KBR Heritage Federal Credit Union

BOARD OF DIRECTORS Glenn Wong, Chairman Bill Simister, Vice-Chairman Mike Fink, Treasurer Tim Mark, Secretary Matt Frank Paul Kramer Aiesha Maxwell Sanjay Singh Byron Smith SUPERVISORY COMMIT TEE Ron Schielke, Chairman James Griffin Cindy Mixon Mike Tallman Wendell Prothow KBRHFCU STAFF Regina Lancaster, President/CEO Jennifer Crosby, Vice President of Operations Timberly Malone, Vice President of Lending Teri Billiot Debra Ligon Beatriz Loera Angela Pittman Katrina Roberts Deanna Robinson SUPERVISORY COMMITTEE REPORT The Supervisory Committee is appointed by the Board of Directors of KBR Heritage Federal Credit Union and operates under the rules and regulations of the National Credit Union Administration. The Supervisory Committee is responsible for ensuring the financial condition of the credit union is accurately represented and both internal controls and policies are in place to ensure the highest degree of integrity is maintained in the overall operations. The Supervisory Committee is also required to ensure an independent review is conducted annually. John Weaver and Associates was retained to perform an audit for 2019. It is our pleasure to report that KBR Heritage FCU continues to maintain adequate levels of financial safety and soundness while continuing to provide quality member service. As your Supervisory Committee Chair, I would like to thank Committee members James Griffin, Cindy Mixon, Wendell Prothow and Mike Tallman for their commitment and outstanding service. Ron Schielke, Supervisory Committee Chair TREASURER'S REPORT As the Treasurer of KBR Heritage Federal Credit Union, I am pleased to report that 2019 was another successful year. As of December 31, 2019, the credit union reported $82.3 million in assets, with $41 million in investments and $25.5 million in loans. Share deposits decreased slightly to $54 million. KBR Heritage FCU's net income was $660,389, bringing capital to $12 million as of December 31, 2019. Moreover, with a 15.3 capital ratio, the Credit Union is considered well-capitalized by the National Credit Union Administration. In summary, KBR Heritage Federal Credit Union continues to be financially strong and operationally sound. Mike Fink, Treasurer KBR Heritage Federal Credit Union 601 Jefferson St., KT-02 Houston, TX 77002 713-753-3022

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