466 366466 295069 1307224 -1012155 -1012155 -1012155 OTHER NON-OPERATING IN 900099 841227 841227 841227 15063317 15652164 56842 -645689 12000 1431186 474674 3805377 264283 391810 368998 2403 108147 18826 2609011 578818 225198 20 858614 PROVISION FOR LOAN LOSS 1078297 EDUCATIONAL AND PROMOTI 648571 CORPORATE FUND ASSESSME 577921 LOAN SERVICING EXPENSE 465591 209650 14129395 2089294 2803125 26731569 19569421 138005 179279279 185187773 1543905 317800 17742902 8128695 10372059 9614207 13719426 16634233 13800428 15617493 247535960 249882057 1976225 2140538 226352265 227772757 228328490 229913295 X 0 0 0 0 19207470 19968762 19207470 19968762 247535960 249882057 X 933922 -172630 X X 0 1 1 X 0 3084273 3084273 8231582 3041323 5190259 6329627 5087372 1242255 97420 97420 9614207 OTHER INVESTMENTS 16634233 C 16634233 LOANS HELD FOR SALE 2910329 OTHER ASSETS 8018716 ACCRUED INTEREST INCOME 793392 FORECLOSED ASSETS 1576046 NCUA DEPOSIT 2319010 15617493 MEMBER DEPOSITS 227772757 227772757 15063317 14129395 933922 -172630 -172630 761292 15063317 0 15063317 0 15063317 14129395 0 14129395 0 14129395 DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: THE CREDIT UNION IS EXEMPT, UNDER IRS 501 (C)(14), FROM FEDERAL INCOME TAXES AND STATE CORPORATE BUSINESS TAX. WISCONSIN INCOME TAX MAY BE IMPOSED BASED ON THE LEVEL OF MUNICIPAL DEPOSITS AT THE CREDIT UNION. CERTAIN PRODUCTS AND SERVICES PROVIDED BY SELECT STATE CHARTERED CREDIT UNIONS HAVE BEEN DEEMED BY THE INTERNAL REVENUE SERVICE (IRS), IN TECHNICAL ADVICE MEMORANDUMS (TAMS) RELEASED IN 2007, TO BE UNRELATED TO THE SPECIFIC ENTITY'S EXEMPT PURPOSE. AS PRESENTED IN THE TECHNICAL ADVICE MEMORANDUMS THE NET TAXABLE INCOME FROM THESE PRODUCTS AND SERVICES WOULD BE SUBJECT TO INCOME TAXES. CREDIT UNIONS HAVE LITIGATED AGAINST THE IRS POSITIONS NOTED IN THE TAMS AND HAVE BEEN SUCCESSFUL IN HAVING COURTS DECLARE IN 2009 AND 2010 THAT REVENUE FROM INSURANCE PRODUCTS SOLD TO MEMBERS, HELPING THEM PROTECT THEIR FINANCIAL WELLBEING, QUALIFIES AS EXEMPT PURPOSE INCOME, CONTRARY TO THE IRS POSITION IN THE TAMS. THE CREDIT UNION HAS FILED TAX RETURNS FOR THE CALENDAR YEARS ENDED 2010 AND 2009 FOR ACTIVITIES THEY HAVE DEEMED TAXABLE AND HAS A NET OPERATING LOSS CARRYFORWARD AS OF THE 2010 CALENDAR YEAR. THE TAXING AUTHORITIES HAVE THE ABILITY TO ASSESS TAXES, PENALTIES, AND INTEREST FOR ANY YEARS FOR WHICH NO TAX RETURN WAS FILED. IN THE OPINION OF MANAGEMENT, ANY LIABILITY RESULTING FROM TAXING AUTHORITIES IMPOSING INCOME TAXES ON THE NET TAXABLE INCOME FROM ACTIVITIES POTENTIALLY DEEMED TO BE UNRELATED TO THE CREDIT UNION'S EXEMPT PURPOSE IS NOT EXPECTED TO HAVE A MATERIAL EFFECT ON THE CREDIT UNION'S FINANCIAL POSITION OR RESULTS OF OPERATIONS. THE CREDIT UNION ADOPTED THE INCOME TAX STANDARD FOR UNCERTAIN TAX POSITIONS. AS A RESULT OF IMPLEMENTATION, THE CREDIT UNION EVALUATED ITS TAX POSITIONS AND DETERMINED NO UNCERTAIN TAX POSITIONS EXIST AS OF DECEMBER 31, 2011 AND 2010. THE CREDIT UNION'S 2008 THROUGH 2011 TAX YEARS ARE OPEN FOR EXAMINATION BY FEDERAL AND STATE TAXING AUTHORITIES. PART XI, LINE 8 - OTHER ADJUSTMENTS: SFAS NO. 158 IMPLEMENTATION RELATED TO DEFINED BENEFIT PLAN -257,891. EQUITY ACQUIRED IN MERGER 85,261. TOTAL TO SCHEDULE D, PART XI, LINE 8: -172,630. 1 SCHOLARSHIPS 12 12000 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, PART I, LINE 2: MINIMUM GPA IS REQUIRED TO DISBURSE SCHOLARSHIP FUNDS AND VERIFICATION IS REQUIRED ANNUALLY. X 1 1 X X X X X 0 1 0 TONY KLOCKOW 162192 0 0 0 0 0 45673 0 8813 0 216678 0 0 0 PART I, LINE 1A HEALTH CLUB BENEFITS OF $1,036. PART I, LINE 4B TONY KLOCKOW - AN OBLIGATION WAS ACCRUED ($45,673), BUT NO PAYMENTS WERE MADE TO TONY KLOCKOW DURING 2011. FORM 990, PART VI, SECTION A, LINE 6 THE CREDIT UNION IS COMPRISED OF 34,240 MEMBER-OWNERS, EACH OF WHICH HAS EQUAL RIGHTS IN OWNERSHIP, GOVERNANCE AND VOTING AT THE ANNUAL MEETINGS, WITH THE EXCEPTION OF THE MEMBER-OWNERS WHO ARE ELECTED TO THE BOARD OF DIRECTORS. MEMBERSHIP IN THE CREDIT UNION IS OPEN TO THOSE WHO LIVE OR WORK IN SHEBOYGAN, CALUMET, FOND DU LAC, MANITOWOC, OZAUKEE, OR WASHINGTON COUNTIES IN WISCONSIN. ADDITIONALLY, ALL EMPLOYEES AND RETIREES OF KOHLER COMPANY, POLAR WARE, CURT JOA, KOHLER COMPANY AND PLYMOUTH FOAM ARE ELIGIBLE FOR MEMBERSHIP. FORM 990, PART VI, SECTION A, LINE 7A THE MEMBER-OWNERS OF THE CREDIT UNION HAVE THE AUTHORITY TO ELECT THE MEMBERS OF THE BOARD OF DIRECTORS FOR 3-YEAR TERMS ON A ROTATING BASIS. CANDIDATES ARE ELECTED BY A SIMPLE PLURALITY VOTE. THE BOARD OF DIRECTORS APPOINTS A NOMINATING COMMITTEE CONSISTING OF NOT FEWER THAN THREE MEMBERS, WHO SHALL NOMINATE ONE OR MORE MEMBERS FOR EACH VACANCY ON THE BOARD. FORM 990, PART VI, SECTION A, LINE 7B BYLAWS MAY BE AMENDED BY A THREE-FOURTHS MAJORITY VOTE OF THE MEMBERS PRESENT AT ANY ANNUAL OR SPECIAL MEETING OF THE MEMBERS, IF ALL NOTICE AND OTHER REQUIREMENTS APPLICABLE TO AMENDMENT OF BYLAWS ARE SATISFIED. FORM 990, PART VI, SECTION B, LINE 11 PRIOR TO BEING FILED WITH THE IRS, A COPY OF THE IRS FORM 990 AND RELATED SCHEDULES ARE REVIEWED BY THE PRESIDENT AND CHIEF FINANCIAL OFFICER, INCLUDING A CONFIRMATION OF THE ACCURACY OF EVERY ANSWER AND OVERSIGHT OF APPROPRIATE CHANGES. THE ASSUMPTION WORKSHEET IS REVIEWED AND APPROVED AT A BOARD MEETING PRIOR TO SUBMITTAL TO THE IRS. FORM 990, PART VI, SECTION B, LINE 12C CONFLICT OF INTEREST REQUIREMENTS ARE PART OF THE PERSONNEL POLICY WHICH IS REQUIRED TO BE REVIEWED ANNUALLY BY DIRECTORS AND EMPLOYEES. ALSO, AT EACH MONTHLY BOARD MEETING DIRECTORS ARE ASKED IF THEY HAVE A CONFLICT OF INTEREST WITH REGARDS TO ANY AGENDA ITEM. IF A CONFLICT OF INTEREST IS IDENTIFIED, THE BOARD MEMBER IS RECUSED FROM VOTING ON THAT ITEM. ALSO, AT EACH LOAN COMMITTEE MEETING, LOAN COMMITTEE MEMBERS ARE REQUIRED TO DISCLOSE ANY CONFLICTS OF INTEREST WITH RESPECT TO ANY LOAN BROUGHT BEFORE THE COMMITTEE, AND ARE RECUSED FROM VOTING ON APPROVAL OF THE RELATED LOAN. FORM 990, PART VI, SECTION B, LINE 15 SALARY SURVEY COMPLETED FOR THE CREDIT UNION'S OFFICERS IN 2011 BY AN INDEPENDENT CPA FIRM. FORM 990, PART VI, SECTION C, LINE 19 FINANCIAL STATEMENTS ARE POSTED IN THE CREDIT UNION'S LOBBIES. OTHER DOCUMENTS ARE AVAILABLE UPON REQUEST. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: SFAS NO. 158 IMPLEMENTATION RELATED TO DEFINED BENEFIT PLAN -257,891. EQUITY ACQUIRED IN MERGER 85,261. TOTAL TO FORM 990, PART XI, LINE 5: -172,630. FORM 990, PART XII, LINE 2C: THIS PROCESS HAS NOT CHANGED FROM 2010.