advantages for everyone

advantages for me

2013 annualreport

advantages for me

advantages for everyone

message from tHe cHair

On behalf of the Board of Directors, I’m pleased to present Caisse populaire Coniston’s Annual Report for the 2013 fiscal year. The report is a great tool to learn about everything we achieved in 2013 and to look ahead to challenges we’ll face together in 2014.

I would like to start by thanking you for the confidence and the interest you’ve shown in your financial cooperative. You are a member of your caisse because it meets your needs. We are always working to better support you in your financial decisions.

RESULTS REFLECT NEW MEMBER HABITS

Our caisse generated $427,819 in operating surplus earnings thanks to sound management that focused on your needs and on the quality of our services.

Your caisse works tirelessly to provide you with the solutions and services that meet your expectations. We strive to develop innovative products and a team of professionals offering expert advice is always available to ensure customer satisfaction.

As you may know, financial institutions must comply with increasingly strict requirements, especially for their capitalization. That is why the caisses must manage the distribution of their operating surplus prudently. That’s exactly why your financial services cooperative exercises strong, sound judgment when distributing surplus earnings, placing Desjardins among the world’s 15 strongest banks according to Bloomberg’s World’s 20 Strongest Banks, published October 1st, 2013.

OUR CAISSE KEEPS GROWING

There have been many technological advances since the inception of the first caisse. ATMs, direct payments, the Internet, and mobile payments all mean transactions can be carried out 24 hours a day, 7 days a week! We’re adapting to your needs and putting technology to work for you.

The Board of Directors of Caisse populaire Coniston reviewed the organizational framework of the caisse and came up with a better way to meet the needs of members at Caisse populaire Coniston Inc and

Voyageurs Credit Union. Representatives from both caisses formed a committee to analyze the feasibility of a merger. Rest assured that no concrete steps will be taken without approval by members of both caisses. You’ll be invited to meet your directors and managers so you can let them know what you think and ask questions about the project, which we think represents a bright future for us all.

NEWS FOR OUR MEMBERS

Desjardins is an industry leader when it comes to meeting your expectations. You can get more information on the wide range of products available to you on the new desjardins.com.

Increasing youth awareness about using credit responsibly is something else that’s important to us. You will find more information on teaching youth how to follow a budget and develop smart financial habits on the desjardins.com website. The My Budget financial management tool, available in AccèsD, is also very useful in helping you get a tighter grip on your finances.

You can be proud to be part of an organization that stands out for its financial stability, its ability to innovate, and its high level of expertise. Desjardins Group is the largest cooperative financial group in the country, backed by 45,000 employees working for you.

OUR VALUES, OUR PRIDE

We’re going to keep working in 2014 so the caisse’s quality of service and products stand out. Your satisfaction will keep playing a central role in every decision we make. Let us know what you think about our services. Constructive criticism from our members helps us improve and makes your experience a better one.

Together we’re building a more prosperous community!

Jean-Marie ComeauChair of the Board of Directors

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Every year, with support and guidance from the Board of Directors and the Audit Committee, your caisse strives to meet all of your financial needs and provide you with access to a wide range of products and services.

Member satisfaction continues to be our primary concern, and our desire to serve you is only matched by our desire to focus even more on our cooperative difference and our mission to improve financial literacy.

I am pleased to present the financial report of Caisse populaire Coniston for the fiscal year ended December 31st, 2013.

The results are directly linked to the trust you place in us, and we appreciate it. Your loyalty is what enables us to take advantage of our cooperative strength and keep growing while providing you with the best possible services.

BUSINESS UNDER MANAGEMENT

SAVINGS AND INVESTMENTS

Savings and investments showed an increase of 8.7% compared to last year. In addition to the savings offered at the caisse, members have access to the most comprehensive catalogue of financial products, from mutual funds and securities to discretionary management services, all provided by Desjardins components.

FINANCING

The total of the caisse’s financing was $75,921,000, representing an overall increase of 3.0%. The caisse’s loans made up a large share of activities and were up by 4.1%, while financing through the entities (loans sold or shared) decreased of 10.5%.

BALANCE SHEET

The assets of your caisse increased by 5.7% compared to last year, to $79,940,576.

The caisse’s liabilities were $73,228,241, representing an increase of 5.2%. Borrowings decreased by 7.6% as a result of a rise in savings and investments, and now total $7,150,000

As of December 31, 2013, your cooperative’s equity showed a solid growth, from $5,998,338 to $6,712,335, an increase of 11.9%.

Continued on page 4.

message from tHe executive director

Simplified Financial Statement - Financial Position 2013 2012

Cash and Investements $7,936,788 $6,494,360

Individual loans $53,046,346 $51,846,088

Commercial loans $17,711,677 $16,145,382

Allowance for impaired loans -$122,145 -$183,877

Other assets $1,367,910 $1,307,092

Total Assets $79,940,576 $75,609,045

Term deposits $34,883,835 $36,472,817

Other deposits $29,948,208 $23,681,010

Loans and other liabilities $8,396,198 $9,456,880

Total Liability $73,228,241 $69,610,707

Share capital $1,526,989 $1,508,497

Accumulated other comprehensive income

$145,082 $136,819

Reserve for fair value gains in derivatives

-$89,965 -$588,710

Retained earnings $5,130,229 $4,941,732

Total Equity $6,712,335 $5,998,338

Total Liability and Equity $79,940,576 $75,609,045

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2013 2012 Variation ($M) ($M) (%)

Savings-Investments 78.3 72.0 8.7 %Caisse* 65.5 61.0 7.4 %Desjardins components 12.8 11.0 16.4 %

Financing 75.9 73.7 3.0 %Caisse* 70.8 68.0 4.1 %Desjardins components 5.1 5.7 -10.5 %

Total 154.2 145.7 5.9 %

* Refers to elements concerning the financial situation of the credit union: deposit liabilities for investments-savings and loan assets for financing (personal and business)

STATEMENT OF INCOME

During the past year your caisse generated operating surplus earnings of $427,819, down 37.4% compared to the previous year.

Interest income totalled $2,939,512, a decrease of 1.7% compared to last year. Meanwhile, interest expenses rose by 4.9%, to $1,100,708. Provision for credit losses were $28,698, or 0.04% of the total personal and business loan portfolio.

Other income, generated largely from the distribution of products and services by Desjardins entities, was $470,892, down 0.52% compared to last year.

Other expenses also show moderate overall growth, representing a 2.9% change and reaching $1,853,179.

DIVIDENDS, PART OF OUR COLLECTIVE DIFFERENCE

This year, with respect to the distribution of surplus earnings, we have declared a member dividend of $70,000. These calculations were determined by a balance between surplus earnings, growth and capitalization needs.

INVESTMENT FUNDS

Deposit investment funds owned by the caisses enable the Federation to coordinate investments in Desjardins Group subsidiaries.

Through their activities, these subsidiaries in turn enable the caisses to provide an extensive range of financial products and services to individuals, groups and businesses. The Caisse has invested $1,891,381 in the deposit investment fund and had a 16.4% return at year-end.

CONCLUSION

In closing, I would like to recognize the work of each and every caisse employee. Without their attention to detail, their professionalism, and their dedication, we wouldn’t be able to help our members reach their goals and play such an active role in the well-being our community.

Together we’re cooperating to build a stronger institution and a more dynamic society!

Jean-Marc Spencer, MBA Acting Executive Director

Interest revenue $2,939,512 $2,990,229

Interest expenses $1,100,708 $1,048,838

Net interest revenue $1,838,804 $1,941,391

Provision for credit losses $28,698 -$68,859

Other revenues $470,892 $473,338

Other expenses $1,853,179 $1,799,950

Operating Income $427,819 $683,638

Revenue related to an investment in a participatory deposit fund with the Federation

$310,846 $221,448

Net income before fair value adjustments, patronage dividends and provision for income taxes

$738,665 $905,086

Revenue related to the fair value of derivatives

-$11,242 -$118,372

Provision for income taxes $54,994 $76,298

Patronage dividends $70,000 $70,000

Income tax recovery related to patronage dividends

-$10,850 -$10,850

Net Income $613,279 $651,266

Statement of Income 2013 2012 Retraité

message from tHe executive director

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youth and schools

community

Publicity

a total of $33,300 was returned to the community in 2013.

47 %

15 %

38 %

Partners in our community

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The Caisse is at the heart of the community In 2013, the caisse also awarded a sum of $2,000 to the Notre-Dame-de-la-Merci church to support the celebrations of their 100th anniversary.

More than $11,000 for the Vale Hospice The Greater Sudbury Desjardins branches were the main sponsor for Desjardins Ride for Hospice that took place in August 2013. With fundraising activities in the branches and their contribution to the event, Desjardins presented a cheque of $11,260 to the Vale Hospice at the event. In addition, over thirty Desjardins employees volunteered for Desjardins Ride for Hospice.

A scholarship for a member of the caisse One member of the Caisse received a bursary from the Desjardins Foundation. This brings the total number of bursaries given to Ontario students in 2013 up to 16, worth $24,500. Miss Alexandra Lalande, currently in the Graphic and Package Design program at Humber College, received a $1,000 bursary. She was overjoyed when she got the call.

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our Board of directors

24, Amanda StreetConiston (ON) 705-694-4743www.desjardins.com/caisseconiston

Sylvain PrimeauVice-Chair

Steeve TherrienDirector

Daniel VenneDirector

Suzette FabrisDirector

Jean-Marie ComeauChair

Carmen BouchardDirector

Jacqueline CaversonDirector

Jean-Marc SpencerActing Executive Director

Alain Thibert Stéphan Plante Management Support Team

Pierrette LafrenièreAdministrative Support

Francine PlanteCoordinator, Operations and Assisted Transactions

Serge ClémentPersonal Finance Advisor

Monique Venne Receptionist

Mélanie Viau-LégerPersonal Finance Advisor

Trisha TremblayOfficer, Financial Services

Jean-Pierre GrenierPersonal Finance Advisor

Lianne McKerralTeller

Ruwani SandanayakeTeller

our emPloyees