2. Mission Statement
First Community Credit Union is dedicated to
providing the members of the community
sound financial services in a personal, professional
manner. The credit union is committed to the
philosophy of “people-helping-people.”
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3. Message from Chairman 4
Message from President/CEO 5
Statement of Financial Condition 6
Comparative Operating Statement 7
Financial Graphs 8
Audit Committee Report 9
Credit Committee Report 9
60th
Anniversary - History of FCCU 10
Real Estate Services 11
Commercial Services 11
Branch Operations 12
Houston Area Locations 13
FCCU in Your Community 14
HOUSTON TeXANS Partnership 15
Board of Directors and Senior Management 16
Credit Union and Branch Management 17
Table of Contents
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4. 4
A MESSAGE FROM THE CHAIRMAN OF THE BOARD
It gives me great pleasure to report that First Community Credit Union performed well
in 2014. As you will see throughout this report, we connected with our members and
community leaving our stamp of excellence as we made a first-rate difference.
In April 2014, we opened our 18th
branch location on the campus of Technip’s U.S.
Headquarters. While this is a restricted location, it serves members at multiple organizations
that are housed on that campus. It is our second location to have Interactive Teller Machines as the primary source
for doing teller transactions.
In 2014, our membership grew to 109,294 members for an increase of 5.99%. Recognizing our great rates and
financing options, many of those members also selected a loan product for a new or used vehicle, debt consolidation
or to expand their lifestyle. We reviewed 70,119 applications for consumer loans. Gross loans for 2014 increased
by 17.46% to end the year at $798.74 million. A complete breakdown by loan type is available in the Credit
Committee Report on page 9.
We are proud of our continuous positive impact on the communities we serve, as this is a priority of the Board of
Directors and Management of the credit union. We continued our partnership with the Houston Texans as the Official
Credit Union and brought financial education programs to schools plus supported various charities alongside our
members who gave so generously.
By exercising sound business and service strategies, we will help our members navigate the life-cycle challenges
we all face through the benefits of membership. We are well positioned to assist members with budgeting, buying,
retiring and saving now and in the future.
We look forward to the opportunities 2015 brings and stand ready to assist our members by making a first-rate
financial difference in their lives.
Douglas Wilcher
Chairman of the Board
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5. 5
A MESSAGE FROM THE PRESIDENT AND CEO
Sixty years ago the employees of Spring Branch Independent School District came together
with a goal to build a safe and sound financial option for the employees. I’m proud to be a
part of that history and continue to set new goals to expand our future.
As our membership and assets grow, it indicates that our members are taking full advantage
of the products and services we have to offer. We ended 2014 with 109,294 members
and assets of $1.071 billion, for an increase of 8.69% over the prior year. As Chairman Wilcher indicated, we had
a stellar year in loan growth and our delinquencies remained low at 0.47%. This tells me that our members value the
competitive rates we offer and that they have a strong commitment to honoring their financial obligations with FCCU.
As a strong, sustainable and efficient financial institution, we are confident in our ability to meet all of our members’
financial needs.
Convenience is important to all of us and we want to ensure that our members have resources to bring that convenience
right to them. In 2014, we continued to improve the technology options for our members so that banking can be done
anytime, anywhere.
As we look ahead to 2015, we will continue to focus on people first - members, employees and our local communities.
On behalf of the Board of Directors, Management and Staff, our commitment to our membership is to:
• Grow responsibly, while listening and responding to member needs
• Explore innovative product/service solutions to enhance their financial lives
• Develop our staff and board so they can confidently serve the members
We appreciate each and every member for being a part of the First Community Credit Union family and we look
forward to a successful 2015!
Ron Downing
President/CEO
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6. ASSETS 2014 2013
Cash $29,108,423 $23,490,412
Investments:
Available for Sale 182,328,090 219,407,516
Held to Maturity 0 0
Other Investments 9,388,342 9,359,441
Loans to Members, net 802,725,601 683,951,528
Accrued Interest Receivable
Investments 493,456 548,760
Loans 2,229,975 2,072,865
Other Receivables 4,609,116 4,197,846
Prepaid and Other Assets 5,923,760 7,912,291
Property and Equipment 25,814,180 26,616,888
NCUSIF Deposit 8,848,292 8,244,748
TOTAL ASSETS $1,071,469,235 $985,802,295
LIABILITIES AND MEMBERS’ EQUITY 2014 2013
Liabilities
Members' Share Accounts $970,502,014 $893,330,721
Accounts Payable 5,601,689 6,049,766
Accrued Liabilities 7,721,427 7,781,171
TOTAL LIABILITIES $983,825,130 $907,161,658
Members' Equity
Regular Reserves 13,213,020 13,213,020
Undivided Earnings 70,604,696 62,829,009
Appropriated Undivided Earnings 4,552,291 4,552,291
Accumulated Other Comprehensive Gain/Loss (725,902) (1,953,683)
TOTAL MEMBERS' EQUITY $87,644,105 $78,640,637
TOTAL LIABILITIES AND MEMBERS' EQUITY $1,071,469,235 $985,802,295
STATEMENT OF FINANCIAL CONDITION
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7. 2014 2013
Interest Income
Interest on Loans to Members $31,891,651 $28,657,001
Interest on Investments and Cash Equivalents 2,873,898 3,260,596
TOTAL INTEREST INCOME $34,765,549 $31,917,597
Interest Expense
Members’ Share and Savings Accounts 3,788,994 3,996,771
Net Interest Income 30,976,555 27,920,826
Provision for Loan Losses 3,290,128 1,661,000
NET INTEREST INCOME AFTER PROVISION FOR
LOAN LOSSES
$27,686,427 $26,259,826
Non-Interest Income
Fees and Service Charges 15,358,176 15,054,334
Other Non-Interest Income 3,141,581 2,948,342
TOTAL NON-INTEREST INCOME $18,499,757 $18,002,676
Non-Interest Expense
Compensation and Benefits 20,325,535 19,345,675
Office Operating Costs 15,476,166 14,643,726
Education and Promotion 2,608,796 2,346,743
NCUA Premium Assessment 0 659,580
Other 0 0
Other-than-Temporary Impairment on Investments 0 0
TOTAL NON-INTEREST EXPENSE $38,410,497 $36,995,724
NET INCOME $7,775,687 $7,266,778
COMPARATIVE OPERATING STATEMENT
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9. AUDIT COMMITTEE REPORT
Based on an in-depth independent audit of the
operations of First Community Credit Union, the
CPA firm of Orth, Chakler, Murnane and Company
concluded that, in their opinion, the financial position
of FCCU, the operations and the cash flow for the year
ending December 31, 2014, conforms with generally
accepted accounting principles and practices.
As a state chartered credit union, FCCU is
additionally subject to a review by state examiners.
First Community Credit Union has been found sound
in both policy and practice during this annual audit.
As such, FCCU continues to be Federally Insured by
the National Credit Union Administration (NCUA).
Sally Moseley
Chairman, Audit Committee
CREDIT COMMITTEE REPORT
The purpose of the Credit Committee is to ensure core
lending policies and practices are followed. During
2014, the credit union experienced sound growth in
our lending portfolio as our rates stayed extremely
competitive across the board.
2014 was a strong year in lending. Collectively, our
Loan Officers reviewed more than 70,000 lending
applications; of which, we funded $369.53 million
throughout 2014. At the close of business on 12/31/14,
our Gross Loans stood at $798.74 million. Below is the
breakdown by loan type:
• Credit Card Loans $ 46,068,526
• Direct Auto Loans $ 183,408,193
• Indirect Auto Loans $ 320,933,920
• Real Estate Loans $ 110,071,473
• Other Loans $ 44,476,455
• Commercial Loans $ 93,776,446
When members are in need of financing, we encourage
them to think of their credit union first. Competitive
rates, an online application and closing process, as
well as quick closings are great reasons to turn to FCCU
whenever the need arises in 2015.
Bob Schumacher
Chairman, Credit Committee
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10. 10
OUR 60TH
ANNIVERSARY
THE HISTORY OF FCCU
1954
Spring Branch School District
Employees Credit Union
Chartered
1983
Charter Expansion to include
Alief ISD Employees
and Families
2001
Fort Bend County Expansion
1988
Community Charter granted -
Expansion to the Greater Houston Area
2013
Montgomery County Expansion
2011
Apple app introduced
1980
Checking Accounts introduced
1984
First CU in Greater Houston to
introduce ATMs
1990
Credit Cards introduced
2009
Mobile Account Access
introduced 2014
60th
Anniversary
FCCU Mobile
2011
Texans Partnership
began
Thank you for your support towards our success!
11. REAL ESTATE SERVICES
“There were 75,319 single-family
home closings in Houston in
2014,” according to the Houston
Association of REALTORS (HAR).
This record year led to 3,104
home loan requests at FCCU; of
which, 1,733 were approved.
First Community Credit Union was pleased to help
many members achieve home ownership with very
competitive rates and experienced lenders to guide
them through the process.
Real Estate Services funded $61.32 million in first
mortgage loans in 2014. Home equity and home
improvement loans were up in 2014 by 14.21% as
members used their equity as a financial solution.
Together, this represents a year-end total of $110.07
million for the real estate loan portfolio.
We provide First Mortgage Loans, Home Equity
Loans, Home Equity Lines of Credit, Home
Improvement Loans, Jumbo and Construction Loans.
Plus, we specialize in express service to close many
real estate loans in less than 30 days.
Starting the conversation is easy. Our online lending
application, found at FCCU.org/HomeLoans, is the
first step in getting set up with a professional lender
to answer all your questions.
Steven O’Brien
Vice President, Real Estate
COMMERCIAL SERVICES
Small businesses are a growing
sector of our financial portfolio.
We have all recognized how small
businesses help grow the U.S.
economy and FCCU is pleased
to partner with more than 3,200
small businesses around the Greater Houston Area.
During 2014, we funded $29.28 million in new
business loans. This brought the total business loan
portfolio to $93.78 million at the close of 2014. This
represents an increase of 3.4% for the business loan
portfolio.
In 2015, we are expanding our business services with
a business online banking platform that incorporates
payroll services, wires and other features at a very
affordable cost. We encourage business owners to
think of FCCU as their small business banker for all
their financial needs. Come, let’s grow and impact
our communities together.
Mario Goncalves
Vice President, Commercial Lending
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12. BRANCH OPERATIONS
Serving members is at the heart of branch operations. On any given day,
hundreds of transactions are processed, loans are booked and questions are
answered by the front line staff - our ambassadors stationed in the hub of the
credit union.
The tellers processed 1.83 million in-branch financial transactions and 50,188 mobile deposits in 2014. Financial
Service Representatives (FSRs) assisted members with new memberships and the opening of 8,575 new checking
accounts. These same FSRs also serviced our members various lending needs. The Member Service Representatives
answered general questions, and provided specific account needs such as issuing a new debit or credit card,
change of address or wire transfers.
The work of this staff reached beyond the walls and into the community as they accepted financial donations for
charity, hosted the annual candy sale to support the credit union movement and collected non-perishable goods
for our annual food drive.
As you can see, branches continue to be a hub of activity that support members in every aspect. While many
members prefer to do all transactions without stepping foot into a branch location, it does bring peace of mind
knowing our branch staff is ready to assist with any financial need.
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Velsie Borja
Senior Vice President,
Operations
13. CONVENIENT HOUSTON AREA LOCATIONS
ACCESS WHEREVER YOU ARE
55,000+ FREE ATMsMobile Banking Nationwide NetworkFCCU.org
Copperfield - Corporate Office
15260 FM 529
Houston, TX 77095
Alief
3200 S. Dairy Ashford
Houston, TX 77082
Barker Cypress - HEB
24224 Northwest Freeway
Cypress, TX 77429
Champions
10300 Louetta, Suite 100
Houston, TX 77070
Cinco Ranch
23120 Cinco Ranch Blvd.
Katy, TX 77494
Fairfield - HEB
28550 Northwest Freeway
Cypress, TX 77433
Fry Road - Kroger
1705 Fry Road
Katy, TX 77449
Grand Parkway - HEB
6711 S. Fry Rd.
Katy, TX 77494
Jones North - Kroger
12222 Jones Road
Houston, TX 77070
Katy Market - HEB
25675 Nelson Way
Katy, TX 77494
Sam Houston - Kroger
9125 W. Sam Houston Pkwy. N.
Houston, TX 77064
Sienna Plantation - HEB
8900 Hwy. 6
Missouri City, TX 77459
Spring Branch
9100 Westview
Houston, TX 77055
Spring Market - HEB
2121 FM 2920
Spring, TX 77388
Sugar Land
3400 Hwy. 6 South
Sugar Land, TX 77478
Technip
11740 Katy Freeway
Houston, TX 77079
The Woodlands - HEB
3601 FM 1488
The Woodlands, TX 77384
Tomball
28850 Tomball Parkway
Tomball, TX 77375
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14. 14
#FCCUinYOURcommunity
Community is more than just a part of our name. It’s a part of who
we are and what we do to give back. During 2014, the FCCU
staff and members participated in the following events to raise
awareness, support a charity or bring a smile:
• Muscular Dystrophy Association Walk
• Annual Summer Survival Food Drive supporting community
food banks
• Candy Sale to support the efforts of the Cornerstone Credit
Union League for Credit Union Advocacy
• Pink on Parade to raise funds for Breast Cancer Awareness
• Operation Stocking Stuffer, in partnership with the Houston
Fire Department, to provide toys for children in need at Christmas
Beyond these major events, we connected with many schools in the
districts we serve with donations and financial literacy, supported
our local Chambers of Commerce and answered many other
requests for assistance at various community organizations. We
brought shred trucks to each of our traditional branches during
2014 to provide a safe method for disposing of personal documents
and also to help with recycle initiatives.
Throughout all of this, we want our local communities to think of us
as a partner for them as well as for the small businesses they serve.
15. HOUSTON TeXANS PARTNERSHIP
Partnering with a like-minded organization like the Houston Texans has been
good for the members and good for the community. Our joint efforts to make
a difference in education and honor the teachers that go above and beyond
for their students is at the center of this partnership.
We honored 10 teachers during the 2014 football season through our Stars in
the Classroom Program. What a delight to have more entries than ever before
and to see how many teachers are stepping up with passion for education
and their students. It was a difficult year to choose winners simply because
we had so many great entries. Our First Community Credit Union Spokesman,
Linebacker, Brian Cushing (#56) and his teammates DeVier Posey, Jerrell Powe
and Tim Jamison visited the classrooms of our winning teachers. These visits
with a Houston Texans Football Player bring fun and an important message to
the students and teachers they honor. Additionally, TORO headed out to 50
elementary schools sponsored by FCCU to bring some fun to third, fourth and
fifth graders and shine a spotlight on the importance of the STAAR test. These
programs will continue in 2015.
1,128 new Texans Checking members were added in 2014 to not only
reap the rewards of membership but also to be automatically entered to win
one of the weekly prizes we give away. Autographed footballs and jerseys,
experiential events such as the VIP tent at training camp and trips to away
games, including the BIG game, all are met with the same response, “I’ve
never won anything in my life!”
We will be cheering on the Houston Texans in 2015 and we hope you will
join the 6,000+ other fans that already have Texans Checking as a part of
their financial plans.
GO TEXANS!
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16. Arlie Beckendorf
Director
Term Expires: March 2017
Rob Hauck
Treasurer
Term Expires: March 2017
Jerald Till
Director
Term Expires: March 2016
Julie Eisenhauer
Secretary
Term Expires: March 2015
Sally Moseley
Vice Chairman
Term Expires: March 2015
RobertSchumacher
Director
Term Expires: March 2016
Keith Domingue
EVP/Chief Financial
Officer
Rito Garza
EVP/Chief Information
Officer
TJ Tijerina
EVP/Chief Operations
Officer
SENIOR MANAGEMENT
Ron Downing
President/Chief
Executive Officer
Cheryl McCullough
EVP/Chief Development
Officer
Don Mozingo
EVP/Chief Lending
Officer
BOARD OF DIRECTORS
Douglas Wilcher
Chairman
Term Expires: March 2017
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17. CREDIT UNION MANAGEMENT
BRANCH MANAGEMENT
Sr. Vice President – Accounting Tricia Smith
Sr. Vice President – Lending Randal Ward
Sr. Vice President – Marketing & Business Development Nancy Trennel
Sr. Vice President – Operations Velsie Borja
Vice President – Asset Recovery Mark Palomo
Vice President – Audit & Compliance Matt Smith
Vice President – Business Development Melinda Storrs
Vice President – Call Center Stefanie Addis
Vice President – Commercial Lending Mario Goncalves
Vice President – Consumer Lending Jill Vinson
Vice President – Human Resources Katie Rigby
Vice President – Indirect Lending Michael Hosen
Vice President – Information Technology Jon Hartman
Vice President – Real Estate Steven O’Brien
Vice President – Special Services Karon McMahan
Vice President – Staff Development Jody Kohlmaier
Vice President – Alief Joy Gonzalez
Vice President – Barker Cypress Melissa Walls
Vice President – Champions Jamie Drohan
Vice President – Cinco Ranch Eric Peterson
Vice President – Copperfield Arthur Gordon
Vice President – Fairfield Andrew Meese
Vice President – Fry Road Kim Lemex
Vice President – Grand Parkway Alex Barrero
Vice President – Jones North Andrew Meese
Vice President – Katy Market Alex Samoilov
Vice President – Sam Houston Ed Dobranich
Vice President – Sienna Plantation DeAndre Massey
Vice President – Spring Branch Larry Pugh
Vice President – Spring Market Kelly Fay
Vice President – Sugar Land Lana Huff
Vice President – Technip John Littler
Vice President – The Woodlands Chris Gagne
Vice President – Tomball Mark Vinson
Vice President – Branch Float Team Yesi Gonzales
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