2019 REVIEW

1. Voluntary and open membership...

2. Democratic member control...

3. Member economic participation...

4. Autonomy and independence...

5. Financial education, training, and information...

6. Cooperation among cooperatives...

7. Concern for the community!!!

Canada’s Credit Unions are financial cooperatives made up of voluntary associations of people who share com-mon social, economic and cultural goals. Revelstoke Credit Union is your Community Partner, dedicated to improving the lives of its Members and this city.

The Seven Cooperative Principles

To our Members:To our Members:MEMBER REWARDS: $150,000 A reimbursement of loan interest paid and a bonus to deposit interest earned.

SHARE DIVIDENDS: $7,768 Declared annually by Board of Directors. Paid to Share Accounts.

To our Community:To our Community:COMMUNITY GIVING: $50,000 Applications accepted annually from a variety of service groups and organizations for special projects.

COMMUNITY GIVING CAPITAL PROJECTS: $50,000 Assist with capital for local projects.

FRED OLYNYK BURSARY: $3,000 Taya Driediger, 2019 recipient.

YES CAMP: $4,875 An exceptional leadership camp for young adults. Sponsored 8 youths in 2019.

CEO DISCRETIONARY DONATIONS: $13,161.43 A variety of requests throughout the year.

RETAINED EARNINGS: $828,987 added to capital. The RCU capital ratio is very strong & allows the Board to vote in support of funding Member Rewards & Community Giving programs for 2020.

The Value of Membership ... Investing in our Community in 2019

FARWELL SPLASHPARK

Cycling Association Adaptive Trails

Royal Canadian Legion Projects and Equipment

Minor Hockey Programs and Equipment

Fire Rescue Services Highway Truck

Golf Course Upgrades and Renovations

Forestry Museum Trails and Exhibits

Since it’s inception in 1953, Revelstoke Credit Union has worked to serve this community and its Members. As a financial cooperative, RCU distributes part of its profit to Members and community on an annual basis through Community Giving, Member Rewards, Dividends and Donations. Once 2019 funds have been dispersed more than $6.5 million will have been returned to its Members and the community since 2000 through all programs mentioned above.

Through RCU’s Donations & Community Giving Programs alone, $1,793,956.65 has been invested back in the community helping non-profit and charitable organizations fund programs and projects in and around Revelstoke.

Whether contributions are small or large, RCU is proud to be able to support Revelstoke as your Community Partner. The markers on the map point out the locations of Revelstoke community groups who’ve been beneficiaries of Community Giving and extraordinary donations between 2000 and 2019.

Community Giving makes Community Impact

CREDITUNIONSARE HELPING

HERE

Mapping the RCU Impact on the City of Revelstoke

14 Arts Council & Centre15 RMHA Hockey16 RCEC Energy Corp17 Kovach Playground18 Skate Park19 Saddle Club20 Heli Pad Project21 Avalanche Canada22 RCA Adaptive Trails23 Nordic Centre24 Revelstoke Ski Club25 Queen Victoria Hospital Foundation26 Stoke FM Radio27 Columbia Basin Alliance For Literacy28 Child Care Society29 Acrobats Gymnastics30 Humane Society31 Royal Canadian Legion32 Community Centre Indoor Pool

1 Revelstoke Golf Course 2 Forestry Museum 3 Okanagan College 4 Farwell Splashpark 5 Railway Museum 6 Museum & Archives 7 Luna Festival 8 Fire & Rescue 9 Local Food Initiative10 Community Connections11 School District 1912 RMBA Baseball13 RYSA Soccer

Cycling Association Adaptive Trails

Royal Canadian Legion Projects and Equipment

CREDITUNIONSARE HELPING

HERE

Community Giving Projects and Major Donations - 2000 to 2019

Performing Arts Centre Equipment- $13, 000

Community Centre Indoor Pool - $50, 000

Queen Victoria Hospital He-lipad Project - $100,000

Minor Baseball Diamond Renovation - $15,000

Skatepark Society New Park Project - $15,000

Splashpark Society Seed Money - $50,000

Community Giving Capital Projects

Childcare Society Climbing Wall - $5,000

Nordic Club Trail Expansion Projects - $15, 000

Forestry Museum Lookout& Other Projects - $15,000

Okanagan College Remote Classroom - $15,000

Golf Course ImprovementProjects - $21,100

Revelstoke Museum and Archives - $15,000

Our 2019 Board of Directors...Committed to RevelstokeOur 2019 Board of Directors...Committed to Revelstoke

BRUCE GRANSTROMBoard Member since 2017

Professional Engineer (Retired)

Volunteerism - Nordic Club, United Church

CHANDRA BOTTBoard Member since 2017

Universal Footwear Owner/Operator

Volunteerism - United Way

PAM DOYLE

Board Member since 2010

Parks Canada Superintendent (Retired)

Volunteerism - Rotary Club, United Church, Soup and a Smile, Housing Society

JOHN TEEDBoard Member since 2010

Retired Pharmacist and Business Owner (Retired)

Volunteerism - United Church, Community Choir, Addiction Outreach Programs

DAVID RAVEN, VICE CHAIR

Board Member since 2000

Professional Forester (Retired), former Mayor of Revelstoke

Volunteerism - Columbia Basin Trust Vice Chair, Rotary Club

MIKE COPPERTHWAITEBoard Member since 2012

Revelstoke Community Forest Corp - General Manager, Professional Forester

Volunteerism - Director Forestry Workers Society

DENNIS GREYBoard Member since 2010

Information Technology Professional (Retired)

Volunteerism - Community Band, Revelstoke IT Initiative, Rotary Club

JANIS BORDENBoard Member since 2015

Controller for Avalanche Canada

Volunteerism - Soup and a Smile, Youth Sport

Revelstoke Credit Union continues to be a strong and vibrant “locally owned” financial institution with deep ties to the com-munity. We label ourselves as a Community Partner and work hard each day to live up to that name. In 2019 we contributed $50,000 in Capital Projects and $50,000 to a variety of organizations through our Community Giving Program. We believe that an investment in these organizations is an investment in Revelstoke, and the quality of life we enjoy. In addition, we paid out $150,000 in Member Rewards. These contributions were all distributed from our net profit and re-invested in our Members and community.

We believe that by remaining as an independent credit union we can provide service to our members and community that is aligned with the uniqueness of Revelstoke. We appreciate the support we have received over the years. Member’s assets have now grown to over $200 million.

In the past two years we have completely upgraded our systems and equipment to enable us to provide the most current products and services. We are also involved in a new venture called “Forge” which will enhance our digital footprint and provide many new options to our Members.

None of what we do would be possible without our excellent staff and strong leadership. Our staff care about our members and provide a very high quality of service.

Our Board of Directors take their responsibilities seriously and very actively participate in board committees, board meetings, webinars, on-going training sessions and meetings with peers from other credit unions.Once again, our sincere thank you to our Members for their trust and loyalty. You have been what has made Revelstoke Credit Union the thriving entity that it is today.

A Message from the Chair and CEO

ALAN CHELL, BOARD CHAIR

Board Member since 2010

City Of Revelstoke, Parks & Recreation Director (Retired)

BC Public School Association - Chair, School Board Trustee, Youth Soccer, Glacier Challenge

ROBERTA BOBICKI, CEO

RCU Staff Member since 1981Career lender employed in the Credit Union system since 1978Economic Development Commission Chair and involved in numerous organizations and committees over the years

Financial Statements Community Growth...Building in Revelstoke

It‘s imperative for Revelstoke Credit Union to stay informed of the current & future status of key sectors that help to drive the economy. RCU hosted key industry representatives to present their perspective on Tourism, Forestry & Technology. The event shed light on “What’s Really Happening in Revelstoke”.

Engaging Community with Information & Education

STOKE FM RADIOFINANCIAL FRIDAY Weekly Financial Segments

FINANCIAL LITERACY WORKSHOPSConstruction Mortgages

FINANCIAL LITERACY FOR STUDENTSRSS Career Fair

TOURISM - Peter NielsenRevelstoke Mountain Resort, VP Operations

TECHNOLOGY - Dylan HardyVictor Avenue Capital, Technology and Business Consultant

FORESTRY - Angus WoodmanDownie Timber and Selkirk Cedar, Plant Manager

REVELSTOKE ECONOMIC UPDATES

Financial Statements

On behalf of the board:

John Teed, DirectorDavid Raven, Director

Financial Statements prepared by:Adams Wooley - Professional Chartered Accountants.

* A complete set of financial statements is available online at revcu.com

Summary Consolidated Statement of Financial PositionFor the Year Ended December 31, 2019

2019 2018Assets

Cash and term deposits $28,975,023 $23,223,167Members’ loans 172,533,459 157,719,089Other 861,849 876,432Investments 975,618 878,038Property, plant and equipment 3,574,124 3,487,324Intangible assets 1,134,896 1,454,896

$208,054,969 $187,638,946Liabilities and members’ equityMembers’ deposits and non-equity shares $191,145,343 $170,945,463Accounts payable and accrued liabilities 856,054 1,043,237Deferred income taxes 225,368 315,442

192,226,765 172,304,142Members’ equity shares 405,066 485,992Accumulated other comprehensive income 91,548 243,886Retained earnings 15,331,590 14,604,926

$208,054,969 $187,638,946

Summary Consolidated Statement of Income and Retained Earnings

For the Year Ended December 31, 2019

2019 2018

Financial income $6,769,245 $6,023,689

Financial expenses 2,764,594 1,799,190

Financial margin 4,004,651 4,224,499

Other income 2,582,783 2,494,294

Operating margin 6,587,434 6,718,793

Operating expenses 5,354,243 5,344,562

Earnings before income taxes and rewards to members 1,233,191 1,374,231

Income taxes 132,673 322,378

Earnings before rewards to members 1,100,518 1,051,853

Rewards to members 271,531 310,663

Net earnings 828,987 741,190

Premium on redemption of shares - 167,283

Retained earnings - beginning of year 14,502,603 13,696,453

Retained earnings - end of year $15,331,590 $14,604,926

Summary Consolidated Statement of Cash Flow

For the Year Ended December 31, 2019

2019 2018

Cash flow from (used by) operating activities $716,725 $852,784

Cash flow used by investing activities (15,233,633) (14,207,798)

Cash flow from financing activities 20,268,764 (1,187,628)

Increase (Decrease) in cash flow 5,751,856 (14,542,642)

Cash – beginning of year 23,223,167 37,765,809

Cash – end of year $28,975,023 $23,223,167

Community Growth...Building in Revelstoke

RCU Insurance Services Ltd. would like to welcome Mike Murphy, our new Life and

Benefits Insurance Advisor Mike Murphy - RCU Insurance

The next time you need general insurance … Visit

the RCUI Team at 201 Victoria Road