EXECUTIVE REPORT

Dear Cooperative Members:

At Bartholomew County REMC we believe in the power of possibility within our cooperative. In 2021, we pursued opportunities to strengthen our reliability measures, while our employees achieved personal growth and development. As the pandemic continued to provide challenges in 2021, we showed the willingness to push through the limitations and find ways to achieve our goals.

Because we missed seeing you in person in 2020, we brought back our member appreciation event. In the fall of 2021, we held our first ever drive through event where members safely interacted with our employees. We had 575 cars visit us, with 1,100 Chick-Fil-A gift cards and bags of kettle corn handed out It was so good to see all of you!

Our employees made great strides this year, some received promotions, 40% participated in continuing education, and others returned to school for personal growth. We had seven employees enroll in lineman or meter training school. You may see a few new faces here at the coop too, as we welcomed three new employees to our team in 2021. See pages 12-13 for more of our 2021 accomplishments and achievements.

We had a solid year financially in 2021, with 44.3 million in sales revenue and 1.4 million in margins, our profit for the year. We stayed under budget in both capital and controllable expenses, maintaining equity at 61.6%.

The Balanced Scorecard is a trusted tool electric cooperatives use to measure performance and overall execution in member satisfaction, safety, reliability, and cost control. We continued with our exemplary service to our members, achieving our highest ever ACSI (American Customer Satisfaction Index) score at 91. In 2021, we maintained consistent reliability numbers. Our average outage duration per customer was 67 minutes (excluding major events).

More than a third of our members did not experience an outage within the year, as our average number of outages per member was .6.

Our average outage duration, also known as our average restoration time, was 121 minutes. We continue to invest in tree trimming and system grid upgrades (work plan) to maintain a high level of reliability for our members.

On the safety front, we met our days away and restricted duty goal. The safety and well-being of our employees and members remains our highest priority.

Your board of directors approved a capital credit retirement of $743,000 from 1995 and 1996 Hoosier Energy, our wholesale power provider, also retired $323,940 from 1993. As a member-owner, you are entitled to your share of the cooperative margins (profit). When these margins are returned as capital credits, you are seeing the return on your investment. This is one of the benefits of being served by a nonprofit utility.

For active members of the co-op, capital credits were returned in the form of a bill credit for the first time in December to save on administrative costs and postage, while previous members received their capital credits in the standard fashion.

Giving back to the community continues to be a primary focus for BCREMC and its directors and employees. BCREMC contributed to programs and efforts, giving more than $27,200 in Operation Round Up grants and $20,000 to the United Way in payroll deduction and corporate gifts See pages 10-11 for more details.

We understand how important energy efficiency is to our members and continue to offer an incentive program to help members understand their energy usage and lower their electric bills. In 2021, we rebated over $72,800 to our residential members and $29,990 to our industrial customers through our incentive program, provided by Hoosier Energy.

At Bartholomew County REMC, we continue to push past the boundaries and build on new possibilities We are devoted to safe, reliable, and affordable energy because of the powerful impact it has on our members It is our privilege to serve you now and into the future.

Curt Burbrink President, Board of Directors

Courtney Metzger Chief Executive Officer