REPORT OF THE CEO

Throughout Erie Federal Credit Union’s entire 86-year history, and since our original charter granted in June of 1936, Erie FCU has responsibly grown to become the largest credit union in northwestern Pennsylvania, now managing over $779 million in assets. We remain a financial institution that truly values and cares about serving the financial needs and well-being of our members and community. Like you, whether employee or volunteer, each one of us serving at Erie FCU is a member and we remain committed to responsibly delivering financial solutions that meet the needs of all members, member businesses and the communities in which we serve. Our purpose-driven, member-first approach has become a beacon to those desiring a financial partner with their best interests at heart, and because of strong member and community support, Erie FCU is now well over 72,000 members STRONG and focused on an even brighter future.

Erie Federal Credit Union remains a financially stable financial institution. Capital by the end of 2022 increased from 9.56% to 9.72% of assets. This remains well above the ‘well-capitalized’ threshold of 7.00% established by the National Credit Union Administration (NCUA).*

• Assets grew 7.40%, or $54 million, increasing total assets to $779 million.

• Deposits grew 2.77%, or $18 million, increasing total deposits to $674 million.

• Loans grew an astounding 25.82%, or $98 million, increasing total outstanding loans to $476 million, including auto, mortgage, consumer and business lending portfolios.

In compliance with NCUA Rules and Regulations Part 748 and Appendix A, as required by the Gramm-Leach-Bliley Act, Erie Federal Credit Union actively maintains an Information Security Program that includes administrative, technical, and physical safeguards appropriate to the size, complexity, nature and scope of our activities. To protect member personal information from unauthorized access and use, Erie FCU incorporates a multitude of security measures complying with federal law. These measures include a sophisticated combination of infrastructure, data encryption, operational workflow, and physical and digital security safeguards. In addition, the Security Alerts & Notices area of our public website provides members with securityrelated notifications, alerts and helpful resources to ensure member knowledge and understanding of current and potential fraud and scam activity, including ways to minimize overall risk as a result of potentially fraudulent activity.

Building a Brighter Future Together

Erie Federal Credit Union was successful in completing many remodeling initiatives in 2022 to further enhance consistency and our internal “Strive for Five” culture focused on extending a fivestar experience to all Erie FCU visitors.

In June, we completed the long-anticipated remodel of our internal Support Center. This initiative added increased space and expanded access to our friendly team of knowledgeable and local support staff, thereby minimizing member wait times. Integrated in-person, online, phone and text tools permit enhanced and secure notification and communication with members, no matter where they are.

In addition, we completed a remodel of our West 32nd Street facility, which has been repurposed to serve as the credit union’s new centralized Employee Training and Media Center. No need to worry, existing ATM access will remain available at this convenient location. And to ensure members can find us, you may have noticed newly installed external signage bringing much needed consistency and identification to the Erie FCU brand.

Erie FCU remains committed to investing in the ongoing education and professional development of our staff and volunteers. In relation to our internal Employee Development Program, staff and leadership development resources were greatly enhanced throughout 2022 providing access to additional coaching, personal and professional development training, and networking opportunities. We are extremely proud to announce that beginning in 2023, all staff will begin work toward completion of the “HERO Community Development Certified Financial Counselor” certification curriculum. The objective of the HERO (Helping Everyone Reach Opportunities) curriculum is to train all credit union staff on the very best techniques in identifying financial distress, intervention, and coaching individuals and families to improve their financial lives. Through consistent coaching, education and development, Erie FCU desires to increase our team’s knowledge and overall valuable service to you, our members.

Looking to build a brighter future and further extend our service and the benefits of credit union membership, we officially broke Continued next page ground on our newest branch located at 7141 West Ridge Road in Fairview, PA. This new one-story, 1,500 square-foot branch is scheduled to open for business in the summer of 2023. The new branch will feature multiple drive-up lanes, a drive-up ATM, a warm and welcoming environment and private offices for meeting with members. From all of us here at Erie Federal Credit Union, we would like to sincerely thank Fairview Supervisors, the Fairview community and all of western Erie County in supporting and welcoming us to your neighborhood.

We would again like to extend our appreciation to our members and the community for your continued support, trust, and awareness of your credit union’s purpose. Because of our continued commitment to the communities we serve, Erie FCU was once again voted:

• “Erie’s Choice in Credit Unions” by readers of the Erie TimesNews for the tenth consecutive year in a row.

• Erie’s “Best Bank” for the ninth consecutive year by readers of the Erie Reader.

• Additional honors included three-time repeat winner of “Erie’s Choice in Mortgage Lender”, and our Erie Advisors group was awarded “Erie’s Choice in Financial Advisory Group.”

I want to express my sincere gratitude and respect for the accomplishments of our valued team members and volunteers. We continue making significant advancements. Many additional consumer and business service enhancements, workflow, and operational changes are planned in the coming year. I am confident that we will be successful in positively impacting the overall member experience and our product and service delivery.

In conclusion, Erie FCU remains focused on building a brighter future and strongly believe in supporting member desires to succeed financially. We remain committed to doing the right things in support of our members and local businesses while promoting our city and region. As a valued member, you are the purpose behind all we do; the reason for our continued growth and success. Our collective success relies on continued support from our members, dedicated staff, volunteers, and community partners. We cannot make the difference we do without you. Thank you!

Erie FCU is here to serve you!

Sincere wishes for a safe and productive 2023,

Supervisory Committee Report

Erie Federal Credit Union’s Supervisory Committee consists of volunteers who are appointed by the Board of Directors in accordance with the Federal Credit Union Act. This Committee is responsible for ensuring that credit union policies, procedures and internal controls are adequately designed to protect the Credit Union and its members’ assets against fraud and conflict of interest. The Committee oversees and reviews the work of the internal audit department and ensures the financial condition of the credit union is accurately represented in their financial statements through a review by an independent audit firm.

CliftonLarsonAllen LLP completed an annual audit of our financial statements and verified the accuracy of members’ accounts for the year ending March 31, 2022. CLA confirmed that the financial statements fairly present the Credit Union’s financial position and conform to generally accepted accounting principles.

The National Credit Union Administration (NCUA) is an independent federal agency that regulates federal credit unions. They conduct periodic examinations of federal credit union’s records and operations. Erie FCU’s last exam performed by NCUA was as of September 30, 2022.

The Supervisory Committee is pleased to report these positive results. We will continue to work diligently in 2023 to ensure the Credit Union remains a safe and sound institution. We are grateful for the opportunity to serve you!

In closing, I would like to thank Mary Swaney & Stephanie Fitzgerald of the internal audit department for all the help they have provided our committee. — Rick Macer, Chairman

Election of Directors

The Nominating Committee designated Norb Kaczmarek , Rick Macer and Dr. Pablo Reyes for re-election to the Board of Directors. There were no nominations by petition received. Therefore, the nominees will be Elected by Acclamation at the Annual Meeting on May 8, 2023 and will serve a 3-year term.

federal lost a from accounts insured by the NCUSIF.

Board Of Directors

Report of the Board of Directors

On behalf of the Board of Directors, it is my pleasure to report that 2022 was another outstanding year of growth and stability for our credit union. Today, Erie FCU stands at nearly $780 million in assets with over 72,000 members, and close to 200 employees. From its humble beginnings as the Erie School Employees Federal Credit Union, Erie FCU remains the largest credit union in Northwest PA.

2022 was a great year in many other ways too:

• We helped more members get home loans, auto loans and small business loans than ever before.

• We remained directly involved in our communities. Erie FCU’s Team AOK did this with their work and their volunteer commitments in 2022.

• The Board of Directors and Management Team met with a third-party facilitator who conducted our annual strategic planning session. The strategic planning session consisted of a review of goals, objectives, product/service offerings, operational efficiencies, and commitment to improving service to our members.

Strategically, the Board has provided direction to management to focus on the delivery of technology to enhance member experience as well and to responsibly grow our savings and lending programs.

Erie FCU was established in 1936, and for 86 years, we have been dedicated to meeting our members’ expectations. I have no doubt that our first Board of Directors pledged to be focused on the members, and that has not changed today. A primary responsibility of your Board of Directors is to ensure that the operations of the credit union meet the needs of the membership. Throughout this Report, you will see that our credit union is as safe and strong as ever.

A Safe Harbor

It is unsettling to see major swings in the stock market, or to observe heated exchanges among political leaders about the best financial course for the country. Turmoil in the economy has many consumers feeling at sea. It is understandable that you might be concerned or worried.

You can be reassured on one point, and that is the security and stability of your credit union and your accounts here. Your Erie FCU savings are always insured to at least $250,000, backed by the National Credit Union Administration (NCUA). Federal insurance protects your money in credit union share savings, share draft/checking, money market, share certificate, trust, and retirement accounts. Erie FCU also maintains Excess Share Insurance (ESI), which provides additional coverage beyond primary NCUA coverage up to an additional $250,000, essentially extending combined coverage up to $500,000

In addition, our strong capital position—a safety net of undivided earnings and other reserves—helps us weather setbacks. And, we keep an allowance for loan losses that provides an additional buffer in case a few members cannot repay their loans. Further strengthening the credit union, federal and/or state regulators routinely examine our business practices to make sure we are

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