SERVICE CREDIT UNION
2008 ANNUAL REPORT
Safe, secure and
going strong.
MISSION STATEMENT
OU R M I S S I ON: To consistently exceed
our members’ service
and convenience
expectations.
1
INTRODUCTION
Safe, Secure and Going Strong
SERvICE CREdIT UNION is owned by you, our valued no matter the place or time in a member’s life. We stand
members, not by Wall Street. For over 50 years, members by our members as part of what we believe to be a
have trusted their money to Service Credit Union, and we lifelong relationship.
continue to be a safe haven even during these most turbu-
lent of economic times. No member has ever lost Providing members access to reliable, cost-effective
a penny at Service Credit Union. products, convenience services and highly competitive
rates are all a part of Service Credit Union’s mission. We
Since we are a not-for-profit cooperative owned by mem- have designed numerous programs to meet the needs of
bers, we are not affected by a volatile stock market. Unlike low-to-moderate income members and members in
the horrific news reports about subprime lending losses transition. And we continue to invest in providing
and bailouts of megabanks, Service Credit Union has members with the most up-to-date technology in
stayed true to sound, conservative business practices. a safe and secure environment.
Being a member-owned cooperative means members Social responsibility is a major focus for Service Credit
combine their savings to create a pool of funds from Union, extending the credit union philosophy of “people
which other members can borrow. The income earned on helping people” out into the communities where we live
loans and investments is returned to members in the form and work. We support programs centered on helping
of higher savings rates, lower loan rates and additional members and communities rebuild or improve so that
products and services. they can provide a brighter future for themselves and their
families, and we are privileged to be able to support such
Through our strong financial performance, we experienced worthy causes during this time when the needs in our
record growth in earnings in 2008. Solid performance communities have increased.
allows us to invest further in meeting the needs of our
growing membership, with additional access points and Service Credit Union has a history of sound business
convenience services such as new branches, expanded practices, more than adequate insurance on your accounts,
online offerings and more. Service Credit Union’s loans to and is poised to serve your individual member needs for
members have not slowed down nor will it in the future. a vibrant financial future. We consistently achieve the
highest rating in safety and soundness.
As the largest credit union in New Hampshire,
with nearly 120,000 members around the globe, You can feel confident knowing your money at
Service Credit Union’s goal remains to Service Credit Union is federally insured to at least
provide cost-effective access to $250,000 through the National Credit Union Share
credit and banking services, Insurance Fund (NCUSIF). IRAs and Trust accounts are
insured up to an additional $250,000 through Excess Share
Insurance Corporation (ESI) for a total of $500,000
in funds protection.
Our commitment to members is the driving force behind
all Service Credit Union activities. We continually work
to ensure that Service Credit Union remains the primary
choice for your financial needs and where your money is
always safe and secure.
CHAIRMAN’S REPORT
Serving a Vital Community Role
CREdIT UNIONS HAvE long served members through a leadership donation to the state’s Fuel Assistance
access to reliable, cost-effective services. Each member Agencies. The New Hampshire Food Bank also saw an
has a unique set of needs that their credit union endeavors increase in demand. Our members responded and donated
to satisfy. Service Credit Union provides special member over 1,300 pounds of non-perishable food items, and Service
programs, financial education and community support to Credit Union presented the food donations along with a
enhance members’ financial well-being and improve their monetary donation. We also delivered hundreds of turkeys
quality of life. for Thanksgiving meals in New England and on military bases
in Germany. Service Credit Union was also humbled to touch
Service Credit Union places great emphasis on helping so many lives through the collection and donation of
members meet their goals and reach for their dreams hundreds of toys for needy children in our communities.
especially during these challenging economic times. As part
of a lifelong relationship we endeavor to establish, Service Service Credit Union donated equipment to Warrior
Credit Union offers numerous programs to help members Transition Units near our branches in Germany to help our
during this uncertain financial climate when budgeting and soldiers through rehabilitation from injury. We also presented
money management may be difficult. gift cards for military members needing holiday assistance,
on the bases where we serve members in Germany, and
Through our STAR program, we provide special loan supported the Fisher House in Landstuhl, Germany, a “home
discounts and higher rates on savings to those members who away from home” for families and military patients receiving
are just starting out. This year, we introduced our energy medical care. David Van Rossum,
savings loan program to help members to pre-buy fuel or Chairman
make their home more energy efficient. Financial education also continues to be a key component
of Service Credit Union’s mission to serve members and
We also offer a Warrior Rewards program to assist deployed provide the tools for members to better themselves. The
military and civilians supporting our troops, in areas of credit union’s Managers of Community Financial Education in
imminent danger, with even further reduced loan rates and the U.S. and Overseas speak annually to students on basic
increased savings rates. Service Credit Union also offers an saving and budgeting skills, and the credit union runs a hands-
Early Pay Loan program to members who need a short term on financial education program for our youth called CU 4
loan to cover immediate expenses, as well as offering Reality™. We also support Military Saves, a financial education
Military Relocation Loans. initiative held in cooperation with the department of defense,
Our Home Loan Payment Relief program reduces mortgage offering tools to military members to “Build Wealth Not debt”
costs and increases the first time homebuyers opportunity to and offer valuable free webinars on a broad range of topics
purchase a home, and this year we began directly offering vA from basic budgeting to investing for the future.
mortgages. We continue to offer first and second mortgages We are honored to be acknowledged for our many
across the Continental U.S. to respond to the mobility needs accomplishments within the community. In 2008, Service
of our worldwide membership. Credit Union received the Army Credit Union of the Year
Many members are entitled to receive their pay up to two Award. President/CEO Gordon Simmons was presented the
days early through our Early Payday Checking program, and President’s volunteer Service Award for his dedicated service,
can take advantage of free Online Banking and Bill Pay, especially in the area of providing financial literacy.
MobileBanc24, and our 24/7 live person contact center to The Board of directors is pleased to report that
help manage finances around the clock. Euro Bill Pay is also Service Credit Union achieved another year of solid financial
available online so that members can make essential bill performance. In 2008, Service Credit Union paid out
payments as they relocate. $21.7 million in dividends to members. Net worth to assets,
Service Credit Union takes great pride in living out the credit a measure of safety and soundness, was at 12.7% for Service
union philosophy of “people helping people” and strives to Credit Union at the end of 2008. This performance is among
be a leader in corporate citizenship. We support charitable, the highest in our credit union peer group. The loan delin-
non-profit and educational programs dedicated to improving quency ratio was 0.23% as of the end of 2008, well below the
the overall well-being of our members and our communities. average for the credit union industry peer group. Service
As needs have increased, Service Credit Union has stepped Credit Union also exceeded $1.3 billion in assets in 2008,
up its community leadership role even further by organizing and our member-owners share in this outstanding success.
food and toy drives and increasing volunteerism. This year, Credit unions operate democratically, with each member
we began a partnership with City Year, an organization that having a voice in the credit union’s future. The Service Credit
encourages community service among our nation’s young Union volunteers and professionally paid management and staff
adults, through the Service Credit Union Civic Engagement Team. will continue to meet the financial needs of members, provide
In 2008, Service Credit Union responded to the challenges of exemplary service, and ensure the continued safety, security
keeping our neighbors warm with rising heating costs through and strength of the credit union. 3
PRESIDENT’S REPORT
The Clear Choice
SERvICE CREdIT UNION’S MISSION is to provide for credit union. This year, we introduced in-house vA loans in
members’ financial needs in the most convenient, most response to the expanding needs of our membership.
cost-effective way possible. Each year, we look to enhance
your service experience with the credit union. We continue to provide the loans our members need, at
competitive rates and as quickly as possible. In many cases,
Anticipating and serving the financial needs of our members loan decisions are rendered on the spot.
remains at the core of each of our products and services.
Our philosophy is to deliver to our members what they Insured deposits provide our members protection of their
want when they want it, as quickly and as efficiently as funds. Competitive dividends, and product options to meet
possible, with little effort expected of them. members’ needs, resulted in a 7.4% increase in deposits this
past year. Regular savings accounts represent nearly 22% of
In 2008, despite challenging economic times, we achieved deposits. Free share draft accounts, reduced interest rates on
record growth and continued to lend money, using sound, loans for direct deposit and Early Payday Checking have also
conservative lending practices, to satisfy our wide array of contributed to the growth of accounts at the credit union.
members’ needs. This growth also allows us to invest in Overall, credit union share capital increased to $944.8 million.
convenience services and additional access points for Service Credit Union paid members $21.7 million in
our members. dividends during the year.
Solid and Unwavering Outpacing Our National Peer Group
Gordon Simmons,
President/CEO
Performance Service Credit Union continued to be strong, safe and secure
Service Credit Union is pleased to report outstanding during 2008. Capital levels, at 12.69% of assets, are above the
results for 2008, at a time when many financial institutions credit union’s peer group average of 10.9% nationally. Loan
faced trying times or ceased to exist. The credit union’s delinquency was 0.23% in 2008, virtually unchanged since the
assets, loans, and shares reached unprecedented levels, and credit union reached this historic low in 2006, and are remark-
we paid out $21.7 million in dividends to members. ably lower than the 1.1% average for credit unions in our peer
group. Return on assets was 0.29% in 2008. This income is
Loans outstanding, as of december 31, 2008, are at the returned to members in the form of improved dividends
highest level in the history of the credit union. Our total and lower loan rates, additional financial products, service
loan portfolio was $912.2 million as of the end of the enhancements and increased access points. Our mortgage
year, a significant increase of $132 million from 2007. portfolio remains strong and we continue to invest credit
Real estate loans outstanding were at $336.2 million, union resources to make affordable home ownership a
representing 37% of the loan portfolio. While interest reality for more members.
rates on real estate loans are dictated by market
conditions, fees and service can vary widely by
institution. Service Credit Union has retained the servic-
ing rights on real estate loans, saving members hun-
dreds of dollars in closing costs. Our total auto
loan portfolio increased to $385.1 million
in 2008, up $61 million from 2007.
Auto loans account for over
42% of the total loans
outstanding in the TOTAL ASSETS
In Millions
Assets at $1,400
Service Credit $1,250
Union reached
$1,100
$1.321 Billion as of
December 31, 2008. $950
Service Credit Union is the $800
94th largest out of 8,064
U.S. credit unions. $650
$500
4 1975 1985 1995 2005 2008
PRESIDENT’S REPORT
Investing in Member Convenience latest technology allows members to check balances, obtain real-time
transaction information, pay bills, transfers funds, and more.
In 2008, we opened our sixth 7-day branch inside a Wal-Mart in
New Hampshire, expanding our market reach within the state. Also Exclusively offered by Service Credit Union, Online Euro Bill Pay now
in 2008, Salmon Falls Community Credit Union merged into Service makes it possible for members to make Euro payments throughout
Credit Union, enabling us to welcome new members in another Europe right from their computer, mobile phone or PdA.
new market. We relocated our Salem branch, one of our most highly
Service Credit Union also introduced a low graphics website,
trafficked branches, to a new location directly across the street,
where military stationed in remote parts of the world are now
that is larger with more lanes and drive-up ATM windows. We
able to access servicecu.org with speed and navigate menus with
also increased our visibility in the Lebanon community with a new
ease. Like the main website, this service is available in English,
traditional branch, adding to the highly successful location inside
Spanish, and German. Members can also stay in touch with the
dartmouth Hitchcock Medical Center. Overseas, we renovated our
credit union through e-news, e-statements, daily Euro rate
Ansbach branch office. We now have 32 branches worldwide.
watcher, daily mortgage rate watcher, our online knowledge
Service Credit Union now offers deposit-taking ATMs. Two base of frequently asked questions, our new online help
deposit-taking kiosks were installed overseas in the Kaiserslautern center, and more.
and Grafenwoehr military communities and many ATMs stateside
As we grow and add new products and convenience services,
now accept deposits.
we also focus on providing members with a greater sense
As a not-for-profit financial cooperative, it is important for us to look of security, such as our free member Id theft protection
beyond our own services to enhance member value. Today, members program and newly enhanced encrypted email process
can conduct Service Credit Union transactions at 5,600 shared for ongoing communications with the credit union.
branch locations worldwide, 1,700 shared branching kiosks, and
nearly 28,000 surcharge-free ATMs worldwide. Our Ongoing Commitment
to Members
We view our member relationships as lifelong, and
Service Credit Union offer a full array of programs for those just starting out, in
paid members transition, or planning for the future. Employees in our
branches and contact centers are empowered to
21.7
$ immediately decision and fund loans, and make whatever
reasonable accommodations are necessary to serve members.
Service Credit Union provides savings plans, borrowing
million in dividends opportunities and additional services based on the combined
in 2008. resources of all members. Your individual relationship with
Service Credit Union is of paramount importance to the credit
union’s ability to deliver high-value services. Your deposits
represent your share of ownership in your credit union. Credit
Technology Drives Member Access union earnings are returned to our members in the form of more
Service Credit Union’s focus on convenience and member service competitive dividend and lending rates, new products and services
is strongly dependent on the credit union harnessing the power of for added convenience, and more.
new technologies. All of our products and services are available Today, we have grown to serve nearly 120,000 members located in every
to Service Credit Union members worldwide, critical for our U.S. state and 40 countries around the world, but we still maintain the focus
mobile membership. Our adoption of technology coupled that each member is a person, not a number, and each member’s needs
with exceptional member service, are the primary reasons are unique.
we have experienced growth.Your credit union has
added more access and convenience services for Service Credit Union symbolizes exceptional product and service delivery in a
members every year. stable and secure environment. As a financially strong organization dedicated solely
to satisfying our member-owners’ financial needs, we could not do this without you.
In 2008, we introduced a number of services to We thank you for your trust, and we pledge to continue our mission to exceed
enhance the member experience, including our your expectations for financial services delivery.
MobileBanc24. The new service gives mem-
bers unprecedented access, 24/7, to their
banking transactions directly through a
web-enabled cell phone or PdA. This
5
OUR VOLUNTEERS
Service Credit Union Board of Directors
David Van Rossum, Patrick Harrigan, B.A., J.D., Gordon Simmons, B.A., M.B.A.,
B.S., M.B.A., Vice Chairman Treasurer/Secretary
Chairman
david van Rossum has served on the Board Gordon Simmons has 38 years credit union
since 1991, currently as Chairman. He Patrick Harrigan joined the Board in 2004 and experience, 34 years with Service Credit
previously served as Board vice Chairman and currently serves as vice Chairman, as well as Union. In addition to his Board position,
Chairman of the Supervisory Committee. Prior Chairman of the Supervisory Committee. Mr. Mr. Simmons also serves as President/CEO.
to his involvement with Service Credit Union, Harrigan has also served on the Supervisory He holds the following board positions:
he was associated with Newco, the credit and Credit Committees. He practices law Chairman, defense Credit Union Council;
union serving Simplex Wire & Cable. Mr. van in Portsmouth, New Hampshire, at the Law Armed Forces Financial Network; New
Rossum is the CFO of Russound in Newmarket, Office of Patrick F. Harrigan, and received a Hampshire Credit Union League; and
New Hampshire, and has held prior executive B.A. in Economics from Brown University and Chairman, America’s Credit Union Museum.
positions. He received a B.S. degree in Business a J.d. from the University of Maine. He received a B.A. in Business from the
Administration from the University of New University of Maryland and a M.B.A. in
Hampshire and a M.B.A. from Southern New Quantitative Analysis from the University of Utah.
Hampshire University.
ABOUT OUR VOLUNTEERS: Supervisory Committee
As a not-for-profit cooperative financial institution, Patrick Harrigan, B.A., J.D., Chairman
credit unions elect officials who volunteer their time
and talent to serve the credit union. The credit union
Board and Committee members are nominated from
the membership at large, and voted on by the members
at the annual meeting. Service Credit Union is proud to
have a devoted group of members serving on the Board.
They meet no less than once a month and
have a commitment to make certain
the credit union provides valuable
products and services to
the membership. Joanne Whiting, B.A., J.D. James Fishbein, B.A., D.D.S.
Joanne Whiting served on the James Fishbein served on the
Credit Committee beginning in Credit Committee beginning in
2004 and currently serves on 2001 and is currently a member
the Supervisory Committee. Ms. of the Supervisory Committee.
Whiting is the EvP/Chief Advocacy dr. Fishbein maintains a private
Officer/General Counsel of the dental practice in Portsmouth,
Wisconsin Credit Union League. New Hampshire. He received
She received her B.A. degree from a B.A. from the University of
Concordia College and a J.d. from New Hampshire, and a d.d.S. from
6 the University of Wisconsin. New York University.
OUR VOLUNTEERS
Barbara Roberge, A.A., Clifford Taylor, David Hanchett, B.A.,
Board Member Board Member Board Member - Associate
Barbara Roberge worked for Service Credit Clifford Taylor has served as a Service Credit david Hanchett has been involved with credit
Union for 23 years. The year following her Union volunteer for 29 years and he has been unions for over 30 years. He was Treasurer at
retirement, she returned to the credit union to a Board member since 1985. Prior to that, he Spaulding Memorial Federal Credit Union for 10
join the Credit Committee, then the Supervisory served on the Supervisory Committee. He years. Mr. Hanchett served on the Supervisory
Committee, and served as Chairwoman of the is past Chairman of the Board, and has also Committee and has held the position of
Supervisory Committee. She was elected to served as the Chairman of the Supervisory Chairman of the Committee. He was elected to
the Board of directors in 2001 and served as Committee. Mr. Taylor is a past President the Board of directors in 1999. He received a
Chairwoman. Ms. Roberge holds an Associates of the Greater Portsmouth Chamber of B.A. from Nichols College.
degree in Liberal Arts from New Hampshire Commerce, past President of the Portsmouth
Community Technical College and is presently Rotary Club, and former General Manager of
enrolled in a B.A. program at Southern WHEB Radio Station. He attended Emerson
New Hampshire University. College in Boston and the Cambridge School
of Broadcasting.
Credit Committee
Capt. Ronald Smith, CMSgt. Raymond Drapeau, Lt. Col. Donald Houldsworth, LT. Col. James Lyn Walters
USAF Ret., B.A., USAF Ret. USAF Ret., B.A., M.S. USAF Ret., B.S., M.A.
Chairman
Ronald Smith was employed Raymond drapeau has been on the donald Houldsworth was appointed James Lyn Walters was appointed to
by Service Credit Union from Credit Committee since 1986, and to the Credit Committee in 2001, the Credit Committee in 2004. Mr.
1992-1999. Mr. Smith returned to has served as Chairman. Mr. drapeau and has served as Chairman. Walters retired as an Air Force LTC
join the Credit Committee in 2001 also served on the Supervisory Mr. Houldsworth received a B.A. in 1989 after serving his country
and currently serves as Chairman. Committee. He is retired USAF, from Boston University and a M.S. for 28 years. He received a B.S.
He received a B.A. degree from serving over 30 years and attended in Industrial Management from the from Allegheny College and a M.A.
Capital University. the Community College of the University of North dakota. from Michigan State University.
Air Force.
7
fINANCIAL REPORT
Statement of financial Condition Unaudited
ASSETS 2007 2008
Cash & Cash Equivalents...........................................$55,515,409 ...........................................................$53,204,718
Investments
(Net of Market Rate Adjustment) .........................$276,265,775 ........................................................ $264,773,129
Loans to Members
(Net of Allowance for Loan Losses).....................$777,445,366 ........................................................ $907,766,358
Accrued Interest Receivable ...................................... $5,425,605 .............................................................$5,223,318
Property & Equipment
(Net of Accumulated depreciation) .......................$23,649,006 ...........................................................$35,347,231
Other Assets ................................................................$55,767,064 ...........................................................$54,444,684
Total Assets ...................................................... $1,194,068,225 ................................................. $1,320,759,438
LIABILITIES & EQUITY
Promissory Notes & Interest Payable ................ $121,520,070 ...................................................... $176,324,788
dividends Payable ........................................................................ $0 ...........................................................................$0
Other Liabilities ..........................................................$29,659,545 ........................................................ $27,157,245
Total Liabilities .................................................. $151,179,615 .................................................... $203,482,033
Member Accounts .................................................. $881,305,697 ...................................................... $946,247,374
Reserves........................................................................$14,884,916 ...........................................................$15,187,886
Undivided Earnings ...................................................$148,321,597 ...................................................... $152,472,077
Gain/Loss AFS Investments........................................ $1,035,235 .............................................................$6,725,574
Gain/Loss FAS 158 Pension .................................... $(2,658,835) ..........................................................$(3,355,506)
Total Equity..................................................... $1,042,888,610 ................................................. $1,117,277,405
Total Liabilities & Equity ........................... $1,194,068,225 ................................................. $1,320,759,438
Statement of Income Unaudited
INTEREST INCOME
Interest on Loans ........................................................$49,135,409 ...........................................................$53,694,281
Interest on Investments.............................................$13,382,214 ..........................................................$12,823,440
INTEREST EXPENSE
dividends ......................................................................$23,862,832 ..........................................................$21,704,349
Interest on Borrowed Funds ...................................... $4,421,960 ............................................................$5,571,739
Provision for Loan Losses ........................................... $5,695,530 ............................................................$7,252,821
Net Interest Income...........................................$28,537,301 ....................................................... $31,988,812
OPERATING EXPENSES
Compensation and Benefits .....................................$24,901,672 ..........................................................$26,696,702
Office Operations and Occupancy ........................... $9,762,593 ..........................................................$10,610,631
Other.............................................................................$10,373,096 ..........................................................$12,167,295
Other Operating Income ......................... $23,584,554 ............................................. $26,670,991
Non-Operating Income Gains (Losses) .....$1,629,864 ............................................$(5,600,025)
Net Income.............................................................. $8,714,358 .........................................................$ 3,585,150
8
fINANCIAL REPORT
fINANCIAL REPORT
Statement of Reserves and Retained Earnings Unaudited
Unapp. Unrealized Other
Statutory Retained Gain or Loss Comprehensive
Reserves Earnings AFS Income Total
Balance 12/31/07 $14,884,916 $148,321,597 $1,035,235 $(2,658,835) $161,582,913
Unrealized Gain/Loss AFS $5,690,339 $5,690,339
Net Income $3,585,151 $3,585,151
FAS 158 Pension Adjustment $(696,671) $(696,671)
SFCCU Merger $302,969 $565,330 $868,299
BALANCE 12/31/08 $15,187,885 $152,472,078 $6,725,574 $(3,355,506) $171,030,031
Classification of Loans Outstanding
Other Adjusted
Degree of Delinquency Number Amount Assets Delinquency
Current 76,132 $898,602,591 $(26,580) $898,576,010
Less than 2 months 1,362 $11,270,130 $(99,248) $11,170,882
2 to less than 6 month 429 $2,348,041 $(258,972) $2,089,070
6 to less than 12 month
12 months and over
TOTAL LOANS 77,923 $912,220,762 $(384,800) $911,835,962
Assets (In Millions) Deposits (In Millions)
2008 945
2008 1,321
2007 1,194 2007 880
2006 1,081 2006 794
2005 739
2005 1,020
2004 919 2004 677
500 650 800 950 1,100 1,250 1,400 500 600 700 800 900 1,000
Loans (In Millions) Members (In Thousands)
2008 912 2008 120
780 109
2007 2007
2006 725 2006 104
2005 673 2005 101
2004 617 2004 87
400 500 600 700 800 900 1,000 70 80 90 100 110 120 130
9
fINANCIAL REPORT
Treasurer’s Report Loan Delinquency (12/08) Service Peer Group
1.20%
THE ANNUAL REPORT to the membership contains complete statements
of Service Credit Union’s financial condition, income, reserves, and retained
Deposits 0.80%
earnings for 2008. Key highlights for the past year include: (in
0.40%
millions)
• Loans outstanding increased by 16.9% to $912,220,761
• Auto loans increased by 18.80% to $385,132,769 0.00%
1997 1999 2001 2003 2005 2007 2008
• Share capital increased by 7.36% to $944,831,676 Loan delinquency stayed below the peer group through 2008 at 0.23%.
• Total assets are up 10.61% to $1,320,759,439
• Total reserves and undivided earnings increased by 2.73% to $167,659,963
• Members earned a total of $21,704,349 in dividends in 2008 Net Worth to Assets (12/08) Service Peer Group
24.00%
In 2008, the total loan portfolio at the credit union reached $912.2 million,
distributed as follows: 42% in auto loans, 29% in first mortgages, 10% in 20.00%
unsecured loans, 8% in credit cards, 8% in other real estate loans, and the
16.00%
remaining 3% in other loans or recreation vehicles.
We are pleased to report that loans, shares and assets are at 12.00%
unprecedented levels for Service Credit Union. These financial results
show that 2008 was a very successful year for your credit union and 8.00%
1997 1999 2001 2003 2005 2007 2008
clearly demonstrate our overall financial strength.
Net worth to assets is a measure of the credit union’s safety and soundness. Service Credit
Unlike the horrific reports you may have heard about subprime loan Union continues to maintain a net worth to assets ratio well above its peers.
losses and bailouts of large megabanks, Service Credit Union never made
such loans, still does not offer subprime lending nor purchase equivalent
Total Assets (12/08 in Millions) Service
risky investments and never will. Your money is very safe and secure at
your credit union where our members have never lost a penny, but have $1,300
prospered through our wise saving and prudent, conservative investments
and borrowings with Service Credit Union. $1,050
Share accounts are insured up to $250,000 with an additional $250,000
insurance available for IRA and Trust accounts. Service Credit Union $800
complies with both New Hampshire and federal financial regulations and
undergoes regular state and federal examinations. Your credit union has $550
been consistently rated highest in safety and soundness and was rated such
again in our last New Hampshire state financial examination. In fact, Service $300
Credit Union has flourished through your confidence and patronage.
$50
Assets have increased by more than 368.2% or $1.04 billion in the past 14 1983 1989 1995 2001 2005 2008
years from $282.1 million to $1.32 billion as of the end of 2008. Service One measure of success is credit union growth. Since 1995, Service Credit Union assets
Credit Union is now rated not only as the safest and soundest by our have nearly quadrupled. This growth reflects our members’ loyalty to the credit union.
regulators, but your credit union is also the 94th largest of over 8,000
credit unions in America.
In summary, the strong commitment and expertise of our professional Loan Portfolio (12/08)
management team and your Board of directors and other volunteers,
makes certain that Service Credit Union remains a sound place to invest Other Real Estate Other Loans
First Mortgages 8% 3% Unsecured Loans
and borrow. We will ensure that your money will continue to be safe at
your credit union. 29% 10%
Gordon Simmons
Treasurer
Credit Cards 8% Auto Loans 42%
In 2008, the total portfolio at the credit union is $912.2 million with 42% in auto loans, 29% in
first mortgages, 10% in unsecured loans, 8% in credit cards, 8% in other real estate loans, and the
10
remaining 3% in other loans or recreation vehicles.
fINANCIAL REPORT
Branch Detail
OffICE SHARE CAPITAL LOANS
STATESIDE
Bedford ............................................................................................$23,090,941.....................................................................$41,860,000
Contact Center US ................................................................... $153,880,787.................................................................. $200,951,745
dHMC .............................................................................................$48,472,946.....................................................................$85,084,151
Epping In-Store ................................................................................$2,630,324.......................................................................$2,301,227
Falmouth .........................................................................................$58,410,531.....................................................................$38,045,353
Keene ...............................................................................................$50,110,250.....................................................................$86,377,870
Lebanon .............................................................................................$2,328,783.......................................................................$1,180,107
Manchester In-Store ......................................................................$5,578,781.......................................................................$3,027,658
Newington In-Store ........................................................................$3,999,859.......................................................................$3,446,664
Pease ................................................................................................$43,135,514.....................................................................$35,798,289
Portsmouth.....................................................................................$68,487,788.....................................................................$73,053,140
Portsmouth In-Store ......................................................................$4,951,792.......................................................................$2,185,218
Rochester........................................................................................$12,416,261.....................................................................$22,136,069
Rochester In-Store .........................................................................$1,888,705.......................................................................$2,614,534
Salem ................................................................................................$70,969,548.................................................................. $100,344,065
Salem In-Store..................................................................................$5,435,242.......................................................................$2,179,102
Somersworth .................................................................................$13,296,212.......................................................................$6,214,778
Tycom ................................................................................................$1,172,460.......................................................................$1,808,839
STATESIDE TOTALS $570,256,722 $708,608,810
OVERSEAS
Ansbach ...........................................................................................$17,923,193.....................................................................$10,565,697
Bamberg ..........................................................................................$15,984,661.......................................................................$8,402,934
Baumholder ....................................................................................$12,156,148.......................................................................$7,440,002
Garmisch ...........................................................................................$9,169,282.......................................................................$1,295,402
Grafenwoehr ....................................................................................$8,083,663.....................................................................$11,523,871
Heidelberg ......................................................................................$60,361,390.....................................................................$15,866,906
Hohenfels ..........................................................................................$6,223,278.......................................................................$6,078,271
Mannheim .......................................................................................$32,431,465.....................................................................$17,189,025
Contact Center OS ......................................................................$25,788,885.....................................................................$16,446,634
Ramstein..........................................................................................$68,287,858.....................................................................$44,852,647
Spangdahlem ...................................................................................$26,375,718.....................................................................$21,627,028
Stuttgart ..........................................................................................$28,207,399.....................................................................$10,911,325
Stuttgard Panzer ..............................................................................$7,774,600.......................................................................$4,647,068
vilseck..............................................................................................$11,475,670.......................................................................$8,481,508
vogelweh .........................................................................................$44,331,745.....................................................................$18,283,632
OVERSEAS TOTALS $374,574,954 $203,611,951
COMBINED TOTAL $944,831,676 $912,220,761
11
financial report
Supervisory credit committee
committee report report
Your SuperviSorY Committee is elected by the ServiCe Credit uNioN, like all credit unions, was
membership in accordance with New Hampshire State established to promote thrift and provide a convenient
Law and your credit union’s bylaws to ensure that the place for members to borrow at reasonable rates. in
credit union conducts its operations and activities in order to accomplish these objectives, your Board of
a safe and fiscally-prudent manner. it also acts as your directors establishes lending policies and charges the
representative, answering all communications regard- Credit Committee with the responsibility of implement-
ing credit union policies and services, to help Service ing these policies and overseeing lending operations.
Credit union fulfill its mission of providing financial
meeting the financial needs of our members and en-
service that is responsive to its members’ needs.
couraging them to use credit wisely, while maintaining a
the Supervisory Committee also ensures that audits high quality loan portfolio, provided the impetus behind
are accomplished on a regular basis and that established our outstanding loan growth. during 2008, your credit
internal controls effectively maintain and protect the union made 25,300 loans totaling $362,329,863 to
credit union and its members, management and employ- members, bringing our total outstanding loan portfolio
ees. Service Credit union employs an internal auditing to 77,923 loans totaling $912,220,761.
staff to monitor day-to-day operations through audit
As we look to the future, be assured that we will con-
and review. the Supervisory Committee consults with
tinue to maintain our commitment to provide a wide
these staff members on an ongoing basis to ensure the
range of superior credit services that are responsive to
continued integrity of the credit union’s finances and
members’ needs, while preserving the safety and sound-
reporting systems.
ness of your credit union.
the comprehensive annual audit required by federal
and state law was performed based on September 30, Ronald Smith
2008 financials by Clifton Gunderson, LLp of Baltimore, Chairman
maryland. After reviewing the results of our annual
audit, as well as many additional reports and financial
documents, we confidently state that Service Credit
union continues to maintain the highest possible level
of financial standards. We will remain vigilant repre-
sentatives of our members’ interests, ensuring Service
Credit union’s financial soundness, as your credit union
continues to provide you and your family with the high-
est level of member service.
Patrick Harrigan
Chairman
“…we confidently
state that Service Credit Union
continues to maintain the
highest possible
level of financial standards.”
12
MORE
MARkETING
Convenience.
Access.
Service.
Choose when and where you want to bank at Service Credit Union.
Whether you’re checking your balance, transferring funds or applying for a loan,
you have 24/7 access to your money.
Choose to go wireless with MobileBanc24.You can access your accounts through
a web-enabled cell phone or PdA anytime, anywhere. Or get connected online
at servicecu.org. If you prefer, stop by your local branch, or give us a call.
Our live Member Services Representatives can help you by phone 24/7.
Service Credit Union is available around the clock, so you can
take time for the things that really matter.
SOCIAL RESPONSIBILITY
Making a Community Impact
SERvICE CREdIT UNION strives to be a leader in corporate demanding economic times also created a challenge keeping food in
citizenship. We support charitable, non-profit and educational supply at the New Hampshire Food Bank. Right before the holidays,
programs dedicated to improving the overall well-being of our credit union members responded, gathering more than 1,300 pounds
members and the communities in which we do business. As a of food during our annual food drive. In addition, Service Credit Union
member of the Service Credit Union cooperative, you can take provided a leadership donation, not only to restock shelves, but also to
pride in your connection to each philanthropic initiative the encourage further community and business support. And both at our
credit union has undertaken to strengthen our communities. stateside and overseas locations, turkeys were donated to food pantries
or to base commanders for distribution to those without the means
Community Contributions for a holiday meal. Overseas in military communities where we serve
members, gift cards were also given to families in need to ease holiday
This past year Service Credit Union demonstrated the credit spending burdens.
union philosophy of “people helping people” through support of
critical community programs. As times began to get tougher in New England near the december
holidays, Service Credit Union helped fill the simple wishes of children
from families who faced severe financial challenges. Through online and
in-branch wish trees, the credit union filled over 400 wishes for items
such as a toy or something as simple as a new pillow. Both members
and community neighbors helped fill these wishes, along with the
credit union.
Volunteerism
Service Credit Union has also looked to increase volunteerism so
that many hands can touch many more lives. In September, Service
Credit Union embarked on a new partnership with City Year New
Hampshire, an organization that promotes citizen service.Young adults,
from across the country, volunteer a year of their time for community
service programs.
New Hampshire Governor John Lynch, left, accepts a
$25,000 check from Service Credit Union President/CEO
Gordon Simmons for New Hampshire Fuel Assistance
Community Action Agencies.
donations are carefully chosen based on maximizing the dollar
amounts reaching those in need and minimizing overhead,
despite challenging economic times, Service Credit Union
responded to the growing needs in our communities. Our goal is
not just to provide temporary or emergency assistance, but also
the tools for members and communities to better themselves.
Service Credit Union responded to the severe challenges
faced by many New Hampshire residents to pay home heating
The Service Credit Union Civic Engagement Team
costs, given a surge in fuel prices. The credit union kicked off a
campaign to help those communities most in need through a The credit union sponsored the Civic Engagement Team, which
leadership donation presented to New Hampshire Governor organizes and leads youth, corporate employees and citizens of all ages
John Lynch. We also offered tools to help our communities get in a variety of urban and community projects. In addition to managing
through the cold winter, including money-saving tips and dis- service initiatives, the Civic Engagement Team endeavors to educate
counts through a program the credit union established with area and promote volunteerism.
vendors. A new energy loan was also created to help members
pay for fuel or energy-efficient home improvements. Throughout 2008 Service Credit Union employees, both stateside and
overseas, donated many hours to support credit union events. Special
14
SOCIAL RESPONSIBILITY
volunteer activities included branch staff on military installations handing The credit union also supported “Boxes From Home” for
out stockings to soldiers deploying on Christmas Eve, staff members shop- New Hampshire troops deployed in Iraq and Afghanistan.
ping for and wrapping gifts to fill children’s wishes, forming teams to play in
a sports event to benefit cancer research, and more. In September, the credit union donated exercise equipment to
Warrior Transition Units overseas for soldiers in rehabilitation
following injury during a tour of duty. The credit union was honored
Cooperative Collaboration to support this endeavor to help wounded soldiers recover.
International Credit Union day was celebrated in October with our Service Credit Union continues its support of the Landstuhl Fisher
annual Make-A-Wish event, where a child, who has experienced a House. The Fisher House provides a “home away from home” for
serious, life-threatening illness, becomes an ambassador for the families and patients receiving medical care, mainly due to combat
program and a friend of the credit union. Ongoing events include a injuries, at the Landstuhl Regional Medical Center in Landstuhl
visit to the firehouse, supporting fundraising efforts and volunteering Germany. Armed Forces Financial Network (AFFN) matches a dona-
to help the children and their families at special events. tion made by the credit union annually.
Make-a-Wish held its annual Winter The Edelweiss Hotel in
Festival and Reunion in december in Garmisch Germany is
Manchester. Service Credit Union another organization Service
employees volunteered by manning Credit Union is proud to
tables to frost holiday cookies, making sponsor. This military hotel
decorations and holiday crafts, and caters to soldiers and their
other activities, giving families of families on rest periods
Make-a-Wish kids the chance to between deployments. The
connect with other children who credit union sponsors a
have shared their experiences. photograph of every family
Credit Unions throughout the state of checking into the hotel and
New Hampshire and elsewhere are proud various events during the
to work cooperatively to brighten the year, such as a 4th of July
lives of Make-a-Wish children and event honoring America
Family members of the New Hampshire Air National Guard enjoy and our troops. Similar 4th
their families.
Flick ‘N’ Float night at the Seacoast YMCA in Portsmouth. of July events are held near
other military installations
Military where we serve in Germany.
Service Credit Union serves many 2008 marked the unveiling of the
communities in the United States and Air Force Monument at the veterans
Europe. Military members and their Cemetery in Boscawen, N.H., of which
families may face unique challenges, Service Credit Union was a sponsor.
financial and otherwise, during Hundreds of people gathered on veterans
deployment and relocation, and the day to honor veterans and view the dedi-
credit union participates in many cation. The memorial pays tribute to the
initiatives each year to benefit military past, present and future of the Air Force.
members and communities.
A list of donations, community events,
Service Credit Union is honored to and volunteer efforts sponsored by
support New Hampshire Air National Service Credit Union, are listed on the
Guard at Pease when needs arise. during next page. We are proud to be connected
the holidays, gift cards were donated to to so many outstanding organizations with
Guard families facing financial challenges the same philosophy of “people helping
ranging from deployment to the a severe people” as we endeavor to improve
ice storm in december. Many were dis- conditions and enrich the communities
placed from their homes or without heat. we serve.
The holidays at Pease culminated in the
annual Holiday Celebration and Awards
Ceremony, where the credit union was Members of the military help deliver turkeys
honored for its ongoing commitment to donated by Service Credit Union to families
the guardsmen and their families. in need in Hohenfels, Germany.
15
SOCIAL RESPONSIBILITY
Contributions Events
52nd Services Squadron NH Food Bank Turkey Match College Night Kaiserslautern
435th Services Squadron NHCUL CU 4 Reality FairTM
5th Signal Command NHPTv dISA Annual Golf Tournament
Air Force Memorial Nute High School Earth day
America’s Credit Union Museum Pease Greeters Easter Celebrations in Spangdahlem
Antenne K’Lautern Project Headstart Fourth of July Events
Big Brothers Big Sisters Portsmouth Chamber of Commerce Halloween Events
Black History Month Saber Portsmouth Salvation Army Heidelberg Rally for the Cure
Cycling Team Strawbery Banke Museum Hohenfels May/September
Bowling in Spangdahlem, Hohenfels, Ramstein Fitness Centers Golf Tournament
Heidelberg, Mannehim Kids Koncert Series in Somersworth
Rochester Child Center
Boxes from Home Programs Kidsfest in dover
Rochester Chamber of Commerce
Breathe NH Make-a-Wish Holiday Reunion
Rochester School System
Community Organization for Mannheim German-American
Rochester Opera House
Rochester Enhancement Summer Fest
Rochester Knitting for Charity
City Year New Hampshire Marshall Center Organizational day
Program
CU 4 Reality™ NCO of the Year
Rochester Library
dartmouth College Football Team NHPTv Annual Telethon
UNH Wildcats
dartmouth College Hockey Team NH Children’s Museum
Salem Food Pantry
david’s House CHad in Lebanon Fun Run
Somersworth Chamber of Commerce
derry Salvation Army Operation Thank You
Somersworth Main Street
dollars for Scholars Portsmouth Parade
Somersworth Police department
dondero School Project Headrest Harbor
Somersworth Youth Safe Haven
dover Chamber Rail Trail Ramble
The Financial Literacy Project
Edelweiss Lodge Rochester Moonlight Madness
Toys for Tots
Epping Food Pantry Rochester Parade
Turkey Match to NH Charities
Falmouth Food Pantry Salem Parade
Turkey donations to Military
Families First Somersworth International
Families in Germany
Children’s Festival
Fuel Assistance Programs USAG Heidelberg, Mannheim,
Spangdahlem Gaming Tournament
Gift Cards to Military Families Grafenwoehr
Strawbery Banke Museum
Homemakers Health Services various Army Community Service
“An American Celebration”
Hugh O’Brien Youth Leadership Offices
WERZ Literacy Book drive
Jacob’s Ladder various Morale, Welfare and
Recreation Offices Winter Carnival
Keene Salvation Army
vFW YMCA Flick ‘n’ Float for
Keene Swamp Bats Military Families
WERZ Literacy Book drive
Keene Community Kitchen
Equipment donations to
Landstuhl Fisher House
Warrior Transition Units
Listen Center of Lebanon
4th of July Events in Heidelberg,
Make-a-Wish Spangdahlem, Ramstein
Malley Farm Boys Home 2008 Golf Tournament Series
Manchester Salvation Army in Spangdahlem
Newspapers in Education Ansbach volunteer Appreciation
NH Air National Guard Ceremony
NH Children’s Museum Call of duty Tournament
NH Sheriff’s Association Charity Golf Tournament
16 in Rochester
fINANCIAL EDUCATION
Teaching
financial
Responsibility
SERvICE CREdIT UNION believes
that providing financial education is
a key component in helping members
achieve financial freedom and provide
for their future. The credit union holds
seminars within our communities and online
at servicecu.org on a variety of important
topics, from basic money management skills to
managing credit wisely.
Online webinars are offered throughout the year, and
more members took advantage of this educational tool
than ever before. Members participated in real-time
or accessed them independently at their convenience.
Webinars are marketed for online sign up through
servicecu.org and information is also posted in branch. period in 2008. This financial
Topics range from basic budgeting to how to repair education initiative is in cooperation with
credit through financial planning. America Saves and the department of defense, offer-
ing tools and techniques to military members to “Build
Service Credit Union also runs a comprehensive
Wealth Not debt.”
financial education program for our youth. The
CU 4 Reality™ Program, a program developed among A free monthly financial newsletter giving tips and advice
credit unions through America’s Credit Union Museum on financial topics is emailed to our military members
Financial Literacy Education Committee, offers an in- who have subscribed to it on the Service Credit Union
class curriculum to local schools, followed by a website. There are currently about 500 members signed
culminating hands-on event, known as the CU 4 Real- up and the numbers are growing steadily. Subscription
ity™ Fair. Partnering with schools and local community drives are held at overseas events in the communities
businesses, Service Credit Union helped foster practical and in the branches to ensure our members have access
financial education for over 1,300 students to all financial education tools offered.
this past year.
We are proud and humbled that we can make such
The credit union’s Managers of Community Financial a great impact on members, now and in the future,
Education in the U.S. and Overseas visit over 1,000 through financial education. These commitments to
students annually to speak on money management helping our members achieve financial security and
topics from balancing checkbooks to lending practices. independence help demonstrate the credit union
In Germany, more than 400 current and new members difference for our members and the communities
signed up for the Military Saves Program in a one week we serve.
Service Credit Union helped foster
practical financial education for
over 2,700 students
and adults in 2008. 17
MEMBER fEEDBACk
Completely
“ “This branch has to be one of the friendliest and professional in the
lineup! I am always at ease, like at home, here.” – Hazel, New Hampshire
satisfied
with the service that “The Member Services Representative was pleasant, knowledgeable
the branch staff and completed my transaction in a business like manner. She was neat,
provides. complete and accurate. My transaction involved deposit, withdrawal and
purchase. She was very informative with my paperwork.”
I have always been – Albert, New Hampshire
taken care of.”
– Robert, Germany
“They have a great staff here and they made my experience wonderful.
I’m lucky to have such a wonderful credit union now.” – Octavius, Germany
“Just wanted to thank you for a wonderful and friendly and helpful service.
Many kudos.” – Richard, Germany
“Everyone (in the real estate department) was helpful, professional, yet friendly.
I can’t say enough about all I dealt with. I am so happy with Service Credit Union
and glad I changed banks a few years ago. I don’t feel like just a number with
Service Credit Union.” – Sally, New Hampshire
“ Last Sunday, I was contacted by the Electronic Services Department. Someone had
gained access to my card information, made a duplicate card and all but drained my
checking account. I am happy to say, that in just a couple of days everything was taken
care of. With the help of the local branch, a new card was issued and I got the information I
needed for the VISA paperwork from Electronic Services. I checked back
the next morning and the money was already back in my account. I can’t think of a
better place to do our banking.” – Matthew, New Hampshire
“ The Member Services Supervisor was excellent. He was personable, business-like and
patient. It was New Year’s Eve, the branch was due to close at 1:00 p.m. and a major snow
storm was raging. Our 11:00 a.m. appointment took time but we never once felt we were
putting him out.Thank you.” – Connie and Jim, New Hampshire
“ We are very happy with the service we get each time we use Service Credit Union.
The Member Services Representatives are great, patient, cheerful and knowledgeable.”
– Sandee, Germany
18
2008 HIGHLIGHTS
2008 Highlights
January Shared branching deposit-taking ATM kiosk installed
in Ramstein, Germany
February New secure email system providing a safe, encrypted email
channel for our members
March MobileBanc24 introduced
Epping, N.H. Wal-Mart In-Store branch opening
April Cross-border payments introduced
for Euro Bill Pay
May New branch location opens in Salem, N.H.
ATM installed in Grafenwoehr Military Community
in Germany
June Wentworth-douglass Hospital ATM installed in dover, N.H.
Somersworth, N.H. branch opens
August vA mortgage in-house lending available
4
Service Credit Union
September The first and only drive-up ATM opens in the Kaiserslautern
celebrates the new Military Community on Ramstein Airbase, Germany
location for the Salem
traditional branch.
October Lebanon, N.H. branch opening
November A low graphics version of the servicecu.org website launched
vISA® gift cards available for sale in branches
December Ansbach Branch Renovation Grand Opening in Germany
19
senior management
gordon simmons, Capt. edward murphy, William newman, scott Wensley, Capt. richard tolle,
B.a., m.B.a., UsaF ret., B.s., m.s., B.B.a., B.s., UsaF ret., B.s.,
President/Ceo executive Vice President Chief operations officer Chief Financial officer senior Vice President
Chief information officer overseas operations
Gordon Simmons has 38 years Edward Murphy has been with William Newman has over 30 Scott Wensley has over 30 Richard Tolle has over 26
credit union experience, 34 Service Credit Union for 24 years experience in information years experience in finance, years experience with Service
years with Service Credit Union. years and served on the Board systems. He joined the Service 27 years with Service Credit Credit Union, and currently
In addition to his Board position, of Directors prior to that. Credit Union management Union. Mr. Wensley managed runs Overseas Operations. He
Mr. Simmons also serves as Mr. Murphy is retired from the team in 1999, and serves as the various financial functions has extensive experience in
President/CEO. He holds the USAF after serving 22 years. CIO since 2003. Mr. Newman during his tenure and computer operations. Mr.Tolle
following board positions: He received a B.S. degree in was also appointed to the new currently serves as the CFO received a B.S. in Management
Chairman, Defense Credit Business Administration from position of COO. Prior to for the credit union. He is Science from Oklahoma State
Union Council; Armed Syracuse University and a M.S. joining Service Credit Union, responsible for Asset Liability University.
Forces Financial Network; degree in Management from he was employed by Bethpage Management (ALM), financial
New Hampshire Credit Troy State University. Federal Credit Union. He reporting and managing the
Union League; and Chairman, received a B.B.A. in the area SCU investment portfolio. He
America’s Credit Union of Administrative Computer received B.S. in Mathematics
Museum. He received a B.A. in Systems from Hofstra from the University of
Business from the University University. New Hampshire.
of Maryland and a M.B.A. in
Quantitative Analysis from the
University of Utah.
Karen Benedetti, michael Bergeron, Dan Clarke, B.s., Fred Curley, tom Joyce, B.s., m.P.a.,
B.a., m.B.a., B.s., m.B.a., Vice President - Vice President - Vice President - overseas
Vice President - marketing Vice President - Logistics Branch administration Human resources Branch administration
(east)
Karen Benedetti has nearly Michael Bergeron has over 30 Dan Clarke joined the Service Fred Curley has been employed Thomas Joyce joined Service
30 years experience in the years experience in the credit Credit Union management team by Service Credit Union for Credit Union in 2001. He has
financial services industry. union industry. He has been in 2008 following a merger with over 35 years in a variety 5 years experience as a Branch
She joined the Service Credit with Service Credit Union Salmon Falls Community Credit of capacities. He currently Manager and is experienced
Union management team in for 27 years in a variety of Union. He has over 20 years of heads Human Resources for in branch office and human
2005. Ms. Benedetti received capacities, and currently heads experience in various credit the credit union and also resource management. Mr.
a B.A. degree in Economics Logistics for the credit union. union executive capacities. has extensive experience in Joyce retired from the U.S. Air
from the State University Mr. Bergeron received a B.S. Mr. Clarke is past Chairman administrative services and Force in 2001 with over 23
College of New York and a from Plymouth State University of the Greater Somersworth years of active duty service and
security. Mr. Curley attended
Chamber of Commerce and
M.B.A. from Pace University. in Business Administration the State University of received a B.S. in Management
serves on various civic boards.
Prior marketing and financial Marketing and a M.B.A. from New York. from the University of
He received a B.S. in Accounting
services positions include Southern New Hampshire from Southern New Hampshire Maryland and a M.P.A. from
Citizens Bank, Fleet Financial University. University, and is a graduate of Bowie State University.
Group, Citibank, and the CUNA Management School.
New York Stock Exchange.
SENIOR MANAGEMENT
Paul Meade Bill Strand, B.S., M.B.A., fawn Terwilliger, B.S., Philip von Streicher,
Vice President - Regulatory Vice President - Vice President - Vice President - Overseas
Compliance Member Services Lending Branch Administration
(West)
Paul Meade has been employed Bill Strand has over 25 years Fawn Terwilliger joined Philip von Streicher has
by Service Credit Union for experience in the financial the Service Credit Union been with Service Credit
over 40 years and is currently services industry, and is management team in 2004. Union for over 20 years.
responsible for the credit responsible for the credit She received a B.S. in Business He possesses expertise in
union’s Regulatory Compliance. union’s Stateside Branch Offices, from the University of Phoenix, branch operations, foreign
Mr. Meade has extensive Contact Center, Community and completed an Executive currency, and administration.
experience in operations, Financial Education and development program at Mr. von Streicher currently
delinquency control, and Business Analysis. He received Stanford University Graduate heads Overseas Branch
electronic services. He attended a B.S. in Mathematics from School of Business. Ms. Administration West. He
Penn State University and the the University of Idaho and a Terwilliger has 32 years of attended the University of
University of Colorado. M.B.A. from the University of experience in lending, branch Maryland.
North dakota. While serving operations and delinquency
as a Captain in the Air Force, control including Arizona
he completed post-graduate State Savings and Credit Union
studies at the University of and University and State
Arizona. Employees Credit Union.
300
Years of combined
Brian Bjorkman, B.S., Larry Stuker, B.A., Ana foret, B.S., C.P.A., experience in
Assistant Vice President Assistant Vice President Chief Internal Audit
Member Services Member Services Service Credit Union’s
Brian Bjorkman has been Larry Stuker has been with Ana Foret has over 7 Senior Management.
employed by Service Credit Service Credit Union for 4 years credit union auditing
Union for 6 years and served years. He is responsible for experience, with 5 years at
as the Manager of Financial the Stateside Contact Center Service Credit Union. She
Analysis. Mr. Bjorkman is and the In-Store Branches. Mr. has additional experience in
currently the Assistant vice Stuker has held managerial accounting and is a Certified
President of Member Services, positions at Philips Medical Public Accountant. Ms. Foret
responsible for traditional Systems and the Federal received a B.S. degree from the
branches stateside. He received Communications Commission. University of New Hampshire
a B.S. degree in Business He has a B.A. from California Whittemore School of
Administration from the State University and is a retired Business.
University of New Hampshire. Lieutenant Commander, U.S.
Naval Reserves.
21
PRODUCTS AND SERVICES
The Clear Advantage
SERvICE CREdIT UNION offers many unique fREE Instantly Issued Debit and Credit Cards
products and services to our members around the at all branches – Features include no annual fee, credit
limits up to $30,000, plus rewards and cash back options.
globe. Programs are focused on anticipating member Plus, there is never any hidden interest or fees.
needs and providing the most convenient service
experience possible. Money Market Account (Regular and High Yield) –
Money Market Savings Accounts from Service Credit Union
Online Account Opening & funding – You can open enable you to earn dividends faster on your savings.
almost any credit union account including checking, savings,
money market, STAR accounts and share certificates with Mortgage Lending U. S. Wide – Service Credit
our online application. Then fund your account right online! Union offers mortgages and equity loans on homes across
the Continental U.S. Just go online to apply, and get an
instant decision and a great mortgage rate!
Online Banking & Bill Pay – It’s easy to keep your
finances in check with Service Credit Union’s online services.
E-Statements – E-Statements are the quickest and safest
Check balances, view statements, transfer funds, pay
way to view your Service Credit Union monthly account
bills, download account information, and much
information. With our free E-Statement service, you can
more!
view your Service Credit Union statement online using our
secured online banking website.You no longer have to wait
MobileBanc24 – Now Online
for your “paper” statement to come in the mail, because
Banking members can manage
when your E-Statement is ready, you will be notified within
all banking transactions right
minutes by email.
through a web-enabled cell
phone or PdA. Simply key STAR Program – The STAR Program is designed for
in mobile.servicecu.org. Service Credit Union members who are just starting out
and meet certain income limit guidelines. This unique
Euro Bill Pay – program offers special discounts on loans and higher
Enables you to rates on deposit accounts.
initiate transfers from
your Service Credit Warrior Rewards – The Warrior Rewards Program
Union checking account offers special deposit rates and significant loan discounts to
to European banks in members currently or recently assigned to peacekeeping
Euro currency. Use this operations or for members decorated with a combat-
convenient service to related award.
request payments on a
one-time or recurring basis. fREE ID Theft Protection – Service Credit Union
offers members identity theft protection and recovery
Early Payday Checking – services at no cost, helping recover the good name of
With direct deposit, you can have Service Credit Union members who fall victim to identity
access to your money up to 2 days theft for any reason.
before everyone else. Many companies
and government agencies send your pay elec- Shared Branching and ATMs Worldwide –
tronically before your normal payday. Other financial Service Credit Union members have access to their
institutions hold your money, not Service Credit Union. If accounts at over 5,600 shared branch locations worldwide,
you have direct deposit with us and we receive your pay 1,700 shared branching kiosk, and 28,000 surcharge-free
early, we will make it available to you. ATMs worldwide.
Servicecu.org – Available in English, German and Spanish 24/7 Live Person Service – You can speak with a
for both military and civilian websites. Low graphics version Service Credit Union Representative at our Contact Center
introduced for military overseas with low bandwidth at 24 hours a day, seven days a week. We are ready to assist
servicecu.org/lowgraphics. Now our military can navigate you. Simply call 1.800.936.7730 stateside or 00800.4728.2000
our website with ease no matter where they are stationed. in Europe.
22
PRODUCTS AND SERVICES
24/7 Banking Convenience
SAVINGS PROGRAMS
• Savings Accounts
Easy Access,
• Share Draft (checking)
• Club Accounts
anytime, anywhere
• IRAs for our members.
• STAR Program for moderate income
earners and junior military enlisted
• Smart Savers for Kids and Teens TECHNOLOGY SERVICES
INVESTMENT PROGRAMS • Website - now in English,
CONVENIENCE SERVICES
• Share Certificates Spanish, German
• Low Graphics Website • ATMs (disbursing Dollars
• Money Market Accounts and Euros)
• Online Banking & Bill Pay
• IRA Certificates
• MobileBanc24 • Deposit-taking ATMs
• Trust Accounts
• Online Euro Bill Pay with • Shared Branching Kiosks
• Coverdell Education Savings Accounts
Cross Border Payments • Direct Deposit/Payroll
• Mutual Funds/Stocks through • Instant Online Account deduction
MEMBERS Financial Services Openings
• Euro Bill Paying
• Online Mortgage Decisions
LENDING PROGRAMS • Mail Loan/Telephone Services
• Online Quarterly Newsletter
• Personal Loans
• Monthly E-news Updates • Dollar & Euro Travelers Checks
• New & Used Vehicles • Internet Seminars • Wire Transfers
• Snowmobiles, Jet Skis, Boats, RVs • Daily Real Estate
• Motorcycles • 24-hour Automated
Rate Updates
Account Access
• VISA® Platinum, Gold, Classic, Secured • Daily Euro Rate
• Warrior Rewards • Early Payday Checking
Updates
• Line of Credit • E-statements • Instantly Issued VISA®
• Early Pay Loan Program (receive statements debit and Credit Cards
• Share/Savings Secured via e-mail) • 24/7 Live Credit Union
• Relocation Loans • Account to Account Transfer Representatives
• Community Lending Outreach Program • Courtesy Pay Overdraft
OTHER SERVICES
• Credit Union Indirect Lending Protection
• Cash Disbursements
• Energy Loans • Money Orders
• Financial Education
MORTGAGE PROGRAMS
• Advice on New/Used Car Value
• First Mortgages, Jumbo Mortgages,
• U.S. Government Bonds
Conventional Mortgages • Non-member Check Cashing
• Mortgages available in Continental U.S. • Investment Planning & Information
• Home Loan Payment Relief • Free ID Theft Protection
• VA Mortgages
• Home Equity Lines of Credit
• Home Equity Fixed Rates
23
CONTACT INfORMATION
NEW HAMPSHIRE
Bedford ......................................................................14 Colby Court ............................................(603) 629-9898
Epping, In-store branch (Wal-Mart) .............35 Fresh River Road....................................(603) 679-5187
Keene ...........................................................................403 Winchester Street ...............................(603) 352-0475
Lebanon .....................................................................dartmouth Hitchcock Medical Center ...(603) 650-7053
Lebanon ......................................................................225 Mechanic Street....................................(603) 448-9620
Manchester, In-store branch (Wal-Mart) .....300 Keller Street..........................................(603) 669-6546
Newington, In-store branch (Wal-Mart) ...2200 Woodbury Avenue ...........................(603) 431-2764
Newington, Tycom branch ..............................Not open to the general public (Ext. 284) ...(603) 436-6100
Pease Int’l Tradeport ...................................................14 Manchester Sq. Suite 190............................(603) 436-0537
Portsmouth ...............................................................2032 Lafayette Road....................................(603) 422-8340
Portsmouth, In-store branch (Wal-Mart) ...... 2460 Lafayette Road....................................(603) 436-1901
Rochester ...................................................................90 South Main Street ..................................(603) 335-3940
Rochester, In-store branch (Wal-Mart) ......116 Farmington Road..................................(603) 332-2043
Salem ...........................................................................158 North Broadway ..................................(603) 893-4377
Salem, In-store branch (Wal-Mart) .............300 North Broadway ..................................(603) 898-0166
Somersworth ...........................................................15 Penny Lane...............................................(603) 692-5620
MASSACHUSETTS
Falmouth .................................................................... 199 Worcester Court .............................. (508) 548-8877
GERMANY
Ansbach .................................................................. Bldg. 5823 ..........09802-8680 .....................dSN: 467-2556
Bamberg ................................................................. Bldg. 7290 ..........0951-297940 ....................dSN: 469-7657
Baumholder .......................................................... Bldg. 8669 ..........06783-999-9860 ..............dSN: 485-7109/6226
Garmisch ................................................................ Bldg. 9901 ..........08821-730-3600 ..............dSN: 440-3373
Grafenwoehr ........................................................ Bldg. 148 ............09641-926-790 ................dSN: 475-9050
Heidelberg ............................................................. Bldg. 3850 ..........06221-502-58800 ............dSN: 370-7138/7540
Hohenfels ............................................................... Bldg. 335 ............09472-911050 .................dSN: 466-4157
Mannheim .............................................................. Bldg. 250 .............0621-410-7890..................dSN: 385-2216/2301
Contact Center ................................................... Bldg. 2874 ..........00800-4728-2000
..................................................................................................................0631-351-2030 ................dSN: 493-4384/4390
Ramstein ................................................................ Bldg. 2410 ..........06371-463-9600 .............dSN: 480-5556/2425
Spangdahlem........................................................ Bldg. 174 ............06565-956-9510 .............dSN: 452-6674
Stuttgart-Panzer ................................................ Bldg. 2915 ..........07031-8194333 ..............dSN: 431-3237
Stuttgart-Patch ............................................................Bldg. 2325 ............0711-686-87580 ..............dSN: 430-7194/8181
Vilseck ..................................................................... Bldg. 224 ............09662-9235 .....................dSN: 476-2839/2087
Vogelweh ............................................................... Bldg. 2011 ..........0631-535-6500 ...............dSN: 489-6335/6336
24
Your savings federally insured to at least $250,000
and backed by the full faith and credit of the
United States Government. National Credit Union
Administration, a U.S. Government Agency.
Additional coverage of up to $250,000
is provided by Excess Share Insurance Corporation,
the nation’s largest private insurer for credit unions.
This additional coverage is available for IRA and Trust
Accounts. Service Credit Union is chartered and
regulated by the State of New Hampshire and was
recently awarded a top 5-star rating for safety
and soundness by an independent rating firm.
For more information on Service Credit Union
products or services, contact us online at
servicecu.org, or call us 24/7 at 800.936.7730 (U.S.),
00800.4728.2000 (Europe), or visit your local
Service Credit Union branch.
Your savings federally insured to at least $250,000
and backed by the full faith and credit of the United States Government.
National Credit Union Administration, a U.S. Government Agency
This Annual Report was printed on
recycled paper using vegetable-based inks.
24/7 Contact Centers: 800.936.7730 (U.S.) • 00800.4728.2000 (Europe) • servicecu.org