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U.W.I. (Cave Hill) Co-operative Credit Union Ltd. | Annual Report 2020 1

Contents

Prayer of St. Francis Of Assisi ...................................................................................................... 2

Mission Statement and Objectives .............................................................................................. 3

Corporate Information ................................................................................................................. 4

International Credit Union Operating Principles ......................................................................... 5

Board of Directors, Committees and Staff ................................................................................... 6

Notice of Meeting ....................................................................................................................... 7

Minutes of the 34th Annual General Meeting............................................................................... 8

Report of the Board of Directors ............................................................................................... 28

Report of the Credit Committee ................................................................................................ 36

Report of the Supervisory Committee ....................................................................................... 42

Report of the Education Committee.......................................................................................... 45

Report of the Marketing Committee ......................................................................................... 49

Audit Report and Financial Statements ..................................................................................... 51

Report of the Treasurer .............................................................................................................. 71

Standing Orders ......................................................................................................................... 87

2 U.W.I. (Cave Hill) Co-operative Credit Union Ltd. | Annual Report 2020

PRAYER OF ST. FRANCIS OF ASSISI

LORD, make me an instrument of thy peace,

Where there is hatred, let me sow love,

Where there is injury, pardon,

Where there is doubt, faith,

Where there is despair, hope,

Where there is darkness, light, and

Where there is sadness, joy.

O DIVINE MASTER, grant that I may not

So much seek to be consoled as to console,

To be understood as to understand,

To be loved as to love,

For it is in giving that we receive,

It is in pardoning that we are pardoned,

And it is in dying that we are born to eternal life.


MISSION STATEMENT

To be the best provider of opportunity for the improvement of the socio-

economic status and educational advancement of all members through

Credit Union products and services in accordance with Co-operative

philosophy and principles.

OBJECTIVES

• To enlighten members to the benefits of co-operation (and Credit Union

membership).

• To provide comprehensive financial services to members.

• To develop and maintain camaraderie and member loyalty.

• To improve our general community.


CORPORATE INFORMATION

BANKERS: Republic Bank (Barbados) Ltd. One Barbados Place

Warrens

St. Michael

BARBADOS

RBC Royal Bank (Barbados) Limited Broad Street

Bridgetown

St. Michael

BARBADOS

AUDITORS: Peter J. Carter & Co. Chartered Accountants

P.O. Box 78 WRD

Professional Business Centre

29 George Street, Belleville

St. Michael

BARBADOS

MEMBER OF: Barbados Co-operative & Credit Union League Ltd. 1st Floor, Patrick E. McDonald Building

Upper Collymore Rock

St. Michael

BARBADOS


INTERNATIONAL CREDIT UNION OPERATING PRINCIPLESDemocratic Structure

Open and Voluntary MembershipMembership in a credit union is voluntary and open to all within the accepted common bond of association that can make use of its services and are willing to accept the corresponding responsibilities.

Democratic ControlCredit union members enjoy equal rights to vote (one member, one vote) and participate in decisions affecting the credit union, without regard to the amount of savings or deposits or the volume of business. Voting in credit union support organizations or associations may be proportional or representational, in keeping with democratic principles. The credit union is autonomous, within the framework of law and regulation, recognizing the credit union as a cooperative enterprise serving and controlled by its members. Credit union elected offices are voluntary in nature and incumbents should not receive a salary. However, credit unions may reimburse legitimate expenses incurred by elected officials.

Non-DiscriminationCredit unions are non-discriminatory in relation to race, nationality, sex, religion and politics.

Service to MembersCredit union services are directed to improve the economic and social wellbeing of all members.

Distribution to Members To encourage thrift through savings and thus to provide loans

and other services, a fair rate of interest is paid on savings and deposits, within the capability of the credit union. The surplus arising out of the operations of the credit union after ensuring appropriate reserve levels and after payment of limited dividends on permanent equity capital where it exists belongs to and benefits all members with no member or group of members benefiting to the detriment of others. This surplus may be distributed among members in proportions to their transactions with the credit union as interest or patronage refunds, or directed to improved or additional services required by the members.

Building Financial StabilityA prime concern of the credit union is to build the financial strength, including adequate reserves and internal controls that will ensure continued service to membership.

Social Goals

On-Going EducationCredit unions actively promote the education of their members, officers, and employees, along with the public in general, in the economic, social, democratic, and mutual self-help principles of credit unions.

The promotion of thrift and the wise use of credit, as well as education on the rights and responsibilities of members are essential to the dual social and economic character of credit unions in serving member needs.

Cooperation among CooperativesIn keeping with their philosophy and the pooling practices of cooperatives, credit unions within their capability actively cooperate with other credit unions, cooperatives and their associations at local, national and international levels in order to best serve the interests of their members and their communities.

Social ResponsibilityContinuing the ideals and beliefs of the cooperative pioneers, credit unions seek to bring about human and social development. Their vision of social justice extends both to the individual members and to the larger community in which they work and reside. The credit union ideal is to extend service to all who need and can use it. Every person is either a member or a potential member and appropriately part of the credit union sphere of interest and concern. Decisions should be taken with full regard for the interest of the broader community within which the credit union and its members reside.

These Credit Union Operating Principles are founded in the philosophy of cooperation and its central values of equality, equity and mutual self-help. Recognizing the varied practices in the implementation of credit union philosophy around the world, at the heart of these principles is the concept of human development and the brotherhood of man expressed through people working together to achieve a better life for themselves and their community.


PRESIDENT: MRS. J. HINKSON TELEPHONE: (246) 417-4524/417-4539SECRETARY: MR. O. ELLIS FAX: (246) 424-0662TREASURER: MR. P. E. MCDONALD EMAIL: [email protected]

April 20th 2021

Notice is hereby given that the 35th Annual General Meeting of the UWI (Cave Hill) Co-operative Credit Union Limited will be held on Saturday, May 29th 2021 at the Lloyd Erskine Sandiford Centre, Two Mile Hill, St. Michael commencing at 1:00 p.m.

AGENDA

1. Call to order2. Devotions 3. Approval of Agenda 4. Welcoming remarks 5. Greetings from other organisations6. Apologies for absence7. Minutes of the 34th Annual General Meeting8. Matters arising 9. Reports: - Board of Directors

- Credit Committee- Supervisory Committee- Education Committee- Marketing Committee

10. Auditors’ Report, Financial Statements and Treasurer’s Report11. Allocation of Surplus 202012. Approval of 2021 Budget13. Fixing of Maximum Loan Liability14. Resolutions 15. Appointment of Auditor16. Elections - Board of Directors

- Credit Committee- Supervisory Committee

17. Any other business18. Presentations19. Vote of Thanks20. Termination

Owen Ellis (Mr.)Secretary

7

U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LIMITED P.O. BOX 5165, WARRENS BB11000, BARBADOS

PRESIDENT: MRS. J. HINKSON TELEPHONE: (246) 417-4524/417-4539 SECRETARY: MR. O. ELLIS FAX: (246) 424-0662 TREASURER: MR. P. E. MCDONALD EMAIL: [email protected]


MINUTES OF THE 34TH ANNUAL GENERAL MEETING OF THE U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LIMITED HELD ON SATURDAY, JULY 18, 2020 AT THE LLOYD ERSKINE SANDIFORD CENTRE, TWO MILE HILL, ST. MICHAEL.

PRESENT:

Members

Adams, EdwinAlexander-Gooding, SharonAlleyne, Charles A. O. Barker, MichaelBaynes, IanBaynes, JudithBlackett, ShernellBourne, ElaineBrathwaite, BrendaBroome, NeilBrowne, DaisyBurton-Scott, AngelaCharlemagne, GenefaCharlemagne-Marshall, AntoniaClarke, DanielleClarke, GregoryCorbin, NatashaCumberbatch, MarciaCumberbatch-Dawe, HeatherDawe, WayneElcock, BrianEllis, DominiqueEllis, OwenForde, AmandaGill, MargaretGraham, AliciaHackett, NatashaHall, CynthiaHarding, YvetteHaynes, RogerHaynes, SoniaHeadley, RyanHinkson, AntheaHinkson, JenniferHolford, Denise

Ifill, GraceInniss, AnthonyInniss, MaryJordan, CarolJordan, RosemaryJordan, ShaquonKing, DeborahLashley, IngridLorde, ShelstoneMaxwell, RoseanneMayers-Goddard, CherylMaynard, MariaMcCollin, JulianMcCollin, KevinMcDonald, Patrick E. McIntyre, NeilMings, RenneMoore, KrystleMoore, SarahMyles, DavidNicholls, JuliaNurse, LinnellProverbs, IanProverbs, PaigeProverbs, SandraScantlebury, VilmaSearles, ChulangSpringer-Hunte, CarlaThomas, AndreaThompson, BenitaThorpe, BettyToppin, JudithWeekes-Marshall, DianaWhite, CollinWiltshire, Halcyon

Junior Savers

Hunte, ChiomaMarshall, Aaron


Guests

Callender, Anthony Light & Power Co-operative Credit Union Ltd.Carter, Peter Peter J. Carter & Co., AuditorsGreaves, Vasco Courtesy Co-operative Credit Union Ltd.Holder, Alisia Peter J. Carter & Co., AuditorsJones, Keith Bartel Co-operative Credit Union Ltd.Lovell, Anton Co-operators General Insurance Company LimitedMedford, Bonita Light & Power Co-operative Credit Union Ltd.Whittaker, Kelvin Light & Power Co-operative Credit Union Ltd.

1. ASCERTAINMENT OF QUORUM AND CALL TO ORDER

The Thirty-Fourth Annual General Meeting of the U.W.I. (Cave Hill) Co-operative Credit Union Limited was called to order at 3:40 p.m. by the Chairperson, Mrs. Jennifer Hinkson, after ascertainment of a quorum; that being twenty-five percent of the total membership or 40 members whichever is less in accordance with By-Law 44(1)(a).

2. DEVOTIONS

2.1 Devotions were led by Mr. Owen Ellis, Secretary of the U.W.I. (Cave Hill) Co-operative Credit Union. This was followed by the reading of the Prayer of St. Francis of Assisi.

2.2 A moment of silence was observed in memory of those members who had passed since the April 6, 2019 Annual General Meeting.

3. APPROVAL OF THE AGENDA

3.1 The Chairperson asked for a motion for the approval of the Agenda.

3.2 A motion for the approval of the Agenda was moved by Mr. Chulang Searles and seconded by Ms. Betty Thorpe. The motion was carried.

4. WELCOME REMARKS

4.1 The Chairperson, Mrs. Jennifer Hinkson, welcomed all members and visitors to the 34th Annual General Meeting. She acknowledged that this was the first time the meeting was held outside of the University of the West Indies. The


Chairperson informed the members that the meeting was originally scheduled for April 2020 but due to the curfew as a result of the COVID-19 pandemic it was rescheduled to the new time and venue.

4.2 The Chairperson reported that this was an unprecedented time for everyone with many persons facing negative health and economic impacts. Even though it was not the world’s first pandemic it was by far the first of this kind that everyone would have experienced in this lifetime and it could be considered a historic time.

4.3 The Chairperson stated that the Credit Union cared about the wellness of its members and communities especially amid concerns of the spread of the COVID-19. She noted that the Credit Union was monitoring day to day developments and as an organization raised awareness and education among employees on the best practices to prevent the spread of the disease.

4.4 The Chairperson explained that the Credit Union experienced some trying times but with their participation, the Credit Union would remain strong and continue to meet their financial needs. It remained unclear what kind of recovery would emerge from the COVID-19 pandemic but the Credit Union was prepared to operate in the “new normal”. The Credit Union would continue to provide more services and conveniences for its members and would continue to focus on its members.

4.5 The Chairman expressed sincere thanks and appreciation on behalf of the Board for the cooperation and support received from all the Committee members. She also applauded Mrs. Judith Baynes, General Manager and her hardworking staff for working through the curfew period to serve the members.

4.6 The Chairperson introduced the members of the Board of Directors seated at the head table: Director - Mr. Patrick E. McDonald, Treasurer - Mrs. Sharon Alexander-Gooding, Secretary - Mr. Owen Ellis, Vice President - Ms. Natasha Corbin, and Director - Mr. Ian Proverbs.

4.7 The Credit Committee was introduced to the membership: Chairman - Mr. Julian McCollin, Secretary - Ms. Ingrid Lashley, and Members - Mr. Ryan Headley, Mrs. Cheryl Mayers-Goddard and Mr. Colin White. The Supervisory Committee was then introduced to the membership: Chairman - Mr. David Myles, Secretary - Mrs. Roseanne Maxwell and Member - Ms. Betty Thorpe.

4.8 The Chairperson introduced the management and staff: General Manager – Mrs. Judith Baynes, Assistant Manager – Ms. Denise Holford, Recording Secretary – Ms. Brenda Brathwaite and Mrs. Angela Burton-Scott, Ms. Natasha Hackett and Mrs. Krystle Moore who worked at the registration desk.


4.9 The Education and Membership Committee was introduced to the membership: Chairperson - Ms. Natasha Corbin, Secretary - Ms. Alicia Graham, Assistant Secretary – Mr. Jermaine Bourne, and Members – Ms. Anthea Hinkson, Mr. Julian McCollin, Mr. Ian Proverbs, and Member of Staff – Ms. Krystle Moore who is Ex-Officio.

5. GREETINGS FROM OTHER ORGANISATIONS

5.1 Mr. Anton Lovell extended greetings on behalf of the Board, Management and Staff of Co-operators General Insurance Company. He expressed his wishes for a successful annual general meeting.

6. APOLOGIES FOR ABSENCE

Apologies for absence were received on behalf of the following members:

Alleyne, JohnathanAlleyne, JustinAlleyne, Lisa A.C.Baynes, Ronald A.Baynes, ShirleyBirch, KatrinaBirch, KerriBirch, OliviaBourne, JermaineBoyce, AlyssaBoyce, KaiannaBoyce, KareenBradshaw, MarciaBrowne, JohnBurrowes, ShirleyCooke, VictorDurant, DominicDurant, GraceEllis, EthanEllis, FrancheroEllis II, FrancheroGooding, CheryseGooding, HonorGooding, Ian

Gooding, RyanGreenidge, DeniseHarding, KevinHarewood, HeatherHomer-Ellis, Cheryl Jebodhsingh, KimLashley, DanielleMcDonald, ChristianNicholls, AmarisNicholls, JillianNurse, RickyPeterson, RicardoPinder, JaylaSimmons-McDonald, HazelThomas, ReneeThomas, RyanWilliams, AliciaWilliams, RobertWilson, ClennellWilson, DominicWilson, DonaldWilson, JeanWilson, Luke


7. MINUTES OF THE 33RD ANNUAL GENERAL MEETING

A motion to take the minutes of the Thirty-Third Annual General Meeting as read was moved by Mr. Charles A. O. Alleyne and seconded by Mrs. Roseanne Maxwell. The motion was carried.

Errors and Omissions

There were no errors and omissions.

A motion for the adoption of the Minutes of the Thirty-Third Annual General Meeting was moved by Mr. Anthony Inniss and seconded by Ms. Betty Thorpe. The motion was carried.

8. MATTERS ARISING

There were no matters arising from the minutes of the Thirty-Third Annual General Meeting.

9. REPORTS

The Reports of the Board of Directors, Credit, Supervisory, Education and Membership, and Marketing Committees may be read at pages 26 to 47 of the 2019 Annual Report.

9.1 BOARD OF DIRECTORS

9.1.1 A motion for the Board of Directors’ Report to be taken as read was moved by Mr. Julian McCollin and seconded by Mr. Chulang Searles. The motion was carried.

9.1.2 The President presented highlights from the Report of the Board of Directors for the year ended December 31, 2019. The report may be read in its entirety at pages 26 to 33 of the 2019 Annual Report.

9.1.3 While some of the challenges experienced in recent years had abated there were continued pressures in the financial and economic environments in the country. Notwithstanding these circumstances, the Board was pleased to report that the financial year was another reasonably successful one. For the second consecutive year, the Credit Union did not achieve year on year increases in some of its key operating areas however, the Board was grateful and acknowledged the unwavering support of its members, as well as the effective and efficient management of the Credit Union.

9.1.4 The Board held fourteen (14) regular meetings and two (2) joint committee meetings during the year under review.


9.1.5 The composition of the Credit Committee was changed in 2019 as Ms. Ingrid Lashley was elected at the Annual General Meeting to replace Mrs. Maria Maynard whose term of office ended after serving two (2) consecutive terms.

9.1.6 For the academic year 2019 to 2020 one (1) student was awarded the Credit Union’s Postgraduate Scholarship.

9.1.7 During 2019 the Credit Union’s membership increased by forty (43) members. The membership at December 31, 2019 was 1,863 compared to 1,820 at December 31, 2018.

9.1.8 The Credit Union continued to support the Barbados Co-operative and Credit Union League Limited (BCCULL), the umbrella organisation for Credit Unions. Mr. Patrick E. McDonald served as Second Vice President on the Board of Directors of the BCCULL and he was also a Trustee of the Central Fund Facility Trust (CFFT) operated by the BCCULL. The Credit Union continued to benefit from training programmes offered by the BCCULL.

9.1.9 The Credit Union is a part-owner of Co-operators General Insurance Company Limited (CGICL). CGICL had a successful year in 2019 and an increased dividend was declared and paid during the period under review. The Credit Union is also a part-owner of Co-operators General Management Company Inc. (CGMCI), the company that owns and manages the building occupied by CGICL. In addition to the interest earned on the investment in this company, the company also declared and paid a dividend during the year. Mr. McDonald served on the Board as Chairman of CGMIC and Treasurer for CGICL. Members were urged to use CGICL for their insurance needs.

9.1.10 The implementation of the International Financial Reporting Standard #9 (IFRS 9) and the Government of Barbados Debt Restructuring Programme (DRP) continued to have a significant impact on the Credit Union’s financial performance for 2019. As indicated in the report of 2018, the DRP would continue to negatively impact the Credit Union’s income for the next fourteen (14) years.

9.1.11 Total Assets were $67.334M at December 2019 when compared to $63.343M at December 2018 for an increase of 16.95%.

9.1.12 Gross Income, before interest expense, was $2.868M for 2019 compared to $3.366M in 2018 for a decrease of 14.81%. As required by IFRS 9, the Credit Union continued to ‘Fair Value’ its investment in CGICL and CGMCI. The result of this exercise resulted in an ‘Extraordinary Gain’ of $494K for the financial year. The Net Income before appropriations, excluding extraordinary gains, was $422K for the year when compared to $530K in the prior year for a decrease of 20.51%.


9.1.13 Gross Loans outstanding at December 31, 2019 were $25.031M when compared to $26.021M at December 31, 2018 for a decrease of 3.80%. The Credit Union’s Capital, as set by policy, exceeded the legal requirement by $337K at December 31, 2019. This figure excluded Undivided Earnings of $5.254M.

9.1.14 To ensure that the Credit Union maintained its high operating standards there was the constant review of existing policies as well as the introduction of new ones.

9.1.15 The Board continued to work with contracted professionals on the information technology (IT) project to provide online access for members. Upgrades were completed on the IT infrastructure during 2019 however, work was still required in several areas with an expected completion date for the project during 2020.

9.1.16 The Credit Union continued its mission to eliminate paper statements and there was a continued effort to encourage members to provide their email information.

9.1.17 The Credit Union continued to review and build on the Human Resource Programme which was started in 2017 and completed in 2018. The focus has now moved to continuous training and succession planning. During the year Committee Members, Management and staff participated in training programmes to enhance their knowledge and competence.

9.1.18 There was currently one group of deposits left to mature under the “Twenty Fiver” Savings Plan which was scheduled to mature at December 31, 2020.

9.1.19 The Credit Union was pleased to report that promising progress was made during 2019 on the Credit Union’s accommodation. Meetings were held with the decision-makers of the University of the West Indies to achieving the goal of new and expanded accommodation. The Credit Union was optimistic that efforts would be accelerated during the next fiscal year.

9.1.20 The Credit Union continued to lend its support to the wider community including its main benefactor, the University of the West Indies.

9.1.21 As the Credit Union continued to move forward into 2020 there would be many uncertainties and challenges to overcome. The Management and Staff would continue to pursue a focused leadership, robust internal controls and excellent member service. The Board encouraged members to use the services of the Credit Union as it continued to provide competitive savings and lending programmes.

9.1.22 The Board thanked the Committees and the members of staff for their cooperation and support as they assisted in executing strategies and implementing policies that provided growth and decent returns for the owners of the Credit Union.


9.1.23 A motion for the acceptance of the Board of Directors’ Report was moved by Ms. Cynthia Hall and seconded by Ms. Anthea Hinkson. The motion was carried.

9.2 CREDIT COMMITTEE

9.2.1 A motion for the Credit Committee’s Report to be taken as read was moved by Ms. Linnell Nurse and seconded by Mrs. Mary Inniss. The motion was carried.

9.2.2 Mr. Julian McCollin, Chairman of the Credit Committee presented highlights of the Report which may be read on pages 34 to 38 of the 2019 Annual Report.

9.2.3 During 2019 the Credit Committee held 47 meetings. The role of the Committee was to review loan applications and determine the suitability of approving them accordingly. Consequently, the Credit Committee was focused on the approval of loans rather than the disbursement of loans.

9.2.4 There was a 38% decrease in the loans approved in 2019 at $3.12M when compared to 2018 for a total of $5.07M. This decrease doubled the 19% decrease in the previous period of 2018 when compared to 2017 as the financial challenges of the past years continued to impact the Credit Union.

9.2.5 The Lines of Credit (LOC) approved recorded a 15% increase at $399K in 2019 moving from $348K in 2018. This increase quintupled the 3% increase in the previous period of 2018 when compared to 2017.

9.2.6 Housing was the largest category of loans approved at $968K in 2019, up by 14% from $848K in 2018.

9.2.7 Business, Funeral Expenses and Insurance increased six, three and two-fold respectively in 2019 when compared to 2018, while all other categories recorded a decline. The Tuition Loan category was not utilized since the Government of Barbados resumed tuition payments to the University of the West Indies.

9.2.8 The Chairman expressed thanks to elected officers and staff of the Credit Union for their support over the year, and especially to those members who borrowed during the period under review.

9.2.9 Mr. Charles A. O. Alleyne requested an explanation for the difference between real estate and housing. Mr. Julian McCollin explained that housing would be home improvement while real estate was the purchase of land or land and house.

9.2.10 A motion for the acceptance of the Credit Committee’s Report was moved by Mr. Chulang Searles and seconded by Mr. Charles A. O. Alleyne. The motion was carried.


9.3 SUPERVISORY COMMITTEE

9.3.1 A motion for the Supervisory Committee’s Report to be taken as read was moved by Ms. Ingrid Lashley and seconded by Mr. Ryan Headley. The motion was carried.

9.3.2 Mr. David Myles, Chairman of the Supervisory Committee presented highlights of the Report which may be read on pages 39 to 41 of the 2019 Annual Report.

9.3.3 The Chairman presented the duties of the Supervisory Committee which were detailed at By Law 81 (3).

9.3.4 According to By Law 82 (c) the Supervisory Committee was responsible for submitting a written report for the AGM.

9.3.5 The Chairman reported that according to By Law 81 (3) the Supervisory Committee was instructed to carry out an audit on members’ accounts as it was very important to check the accuracy of the records held by the Credit Union. The Chairman stated that members were sent details of their accounts for verification and the responses were very disappointing. He appealed to the members to always take the time to check the accuracy of their accounts and submit their responses.

9.3.6 The Chairman reported that the Credit Union was operating in compliance with the relevant by laws and regulations.

9.3.7 The Chairman thanked the Board of Directors, the Credit Committee and the Staff for their continued support during the year.

9.3.8 A motion for the acceptance of the Supervisory Committee’s Report was moved by Mr. Julian McCollin and seconded by Mr. Chulang Searles. The motion was carried.

9.4 EDUCATION AND MEMBERSHIP COMMITTEE

9.4.1 A motion for the Education and Membership Committee’s Report to be taken as read was moved by Mrs. Roseanne Maxwell and seconded by Ms. Betty Thorpe. The motion was carried.

9.4.2 Ms. Natasha Corbin, Chairperson of the Education and Membership Committee presented highlights of the Report which may be read at pages 42 to 45 of the 2019 Annual Report.

9.4.3 The members of the Education and Membership Committee continued to effectively carry out its mandate which was to educate and increase the membership of the Credit Union.


9.4.4 Two (2) educational sessions were organized by the Committee, one (1) was “Disaster Preparedness” facilitated by Ms. Judy Thomas and the other was “Starting A Small Business” but this was postponed due to circumstances beyond the Committee’s control. The Committee was able to successfully execute that session on March 7, 2020, however, the details would be reported in the 2020 Annual Report.

9.4.5 The Chairperson listed the awardees for the various categories. Nine (9) students were awarded for their success at the Barbados Secondary School Entrance Examination, one (1) member was awarded for the highest junior saver, one (1) was awarded for the youngest junior saver, one (1) for the longest junior saver. The gold award was presented to Mrs. Roseanne Maxwell for the Cell Leaders Award.

9.4.6 For the membership outreach programme, the Committee participated in several events which could be referenced in the report.

9.4.7 The Chairperson reported that there were three (3) winners for the Pennywise Savers Initiatives, which was launched in December 2018. The 1st place was awarded to Master Ethan Ellis, 2nd place was awarded to Miss Chioma Hunte and the 3rd place was awarded to Master Aaron Marshall.

9.4.8 The Chairperson expressed sincere thanks to the Board of Directors, Committee Members, Cell Leaders, and the Management and Staff of the Credit Union for the assistance given in the performance of the Committee’s duties for the year. She also thanked members for their support.

9.4.9 A motion for the acceptance of the Education and Membership Committee’s Report was moved by Mr. Charles A. O. Alleyne and seconded by Ms. Betty Thorpe. The motion was carried.

9.5 MARKETING COMMITTEE

9.5.1 A motion for the Marketing Committee’s Report to be taken as read was moved by Mr. Julian McCollin and seconded by Ms. Linnell Nurse. The motion was carried.

9.5.2 Mr. Neil Broome presented the report on behalf of the Marketing Committee. He presented highlights of the Report which may be read at pages 46 to 47 of the 2019 Annual Report.

9.5.3 Mr. Neil Broome apologized for the absence of the Chairman, Mr. Jermaine Bourne, who was unable to attend the meeting.


9.5.4 The purpose of the Marketing Committee was to spearhead all marketing-

related activities geared towards enhancing the visibility of the U.W.I. (Cave Hill) Co-operative Credit Union Limited and the promotion of its products.

9.5.5 The Committee had reviewed some content to showcase the Credit Union, but they were unable to start the programmes because there were several changes to the regulatory environment and execution of the programmes.

9.5.6 The Committee planned to raise awareness of the Credit Union’s graduate and postgraduate scholarships as there were not many persons applying for the scholarships.

9.5.7 Mr. Broome thanked the Administrative Assistant for making significant progress with contacting members to have their correspondence and statements sent by email. Mr. Broome asked those present to encourage their family members, colleagues and friends to have their statements sent by email. He indicated that this allowed for more efficient and effective means of communication for the Credit Union and it was also a cost saving measure for the Credit Union.

9.5.8 Mr. Broome explained that tuition loans were no longer a key focus for the Committee as the government was sponsoring Barbadian students, and hence there was a decline for these loans in the past year.

9.5.9 The Committee investigated the potential use of the promotional screens on the Cave Hill Campus and this would be taken under review.

9.5.10 Mr. Broome explained that a number of things were happening in the environment and these had impacted the Credit Union’s income and therefore the marketing efforts of the Committee were curtailed.

9.5.11 Mr. Broome thanked the staff of the Credit Union, the Elected Officers and members who, by trusting the management of the Credit Union, kept it functioning.

9.5.12 Ms. Carol Jordan queried the criteria used to categorise applicants for the postgraduate scholarships. Mr. Broome explained that the programme was not only for the Master’s programme but members pursuing a PhD. This was confirmed by the Chairperson.

9.5.13 A motion for the acceptance of the Marketing Committee’s Report was moved by Ms. Betty Thorpe and seconded by Mr. Wayne Dawe. The motion was carried.


10. AUDITOR’S REPORT, FINANCIAL STATEMENTS AND TREASURER’S REPORT

10.1 Mr. Peter Carter of Peter J. Carter & Co., Chartered Accountants, presented the Auditors’ Report and stated that the major statements could be found on pages 54 to 57.

10.2 The Auditors conducted the audit and expressed an opinion that the financial statements present fairly in all material respects, the financial position and financial performance of the U.W.I. (Cave Hill) Credit Union for the year ended December 31, 2019.

10.3 A motion for the adoption of the Auditors’ Report was moved by Mr. Chulang Searles and seconded by Mrs. Cynthia Hall. The motion was carried.

10.4 TREASURER’S REPORT

10.4.1 A motion for the Financial Statements and Treasurer’s Report to be taken as read was moved by Mr. Charles A. O. Alleyne and seconded by Mrs. Roseanne Maxwell. The motion was carried.

10.4.2 The Treasurer, Mrs. Sharon Alexander-Gooding, presented the Treasurer’s Report which may be read on pages 70 to 71 of the 2019 Annual Report.

10.4.3 The Treasurer indicated that there were corrections to be made to the report. On page 70 “See Tables 1(a) and 1(b)” should read “See Tables 1 and 1(a). On page 71 “See Table 2” should read “See Table 2 and 2(a)”. Under the heading Loan Portfolio “See Tables 3(a) to 3(d) should read “See Tables 3 to 3(c)”. On page 73 under the heading Returns to Members “Table (4a) should read Table 4”, “Table 4(c)” should read “Table 4(b)” and “Table 4(b)” should read “Table 4(a)”.

10.4.4 The Treasurer reported that the financial year ended December 31, 2019 was another reasonably successful one. However, for the second consecutive year, the Credit Union did not achieve year on year increases in its key operating areas.

10.4.5 The Treasurer informed the membership that the Credit Union’s asset base continued to increase with total assets of $67.334M at December 31, 2019 when compared to $63.343M at December 31, 2018, showing an increase of 6.3%. She indicated that the substantial increase in assets was as a result of members moving funds from other financial institutions. Additionally, the shares in CGICL and CGMCI were once again fair valued to satisfy the International Financial Reporting Standards 9 (IFRS 9). This exercise added $494K to the Credit Union’s total assets.


10.4.6 Members’ savings increased by 6.56% moving from $51.334M at December 31, 2018 to $54.701M at December 31, 2019.

10.4.7 The policy capital of the Credit Union exceeded the mandated capital by $337K at December 31, 2019, see pages 74 and 75 in Tables 1 and 1(a).

10.4.8 The Gross Operating Income for the year under review was $2.868M when compared to $3.366M in the prior year for a decrease of 14.81%. This was due to the unfortunate situation which resulted from a lower interest rate being earned because of the Government’s Debt Restructuring Programme (DRP) in 2018. As reported previously, the DRP would negatively impact the Credit Union’s earnings for the next fourteen (14) years.

10.4.9 Net Income before appropriations and Other Comprehensive Income was $422K or 20.51% below the 2018 figure of $530K. Interest received on loans decreased by 1.92% falling from $2.111M to $2.071M.

10.4.10 The Treasurer reported that the Loan Portfolio had a negative year as there was a decrease of 3.99% in the Net Loans outstanding at the end of 2019. Gross Loans outstanding decreased by 3.80%. while Gross Loans to Total Assets decreased from 41.08% recorded in 2018 to 37.12% of Total Assets in 2019. This information could be found in Table 3 to 3(c).

10.4.11 The Treasurer reported that the Board and Delinquency Committee continued to monitor the late payment/delinquency of some members. However, the delinquency rate of the Credit Union continued to be one of the lowest in the Credit Union Movement. Any level of delinquency was of concern to the Board, Committees and Staff, therefore adequate provision was made in the Financial Statements to cover any potential losses.

10.4.12 IFRS 9 was implemented for the Credit Union’s 2018 Financial Statements and special models were developed to facilitate the implementation of the Expected Credit Loss (ECL)/Impairment Model. With the introduction of IFRS 9, the Credit Union staff would continue to work diligently to keep delinquency under control.

10.4.13 The Credit Union continued to provide members with competitive returns on their savings as well as very competitive lending rates. A comparative breakdown of returns to members were shown at Tables 4 while the interest rates used to calculate interest on members’ savings were shown at Table 4(b).

10.4.14 The Treasurer indicated that given the continued economic challenges facing the country and the negative impact on businesses, the outcome for the year 2019 was commendable.


10.4.15 The Treasurer expressed her appreciation to Mr. Patrick E. McDonald and the Accounting Assistant, Mr. Ricardo Peterson, who were instrumental in preparing the report. She also thanked the Board, staff and members for their continued support and co-operation during the year.

10.4.16 Mr. Roger Haynes queried the reduction of approximately $4M in the Net Comprehensive Income for the year recorded on page 56, and the fact that the Credit Union did not meet some of the Pearls’ benchmarks. He asked what plans would be put in place to ensure that the Credit Union could be placed on a better financial footing and achieve the Pearls benchmarks. The President asked Mr. Patrick E. McDonald to respond to the query.

10.4.17 Mr. McDonald explained that on the matter of the $4M, the Credit Union reported on Gross Income and Gross Operating Income. The gain, as noted in 10(a) and the Treasurer’s report, was on unquoted securities and was placed on the books because of the requirements of an Accounting Standard. The gain would not normally be placed on the books if the standard did not require it. He further explained that the securities were not valued for several years because it was not required. However, under the new standard, the unquoted securities had to be fair valued last year and brought into comprehensive income. There was a substantial gain because the shares were brought at a price that was five (5) or six (6) times lower than at present. When the unquoted securities were professionally valued, the valuation looked at various models. The professionals then used the median of the valuations.

10.4.18 Mr. McDonald indicated that the Credit Union did not consider the gain on the unquoted securities to be part of operating income but instead part of the comprehensive income for the year. While these were investments which the Credit Union would want to see perform well, the Credit Union needed to remain focused on its core operations. The Balance Sheet looked well because the Credit Union brought in $5M last year and approximately $0.5M for 2019 but this could change next year if the Credit Union did not perform well in its core operations. That was why these figures were carried in the financial statements as other reserves as they would change with each new valuation.

10.4.19 Mr. McDonald indicated, on the point of the Pearls, that Capital to Total Assets was well above the benchmark. He also indicated that while the Net Operating Income to Average Assets was in the region of 1%, this would not be considered a worst-case scenario.

10.4.20 Mr. McDonald explained that while the Operating Expenses should be less than 50% the contributing factor for this being above the benchmark was IFRS 9 since IFRS 9 looked at the Expected Credit Loss (ECL) on the Credit Union’s whole portfolio. He further explained that when the Credit Committee approved


a loan that loan was affected by IFRS 9 so at the end of the year any loans that were committed had to be taken into account when the calculation was completed. Unlike the past, a provision was made for bad debt, but this was no longer the case since the introduction of IFRS 9 which considered ECLs. These ECLs had significantly affected the Balance Sheets of several credit unions. The UWI Credit Union was fortunate that it did not face that situation because of the vigilance of the management and staff in managing the Delinquency Portfolio. The Credit Union also took a conservative approach thereby keeping its balance sheet strong. The 55.89% in Operating Expenses, therefore, was favourable when IFRS 9 and COVID 19 were taken into account.

10.4.21 Delinquency was well below the guideline of 5%. The Savings rates at the Credit Union had fallen more than 0.5% but in these times savings had become difficult as members were experiencing challenging times. Most of the savings now would be the movement of money so that our growth in assets was as a result of members moving their money from the banks to the Credit Union for a better interest rate.

10.4.22 Mr. McDonald indicated that the one worrying trend was the negative movement in the loan portfolio. However, the Credit Union could not make itself susceptible to higher risk by offering loans which it knew had a high probability of becoming delinquent then having to make provisions, especially in an environment where people were unsure of employment.

10.4.23 The Credit Union’s growth in assets was reasonably good. Given the reduction in the loan portfolio and the increase in Total Assets, it was expected that the PEARLS ratio in this area would fall. It should also be pointed out that the Credit Union had not been anywhere over 50% in this ratio but it had done well.

10.4.24 The Non-earning assets consistently remained below the benchmark, but for the year it increased to 4% because the Credit Union must remain liquid to accommodate members wishing to source funds without prior notice. There was little or no interest on regular bank balances.

10.4.25 Mr. Patrick E. McDonald stated that the Credit Union had to balance the investment portfolio to satisfy its investment and asset management policies. The extent to which the Credit Union would earn on investment accounts was no longer available as the banks did not offer interest. To improve its earning capabilities, the Credit Union would balance its investments as best as it could, offer loans that would be repaid, and continue to manage its expenses.

10.4.26 A motion for the acceptance of the Treasurer’s Report was moved by Mr. Anthony Inniss and seconded by Mr. Ryan Headley. The motion was carried.


11. ALLOCATION OF SURPLUS

11.1 A motion for the adoption of a patronage refund/interest rebate of 8% for the year 2019 as recommended by the Board of Directors was moved by Mr. Julian McCollin and seconded by Mrs. Mary Inniss. The motion was carried.

11.2 A motion for the adoption of a bonus on net savings of 0.5% as recommended by the Board of Directors was moved by Mr. Julian McCollin and seconded by Mrs. Mary Inniss. The motion was carried.

11.3 A motion for the adoption of a dividend of 15% on permanent shares as recommended by the Board of Directors was moved by Mr. Julian McCollin and seconded by Mrs. Mary Inniss. The motion was carried.

12. APPROVAL OF 2020 BUDGET

12.1 A motion for the approval of the Operating Budget for the year ending December 31, 2020 was moved by Mr. Charles A. O. Alleyne and seconded by Ms. Betty Thorpe. The motion was carried.

13. FIXING OF MAXIMUM LOAN LIABILITY

13.1 The Board of Directors proposed that the maximum loan liability remain at $5M.

13.2 A motion for the approval of the maximum loan liability to remain at $5M was moved by Mr. Patrick E. McDonald and seconded by Mr. Wayne Dawe. The motion was carried.

14. RESOLUTIONS

14.1 There were no resolutions from the Board or members of the Credit Union.

15. APPOINTMENT OF AUDITOR

15.1 The Chairperson informed the meeting that the FSC had approved the appointment of Peter J. Carter & Co., Chartered Accountants as auditors for the U.W.I. (Cave Hill) Co-operative Credit Union.

15.2 A motion for the appointment of Peter J. Carter & Co., Chartered Accountants to serve as auditors for the Financial Year 2020 was moved by Mrs. Sharon Alexander-Gooding and seconded by Ms. Linnell Nurse. The motion was carried.


16. ELECTIONS

16.1 Ms. Natasha Corbin, Chairman of the Nominating and Credentials Committee, presented the report.

16.2 In accordance with the standards established by the Co-operatives Societies Act Cap 378 and the accompanying regulations and the Society’s By-Laws, members desirous of being elected to the Board of Directors, Credit Committee and Supervisory Committee were required to meet the Fit and Proper criteria.

16.3 The Board of Directors appointed a Nominating and Credentials Committee to review all applicants for positions to the Board of Directors, Credit Committee and Supervisory Committee. The Committee consisted of Ms. Natasha Corbin, Mr. Anthony Pilgrim and Ms. Betty Thorpe. The Board also approved a documented process to guide the work of the Committee.

16.4 The Nominating and Credentials Committee met and reviewed the documentation submitted by the seven (7) nominees who were all found to be Fit and Proper for the respective positions.

16.5 Mr. Charles A. O. Alleyne, Mr. Ryan Headley and Mr. Julian McCollin were nominated for the Board of Directors; Mr. Charles A. O. Alleyne, Mr. Neil Broome, Ms. Alicia Graham and Mrs. Maria Maynard were nominated for the Credit Committee and Ms. Alicia Graham, Mr. Ryan Headley, Ms. Anthea Hinkson and Mrs. Maria Maynard were nominated for the Supervisory Committee.

16.6 Ms. Natasha Corbin acknowledged the kind assistance of the Management and Staff of the Credit Union and thanked all who assisted with the process.

16.7 The Chairperson requested that all nominees stand so that they could be recognised by the membership.

16.8 The Chairperson invited Ms. Betty Thorpe and Mr. Anthony Inniss, Chairman of Elections, to conduct the election process. They were assisted by Mr. Peter Carter, Auditor.

16.9 The Board of Directors

16.9.1 There were two (2) vacancies on the Board of Directors. One (1) vacancy after the completion of the term of office for Ms. Natasha Corbin who was not eligible for reelection, and one (1) vacancy after the term of office for Mr. Neil Broome who was not eligible for reelection.


The results of the voting were as follows:

Mr. Julian McCollin 46Mr. Charles A. O. Alleyne 37Mr. Ryan Headley 33

16.9.2 The Chairman of Elections declared that Mr. Charles A. O. Alleyne and Mr. Julian McCollin were duly elected to serve on the Board of Directors for a term of three (3) years.

16.10 Credit Committee

16.10.1 There were two (2) vacancies on the Credit Committee at the completion of the terms of office for Mr. Ryan Headley and Mr. Julian McCollin who were not eligible for reelection.


Mr. Neil Broome 47Mrs. Maria Maynard 38Ms. Alicia Graham 30

16.10.2 The Chairman of Elections declared that Mr. Neil Broome and Mrs. Maria Maynard were duly elected to serve on the Credit Committee for a term of three (3) years.

16.11 Supervisory Committee

16.11.1 There was one (1) vacancy on the Supervisory Committee as Ms. Betty Thorpe’s term of office had ended and she was not eligible for reelection.


Ms. Anthea Hinkson 26Mr. Ryan Headley 21Ms. Alicia Graham 15

16.11.2 The Chairman of Elections declared that Ms. Anthea Hinkson was duly elected to serve on the Supervisory Committee for a term of three (3) years.

The Chairperson congratulated all new elected officers.

17. ANY OTHER BUSINESS

17.1 The Chairman advised that in place of refreshments each member in attendance would be presented with $100.00 which would be credited to their account.


18. PRESENTATIONS

18.1 The Chairperson recognized and thanked staff member Ms. Denise Holford for her twenty (20) years of service with the UWI Credit Union. She then invited the General Manager to present the award to Ms. Holford.

18.2 The Chairperson announced the various categories for prizes since presentations were not made because of the adherence to the COVID-19 protocols that were enforced during the meeting. The winners were asked to collect their prizes from the registration desk.

2020 Barbados Secondary School Entrance Examination (BSSEE) Master Dominic Durant, Master Kwabena Waterman, Miss Alyssa Boyce, Miss Kaianna Boyce, Miss Khalia Crookendale, Miss Amaris Nicholls, Miss Ashley Sealy and Miss Kiara Gibson.

Highest Junior Saver – Master Dominic Wilson

Youngest Junior Saver – Master Nikyro Hunte

Longest Saver – Master Shaquon Jordan

Pennywise Savers Initiative Winners – Master Ethan Ellis (1st Place), Miss Chioma Hunte (2nd Place) and Master Aaron Marshall (3rd Place).

18.3 Cell Leaders AwardsMrs. Roseanne Maxwell – Gold

18.4 Door PrizesThe Chairman indicated that in the interest of time and to adhere to the COVID-19 protocols the winners were asked to collect their prizes at the registration desk. The door prize winners were Ms. Shernell Blackett, Mr. Kevin McCollin and Ms. Rosemary Jordan.

19. VOTE OF THANKS

Mr. Ian Proverbs moved the Vote of Thanks.

20. TERMINATION

There being no further business the Thirty-Fourth Annual General Meeting of the U.W.I. (Cave Hill) Co-operative Credit Union was terminated at 6:29 p.m.


REPORT OF THE BOARD OF DIRECTORSFor the year ended December 31, 2020

“In the day of prosperity be joyful, and in the day of adversity consider; God has made the one as well as the other”. – Ecclesiastes 7:14

INTRODUCTION

The Board of Directors of the UWI (Cave Hill) Co-operative Credit Union Limited is pleased to submit the annual report of the Credit Union for the financial year ended December 31, 2020.

The continued pressures in the financial and economic environments of the country were joined by the unexpected and unwelcomed arrival of a global pandemic, COVID-19. Full credit must be given to the staff of the Credit Union who took extraordinary steps during this extraordinary time to ensure continued service to members. Notwithstanding these circumstances, we are pleased to report that the financial year ended December 31, 2020 was another reasonably successful one. Unfortunately, the Credit Union did not achieve year on year increases in some of its key operating areas. We once again gratefully acknowledge the unwavering support of our members and the effective and efficient management of the Credit Union in achieving the positive results reported herein.

It is also important to report that our Credit Union continued to reward members with very competitive returns when compared to other financial institutions inside and outside of our Movement.

The Barbados Credit Union Movement continues to make every effort to meet the needs of its members, despite the challenges of operating in a global pandemic, faced with an avalanche of regulations, pressure on its competitive advantages and faced with emerging technologies.

In short therefore, the UWI (Cave Hill) Co-operative Credit Union Limited is committed to helping the Movement succeed and will remain a strong partner with its members in their efforts to achieve financial inclusion and independence.

MEETINGS

The Board held twelve (12) regular meetings, four (4) special meetings and four (4) Joint Committee meetings during the period under review.


ATTENDANCE AT BOARD MEETINGS

A total of twelve (12) meetings were held during the period January 1 to December 31, 2020 as follows:

Six (6) meetings were held during the period January 1 to July 18, 2020.

DIRECTORS TITLE PRESENT ABSENT WITH APOLOGIES

Ms. Jennifer Hinkson President 6 0

Ms. Natasha Corbin Vice President 6 0

Mr. Owen Ellis Secretary 6 0

Mrs. Sharon Alexander-Gooding Treasurer 5 1

Mr. Neil Broome Director 6 0

Mr. Patrick E. McDonald Director 6 0

Mr. Ian Proverbs Director 5 1

At the Annual General Meeting held on July 18th 2020, Mr. Julian McCollin and Mr. Charles A. O Alleyne were elected to replace Ms. Natasha Corbin and Mr. Neil Broome whose terms of office ended. Six (6) meetings were held during the period July 19 to December 31, 2020.

DIRECTORS TITLE PRESENT ABSENT WITH APOLOGIES

Ms. Jennifer Hinkson President 6 0

Mrs. Sharon Alexander-Gooding Vice-President 6 0

Mr. Owen Ellis Secretary 6 0

Mr. Patrick E. McDonald Treasurer 5 1

Mrs. Charles A. O. Alleyne Director 5 1

Mr. Julian McCollin Director 6 0

Mr. Ian Proverbs Director 6 0


COMMITTEES

The composition of the Credit Committee was changed in 2020 as Mr. Neil Broome and Mrs. Maria Maynard were elected at the Annual General Meeting to replace Mr. Ryan Headley and Mr. Julian McCollin, whose terms of office ended after serving for (2) consecutive terms.

The members of the Supervisory and Credit Committees are listed below.

Credit Committee:

Chairman Mr. Collin White Secretary Ms. Ingrid LashleyMember Mr. Neil BroomeMember Mrs. Cheryl Mayers-GoddardMember Mrs. Maria Maynard

The composition of the Supervisory Committee was changed in 2020 as Ms. Anthea Hinkson was elected at the Annual General Meeting to replace Ms. Betty Thorpe whose term of office ended after serving for (2) consecutive terms.

Supervisory Committee:

Chairman Mr. David MylesSecretary Ms. Anthea Hinkson Member Mrs. Roseanne Maxwell

The Delinquency Committee was chaired by the Treasurer, Mr. Patrick E. McDonald.

EDUCATION

Mrs. Sharon Alexander-Gooding assumed the role as Chairperson of the Education Committee. She was supported by the following members:

Ms. Alicia Graham – SecretaryMs. Natasha Corbin – Member Ms. Kerri-Ann Haynes-Knight – MemberMs. Deborah King – MemberMrs. Halcyon Wiltshire – Member Ms. Krystle Moore – Ex-Officio

The League would soon be piloting a blended learning programme. The online sessions would be self-paced, on-demand and instructor-led. It is hoped that members would avail themselves of these educational and developmental opportunities. Members can


contact the staff at the Credit Union to find out details of the courses for the remainder of 2021.

MEMBERSHIP

During 2020, the Credit Union’s membership increased by a total of 61 members. The membership at December 31, 2020 now stands at 1,924 compared to 1,863 at December 31, 2019.

RELATIONS WITH THE CREDIT UNION MOVEMENT

Our Credit Union continues to support the Barbados Co-operative and Credit Union League Limited (BCCULL), the umbrella organization for the Barbados Credit Union Movement. Mr. Patrick McDonald is currently serving as Second Vice President on the Board of Directors of the BCCULL. He is also a Trustee of the Central Fund Facility Trust (CFFT) operated by the BCCULL.

The Credit Union continued to benefit from the training programmes offered by the BCCULL.

Co-operators General Insurance Company Limited (CGICL), of which our Credit Union is part owner, had a successful year in 2020. We are pleased to report that an increased dividend was declared and paid during the period under review. Our Credit Union is also a part owner of Co-operators General Management Company Inc. (CGMCI), the company that owns and manages the building occupied by CGICL. In addition to the interest earned on the investment in this company, the company also declared and paid a dividend during the year. Mr. Patrick McDonald is currently serving on the Board of CGICL as Treasurer, and he also serves as Chairman of the Board of CGMCI.

Members are urged to use CGICL for their insurance needs.

PERFORMANCE REVIEW

The implementation of the International Financial Reporting Standard #9 (IFRS 9) and the Government of Barbados Debt Restructuring Programme (DRP) continued to have a significant impact on the Credit Union’s financial performance for 2020. As indicated in the prior year report, the DRP will have a negative impact on our Credit Union’s income for the next thirteen (13) years.

Total Assets reached $75.390M at December 2020 compared to $67.334M at December 2019 for an increase of 11.96%.


Gross Income (excluding extraordinary gains) was $2.814M for 2020 compared to $2.868M in 2019 for a decrease of -1.86%. As required by IFRS 9, the Credit Union continued to ‘Fair Value’ its investment in CGICL and CGMCI. The result of this exercise produced an ‘Extraordinary Gain’ of $922K in the current financial year.

The Net Surplus before appropriations (excluding extraordinary gains) was $396K for the year under review compared to $422K in the prior year for a decrease of -6.05%.Total Gross loans outstanding at December 31, 2020 were $22.918M compared to $25.031M at December 31, 2019 for a decrease of -8.44%. Our Credit Union’s Capital, as set by policy, exceeded the legal requirement by $377K at December 31, 2020. This figure excluded Other Reserves and Undivided Earnings of $5.513M.

Some key current and historical financial data for our Credit Union are set out in the table below:

Year Statutory capital & Retained Earnings

Share, Tuition and 25er savings

Regular, Term and other deposits

Total Loans outstanding

(net)Total Assets

2013 4,808,910 30,616,620 6,425,614 20,708,426 42,023,055

2014 5,213,443 32,687,291 7,120,674 22,138,467 45,168,144

2015 5,443,737 34,605,478 7,372,754 21,759,545 47,558,391

2016 6,084,189 37,945,380 7,248,699 22,673,375 51,367,758

2017 6,561,403 40,310,680 7,172,158 25,789,606 54,160,603

2018 11,918,418 44,447,050 6,886,725 25,520,623 63,343,377

2019 12,484,222 47,919,624 6,780,991 24,678,489 67,333,748

2020 13,428,925 54,850,119 6,915,632 22,368,246 75,389,511

The full financial details are shown in the Audited Financial Statements, Treasurer’s Report as well as the other Data Sheets and Commentary presented elsewhere in this booklet.


CUSTOMER SERVICE, OPERATIONAL IMPROVEMENTS AND PROJECTS

Operating Policies

In order to ensure that our Credit Union maintains its high operating standards, there continues to be is a constant review of current Polices along with the introduction of new ones. During the year the following policies were either revised or introduced:

1. Review and update of the Credit Union’s Liquidity Policy.2. Review and update of the Loan Policy.3. There were continuous reviews and updates to other Policies.

Information Technology

The Board continues to work with contracted professionals on the project to provide online access for members to their accounts. In order to achieve this, along with enhancing the Credit Union’s data security, the Credit Union completed the upgrade to its IT infrastructure during the year under review.

The online access project is expected to be completed in 2021.

The Credit Union continues to strive to eliminate paper statements in the future. There is a continued effort being made to encourage members to provide their email information. This will facilitate the more efficient communication of quarterly statements and notices, as well as reducing operating costs with the ultimate result of greater returns for members. Members are asked to give their full support to this important aspect of our Credit Union’s operation.

Human Resource Management and Training

During the year there were no changes to the total staff complement, however, Mrs. Janet Cox and Ms. Natasha Hackett left the organization. Mr. Zakeen Norville and Mr. Romario Watson were hired during the year to fill the vacancies.

Having successfully completed its Human Resource Review and Implementation Programme in 2018, the Credit Union’s focus has now moved to continuous training and Succession Planning.

During the year members of the Committees, Management and Staff participated in training programmes designed to enhance their knowledge and competence.


“Twenty Fiver” Savings Program

The last tranche of the “Twenty Fiver” savings program matured on December 31, 2020. The balances in these accounts will be transferred to the respective Members’ savings account in January 2021.

CREDIT UNION ACCOMMODATION

We are pleased to report that further progress was made on the subject matter during 2020.

At a special general meeting held on December 9, 2020 a resolution was passed to give the Board full authority to proceed with the execution of the building project that would provide appropriate and adequate accommodations for members and staff to conduct business and work respectively at the UWI (Cave Hill) Co-operative Credit Union.

This resolution was presented by the Treasurer, Mr. Patrick E. McDonald. The resolution was unanimously passed with all sixty-two (62) members eligible to vote, voting in favour. COMMUNITY OUTREACH

Our Credit Union continued its commitment to supporting the efforts of fellow Credit Unions, the wider community and our main benefactor, the University of the West Indies, according to Credit Union operating principles.

The following organizations were supported by the Credit Union during the period under review;

• Broadway to Barbados Charitable Trust• Ophthalmology Subspecialty Conference• RED Foundation

LOOKING AHEAD

As we end 2020 and move forward into 2021, the COVID-19 pandemic continues to disrupt our lives, livelihood and way of life. Our Credit Union is committed to do all it can to help its members and other deserving persons and organizations in the wider community during these very difficult times. Additionally, the Management and staff of our Credit Union are committed to the continuous improvement in the operations of our Credit Union. As has been mentioned before, this will be pursued through a combination of focused leadership and management, robust internal controls and excellent member service. The Management and staff will continue to set high but realistic targets for achievement in the future.


Proactive and preventative measures to protect the savings of our members will continue to be the main goal of the Credit Union. This we will do by carefully responding to the needs of members while protecting the financial soundness of the Credit Union.

The regulatory and legal requirements of the Credit Union movement continue to be burdensome and onerous. However, our Credit Union will continue to take the steps necessary to ensure that its excellent track record in compliance is not compromised.

The Board encourages members to use the services of the Credit Union as it continues to provide competitive savings and lending programmes.

APPRECIATION AND ACKNOWLEDGEMENT

The Board wishes to express its sincerest appreciation for the cooperation and support given by the Committees and the members of staff as they assist in executing strategy and implementing policy that provided growth and decent returns for the owners of our Credit Union while ensuring the safety of their savings. In addition, we would like to thank you, our fellow co-operators, for your continued support and solidarity during the past year.

“Beloved, I pray that all may go well with you and that you may be in good health, just as it is well with your soul”. — 3 John 1:2

Jennifer Hinkson PresidentFor and on behalf of THE BOARD OF DIRECTORS


REPORT OF THE CREDIT COMMITTEEFor The Year Ended December 31, 2020

INTRODUCTION

During the period under review the value of loans approved was $2.8M, and Lines of Credit was 75K, this represented a 10.1% and 81% decline respectively when compared to 2019. There was an 18.2% decrease in the total value of loans approved when compared to 2019.

ATTENDANCE AT CREDIT COMMITTEE MEETINGS

The Committee continued to meet remotely as required. This resulted in a total of Thirty -one (31) meetings being held during January to December 2020 with members’ attendance as shown in Table 1 below.

Table 1: Credit Committee Meeting Attendance

For the period January 2020 – July 2020

MEMBER TITLE PRESENT ABSENT WITH APOLOGIES

Julian McCollin Chairman 14 4

Ingrid Lashley Secretary 12 6

Ryan Headley Member 18 0

Collin White Member 15 3

Cheryl Mayers-Goddard Member 17 1


For the period August 2020 – December 2020

MEMBER TITLE PRESENT ABSENT WITH APOLOGIES

Collin White Chairman 13 0

Ingrid Lashley Secretary 13 0

Neil Broome Member 13 0

Maria Maynard Member 13 0

Cheryl Mayers-Goddard Member 13 0

LOANS ANALYSIS

The role of the Credit Committee is to review loan applications and determine the suitability of an applicant for a loan. In the year under review, our reporting focused on the analysis of the types and number of loans approved, rather than loans disbursed. It should be noted that in July 2020, a decision was taken by the Credit Union to suspend the granting of new LOCs until further notice.

As indicated in Table 2, below, a total of $2.8M ($3.1M – 2019) of regular loans were approved during the year under review. New Lines of Credit approved totaled $75K ($399.4K - 2019) a decrease of 81.2%.

There were increases in Debt consolidation, Education, Investment, Real Estate and Transport, while all other categories declined.


Table 2: Loan Approvals by Category for 2020 with 2019 Comparisons

SUMMARY OF APPROVALS 2020 2019

CATEGORY OF LOANS

NO. OF LOANS AMOUNT NO. OF

LOANS AMOUNT%

Change in Value

Business 3 31,500 3 36,000 (12.5%)

Debts 13 234,982 9 175,685 33.75%

Education 14 185,513 14 108,690 70.69%

Funeral Expenses 0 0 3 31,241 (100%)

Housing 38 389,230 55 968,434 (59.81%)

Insurance 2 1,823 2 3,023 (39.72%)

Investment 1 12,390 0 0 100%

Medical Expenses 9 90,500 17 188,941 (52.10%)

Other Expenses 85 658,644 144 912,880 (27.85%)

Real Estate 2 403,908 2 258,306 56.37%

Transport 16 787,541 13 423,796 85.83%

Vacation 1 5,000 3 9,090 (44.99%)

Vehicle Repairs 1 3,000 2 4,800 (37.50%)

Total 185 2,804,031 267 3,120,886 (10.15%)

Line of credit 17 75,400 76 399,400 (81.12%)

Total Loans 2,879,431 3,520,286 (18.20%


Table 3 below, dominating the loan approval category was transport with 28% followed by other expenses 23.4% and real estate with 14.4% during the period under review.

Table 3: Loan Approvals for 2020 by Category

CATEGORY OF LOANS NO. OF LOANS AMOUNT % OF TOTAL LOANS

APPROVED

Business 3 31,500 1.12%

Debts 13 234,982 8.38%

Education 14 185,513 6.62%

Housing 38 389,230 13.88%

Insurance 2 1,823 0.06%

Investment 1 12,390 0.44%

Medical Expenses 9 90,500 3.23%

Other Expenses 85 658,644 23.49%

Real Estate 2 403,908 14.40%

Transport 16 787,541 28.09%

Vacation 1 5,000 0.18%

Vehicle Repairs 1 3,000 0.11%

Total 185 2,804,031 100%


Table 4: Loan approval category by percentage


APPRECIATION

The Credit Committee would like to express thanks and appreciation to the Board of Directors, Supervisory Committee, staff and all members of the Credit Union who continued to support the Committee as we represented the interest of the Credit Union during the year 2020.

Collin WhiteChairmanFor and on behalf of the Credit Committee

Table 5: Loans Approved by Category 2020 with 2019 Comparative.


REPORT OF THE SUPERVISORY COMMITTEEFor The Year Ended December 31, 2020

INTRODUCTION

In accordance with the Cooperatives Act 1990-23, Sec 109 (1) and in furtherance of the U.W.I. (Cave Hill) Co-operative Credit Union Limited By-Law 82(c) the Supervisory Committee is pleased to present its Annual Report for the year ending December 31, 2020.

The main objectives of the Supervisory Committee were to carry out appropriate tests for the purpose of ensuring adherence to the Regulations and compliance with the relevant By-Laws and regulations by the administration of the UWI (Cave Hill) Cooperative Credit Union Limited for the year under review.

MEETINGS

The Committee held six (6) meetings during the year with members’ attendance as shown below:

Two (2) meetings were held during the period January 1 to July 18, 2020.

MEMBER TITLE PRESENT ABSENT WITH APOLOGIESDavid Myles Chairman 2 0

Roseanne Maxwell Secretary 2 0

Betty Thorpe Member 2 0


Four (4) meetings were held during the period July 19 to December 31, 2020.

MEMBER TITLE PRESENT ABSENT WITH APOLOGIESDavid Myles Chairman 4 0

Anthea Hinkson Secretary 4 0

Roseanne Maxwell Member 4 0

REVIEW OF OPERATIONS

During the year the Committee reviewed and carried out tests in several areas, including the following:

• Loan Applications and disbursements• Delinquency management • Filing of reports with the Financial Services Commission• Review of Minutes of the Board of Directors• Financial Statements• Bank Deposits• Members’ account verification

The Committee found no significant discrepancies in the stated areas.

Based on the Board’s minutes of its monthly meetings, the Committee was satisfied that the Board continued to be diligent in the discharge of its responsibilities in carefully and properly managing the affairs of the Credit Union.

EFFECTIVE FINANCIAL STRUCTURE

The Committee examined the Credit Union’s monthly Financial Statements for consistency and stability. The Committee noted that the Board continued to ensure that the accounts of the Credit Union were well presented, and that the investment portfolio of the Credit Union remained diverse and secure. The Committee also carried out routine checks on the monthly and quarterly submissions to the Financial Services Commission and noted that the Credit Union had continued to comply with the requirements of the Financial Services Commission in all areas of its requests.


LOAN APPLICATIONS AND DISBURSEMENTS

The Committee made random checks on monthly loan applications and disbursements and found them to be in order. The Committee found that any actions taken were in keeping with sound portfolio management.

DELINQUENCY MANAGEMENT/ DELINQUENCY REPORTS

The Committee noted that the Credit Union continued to have a relatively low and manageable delinquency rate and that the majority of those members whose names appeared on the delinquency lists were normally making payment, but in most instances, after the payment due date. In addition, the Committee was satisfied that adequate follow-up was being done by the Credit Union management.

MEMBERS’ ACCOUNT VERIFICATION

The Committee conducted the exercise during the month of September 2020 and sent verification request letters to five hundred (500) members who were randomly chosen from the full membership list. This was the largest number tested in recent times. While the percentage response was again disappointing, the number of responses was also the highest in recent times at one hundred and ninety-eight (198). We take comfort from the fact that all responses were positive. The Committee would wish to appeal to members that when the accounts verification exercise is carried out that they make a special effort to return the information, so that the Credit Union can be confident of the accuracy of the information held in respect of their accounts.

OPINION

The Supervisory Committee found no discrepancies in the operations of the Credit Union and is therefore satisfied to report that, in our view, the financial and other operations of the Credit Union continued to be in compliance with the relevant By-Laws and Regulations mentioned earlier.

APPRECIATION

The Supervisory Committee wishes to thank the Board of Directors, the Credit Committee and the Staff of the Credit Union for their continued support and cooperation during the year.

David MylesChairmanFor and on behalf of the Supervisory Committee

U.W.I. (Cave Hill) Co-operative Credit Union Ltd. | Annual Report 2020 45U.W.I. (Cave Hill) Co-operative Credit Union Ltd. | Annual Report 2020 45

REPORT OF THE EDUCATION COMMITTEE For The Year Ended December 31, 2020

COMMITTEE MEMBERS: January 2019 - July 2020

Ms. Natasha Corbin - ChairpersonMs. Alicia Graham - SecretaryMr. Jermaine Bourne - Assistant SecretaryMs. Anthea Hinkson - MemberMr. Julian McCollin - MemberMr. Ian Proverbs - Member (Board of Directors)Ms. Krystle Moore - Ex- Officio

COMMITTEE MEMBERS: October - December 2020

Mrs. Sharon Alexander-Gooding - ChairpersonMs. Alicia Graham - SecretaryMs. Natasha Corbin - MemberMs. Kerri-Ann Haynes-Knight - MemberMs. Deborah King - MemberMrs. Halcyon Wiltshire-Busby - MemberMs. Krystle Moore - Ex- Officio

The Education Committee continued in the year 2020 to carry out its mandate to educate the membership of the Credit Union.


EDUCATION INITIATIVES

The previous Committee organized the educational training session entitled the “Fundamental of Starting a Small Business” delivered by Dr. Senator Lynette Holder on March 07, 2020 at the Medical Science Building Auditorium on the Cave Hill Campus. The objectives of the training session was to introduce participants to the key elements that need to be consider before investing money or time in a new business.Some of the topics discussed included the following:

• Preparing a Business Plan;• Financing the business (inclusive of sourcing finance from the Credit

Union as well as government financing programmes);• Marketing and Sales;• Soliciting customers;• Dealing with Competition;• Risks;• The importance of record keeping (documentation and filing);• Managing Resources (e.g. Human Resources);• Choosing the right Executor or Trustee; and• Issues regarding Guardianship

This session was well attended with over fifty-seven (57) participants who provided positive feedback. After the delivery of the presentation, there was a lengthy interactive question and answer session with intense discussions. There was a call for Part 2 of this Session to be held. The second session, which was planned had to be postponed due to circumstances beyond the Committee’s control namely the Covid-19 pandemic and its subsequent restrictions.

The new Committee conducted one (1) virtual meeting and one (1) face-in-face meeting during the period. The Committee also engaged in group chat discussions between November and December 2020.

For 2021 the Committee’s proposes to run two half-hour sessions in April for those needing assistance with regard to virtual meetings. Following those sessions, the Committee would schedule three (3) webinars during the period May to December with professionals in the areas of “Planning for Retirement”, “Personal Budgeting” and “Starting a Small Business”. It is therefore envisioned that the Committee would reach out to a significant number of our members and thus realise an exponential increase in participation.


AWARDS

1) RESULTS OF THE 11 PLUS EXAMINATION 2020

NAME SCHOOLMaster Asan Arthur Combermere

Master Tajari Beckles Queens College

Master Jay Belle-Seale St. Leonards Boys (currently studying overseas)

Master Domenic Ifill-Maynard Foundation School

Master Touraj Simmons Queens College

Miss Jordyn-Quinn Agard The St. Michael School

Miss Ayomide Aguda-Forde Queens College

Miss Erin Browne Harrison College

Miss Tiffany Graham Garrison

Miss Gabrielle Lowe Queens College

2) HIGHEST SAVING JUNIOR SAVER as at December 31st 2020To be eligible for this award, the individual must be a youth saver (16 years or under) depositing funds into the Credit Union on a continuous basis and have the highest accumulated savings at the end of the reporting period. The awardee for this category was Miss Luna Knight.

3) YOUNGEST SAVING JUNIOR SAVER as at December 31st 2020The youngest saver with an individual account was Master Jyair Jones.

4) LONGEST JUNIOR SAVER as at December 31st 2020To be eligible for this award the member should not be older than sixteen (16) years and must have been saving with the Credit Union on a continuous basis. For this category, the award will go to Miss Lesley Moseley.

5) CELL LEADERS AWARDSThis programme had been established as an incentive to encourage Cell Leaders to attract new membership for the Credit Union. This year there was a tie for first place as follows:

Mrs. Rose-Anne Maxwell – Gold AwardMs. Anthea Hinkson – Gold Award


GENERAL REMARKS

The Education Committee is very appreciative of its role in serving our members and we will continue to be committed to the goal of keeping our members informed with current, beneficial information, which would help them in building a good financial foundation for themselves and their families. We also pledge to continue to endorse and promote the cooperative values of self-help, self-responsibility, democracy, equality, equity and solidarity.

ACKNOWLEDGEMENT

The Chairperson would like to express sincere thanks to the Board of Directors, Committee Members, the Cell Leaders, Management and Staff of U.W.I. (Cave Hill) Co-operative Credit Union Ltd. and the cooperative membership for all the assistance given in the performance of the Committee’s duties during the last year despite the unforeseen constraints.

Let us continue to co-operate and stay safe during the coming year and well into the future.

Sharon Alexander-GoodingChairpersonFor and on behalf of the Education Committee


REPORT OF THE MARKETING COMMITTEEFor the year ended December 31, 202

COMMITTEE MEMBERS: January - October 2020

Mr. Jermaine Bourne - ChairmanMr. Neil Broome - Member (Board of Directors)Mr. Kevin McCollin - MemberMs. Kimberley Yearwood - Member

COMMITTEE MEMBERS: November - December 2020

Mr. Julian McCollin - ChairmanMr. Jermaine Bourne - SecretaryMr. Neil Broome - MemberMr. Kevin McCollin - MemberMs. Kimberley Yearwood - Member

For the year in review, the Marketing Committee was represented by the above-mentioned members of the U.W.I (Cave Hill) Cooperative Credit Union Ltd.

The purpose of the Marketing Committee is to spearhead all marketing-related activities geared towards enhancing the visibility of the UWI (Cave Hill) Credit Union and the promotion of its products.

During the year, the initiatives of the committee were significantly impacted by the COVID-19 pandemic.


Consequently, the initiatives will be completed in 2021 as allowed by the on-going pandemic: -

o Why Join/Why Save/Why Borrow• Interest rates• Customer-focused• Lower fees• MBP benefits

o Credit Union’s scholarships (raising awareness of their existence)• Application process (steps, where to go to assess information, application deadline)• Video testimonials/appreciation from past scholarship recipients

o Go Green (To push e-communication)• The benefits of going green• The more efficient the credit union is the more value is available to

its members.

o Student/Educational Loans • Targeting Post Graduate Students • Centre for Professional Development and Life Long Learning

o Credit Union Convenience Options and Benefits (Use of UWI promotional/advertising Screens on Campus)

The Marketing Committee would like to thank the Board for its continued support.

Julian McCollinChairmanFor and on behalf of the Marketing Committee

Financial Statements


U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LTD.

FINANCIAL STATEMENTS

DECEMBER 31, 2020

PJC Chartered Accountants

Barbados

“we reckon but people count”

CONTENTS

Independent Auditors’ Report………………………………………………… 53

Financial StatementsBalance Sheet………………………………………………..……………………… 56

Statement of Changes in Equity………………………...………………………… 57

Statement of Comprehensive Income……………………….…………………… 58

Statement of Cash Flows…………………………………………………………… 59

Notes to Financial Statements……………………………………………..……… 60

Other Financial InformationSchedule of Other Operating Expenses……………..……………………...…… 70


Since 1990 P.O. Box 78WRD Professional Business Centre

29 George Street, Belleville, St. Michael BB11114Barbados, W.I.

Tel/Fax: (246) 429-7531 “We reckon but people count” Email – [email protected]

2

PJC Peter J. Carter & Co. Chartered Accountants

Independent Auditors’ ReportThe MembersU.W.I. (Cave Hill) Co-operative Credit Union Ltd.

Opinion We have audited the financial statements of U.W.I. (Cave Hill) Co-operative Credit Union Ltd.,which comprise the statement of financial position as of December 31, 2020, and the Statement of Changes in Equity, Statement of Comprehensive Income and Statement of Cash Flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies.

In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the Credit Union as of December 31, 2020, and its financial performance and its cash flows for the year then ended in accordance with International Financial Reporting Standards (IFRSs).

Basis for Opinion We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under those standards are further described in the Auditors’ Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the CreditUnion in accordance with the International Ethics Standards Board for Accountants’ (IESBA) International Code of Ethics for Professional Accountants (including International Independence Standards) (IESBA Code), and we have fulfilled our other ethical responsibilities in accordance with the IESBA Code. We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our opinion.

Responsibilities of Management and Those Charged with Governance for the Financial StatementsManagement is responsible for the preparation and fair presentation of the financial statements in accordance with International Financial Reporting Standards, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is responsible for assessing the Credit Union’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Credit Union or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Credit Union’s financial reporting process.

Auditors’ Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.


Since 1990

Independent Auditors’ Report

3


Auditors’ Responsibilities for the Audit of the Financial Statements - continuedAs part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

• Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the entity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors’ report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors’ report. However, future events or conditions may cause the entity to cease to continue as a going concern.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Other informationManagement is responsible for any other information that may be distributed or otherwise provided along with the financial statements and our Auditors’ Report thereon, such as information that may be contained in an Annual Report.

Our opinion on the financial statements does not cover any other information and we do not express any form of assurance on the other information.

In connection with our audit of the financial statements, our responsibility is to read any other information as identified above and, in doing so, consider whether any such information appears to be materially misstated or inconsistent with the financial statements. If, based on the work we have performed, we conclude that there is a material misstatement in the other information, then we are required to report that fact. At the time of reporting we have not seen any other information and so we cannot offer any comment thereon.


Since 1990


3


Auditors’ Responsibilities for the Audit of the Financial Statements - continuedAs part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

• Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the entity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors’ report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors’ report. However, future events or conditions may cause the entity to cease to continue as a going concern.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Other informationManagement is responsible for any other information that may be distributed or otherwise provided along with the financial statements and our Auditors’ Report thereon, such as information that may be contained in an Annual Report.

Our opinion on the financial statements does not cover any other information and we do not express any form of assurance on the other information.

In connection with our audit of the financial statements, our responsibility is to read any other information as identified above and, in doing so, consider whether any such information appears to be materially misstated or inconsistent with the financial statements. If, based on the work we have performed, we conclude that there is a material misstatement in the other information, then we are required to report that fact. At the time of reporting we have not seen any other information and so we cannot offer any comment thereon.

Since 1990


4


Other MatterThis report is made solely to the Members of U.W.I. (Cave Hill) Co-operative Credit Union Ltd.,as a body, in accordance with Section 123 of the Co-operative Societies Act of Barbados. Our audit work has been undertaken so that we might state to the Members those matters we are required to state to them in an auditors’ report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Credit Union and its Members as a body, for our audit work, for this report, or for the opinion we have formed.

PETER J. CARTER & CO.Chartered AccountantsBarbados

March 22, 2021


U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LTD. Balance Sheet December 31, 2020 Expressed in Barbados dollars

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2020 2019 Assets Current assets Cash and cash equivalents - Note 7 8,544,367 5,098,466 Accounts receivable and prepayments - Note 8 502,498 870,993 Investments - Note 10 12,585,490 7,996,716 21,632,355 13,966,175 Non-current assets Loans to members - Note 9 22,368,246 24,678,489 Investments - Note 10 31,312,501 28,579,359 Plant and equipment - Note 11 76,409 109,725

Total assets 75,389,511 67,333,748 Liabilities and equity Liabilities Accounts payable and accruals - Note 12 194,835 148,910 Deposits and non-qualifying shares payable - Note 13 61,765,751 54,700,616

Total liabilities 61,960,586 54,849,526

Equity Qualifying shares - Note 14 192,400 186,300 Other reserves - Note 3 &15 4,531,785 4,384,256 Statutory reserve - Note 3(l) 1,885,753 1,884,833 Equalization reserve - Note 3(l) 5,837,745 4,998,910 Undivided earnings 981,242 1,029,923 Total equity 13,428,925 12,484,222

Total liabilities and equity 75,389,511 67,333,748 See notes to financial statements. Approved by the Board of Directors, March 22, 2021, and signed on their behalf by:

_____________________________ ______________________________

Jennifer Hinkson Patrick E. McDonald President Treasurer


U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LTD. Statement of Changes in Equity Year ended December 31, 2020 Expressed in Barbados dollars

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Qualifying shares

Other reserves

Statutory reserve

Equalization reserve

Undivided earnings

Total equity

Balance - December 31, 2018, as re-stated 182,000 4,210,362 1,884,213 4,584,841 1,057,002 11,918,418

Qualifying shares issued 4,300 - - - - 4,300

Bonus on net savings - 0.5% - - - - (161,624) (161,624)

Dividends - 10% - - - - (26,394) (26,394)

Patronage refund - 8% - - - - (166,236) (166,236)

Entrance fees - - 620 - - 620

Net comprehensive income for year - - - - 915,138 915,138

Transfer to Common Good fund - Note 15 - 10,000 - - (10,000) -

Transfer to Interest on non-performing loans - Note 15 - 84,326 - - (84,326) -

Transfer unrealized gain on unquoted securities - Note 15 - 493,637 - - (493,637) -

Transfer to Equalization reserve - (414,069) - 414,069 - -

Balance - December 31, 2019 186,300 4,384,256 1,884,833 4,998,910 1,029,923 12,484,222

Qualifying shares issued 6,100 - - - - 6,100

Bonus on net savings - 0.5% - - - - (190,488) (190,488)

Dividends - 15% - - - - (27,349) (27,349)

Patronage refund - 8% - - - - (162,562) (162,562)

Entrance fees - - 920 - - 920

Net comprehensive income for year - - - -

1,318,082 1,318,082

Transfer to Common Good fund - Note 15 - 10,000 - - (10,000) -

Transfer to Interest on non-performing loans - Note 15 - 54,298 - - (54,298) -

Transfer unrealized gain on unquoted securities - Note 15 - 922,066 - -

(922,066) -

Transfer to Equalization reserve - (838,835) - 838,835 - -

Balance - December 31, 2020 192,400 4,531,785 1,885,753 5,837,745 981,242 13,428,925

See notes to financial statements.


U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LTD. Statement of Comprehensive Income Year ended December 31, 2020 Expressed in Barbados dollars

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2020 2019 Interest income Loans to members 1,932,610 2,070,951 Investments 580,802 569,186 Cash and cash equivalents 97,311 36,384

2,610,723 2,676,521 Interest expense Deposits - 0.25% to 5% p.a. (prior year 1% to 5%) 99,436 278,788 Non-qualifying shares - 1% to 3.5% p.a. (prior year 1.25% to 3.5%) 555,387 564,602

654,823 843,390

Net interest income 1,955,900 1,833,131 Other income Dividends 196,510 185,369 Sundry 5,466 4,724 Bad debts recovered 1,750 1,050

203,726 191,143 Other expenditure Depreciation 35,398 39,139 Net present value adjustment on GOB investment - Note 10(c) 122,000 273,000 Staff costs - Note 6 743,516 730,176 Other operating expenses 862,696 560,458

1,763,610 1,602,773 Net income for year 396,016 421,501 Other comprehensive income Gain on revaluation of unquoted securities - Note 10 (a) 922,066 493,637

Net comprehensive income for the year 1,318,082 915,138 See notes to financial statements.


U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LTD. Statement of Cash Flows Year ended December 31, 2020 Expressed in Barbados dollars

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2020 2019 Cash provided / (used) by: Operating activities Net comprehensive income for year 1,318,082 915,138 Add items not involving cash Depreciation 35,398 39,139

1,353,480 954,277 Change in non-cash operating items Accounts receivable and prepayments 368,494 (451,018) Accounts payable and accruals 45,926 57,726 Deposits and non-qualifying shares payable 7,065,135 3,366,841

Net cash provided by operations 8,833,035 3,927,826 Investing activities Loan repayments - net 2,310,243 842,134 Increase in investments (7,321,917) (1,194,927) Purchase of plant and equipment (2,081) (81,027)

Net cash used by investing activities (5,013,755) (433,820)

Financing activities Entrance fees 920 620 Dividends paid (27,349) (26,394) Qualifying shares issued 6,100 4,300 Bonus on net savings (190,488) (161,624) Patronage refund (162,562) (166,236)

Net cash used by financing activities (373,379) (349,334) Increase in cash and cash equivalents 3,445,901 3,144,672

Cash and cash equivalents - start of year 5,098,466 1,953,794

Cash and cash equivalents - end of year 8,544,367 5,098,466

See notes to financial statements.


U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LTD. Notes to Financial Statements December 31, 2020 Expressed in Barbados dollars

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1. Registration

U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LTD. was registered on January 29, 1986 in accordance with the Co-operative Societies’ Act, Cap 378. The Society was continued on June 15, 1994 under the Co-operative Societies’ Act 1990. The principal place of business is located at Cave Hill, St. Michael, Barbados.

2. Principal Activities The principal activities are as follows: (a) The provision of means whereby savings can be effected by members and whereby

shares in the Credit Union can be purchased; (b) The education of members in co-operative principles and methods and the efficient

management of the Credit Union’s affairs; (c) The creation, out of the savings of members and otherwise, of a source of credit available

to members on reasonable terms and conditions. 3. Significant accounting policies

(a) Basis of accounting

These financial statements are stated in Barbados dollars and have been prepared in accordance with International Financial Reporting Standards (IFRS).

(b) Critical accounting judgments and key sources of estimation uncertainty The preparation of financial statements in conformity with IFRS requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as at the date of the financial statements and reported amounts of revenues and expenses during the period. Actual results could differ from those estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revision to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. Key sources of estimation uncertainty include provision for impairment of loans, determination of appropriate rates for depreciation of plant and equipment and estimation of the fair value of unquoted equity investments. The Credit Union’s critical accounting policies and estimates, and their application, are reviewed periodically by management.

(c) Measurement basis The measurement basis used is historical cost except for equity investments which are stated at their fair values.


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(k) Education fund

A provision is made for Education as stipulated by the Barbados Co-operative & Credit Union League Ltd. The amount provided is three percent (3%) of net income or $15,000, whichever is the lesser.

(l) Statutory Reserve, Equalization Reserve and Qualifying Shares

Section 197(2) of the Co-operatives Societies Act (the Act) prescribes that the Credit Union is required to establish and maintain reserves consisting of the greater of one half of one per cent (0.5%) of assets or twenty-five per cent (25%) of surplus until the capital of the Credit Union equals ten percent (10%) of the total assets of the Credit Union. Management has set a Capital Policy of ten and one half percent (10.5%) of total assets. For the purpose of Section 197(2) of the Act, the capital of the Credit Union includes the Statutory Reserve, Qualifying Shares and Equalization Reserve. Management has established an Equalization Reserve which is taken into account in arriving at the target of 10.5% of total assets, since it can only be used in similar manner to the statutory reserve required by the above-mentioned Section 197(2) of the Act. The Equalization Reserve is adjusted at each Balance Sheet date, as required, in order to maintain the target of 10.5% of total assets.

(m) Common Good fund The Common Good fund was established by the Credit Union to assist members who find themselves with catastrophic health and other significant negative life changing experiences. It is funded annually by the greater of one percent (1%) of the net income or ten thousand dollars ($10,000).

(n) Reserve for interest on non-performing loans

This amount represents interest accrued on non-performing loans where certain conditions are met in accordance with IFRS 9 (2018 - IAS 39). The guidelines of Section 202(2) of the Co-operatives Societies Act Cap. 378A, do not allow for the accrual of such interest. The interest is therefore set aside in a reserve and is not available for distribution to members.

4. Fair Value of Financial Instruments

(a) Financial Instruments Financial instruments consist of financial assets and liabilities. Financial assets include cash and cash equivalents, accounts receivable, loans to members and investments. Financial liabilities include accounts payable and accruals, and deposits and non-qualifying shares payable.

(b) Fair Value Fair value represents the amount for which an asset could be exchanged, or a liability

settled, between knowledgeable, willing parties in an arm’s length transaction. Fair value



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(d) Changes in accounting policies Management has reviewed the new standards, amendments and interpretations to published standards that are not yet effective and which the Credit Union has not adopted early. Management has assessed the relevance of all such new standards, amendments and interpretations and has concluded that no such amendments are likely to have a material effect on its financial statements.

(e) Taxation The Credit Union is not required to pay taxes on its net income under Section 9(g) of the Income Tax Act of Barbados.

(f) Income recognition

Income is recognized on the accrual basis of accounting. Dividend income is recognised when it is declared by the investee company.

(g) Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and at bank and call deposits.

(h) Impairment Provision The level of impairment of the loan portfolio is determined using an Expected Credit Loss (ECL) Model. All outstanding loans are taken into account, as well as loan commitments.

(i) Depreciation Depreciation is provided on plant and equipment on a straight-line basis at rates designed

to reduce the cost of assets to their residual value at the end of their useful lives in the business. The annual rates being used are: Furniture - 10%; Equipment - 12.5% and 20%.

(j) Investments

Investments are initially recorded at cost. For subsequent measurement, investments that are classified as being held to maturity are recorded at cost or amortized cost. Available-for-sale equity investments are shown at fair value and any resulting unrealized gain or loss is included in the Statement of Comprehensive Income, and thereafter are taken in the Statement of Changes in Equity through the Unrealized Gains reserve. All investments are subject to adjustment for any impairment of value. Impairment occurs where the estimated recoverable amount of an asset is less than its carrying value. Management makes an assessment of whether any assets are impaired in value as at each Balance Sheet date.


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(k) Education fund













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(k) Education fund












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(k) Education fund












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is best evidenced by a quoted market value. An estimate, based on assumptions, is made

of the fair value of each class of financial instrument.

(c) Credit Risk Credit risk is the risk that one party to a financial instrument will cause a financial loss for

the other party by failing to discharge an obligation. As part of the risk management process, bank deposits are placed only with reputable banking institutions. Loan limits are established and approved by Management and security is generally required for loans granted. Credit risk on accounts receivable is limited by the provision made for impairment.

(d) Liquidity Risk Liquidity risk is the risk that an entity will encounter difficulty in meeting obligations

associated with financial liabilities. It arises because of the possibility that the entity could be required to pay its liabilities earlier than expected. Management reviews the liquidity position of the Credit Union periodically to assess the availability of cash resources as compared to the projected cash outflows.

(e) Market Risk Market risk is the risk that the fair value or future cash flows of a financial instrument will

fluctuate because of changes in market prices. Market risk includes interest rate risk. Interest rate risk is the risk of fluctuations in interest rates. The Credit Union’s exposure to market risk on its financial instruments is disclosed in the Notes 7, 9, and 10.

5. Related parties

(a) Related parties exist where one party has the ability to control or exercise significant influence over the financial or operating decisions of another party. Transactions with related parties may be entered into in the normal course of business. Any such transactions are undertaken on commercial terms and conditions and are conducted at market rates. The Credit Union has a related party relationship with its Directors and its Key Management Personnel.

(b) As at the Balance Sheet date, balances with Directors were as follows: 2020 2019

Loans receivable 1,313,975 868,535 Shares and deposits payable 876,385 1,188,303 Transactions with Directors during the year were as follows:

Reimbursable expenses paid to Directors 33,000 31,650


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5. Related parties






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5. Related parties







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5. Related parties






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5. Related parties






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5. Related parties







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(c) As at the Balance Sheet date, balances with Key Management Personnel were as follows:

2020 2019 Loans receivable 511,733 561,018 Shares and deposits payable 82,962 81,312 Key management personnel remuneration is included in Staff Costs, as follows: Employee benefits 280,021 279,884

6. Staff costs 2020 2019

743,516 730,176

The average number of employees during the year was eight (prior year eight). 7. Cash and cash equivalents 2020 2019

Bank account - non interest earning 277,205 241,049

Bank account - 0.05% p.a. (prior year 0.05%) 1,786,439 1,472,215

Demand deposits City of Bridgetown Co-operative Credit Union Limited 6,378,204 3,283,317 Central Fund Facility Trust - Statutory Reserve deposit – 1.25% p.a. (prior year 1.25%) 15,000 15,000

- Ordinary deposit – 0.75% p.a. (prior year 0.75%) 52,719 52,085 Barbados Co-operative & Credit Union League Ltd.: - Ordinary shares 34,800 34,800 8,544,367 5,098,466

8. Accounts receivable and prepayments 2020 2019

Accounts receivable 702 - Consolidated Finance matured term deposit - 510,000 Interest receivable 307,957 221,817 Premiums receivable 76,999 54,254 Prepayments 99,112 84,922 Recoveries 17,728 -

502,498 870,993



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Recoveries relate to amounts due from an ex-employee. The total listed has been quantified and verified. However, there is an ongoing review and it is expected that the final amount due will be higher than the amount stated at the Balance Sheet date. There is expectation that the full amount, as finally determined, will be recovered.

9. Loans to members 2020 2019

(a) Total loans outstanding 22,918,246 25,031,489 Less: Impairment provision (550,000) (353,000)

Net value of loans 22,368,246 24,678,489

(b) Movement on impairment provision 2020 2019

Balance - start of year 353,000 500,000 Increase / (decrease) in provision 197,000 (147,000)

Balance - December 31, 2020 550,000 353,000 (c) As of the Balance Sheet date, the outstanding loans included a total of $12,798,071 (prior

year $19,526,561) which carry interest at the rates of 6.5%, 6.6%, 6.9%, 7.2% and 7.5% per annum on the reducing balance basis. These loans relate to purchase of real estate. Interest on other loans is normally charged at rates between 5.5% and 15% per annum on the reducing balance basis.

(d) Maturity profile of loans 2020 2019 Amount due in: Less than one year 341,795 254,817 One to five years 6,039,732 7,334,546 Over five years 16,536,719 17,442,126

Total 22,918,246 25,031,489

(e) Special models have been developed (both internal and external) to facilitate the

implementation of the Expected Credit Loss (ECL) impairment requirements of IFRS 9. The outcome of these models is reflected in the impairment provision shown in the financial statements.

(f) Commitments 2020 2019

Loans approved but not yet disbursed 893,195 1,497,026



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10. Investments (see also Note 3 (j)) 2020 2019 Current investments Held-to-maturity Term deposits - 1.5% to 7% p.a. (prior year 1.25% to 7%), maturing in one year 12,585,490 7,834,161 Fixed Rate Bonds – 7.5% p.a. - 162,555

12,585,490 7,996,716 Non-current investments Held-to-maturity Term deposit – 7% p.a. (prior year 7%) 1,473,216 1,796,556 Fixed Rate Bonds – 4.2% p.a., maturing March 2025 (prior year 7.5%) 1,500,000 620,029

Net Government restructured securities – 1% to 3.75% p.a. 18,274,958 18,396,958

Barbados Optional Savings Scheme bonds – 5% p.a. 1,179,946 -

Available-for-sale Barbados Co-operative & Credit Union League Ltd.: - 20 Membership shares 200 200 Co-operators General Insurance Co. Ltd. (CGICL): - 11,781 common shares (prior year 11,550) 4,245,048 3,783,434 Co-operators General Management Co. Inc. (CGMCI): - 26,290 common shares (prior year 25,442) 4,639,133 3,982,182

31,312,501 28,579,359

43,897,991 36,576,075 (a) Unquoted equity investments

The fair value of unquoted equity investments held in CGICL and CGMCI is based on a valuation done by the Consulting Division of the Cave Hill School of Business (CHSOB). CHSOB performed a valuation as at May 31, 2020 for each of these unquoted investments, using a range of generally accepted valuation models. The “best estimate” of the fair market value was estimated as the median value of the fair market values generated from the various models used. The valuation models used were Book Value, Market to Book, Trailing Price Earnings, Price to Sales, Price to Earnings Before Tax and Dividend Growth, Price to Earnings Before Tax, Depreciation and Amortization, Dividend Growth Model and Free Cash Flows to Equity. The Directors consider that the valuation of the unquoted equity investments arrived at by the process described above reflects their fair value as at the balance sheet date.


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10. Investments (see also Note 3 (j)) – continued (b) Barbados Optional Savings Scheme (BOSS) bonds

The BOSS bonds are issued by the Government of Barbados. The bonds will be issued in monthly tranches over an eighteen (18) month period from July 2020 to December 2021. The bonds carry an annual interest rate of 5% per annum, with the interest being paid in two (2) half-yearly instalments in January and July. Each issue carries a maturity period of four (4) years. At December 31, 2020, the BOSS bonds in the Credit Union’s portfolio had a maturity profile of three and one half (3 ½) years to four (4) years.

(c) Government restructured securities

i. Government restructured securities comprise of Series B securities consisting of eleven

(11) amortizing strips with maturities ranging from five (5) to fifteen (15) years. Interest is payable quarterly. Interest rates are 1% per annum for the first three (3) years beginning October 01, 2018 and ending September 30, 2021, 2.5% per annum for year four (4), beginning October 01, 2021 and ending September 30, 2022, and thereafter 3.75% per annum, starting October 1, 2022 until maturity on September 30, 2033. The principal of each strip will be repaid in four equal quarterly instalments commencing one year prior to the maturity date of that strip. In keeping with generally accepted accounting policies and standards, Management has applied a Net Present Value (NPV) calculation to its holdings of the securities mentioned above. This calculation has resulted in a negative NPV adjustment shown below.

ii. Maturity profile of Government restructured securities 2020 2019

Greater than one year up to five years 1,398,380 1,398,380 Greater than five years up to ten years 7,833,915 7,833,915 Greater than ten years up to fifteen years 9,437,663 9,437,663 Gross Government restructured securities 18,669,958 18,669,958 Net present value adjustment (395,000) (273,000)

Net Government restructured securities 18,274,958 18,396,958



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10. Investments (see also Note 3 (j)) – continued (b) Barbados Optional Savings Scheme (BOSS) bonds

The BOSS bonds are issued by the Government of Barbados. The bonds will be issued in monthly tranches over an eighteen (18) month period from July 2020 to December 2021. The bonds carry an annual interest rate of 5% per annum, with the interest being paid in two (2) half-yearly instalments in January and July. Each issue carries a maturity period of four (4) years. At December 31, 2020, the BOSS bonds in the Credit Union’s portfolio had a maturity profile of three and one half (3 ½) years to four (4) years.

(c) Government restructured securities

i. Government restructured securities comprise of Series B securities consisting of eleven

(11) amortizing strips with maturities ranging from five (5) to fifteen (15) years. Interest is payable quarterly. Interest rates are 1% per annum for the first three (3) years beginning October 01, 2018 and ending September 30, 2021, 2.5% per annum for year four (4), beginning October 01, 2021 and ending September 30, 2022, and thereafter 3.75% per annum, starting October 1, 2022 until maturity on September 30, 2033. The principal of each strip will be repaid in four equal quarterly instalments commencing one year prior to the maturity date of that strip. In keeping with generally accepted accounting policies and standards, Management has applied a Net Present Value (NPV) calculation to its holdings of the securities mentioned above. This calculation has resulted in a negative NPV adjustment shown below.

ii. Maturity profile of Government restructured securities 2020 2019

Greater than one year up to five years 1,398,380 1,398,380 Greater than five years up to ten years 7,833,915 7,833,915 Greater than ten years up to fifteen years 9,437,663 9,437,663 Gross Government restructured securities 18,669,958 18,669,958 Net present value adjustment (395,000) (273,000)

Net Government restructured securities 18,274,958 18,396,958



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11. Plant and equipment 2020 2019 2018

(a) Gross carrying amount Cost 459,966 457,884 376,857 Accumulated depreciation (383,557) (348,159) (309,020)

Net book value - end of year 76,409 109,725 67,837 2020 2019

(b) Reconciliation of Net Book Values Balance - start of year 109,725 67,837 Purchases 2,081 81,027 Depreciation charge for year (35,397) (39,139)

Balance - December 31, 2020 76,409 109,725 12. Accounts payable and accruals 2020 2019 Interest payable 2,688 2,349 Other accounts 192,147 146,561

194,835 148,910 13. Deposits and non-qualifying shares payable 2020 2019

Demand deposits Share savings 53,322,787 42,969,348 Regular deposits 5,843,767 5,695,675 Special savings 926,500 941,323 Tuition savings 31,907 42,738 Term deposits Twenty-fiver savings, matured December 31, 2020 1,495,425 4,907,539 Term deposits, maturing in one year 133,715 99,419 Term deposits, maturing in three years 11,650 44,574

61,765,751 54,700,616 (a) There is no pre-determined rate of interest payable on call deposits and shares. The

interest rate on these deposits and shares is determined by the Directors from time to time and is generally paid on a quarterly basis. Interest on fixed deposits is paid annually at a pre-determined rate. Interest on twenty-fiver savings is paid quarterly at a pre-determined rate.



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14. Qualifying shares

(a) There is no limit to the number of shares that the Credit Union is authorized to issue. The number of shares held by a member does not determine the member’s voting rights since each member is entitled to one vote only at any general meeting.

(b) The Credit Union is required by its By-Laws to have at least one class of shares, namely qualifying shares, which shall be issued at a par value of $10. These shares shall be held by all members and shall be not withdrawable on demand but transferrable.

15. Other reserves (see also notes 3 (m) and 3 (n))

Common Good fund

Unrealized Gain reserve

Reserve for interest on non-

performing loans

Total Other reserves

Balance - start of year 70,000 4,229,930 84,326 4,384,256 Transfer from Undivided earnings 10,000 922,066 54,298 986,364

Transfer to Equalization reserve - (838,835) - (838,835)

Balance - end of year 80,000 4,313,161 138,624 4,531,785 (a) The Unrealized Gain reserve represents gains on the Credit Union’s holdings of unquoted

equity investments. These reserves are not intended for distribution but may be used to support the capital of the Credit Union.

16. Comparative amounts

Certain of the comparative amounts have been reclassified to conform to the current year’s presentation.


U.W.I. (CAVE HILL) CO-OPERATIVE CREDIT UNION LTD. Schedule of Other Operating Expenses Year ended December 31, 2020 Expressed in Barbados dollars

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2020 2019

Advertising 15,270 9,381 Bad debts expense - 189 Change in impairment provision 197,000 (147,000) Bank charges 21,210 21,823 Cleaning and office expenses 14,582 16,201 Conventions and seminars 1,937 79,821 Donations 3,700 17,525 Education Fund provision 15,000 15,000 Insurance 15,415 11,053 League membership dues 40,921 38,952 League Development Fund 11,151 4,889 Meetings - Annual General Meeting 37,653 54,910 Meetings - other 15,730 14,857 Miscellaneous 5,280 5,698 Financial Services Commission annual fee 26,235 17,489 Mutual Benefits Plan assessments 234,496 153,230 Office supplies 5,791 5,113 Postage 2,905 5,430 Professional fees 42,506 63,755 Reimbursable expenses 64,320 67,070 Repairs and rental of equipment 25,797 25,475 Scholarships 2,000 23,120 Security 7,496 6,233 Software maintenance 16,614 15,279 Stationery 26,171 30,087 Training 8,585 - Utilities 4,931 4,878

862,696 560,458



REPORT OF THE TREASURERFor the year ended December 31, 2020

The financial year ended December 31, 2020 was a moderately successful one for the UWI (Cave Hill) Co-operative Credit Union Limited. This is after factoring in the unexpected arrival of a global pandemic, COVID19, coupled with the continued existing pressures in the financial and economic environments. However, we must also report that the Credit Union did not achieve year on year growth in several of its key operating areas. The following analysis and accompanying data provide details of the year’s operation.

BALANCE SHEET

The Credit Union’s asset base continued to increase with Total Assets of $75.390M at December 31, 2020 compared to $67.334M in the prior year for an increase of 11.96%. It should be noted that the substantial increase in assets was mainly the result of members moving funds from other financial institutions. Additionally, the shares in Co-operators General Insurance Company Limited (CGICL) and Co-operators General Management Company Inc. (CGMCI) were once again fair valued to satisfy the International Financial Reporting Standard # 9 (IFRS 9). This exercise added $922K to the Credit Union’s Total Assets.

Members’ Savings grew by 12.92%, moving from $54.701M at December 31, 2019 to $61.766M at December 31, 2020.

The Policy Capital of the Credit Union exceeded the Mandated Capital by $377K at December 31, 2020.

See Tables 1 and 1(a).

STATEMENT OF COMPREHENSIVE INCOME

Gross Operating Income for the year under review was $2.814M compared to $2.868M in the prior period for a decrease of -1.86%. This is a continuation of the unfortunate situation which resulted from the lower interest being earned due to the Government of Barbados Debt Restructuring Program (DRP) in 2018. As indicated in a prior report, the DRP will have a negative impact on the Credit Union’s earnings over the next thirteen (13) years. Additionally, there is continued reduction in the Credit Union’s Loan Portfolio. Net Income before appropriations and Other Comprehensive Income was $396K or -6.05% below the 2019 figure of $422K.


Interest received on loans decreased by -6.68% falling from $2.071M to $1.933M.

The Credit Union had Other Comprehensive Income of $922,066 resulting from the shares in CGICL and CGMCI being fair valued to satisfy IFRS 9.

It should also be noted that during the year the Credit Union received $196,510 in dividends from CGICL and CGMCI. The comparative figure for fiscal year 2019 was $185,369.

See Tables 2 and 2 (a).

LOAN PORTFOLIO

The Loan Portfolio had another negative year with the negative movement being higher than what was sustained in the fiscal year 2019. There was a decrease of -9.36% in the Net Loans outstanding at the end of 2020. Gross Loans outstanding decreased by -8.44%. These percentages clearly violate the goals of the PEARLS guidelines for loan growth rates. Total Loans approved in the year decreased by -18.20% from the prior year. Gross Loans decreased from 37.18% of Total Assets recorded in 2019 to 30.40% of Total Assets in 2020. This percentage is significantly below the lower end of the PEARLS ratio guidelines of 70%.

See Tables 3 to 3 (c).

DELINQUENCY, IMPAIRMENT, FAIR VALUE AND PROVISIONING (NPVA)

The Board and Delinquency Committee continued to monitor the late payments/delinquencies of some members.

The delinquency rate at the UWI Credit Union continues to be one of the lowest in the Credit Union movement in Barbados (1.98% 2020 and 1.30% for 2019). However, any level of delinquency is of concern to the Board, Committees and staff of the Credit Union. Therefore, adequate provision has been made in the Financial Statements to cover any potential losses identified at year-end.

Delinquency Table

2020 2019Details Number Amount $ Number Amount $6 to less than 12 months 48 116,280 35 93,469

Over 12 months 19 337,433 12 232,575

TOTAL 67 453,713 47 326,044


International Financial Reporting Standard # 9 (IFRS 9) matters

Expected Credit Loss (ECL)/Impairment Model

As previously reported, IFRS 9 came into effect on January 1, 2018 and was implemented for the Credit Union’s 2018 Financial Statements. Special models have been developed (both internal and external) to facilitate the implementation of the ECL/Impairment requirements of the Standard. The outcome of these models is reflected in the Impairment Provision of $550K shown in the Financial Statements (Notes 9 (b) and 9 (e)).The staff of the Credit Union continues to work diligently to keep delinquency under control thereby reducing the ECL charge.

Valuation of Unquoted Equity Investments

As previously reported, IFRS 9 has also required that unquoted equity investments be ‘fair valued’ and brought to account in the Financial Statements. Our Credit Union’s unquoted equity investments in both CGICL and CGMCI were therefore ‘fair valued’ by independent professionals and the resulting gain of $922,066 is shown in the Financial Statements under ‘Other Comprehensive Income’ (see Note 10 (a)). While this gain will be used to provide ongoing support for the Credit Union’s capital, due to the statutory restrictions place on these types of gains, there are no plans to distribute any of this amount in the near future.

Government of Barbados Debt Restructuring Program (DRP)

The Government of Barbados (GOB) implemented a DRP with effect from October 1, 2018. This program had a negative effect on the Credit Union’s Gross Operating Income since 2018. As indicated earlier in this report, the impact of the DRP will continue to have a significant impact on the Credit Union’s earnings over the next thirteen (13) years.

The Credit Union has $18.670M in GOB investments which are affected by the DRP (See Note 10 (c)(ii)).

In keeping with generally accepted accounting policies and standards, including IFRS9, Management has applied a Net Present Value (NPV) calculation to its holdings of the securities mentioned above. This calculation has resulted in a negative NPV adjustment of $395K. (See Note 10(c)(i)).

RETURNS TO MEMBERS

Our Credit Union continues to provide members with competitive returns on their savings as well as very competitive lending rates. A comparative breakdown of returns to members is shown in Table 4 while Table 4(b) shows the rates used to calculate interest on members’ savings during the year. Table 4(a) shows the distribution of the Gross Operating Income.


CONCLUSION

Given the continued economic and health challenges facing our country and the impact it is having on most businesses, the positive outcome recorded in the year under review is commendable. This demonstrates the unwavering support of our members. While every effort will be made to safely grow revenue, sensible expense control will continue to be important more than ever. It is also very important that we continue to strengthen our Credit Union with proper systems and policies while at the same time provide opportunities to assist our members.

I would like to thank the Board, the Committees, staff and members for their continued support and cooperation during the year.

Patrick E. McDonald, FCCA, FCA, BSC (Finance), Dip. Bus. Admin. (Hons.)Treasurer


TABLE 1

UWI (CAVE HILL) COOPERATIVE CREDIT UNION LIMITEDBALANCE SHEET ANALYSIS

YEAR ENDED DECEMBER 31, 2020

2020 2019 20 vs 19

TOTAL ASSETS 75,389,511 67,333,748 11.96% 8,055,763

CURRENT ASSETS 9,046,865 5,969,459 51.55% 3,077,406CASH AND BANK 8,544,367 5,098,467 67.59% 3,445,900

INVESTMENTS 43,897,991 36,576,075 20.02% 7,321,917GOVERNMENT SECURITIES 44.32% 19,454,904 18,396,958 50.30% 5.75% 1,057,946TERM DEPOSITS 35.91% 15,764,911 10,602,408 28.99% 48.69% 5,162,503EQUITY SECURITIES 19.77% 8,678,176 7,576,708 20.71% 14.54% 1,101,468

LOANS OUTSTANDING (Gross) 22,918,246 25,031,489 -8.44% -2,113,242

IMPAIRMENT PROVISION (IFRS 9) -550,000 -353,000 55.81% 197,000

LOANS OUTSTANDING (Net) 22,368,246 24,678,489 -9.36% -2,310,242

NET LOANS TO TOTAL ASSETS 29.67% 36.65% -6.98%GROSS LOANS TO TOTAL ASSETS 30.40% 37.18% -6.78%

CURRENT LIABILITIES 194,836 148,910 30.84% 45,926

MEMBERS' SAVINGS 61,765,751 54,700,616 12.92% 7,065,135SHARE SAVINGS 86.38% 53,354,694 43,012,085 78.63% 24.05% 10,342,609

CAPITAL & R/E TO TOTAL ASSETS 13.31% 18.34% -5.02%

NON-EARNING ASSETS TO TOTAL ASSETS (CA & FA) 3.40% 3.84% -0.43%

PEARLS GUIDE < 6%


TABLE 1 (a)

UWI (CAVE HILL) COOPERATIVE CREDIT UNION LIMITEDBALANCE SHEET ANALYSIS


2020 2019

CAPITAL:

TOTAL ASSETS 75,389,511 67,333,748 11.96%

MEMBERS' QUALIFYING SHARES 192,400 186,300STATUTORY RESERVE 1,885,753 1,884,833EQUALIZATION RESERVE 5,837,745 4,998,910

7,915,899 7,070,044 11.96%

10.50% 10.50%

MANDATED CAPITAL REQUIREMENT 10.00% (Of Total Assets) 7,538,951 6,733,375

RECOMMENDED CAPITAL (Policy) 10.50% (Of Total Assets) 7,915,899 7,070,044

EXCESS OF RECOMMENDED OVER MANDATED CAPITAL 376,948 336,669

PROJECTED RETAINED EARNINGS AFTER APPROPRIATIONS 621,064 585,226

TOTAL CAPITAL, R/E & OTHER RESERVES (EQUITY) 13,428,925 12,484,222

PERCENTAGE OF TOTAL ASSETS 17.81% 18.54%


TABLE 2

UWI (CAVE HILL) COOPERATIVE CREDIT UNION LIMITEDINCOME STATEMENT ANALYSIS


2020 2019 2020 % of GOI % of GOIvs 2019 2020 2019

GROSS OPERATING INCOME (GOI) 2,814,449 2,867,665 -1.86%OTHER INCOME - GAINS/(LOSSES) 922,066 493,637

INTEREST ON LOANS 1,932,610 2,070,951 -6.68% 68.67% 72.22%

INVESTMENT INCOME 1,803,905 1,290,350 39.80% 64.09% 45.00%

INCOME FROM GOB INVESTMENTS 197,448 189,100 4.41% 7.02% 6.59%

*** NET OPERATING INCOME BEFORE INTEREST EXPENSE 1,050,838 1,264,891 -16.92% 37.34% 44.11%

*** NET OPERATING INCOME AFTER INTEREST EXPENSE 396,017 421,501 -6.05% 14.07% 14.70%

*** GROSS OPERATING INCOME TO AVERAGE ASSETS 3.94% 4.72%

*** NET OPERATING INCOME TO AVERAGE ASSETS 0.55% 0.69%

RATE OF RETURN ON AVERAGE LOANS O/S 8.06% 8.11%

*** DOES NOT INCLUDE "FAIR VALUE" GAIN


TABLE 2 (a)

UWI (CAVE HILL) COOPERATIVE CREDIT UNION LIMITEDINCOME STATEMENT ANALYSIS


2020 2019

Loan Interest 1,932,610 2,070,951 -138,341 -6.68%

Interest on Members' Savings 654,823 843,390 -188,567 -22.36%

Net Interest Income 1,277,787 1,227,561 50,226 4.09%

Other Operating Income 881,839 796,713 85,126 10.68%

Gross Operating Income (After Interest Expense) 2,159,626 2,024,274 135,352 6.69%

Gross Operating Income (Before Interest Expense) 2,814,449 2,867,665 -53,216 -1.86%

Operating Expense (Excluding Interest Expense) 1,763,611 1,602,773 160,837 10.03%

TABLE 3

UWI (CAVE HILL) COOPERATIVE CREDIT UNION LIMITEDLOAN PORTFOILIO ANALYSIS


2020 2019 2020 Suggested vs 2019 Growth Rate

LOANS TO MEMBERS (Gross) 22,918,246 25,031,489 -8.44% 8% TO 15%

LOANS TO MEMBERS (Net) 22,368,246 24,678,489 -9.36%

NET LOANS TO TOTAL ASSETS 29.67% 36.65% -6.98%GROSS LOANS TO TOTAL ASSETS 30.40% 37.18% -6.78%

PEARLS RATIO (Guide) 70% TO 85% 70% TO 85%

AVERAGE LOAN BALANCE/Rate Of Return (2020) 23,974,867 8.06%

AVERAGE LOAN BALANCE/Rate Of Return (2019) 25,526,056 8.11%


TABLE 3 (a)



20202020 2019 vs 2019

LOANS APPROVED:

STANDARD LOANS 2,804,031 3,120,886 -10.15% -316,855

LINES OF CREDIT 75,400 399,400 -81.12% -324,000

TOTAL 2,879,431 3,520,286 -18.20% -640,855

TABLE 3 (b)



KEY LOAN INTEREST RATES:Base Rate Interest Effective

Rebate Rate

Mortgage Rate 7.50% 8.00% 6.90%

Loans within savings 6.50% 8.00% 5.98%

Lines of Credit 15.00% 8.00% 13.80%


TABLE 3 (c)



LINE OF CREDIT: 2020 2019 2020vs 2019

APPROVED FOR YEAR (COMMITMENTS) 75,400 399,400 -81.12%

TOTAL OUTSTANDING END OF YEAR (COMMITMENTS) 2,732,240 3,055,440 -10.58%

TOTAL OUTSTANDING END OF YEAR (DRAWN) 2,302,055 2,451,918 -6.11%

TOTAL COMMITMENT to GROSS LOANS 11.92% 12.21%

TOTAL DRAWN to GROSS LOANS 10.04% 9.80%

TOTAL DRAWN to COMMITMENT 84.26% 80.25%

POLICY: COMMITMENT AS A % OF GROSS LOANS =< 15.00% 15.00%


TABLE 4

UWI (CAVE HILL) COOPERATIVE CREDIT UNION LIMITEDRETURNS TO MEMBERS


2020 2019 2020vs 2019

PAID TO MEMBERS:

INTEREST ON SAVINGS 654,823 843,390 -22.36%

PATRONAGE REFUND/INTEREST REBATE 154,609 168,915 -8.47%

NET SAVINGS BONUS 119,975 190,488 -37.02%

DIVIDEND ON MEMBERSHIP SHARES 19,240 27,349 -29.65%

TOTAL PAID TO MEMBERS 948,646 1,230,142 -22.88%

GROSS OPERATING INCOME (GOI) 2,814,449 2,867,665 -1.86%

PERCENTAGE OF GROSS OPERATING INCOME 33.71% 42.90% -9.19%


TABLE 4 (a)

UWI (CAVE HILL) COOPERATIVE CREDIT UNION LIMITEDDISTRIBUTION OF GROSS OPERATING INCOME:


2020 2020 2019 2019% of GOI % of GOI

TOTAL OPERATING EXPENSE 1,763,611 *** 62.66% 1,522,364 *** 53.09%

Members' Returns 948,646 33.71% 1,230,142 42.90%

CAPITAL 0 0.00% 0 0.00%

R/E & Other (Adj.) 102,192 3.63% 115,159 4.02%

TOTAL 2,814,449 100.00% 2,867,664 100.00%

GROSS OPERATING INCOME (GOI) 2,814,449 2,867,6650 0

PEARLS OPERATING EXPENSE TARGET: *** < 50% *** < 50%


TABLE 4 (b)

UWI (CAVE HILL) COOPERATIVE CREDIT UNION LIMITEDSAVINGS RATES USED TO CALCULATE INTEREST PAID TO MEMBERS


2020 2019SHARE DEMAND SHARE DEMAND

SAVINGS DEPOSITS TUITION 25ER SAVINGS DEPOSITS TUITION 25ER

Q1 1.25% 0.50% 3.50% 5.00% Q1 1.50% 0.50% 3.50% 5.00%

Q2 1.25% 0.50% 3.50% 5.00% Q2 1.25% 0.50% 3.50% 5.00%

Q3 1.00% 0.25% 3.50% 5.00% Q3 1.25% 0.50% 3.50% 5.00%

Q4 1.00% 0.25% 3.50% 5.00% Q4 1.50% 0.50% 3.50% 5.00%


FINANCIAL DATA FOR YEARS ENDED DECEMBER 31, 2013 TO 2020

% Inc/(Dec)2020 2019 2018 2017 2016 2015 2014 2013 2020 vs 2019

Total Assets 75,389,511 67,333,748 63,343,377 54,160,603 51,367,758 47,558,391 45,168,144 42,023,055 11.96

Total Liabilities 61,960,586 54,849,526 51,424,959 47,599,199 45,283,568 42,114,654 39,954,701 37,214,145 12.96

Total Loans (Net of Provision) 22,368,246 24,678,489 25,520,623 25,789,606 22,673,375 21,759,545 22,138,467 20,708,426 (9.36)

Total Investments 43,897,991 36,576,075 35,381,148 24,807,502 25,814,827 22,997,727 20,398,440 17,115,057 20.02

Capital & Reserves 13,428,925 12,484,222 11,918,418 6,561,404 6,084,190 5,443,737 5,213,443 4,808,910 7.57

Cash & cash equivalents 8,544,367 5,098,467 1,953,794 2,693,258 2,153,529 2,297,809 2,203,057 3,828,647 67.59

Current Assets 9,046,865 5,969,459 2,373,769 3,480,999 2,887,125 2,708,335 2,560,048 4,111,827 51.55

Current Liabilities 194,836 148,910 91,184 116,362 89,490 136,423 146,736 171,911 30.84

Total Income 3,736,515 3,361,301 8,471,905 3,465,148 3,278,534 3,172,912 3,025,633 2,756,166 11.16

Net Income/Earnings 1,318,081 915,138 5,661,508 763,918 714,206 605,294 758,058 663,877 44.03

Other Income 1,803,905 1,290,350 6,360,469 1,452,255 1,436,964 1,186,307 1,133,975 1,007,037 39.80

Loan Interest Earned 1,932,610 2,070,951 2,111,435 2,012,893 1,841,570 1,871,240 1,791,481 1,643,975 (6.68)

Total Borrowings 0 0 0 0 0 0 0 0.00

Members Qualifying Share Capital 192,400 186,300 182,000 174,300 171,000 162,400 158,900 153,500 3.27

Members Deposits & Non-Qualifying Shares 61,765,751 54,700,616 51,333,775 47,482,837 45,194,078 41,978,231 39,807,965 37,042,234 12.92

Retained Earnings (R/E) 981,242 1,029,923 1,057,002 824,541 679,754 420,106 470,788 396,490 (4.73)

Total Equity (Excl. R/E) 12,447,683 11,454,299 10,861,416 5,736,863 5,404,436 5,443,737 4,583,755 4,258,920 8.67

Loans Approved 2,879,431 3,520,286 5,833,656 8,539,664 5,800,462 4,755,877 6,271,614 6,674,742 (18.20)

Interest Expense (Members) 654,823 843,390 1,142,015 1,242,489 1,223,421 1,200,719 1,215,156 1,143,599 (22.36)


UWI (CAVE HILL) CO-OPERATIVE CREDIT UNION LIMITEDPEARLS ANALYSIS FOR YEAR ENDED DECEMBER 31, 2020

PEARLS is an analysis of a Credit Union’s performance.

PEARLS is the acronym for: Protection, Earnings, Asset Quality, Rate of Growth, Liquidity and Structure.

The Credit Union’s PEARLS Analysis at December 2020 with 2019 comparison is shown below.

Dec-20 Benchmark Dec-19

CAPITAL /TOTAL ASSETS 17.81% > 8% 18.54%A measure of the Credit Union's ability to absorb losses.

** NET OPERATING INCOME/AVERAGE ASSETS 0.55% > 1% 0.69%** OPERATING EXPENSES/GROSS OPERATING INCOME 62.66% < 50% 55.89%

A measure of the Credit Union's ability to generate capitaland pay members a reasonable return on savings.

DELINQUENT LOANS/TOTAL LOANS 1.98% < 5% 1.30%Indicates the quality of the loan portfolio.

SAVINGS GROWTH RATE 12.92% 10% TO 20% 6.56%LOAN GROWTH RATE (Gross) -8.44% 8% TO 15% -3.80%LOAN GROWTH RATE (Granted in year) -18.20% -35.01%Indicates the success of the Credit Union providingservices to members.

GROSS LOANS/TOTAL ASSETS 30.40% 70% TO 85% 37.18%Indicates the success of the Credit Union providingservices to members.

NON-EARNING ASSETS/TOTAL ASSETS 3.40% < 6% 3.84%A high ratio would adversely affect the Credit Union'sprofitability.

** OPERATING INCOME, WHICH EXCLUDES EXRA-ORDINARY GAINS, IS USED IN THESE CALCULATIONS.

Structure

PEARLSProtection

Earnings

Asset Quality

Rate of Growth

Liquidity


UWI (Cave Hill) CO-OPERATIVE CREDIT UNION LIMITEDIncome and Expenditure Budget for the Fiscal Year 2021

BUDGET ACTUAL2021 2020

REVENUEInterest on Loans 1,839,300 1,932,610 Interest - Bank & Call Deposits 900 1,314 Interest - Government Securities 330,000 197,448 Interest - Term Deposits & Fixed Rate Bonds 534,000 478,242 Dividends Received 210,000 196,510 Bad Debts recovered 1,980 1,750 Other Income 6,900 6,576

2,923,080 2,814,449 EXPENSESAdvertising & Promotion 15,000 15,270 AGM Expenses 42,000 37,653 Bank Charges 24,000 21,210 Cleaning & Office Expenses 16,200 14,582 Conventions & Seminars 15,000 1,937 Credit Advice Services 12,000 - Depreciation 39,000 35,398 Development Fund 6,000 11,151 Donations 15,000 3,700 Impairment Provision 60,000 197,000 Scholarship Expense 33,000 2,000 Barbados Co-operative Credit Union League Education Fund 15,000 15,000 Equipment Rental, Repairs & Maintenance 15,000 25,797 FSC Fees 36,000 26,235 General Office Supplies & Expenses 12,000 11,071 GOB Net Present Value Adjustment Expense 24,000 122,000 Insurance Expenses 15,600 15,415 Interest on Deposits & Fixed Deposits 30,000 26,898 Interest on Share Savings 660,000 555,387 Interest on Twenty-Fiver Savings - 2020 - 71,291 Interest on Tuition Savings 1,200 1,247 League membership dues 48,000 40,921 Life Insurance 7,200 6,629 MBP Insurance assessment 180,000 234,496 Medical expenses 26,400 26,689 Meeting expenses 15,000 15,730 NIS expense 54,600 53,251 Pension & gratuities 54,000 53,971 Performance based bonus 15,000 16,500 Postage expenses 3,240 2,905 Professional fees 86,160 42,506 Reimbursable Expenses 66,000 64,320 Salaries & wages 600,000 566,007 Security expenses 7,800 7,496 Software Maintenance 24,000 16,614 Stationery & supplies 30,000 26,171 Telephone 5,100 4,931 Training 7,200 8,585 Travelling expenses 19,200 19,413 Uniforms/Employee Benefits 9,600 1,056

2,344,500 2,418,433 578,580 396,016


STANDING ORDERS

1. (a) A member to stand when addressing the chair. (b) Speeches to be clear and relevant to the subject before the meeting.

2. A member shall only address the meeting when called upon by the Chairman to do so, after which he shall immediately take his seat.

3. No member shall address the meeting except through the Chairman.

4. A member may not speak twice on the same subject except: -

(a) The Mover of a Motion – who has the right to reply.(b) He rises to object or to explain (with the permission of the Chair).

5. The Mover of a Procedural Motion – (Adjournment laid on the table, Motion to Postpone) to have no right to reply.

6. No speeches to be made after the “Question” has been put and carried or negatived.

7 A member rising on a “Point of Order” to state the point clearly and concisely. (A “Point of Order” must have relevance to the “Standing Orders”).

8. (a) A member should not “call” another member “to order” – but may draw the attention to the Chair to a “Breach of Order”.

(b) In no event can a member call the Chair “to order”.

9. A “Question” should not be put to the vote if a member desires to speak on it or move an amendment to it – except, that a “Procedural Motion”, “The Previous Question”, “Proceeds to the Next Business” or the “Closure”: “That the Question be Now Put”, may be moved at any time.

10. Only one amendment should be before the meeting at one and the same time.

11. When a motion is withdrawn, any amendment to it fails.

12. The Chairman to have the right a “Casting Vote”.

13. If there is equality of voting on an amendment, and if the Chairman does not exercise his Casting Vote, the amendment is lost.

14. Provision to be made for protection by the Chairman from vilification (personal abuse).

15. No member shall impute improper motives against another member.


!"#$%#&"&'()*%+,-".%#/*"&-*012%(%$%3'*1#4*53-.%23'* 61/3*97*

You may have seen this symbol before, on our posters perhaps, or in our newsletters, or in a newspaper, or even on Credit Union Buildings island wide, but you may not know what it means.

We think it's important that you know and we'd like to give you a formal introduction. The “hands, family and globe” symbol, as it is called, stands for Credit Unions everywhere -

whether it's a Credit Union where you work or live, no matter if you work or live in Timbuktu or Barbados

Credit Unions are world-wide financial organizations. That's why we've included a globe as part of the overall symbol. As a matter of fact,

there are more than 38,000 Credit Unions all over the world

The four silhouettes represent the family unit - the family of mankind working for the mutual benefit of all. Care was taken in the actual design

to avoid differences between national dress or custom and other details because Credit Unions serve all people all over the world.

A pair of hands? The hands represent the self-help nature of all Credit Unions. When you become a Credit Union member you become

part of a group of people who save together and make low-cost loans plus several other services to each other from the

accumulated funds. Credit Unions engender democracy in the truest sense of the word - as a member you are part owner of the business and exercise control of its policies. It is your organization.

Altogether now.................. the “hands, family and globe” symbol was selected as a trademark that stands for

Credit Unions in any language, in any country. The theme is universal and conveys the image of all Credit Unions graphically, accurately and instantly.

So, when you feel the urge to save money or borrow money, think of the Credit Union - where you get low interest loans and all the surplus is returned to you.

Your Credit Union. It's where you belong!


!"#$%#&"&'()*%+,-".%#/*"&-*012%(%$%3'*1#4*53-.%23'* 61/3*97*

You may have seen this symbol before, on our posters perhaps, or in our newsletters, or in a newspaper, or even on Credit Union Buildings island wide, but you may not know what it means.

We think it's important that you know and we'd like to give you a formal introduction. The “hands, family and globe” symbol, as it is called, stands for Credit Unions everywhere -

whether it's a Credit Union where you work or live, no matter if you work or live in Timbuktu or Barbados

Credit Unions are world-wide financial organizations. That's why we've included a globe as part of the overall symbol. As a matter of fact,

there are more than 38,000 Credit Unions all over the world

The four silhouettes represent the family unit - the family of mankind working for the mutual benefit of all. Care was taken in the actual design

to avoid differences between national dress or custom and other details because Credit Unions serve all people all over the world.

A pair of hands? The hands represent the self-help nature of all Credit Unions. When you become a Credit Union member you become

part of a group of people who save together and make low-cost loans plus several other services to each other from the

accumulated funds. Credit Unions engender democracy in the truest sense of the word - as a member you are part owner of the business and exercise control of its policies. It is your organization.

Altogether now.................. the “hands, family and globe” symbol was selected as a trademark that stands for

Credit Unions in any language, in any country. The theme is universal and conveys the image of all Credit Unions graphically, accurately and instantly.

So, when you feel the urge to save money or borrow money, think of the Credit Union - where you get low interest loans and all the surplus is returned to you.

Your Credit Union. It's where you belong!

I AM YOUR CREDIT UNION

I was born of human desperation, reared in the household of need and dwell amidst the little people of our time.

I have experienced war, famine, misery, depression and greed; daily I endure indifference and human selfishness.

I am clear of vision, firm of purpose and strong of heart and hand.

Despite those who would misuse or neglect me, I press ever onward to serve and to save those who need me.

I am democratic in organisation and operation and co-operative in action; obedient to the majority voice of you, my members and owners, in all I do.

I am, therefore, exactly what you make of me – poor, weak and inefficient if you are disinterested; but strong, virile and helpful if you properly use me.

I am anxious to help with your family budgets, your personal financial problems and your credit needs; I can help you to save and provide for your future – all on a neighbourly and confidential basis.

I am directed to serve all men (persons) without distinction of race, colour or creed; I neither favour the rich or refined, nor frown on the poor or bereaved.

I am pledged to teach thrift, encourage thrift and render thrift in financial service to you, my people and owners. Millions approve of my purpose; millions have proved that I can work.

I encourage you to build and use your own financial resources so as to better help yourself and your neighbours over the rugged places on the highway of life.

I rejoice to see you saved from the hand-to-mouth basis of daily existence, from those ever present who would keep you debtor de facto, and from the vicious spendthrift habits of your own making.

I am trustworthy. I have a remarkable record; financially, I have helped birth your babies, rear your children, educate your young men and women, build and furnish your homes, transport your families, hospitalize your ill and bury your dead. I am at hand to assist your family when you pass on. I am an ever present helper in the hour of your greatest financial need.

I am part of the great international credit union movement serving mankind. I am part of all who need me. To serve is my task

I AM YOUR CREDIT UNION


NOTES

U.W.I (Cave Hill) Co-operative Credit Union Limited Caricom Research Building, The University of the West Indies, Cave Hill, St. Michael.Telephone: (246) 417-4524/39 Fax: (246) 424-0662Email: [email protected]

https://www.cavehill.uwi.edu/creditunion/home.aspx

mailto:creditunion%40cavehill.uwi.edu?subject=

WE ARE GOING ONLINE

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