|2011 Report to The Membership
This year, Patriot Federal Credit Union celebrates its 46th annual meeting. We have weathered the recession in much better shape than many financial institutions across the state, region and country. While substantial economic challenges remain, we believe Patriot is well-positioned for the opportunities that lie ahead. The year-end numbers do more than merely reinforce our strength and stability relative to the marketplace. They also reflect our ability to adapt to changing forces.
Key financial highlights for the year include:
Total assets $434,473,350.
Patriot's capital position remained strong at 12.4% of total assets. The National Credit Union Administration's guideline for a well capitalized credit union is 7.0%.
Total shares at year end were $379,663,100.
Financial statements for the years ending September 30, 2010, and September 30, 2011, are included in this report on pages _ and _. These statements were certified by Patriot’s independent accounting firm, Orth, Chakler, Murnane and Company, Certified Public Accountants.
We are pleased to report that Patriot has earned and sustained the Bauer Financial 5-Star Superior rating for over 75 consecutive quarters (20years)-an amazing accomplishment! Throughout this 20-year period, Patriot has exhibited the best in safety, soundness, capital adequacy, asset quality, and stability. This 5-Star Superior Rating is the highest, and is earned by fewer than 10% of the nation's credit unions. Members can rest assured that Patriot capital base and excellent loan quality.
Patriot has been successful in this uncertain global environment because of our focus on members in everything we do. The strength of Patriot resides in our core purpose of helping our member-owners experience their American Dream. This keeps us focused on helping them through competitively-priced products and services, and with additional attention to the financial challenges presented by these trying economic times.
EXPANSION AND NEW PATRIOT SERVICES
Patriot opened a new branch inside the Chambersburg Area Senior High School, opening the first day of the school year, August 29, 2011. Students, who work at the branch with supervision from Patriot staff, become paid employees of the credit union which provides valuable work experience as they prepare themselves to enter the workforce upon graduation. Through our arrangement with the school, we are also pleased to provide additional financial literacy education through various classes at the high school.
Patriot began offering "I'm a Patriot" Plus, and Platinum, VISA credit cards to members on April 4, 2011, with introductory, low-rate balance transfers that were designed to save members money and to make day-to-day purchasing easier.
Throughout 2011, Kevin T. Shoemaker, CFP®, Patriot's Member Education Specialist, presented several "Financial Fitness" seminars on a variety of financial topics:
- Developing a Budget - Various approaches were reviewed to this sometimes difficult, yet critical, aspect of personal financial management.
- Credit and Debt Management – Covered were: "Good" vs. "Bad" debt, considerations for refinancing debt, and how that all-important FICO credit score works.
- College Financing Seminar – This seminar reviewed various options for financing a college education from "those you should consider" to "those that you may want to avoid".
- Income Strategies During Retirement – This complimentary seminar, presented by Patriot Financial Services, addressed retirement incomechallenges such as: inflation, rising health care costs, negative market conditions, positioning assets to generate income, and designing a retirement recovery plan.
- Understanding Your Credit Score – This seminar explained the intricacies of the credit score (also known as FICO score). Participants were educated on how the number is determined and how various financial activities improve or hurt their scores.
- Balance Financial Fitness Program - Through Patriot-s Balance service, members have access to free, unbiased money management information and assistance. Members can call the toll-free number 1-888-45-2227. Counselors are available Monday through Saturday. Members can also visit the Patriot Federal Credit Union website 24x7 at www.patriotfcu.org and click on the Balance Financial Fitness icon for additional information.
- AARP Driver Safety Program – In conjunction with AARP, Patriot sponsored a one-day driver safety program at our Corporate Center, located at 1330 South Seventh Street, Chambersburg, PA. Participants, ages 55 and over, may be eligible to receive a discount on their auto insurance premiums. This program featured eight hours of classroom instruction designed to help drivers learn defensive driving techniques and driving skills to accommodate age-related changes in vision, hearing and reaction time.
Patriot stands for more than lending money and accepting deposits. Our financial cooperative takes an interest in our members, potential members, and the communities we serve, both financially and through volunteerism. Patriot supported many charitable and worthwhile organizations throughout our community charter area. A few are highlighted below.
- Patriot collected school supplies through our five branch offices, and distributed them to students in Franklin, Fulton and Washington Counties. Over 275 school supplies from binders and composition books to pencils, markers and crayons, were distributed to the area school districts.
- Patriot contributed to The Pennsylvania Free Enterprise Week which creates an educational experience where young adults can learn about our free enterprise system and what it means to our unique form of democratic, republican government. For our country to remain competitive, it is crucial that our future workforce have an understanding and appreciation of the challenges of a free enterprise system.
- Austin Keefer of Mercersburg, PA, was named the recipient of Patriot's 2011 Richard Baumunk Memorial Scholarship. Austin is attending Shippensburg University where he is pursuing a degree in Biology. The memorial scholarship was established in honor of Richard E. Baumunk, a past board member and original founder of the credit union.
Chairman of the Board
|Peggy J. Bosma-LaMascus