the Advent

ures

of

2013

annual

report

for the past o years theres been one outstanding institution dedicated to protecting the citizens of san luis obispo from the sinister clutches and high fees of big banks

un IonCred I t. . .sLo

the dedicated slocu super team works day and night to maintain banking truth and justice for all slo credit union members.

the slocu board of dir

ectors, aka

s-men

the league of

f inanc ial just ice

the slocu supervisory

committee, aka

member service representatives jen tutko & teri dallacosta, aka

the dynamic member serv ice duo

operations off icer emilie devera-jones, aka

wonder worker

loan off icer diane garcia, aka

the l ender avenger

capta in cred i t un ion

ceo suzanne leedale, ak

a

ceo & chair report

we all grew up believing heroes were all around us, ready to swoop in and save the day. in reality, a hero is just the right person in the right place at the right time, doing the right thing.

capta in cred i t un ion

at slo credit union (slocu), your heroes continually save the day with the best savings options. we defeat high-price villains with super-low loan rates and superior service.

as everyday super heroes, we f ight to give you knockout service. we use facebook, twitter and e-mail to rescue your wallet with useful information, savings tips, and the credit union message.

in 2013, we added more tools to our super-power arsenal. we want to protect both children and adults from going down a bad f inancial path. so we launched the smart cents clubs, for kids and teens, to start them on the road to f inancial freedom. we also started the new slocu hero program to give our members the power to restore peace to their loved ones wallets by referring them to slocu.

this year, slocu remained very strong, sound and solid our f inancial strength is stellar with f ive-star ratings from both bankrate.com and bauer f inancial, two independent rating f irms.

slocu continues to battle a low-interest rate environment, so you can continue to enjoy heart-stopping, low rates on your slocu loans. though savings rates have not fought back to pre-recession levels, slocu continues to bring you the best possible deals.

slocu also supported the next generation of local heroes by donating to the slo 4-h program in 2013, and were gearing up for an even stronger partnership in 2014.

you can count on

slocu to save your

wallet.

in an effort to be your f inancial service hero both today and tomorrow, the slocu board set growth targets and staff climbed to new heights

a feat that wouldnt be poss ible w ithout you,

our member heroes.

league of f inancial justice board of directors

john maddux board chair fran edwards board vice-chair russ haynes secretary/treasurer ken miller board member carl nelson board member steve senet board member david romero board member

the s-men supervisory committee

ken f inney chair terilyn thompson member glen priddy member

the following people heroically stepped up to serve in the following vacancies:

board of directors

carl nelson 3-year term expires january 2017 david romero 3-year term expires january 2017

supervisory committee

ken f inney 3-year term expires january 2017 glen priddy 2-year term expires january 2016

superheroes in the mak ing

nominating committee

report

slocu relies on elected, volunteer champions to serve on its board and supervisory committee. volunteers work to ensure your f inancial freedom, develop winning strategies and make sound policy decisions to save your wallet. slocu thanks the current volunteer heroes who make it possible for us to serve you our member.

2013 off ic ia ls

the s-men

are not mutants;

they are slocu volun

teers who

use their powers to

benef it humanity. a

group of both men

and

women, the s-men u

se the power of thei

r minds to keep slo

cu

f iscally responsible

and benef icial for

all members. they ac

hieve

this by keeping an e

ye on operations and

meeting with auditor

s.

this year, the comm

ittee worked with bo

th external auditors

and state agencies t

o complete routine

evaluations of oper

ations.

all of the reports

indicate slocu is ope

rating safely and s

oundly.

additionally, f inancia

l reporting complies

with generally acc

epted

accounting principles

.

slocu and the super

visory committee can

only

function with the hel

p of member volunte

ers.

if you want to use

your powers for g

ood by

volunteering, please

talk to a current

s-man

or staff member toda

y.

the supervisory committee report

s-men

2013 f inanc ial reportassets 2012 2013

loans to members 3,481,082 3,419,063allowance for loan losses (30,880) (31,121)cash 2,833,002 3,174,083investments 26,208,163 26,840,339f ixed assets 467,059 433,655accrued interest due 108,284 111,689other assets 320,638 304,349

total assets $33,387,349 $34,252,058

liabilities

member shares 13,081,277 14,610,556member certif icates 13,895,494 13,376,603member share drafts 514,567 739,972other liabilities 34,720 48,404regular reserves 397,159 397,159undivided earnings 4,805,011 4,887,252unrealized gains/losses 659,120 192,112

total liabilities $33,387,349 $34,252,058

income

interest on member loans 237,015 208,121income from investments 684,592 570,095fee income 20,478 21,318other income 1,242 1,900

total gross income $943,327 $801,434

operating expense

compensation & benef its 292,147 302,733travel & conference expenses 3,155 3,719association dues 11,087 11,097off ice occupancy 43,544 44,853off ice operations 136,863 146,930education & promotion 43,401 46,723loan services expense 38,578 36,416professional & outside services 32,191 32,177provision for loan loss (13,759) 0member insurance 0 0 member share insurance 26,137 22,340state operating expense 5,500 5,500miscellaneous expenses 12,166 12,260

total operating expense $631,009 $664,749

dividends paid to members $136,941 $89,038

total gross expense $767,951 $753,786

net income/loss from operations $175,376 $47,648

other non-operating income/expense $0 $34,593

net income/loss $175,376 $82,241

the slo credit union super hero team will continue to f ight for truth and justice in banking across san luis obispo county. but we will not do it alone. there are many heroes working to return order, peace and integrity to the way we bank

and one of those heroes is you.

slocu herorefer your friends & win cash!

rescue your friends from the sinister clutches and high fees of big banks by referring them to slocu today.

LooK At these AMAZInG ProGrAMs!

WoWZA! !

manage your slocu account from the palm of your hand!learn more about the sprig mobile banking apps and banking capabilities online at www.slocu.com.

lean on us i f you need a loan.-new/used auto loans

-new/used rv loans

-salary loans

-savings or certificate

secured loans

-debt consolidation options

who says saving cant be fun?with the slocu smart cents club, kids and teens can save big and win big when they reach a savings goal !

CALL dIAne,

the Lender AvenGer

(805) 543-5839

for More InforMAtIon.