2021 ANNUAL REPORT
ZEALINA JETER Member Since 2003
AJ FAKOORNEJAD Branch Manager & Member Since 2016
SCOTT TEAGUE Member Since 2001 KAT I E G O O D N O U G H Member Since 2006
IMPROVING THE FINANCIAL LIVES OF OUR MEMBERS
Table of Contents 2
Letter from President & CEO, Brian McKay
3
Letter from Chairman of the Board, Mike Strickland
4
Letter from Chairman of the Supervisory Committee, Bill Milam
CELIA HASTINGS Member iS nce 2019
AND
Five-Year Growth Analysis
2021 ANNUAL REPORT
5
Statements of Income & Financial Condition
6
Leadership Teams
7
Member Spotlight: Marilyn Sumter
8
2021 Impact Report
10
Scholarship Winners
11
2021 Credit Union Snapshot
Brian McKay
Mike Strickland
PRESIDENT & CEO
CHAIRMAN OF THE BOARD
I F I H A D T O S U M U P 2 0 2 1 I N O N E W O R D , it would be community. Community
B E T T E R T O G E T H E R ! While this is not true all the time (think oil and water), it certainly fits the partnership of Spero Financial and the former Anderson Federal Credit Union (AFCU). The merger of these two great institutions in February 2021, was the culmination of years of ongoing dialogue between the management teams of the two credit unions. From the outset, the overarching goal was to ensure there would not only be a financial fit but also a strong cultural tie between the employees and members of a combined organization. Success would be measured by a partnership that was GREAT for three key groups:
is built on unity — people joining together with a common goal or mission. This is what started the credit union movement many years ago. As a credit union, this is part of our DNA — a trait we’ve coined cooperative spirit that simply means people helping people. For our members and staff, Spero is a
convenience of an ATM — including expanded
community — one made up of diverse
options such as cash/check deposit. We also
individuals from all walks of life, coming
extended TellerLink banking hours, so you
together with a mission to improve financial
can speak with a teller before/after work. If
lives. By doing this, not only do you, our
you haven’t had a chance to use TellerLink, I
members soar financially, but our communities
encourage you to do so! It’s now available at all
become greater places to live, work, and play.
Spero branches.
Speaking of community, in early 2021, we
As I mentioned above, community is part
completed our partnership with Anderson
of our DNA. This year alone, we had the
Federal Credit Union. I encourage you to read
opportunity to contribute over $153,000 to 18
Board Chairman Mike Strickland’s letter for a
local non-profits to support food insecurity,
full summary of how this partnership created a
affordable housing, and more. We also
powerful synergy for our employees, members,
made a significant contribution to Anderson
and community.
University to support Trojan Football on Spero Financial Field, adopted the 8 Cooperative th
2021 was also a year of strategic planning for our organization. Together with our Board of Directors and leadership team, we
Principle of Diversity, Equity, and Inclusion, and participated in over 26 community events.
identified three key focuses that will carry
I encourage you to turn to page 8 to learn
us into 2024 and distinguish our credit union
more about our community impact, as well
in the markets we serve: (1) providing an
as view how we’ve helped our members soar
enhanced member digital experience, (2)
financially in 2021!
delivering exceptional personalized service, and (3) making a significant impact in the communities we serve.
As I close, I would like to thank you for your ongoing loyalty and trust in us; our staff for their continued dedication to our members;
We’ve all experienced the transformation that
and our volunteers for their invaluable
technology has had on our daily lives. At Spero,
guidance in moving our credit union forward.
our intention is to provide the convenience
Like the sparrow, we are stronger together! Our
of digital services, while maintaining the
credit union not only remains financially strong
personalized connection you have come to
to handle the uncertainties of the world today,
love. (Yes, we will still know you by name!)
but we also remain optimistic of our bright
One way we have already started pairing
• Employees • Membership • Community All former AFCU employees were equipped with more resources, data systems, and tools to better serve Spero’s members. In addition, employee compensation, benefits, and career opportunities were protected, and in many cases, enhanced. Members now have greater lending and share deposit opportunities. In addition to digital banking services, members now enjoy access to ten physical branch locations across our service area from Anderson to Spartanburg. Average share per member has grown, as well as the number of Spero services used by the member. Community impact was incredibly positive. The market presence and brand recognition for Spero Financial continues to significantly expand throughout Upstate South Carolina. Our support of Anderson University, as well as several charitable organizations in the community have fostered our reputation as a caring organization. Without a doubt, the partnership between Spero Financial and the former Anderson Federal Credit Union has proven that we are better together. In the 1990s, a catchword was circulating throughout the business community and being adopted as a key to success: SYNERGY — the interaction or cooperation of two or more organizations produces a joint effect greater than the sum of their separate efforts (2+2 = 6). The synergy produced when AFCU joined Spero Financial has proven that we are better together and well prepared to soar in 2022 and beyond!
M I C H A E L ( M I K E ) W. S T R I C K L A N D
Board Chairman
future ahead.
Digital Experience with Personalized Service
It is both a privilege and an honor to serve you!
is through TellerLink! Launched in fall 2021,
I appreciate you.
this new technology allows you to enjoy the personal connection of a real teller with the
2
3
Bill Milam CHAIRMAN OF THE SUPERVISORY COMMITTEE
5-Year Growth Analysis
INCOME
ASSETS
2021 A S C H A I R M A N of the Supervisory Committee, it is with great privilege to report another strong fiscal year for Spero Financial Federal Credit Union. As of December 31, 2021, financial outcomes reflect sound, operational stability for the organization, in conjunction with favorable quarterly internal audit reports. These measures are a result of how the management and staff
2020 2019
$551 million $422 million $388 million
2018
$369 million
2017
$367 million
of Spero Financial are unrelenting in exercising sound judgment and practices as they carry out their fiduciary responsibilities in utilizing member funds so that both members and the Credit Union can soar financially now and into the future. Each year Spero Financial undergoes an external audit from a third-party CPA firm as an added layer of accountability. This audit measures the effectiveness of the organization’s financial management. I am pleased to report that Spero Financial has yet again received a very positive “unmodified opinion” regarding the Credit Union’s financial statements for 2021 year-end.
2018 2017
$489 million $369 million
listed below. The Credit Union experienced significant growth across assets, loans, and member shares. A net worth growth of 20.50% and $4.1 million income signifies
18,251,707
459,106
415,427
Other Income
9,950,734
7,650,478
Total Income
$32,518,169
$26,317,612
Compensation & Benefits
13,698,082
11,222,870
General & Administrative
11,830,696
13,368,907
Provision for Loan Losses
147,078
1,500,478
$25,675,865
$26,092,255
45,634
287,241
2,648,848
3,800,521
$4,147,831
($3,862,406)
2021
2020
$424,786,698
$323,685,087
41,244,702
41,704,803
3,314,724
104,881
Investments
42,912,021
18,549,096
20,362,702
16,282,048
1,213,432
992,469
Other Assets
18,050,101
20,809,470
Total Assets
$550,670,946
$422,127,854
488,984,364
368,525,730
Other Liabilities
5,617,440
5,617,440
Total Liabilities
$494,601,804
$374,143,170
57,235,931
47,984,082
583,459
602
$550,670,946
$422,127,854
From Investments
EXPENSES
Dividends Paid to Members Net Income
$292 million
Statement of Financial Condition
$318 million
ASSETS
LOANS
2021
22,108,329
Interest on Loans
$316 million
The synergy created through the partnership with AFCU is underscored by the strong key performance indicators
2020
Interest Expense
2021
2019
2021
Total Expenses
DEPOSITS
2020
Statement of Income
Loans $427 million
Cash & Cash Equivalents Short Term Interest Bearing Accounts
the fiscal strength and stability of the organization.
2020
2 0 2 1 K E Y P E R F O R M A N C E I N D I C AT O R S
2019
$295 million
Property & Equipment
2018
$299 million
Accrued Interest Receivable
• Net Worth Growth of 20.50% • Assets increased to $551 million (30.45% gain over 2020) • Loans increased to $427 million (30.45% gain over 2020) • Deposits increased to $489 million (32.69% gain over 2020)
2017
$328 million
$284 million
• Net Income closed at $4.1 million • 5,792 New Members joined the Credit Union I encourage you to review the balance sheet, income statement, and other financial information included in this year’s report. You will find that Spero Financial continues to operate in a safe and sound manner, strategically focused on improving the financial lives of our members. This financial strength positions us well to soar into the future!
2021 2020 2019 2018 2017
4
LIABILITIES
N E T W O R T H /A S S E T R AT I O
10.50% 11.37% 13.35% 13.63% 11.35%
Shares
MEMBER'S EQUITY
Member’s Equity Reserves Unrealized Gain/Loss on Investments Total Liabilities & Member’s Equity
5
S O A R
Marilyn Sumter
T O
Member Spotlight
M A D E
Leadership Teams
WHEN SHE BECAME A SPERO MEMBER in June of 2001, Marilyn Sumter a w nted more than just savings accounts and (nancial services. She a w nted to feel like she belonged. “Community is extremely important to me,” she shared. “Serving the community, being a part of the community, interacting with the community — community is everything.” As Marilyn got to know the Spero team, she realized she’d found something special. “There is nothing like a w lking into your neighborhood branch and being greeted with a a w rmth that makes you feel like family, like they’re always happy to see you.” This sense of belonging gave her the con(dence she needed to make a fresh start. “Spero Financial has helped me in all aspects of my life, from buying my (rst e v hicle and purchasing both of my homes to my personal loans and credit cards. They've helped me on a (nancial journey that has me settled.” Re)ecting on her journey, she added, “They gave me a chance to start my life over.”
BOARD OF DIRECTORS
Pictured left to right: Anthony Lawrence • Bryant Harrison • Mike Strickland Chairman • Roy Hayes Secretary/Treasurer • Michael Cunningham • Lee Brown • Steve Griffin Vice Chairman, Not pictured • Hughlyn Burgess Not pictured • Joy Owens Not pictured
The thing that stood out most to Marilyn a w s the Spero team’s iw llingness to help, even iw th situations that other (nancial institutions tend to avoid. E “ e v rybody messes up on their credit. Everybody o d esn't get (nances right. Everybody o d esn't get budgeting right. Everybody o d esn't get life right. But Spero Financial? They're going to stand by your side, comfort you, and help you make your situation better.” While she’s had plenty of o w nderful experiences iw th the Spero team over the years, Marilyn remembers one in particular that perfectly captured Spero’s commitment to improving the (nancial lives of its members. Facing a challenging (nancial situation, she id scussed the e d tails iw th a Spero associate h w o simply responde,d I“ t’s okay. Let’s see h w at e w can o d .”
SUPERVISORY COMMITTEE
Pictured left to right: Frankie Nelson • Janet Fancher • Bill Milam Committee Chair Sheree Ramey • Andrew Williams Not pictured
6
EXECUTIVE LEADERSHIP TEAM
Pictured left to right: Jessica Baker Senior Vice President, Chief Operating Officer Robert Wilson Senior Vice President of Lending and Sales Toni Davisson Senior Vice President, Chief Financial Officer Brian McKay President, Chief Executive Officer Damon Sipe Senior Vice President of Technology
Let’s see what
e w
can do.
With a smile spreading across her face as she told her story, Marilyn said it’s the e “w ” that sets Spero apart. “When they comfort you by saying it’s okay and then give you the ability and encouragement to accomplish your (nancial goals, it makes it easy to let your guard down and see what e w can do together.”
7
IMPROVING FINANCIAL LIVES
2021 Impact Report
212 mortgages
119 members
(over $62 million) to make members’ homebuying dreams come true
received a lower-rate by refinancing their
2,679 personal loans
4,003 auto loans
(over $12.7 million) to fund members’
(over $87 million) that put our members in
financial goals
the driver seat
mortgage with Spero
EARNINGS AND PERKS FOR OUR MEMBERS
Members received
Members received
for using their credit cards
through Kasasa Cash/Cash Back accounts
$2,671,629 given back
$114,466 in total
to members as savings/checking account earnings
online balance transfers on Spero
29,641,494 points
$46,462 in ATM refunds
credit card
H E L P I N G O U R M E M B E R S S OA R F I N A N C I A L LY
As a mission-driven organization,
528 members
30 community members
impacted by Spero financial wellness resources
participated in 2 community financial wellness workshops
we’ve been improving the financial wellbeing of our members in the Upstate and Midlands for over 85 years. It’s not just something we say, it’s what we do! These numbers are not just numbers — they represent
$153,000 donated
$12,895 contributed
real lives changed! At Spero, we
to 18 local non-profits to support food insecurity, affordable housing, and more
to 10 Upstate schools to support
financial hope not only transforms
$1,000,000 donated
$9,000 granted
the lives of our members, but it
to Anderson University to support Trojan Football
to 3 Spero members to support their
know that inspiring and nurturing
also transforms our communities — making them greater places to live, work, and play. 8
M A K I N G O U R C O M M U N I T I E S B E T T E R P L A C E S T O L I V E , W O R K , A N D P L AY
student athletics
higher-education aspirations
Spero participated/hosted over
26 community events
9
R A L P H H A M I LTO N Member Since 2014
Scholarship Winners Since 2010, Spero Financial has invested $108,000 into future generations by awarding 3 scholarships to Spero Financial members who are pursuing higher education each year. Congratulations to the 2021 Louis C. Addition College Scholarship winners!
Whitner Bobo In the fall, Whitner “aka Whit” will be attending Abraham Baldwin Agricultural College. Whit is a member of Future Farmers of America, Health Occupations
2021 Snapshots
Students of America, National Beta Club, and National Honor Society. In her
Soaring as Spero Financial
community she volunteers with Meals on Wheels, Haven of Rest, Belton Depot Community Revitalization, and Belton’s Veteran Park. Her educators describe her as highly self-motivated, trustworthy, and a dedicated individual. Upon
• 50,080 Total Members
completion of her Bachelor of Science in Agriculture, Whit plans on attending
• $559 Million in Assets
University of Georgia for her master’s degree.
• Named 2021 Best Places to Work in South Carolina • Top 3 Finalist in 2021 Best of the Upstate Community Choice Awards
Emily Truman
• 3 CUNA Diamond Awards for Brand Awareness, Member Publication/Newsletters, and Video Non-Commercial Series
In the fall, Emily will be attending Anderson University. Her educators describe
Top Stories of the Year
her as a role model, leading by example, and exceeding expectations. Emily coaches Atown Volleyball, is the co-captain for Crescent Varsity Volleyball, and volunteers as a Learning Buddy for Anderson School District 3. She is a
•
Anderson Federal Credit Union officially joined Spero Financial — making it the largest credit union merger in the history of South Carolina.
•
8 T H C O O P E R AT I V E P R I N C I P L E :
•
Spero Financial contributed $1 million to create Spero Financial Field in support of the new Trojan Football Program kicking off fall of 2024.
member of the Beta Club, National Honor Society and has been recognized as a Student Scholar. Upon completion of her Bachelor of Science in Nursing degree, Emily plans to get her master's degree in advanced nursing in pediatric orthopedics.
Karina Wolfe Karina currently attends Bob Jones University. There, she leads as a Campus Security Officer and Society Officer of Tri Epsilon. In the community, Karina volunteers with the Greenville County Detention Center, Hampton Park Baptist Church, and is the Deputy Stage Manager of Bob Jones Academy Stage Crew. Her professors describe her as a leader and a motivator; she’s always going above and beyond expectations. Upon completion of her Bachelor of Science degree, Karina is exploring pursuing a master’s degree in Criminal Justice or Aviation.
BECOMING ONE:
Spero Financial executed the 8th Cooperative Principle of Diversity, Equity, and Inclusion (DEI) signifying the organization’s commitment to furthering DEI. SPERO FINANCIAL FIELD:
Taking Care of Team Spero • 159 employees serve the organization across 33 different departments • 240 individuals provided with medical insurance — both employees and their families • 25,012 hours of paid time off was awarded • 22 promotions and 14 transfers to roles in other departments • 2 retirements celebrated
10
11
THANK YOU T O O U R S TA F F, MEMBERS, & COMMUNITY
EVAN OUELLE T TE Lending Service Specialist & Member Since 2015 SARAH CLINKSCALE Regional Manager & Member Since 2009
spero.financial Insured by NCUA
