PenFed Reports on Record Growth, Best-in-Class Service and Commitment to Community at 83rd Annual Meeting
TYSONS, Va., May 18, 2018 – At its 83rd Annual Meeting last evening, PenFed Credit Union’s Chairman of the Board, Ed Cody, and PenFed President and CEO, James Schenck, reported on the most successful year in the credit union’s history with record membership, assets and earnings. They also reported that its members ranked PenFed among the country’s top-rated firms for service excellence.
“This year, we celebrate our 83rd anniversary and another successful year,” Cody said. “Our team has stayed focused on operating safely and soundly, improving our business processes and systems, and ensuring that we help our members do better financially. Investments in our call centers, technology and people culminated in our members ranking PenFed among the country’s top firms for service excellence.”
The opening of PenFed’s state-of-the art Availability Command Center in Chantilly, Va. was among one of the key 2017 accomplishments Cody highlighted. “Our ‘Always On’ Information Technology systems position PenFed to deliver service availability to our members 99.999% of the time,” Cody said. “In the financial services industry, ‘Five 9s’ of availability is the standard of excellence.”
In his business update, Schenck reported that PenFed increased net new membership by 10%, ending the year with 1.63 million members. Total assets grew by $1.6 billion from $21.3 billion in 2016 to $22.9 billion in 2017. Net income was a record $179 million in 2017, up from $169 million in 2016. He reported on the safety and soundness of the institution, noting PenFed is well capitalized at 10.3%, far exceeding industry standards of 7% for a well-capitalized institution.
To best serve a fast-growing membership, Schenck said PenFed expanded its workforce by more than 11% in 2017, ending the year with 2,399 employees. “Every day, our 1.6 million members vote with their wallets. Our members vote for PenFed over 11,000 other financial institutions in America,” Schenck said. “I attribute this to the extraordinary talent and commitment of our employees and the market-leading products and services they deliver 7 days a week, 24 hours a day to our members.”
But what attendees will remember most from the 2018 PenFed annual meeting were Schenck’s moving and passionate remarks about love of America, love of serving PenFed’s membership and love of the spirit, resilience and determination of U.S. Army Master Sergeant (Ret.) Cedric King, a combat veteran and double amputee who recovered after three years at Walter Reed to complete both the Boston and New York City marathons and leads his life forward with passion. King was honored with the Military Hero Award at the PenFed Foundation’s Annual Night of Heroes Gala earlier this month.
Schenck said, “When I look back, it will never be about the numbers, it will be about the men and women who go into harm’s way to fight and win our nation’s wars and protect our way of life. Cedric gave both his legs in fighting for the freedoms we all enjoy. Honoring Cedric and men and women like him, is what drives me forward every day as PenFed’s CEO.”
PenFed Credit Union President and CEO James Schenck
Schenck highlighted PenFed’s commitment to communities where PenFed donates at least 2% of earnings to charitable organizations. PenFed’s charitable donations topped $5 million in 2017.
Cody provided an update on the PenFed Foundation and its commitment to give back to our nation’s defenders through its key programs:
> The Military Heroes Fund, which provided 557 grants in 2017 valued at $686,921, in emergency financial assistance to wounded warriors and their families;
> The Dream Makers program, which provided 125 grants totaling $598,476 to help first-time homebuyers make down payments on their homes. These grants ensured that about $20 million in mortgages became a reality;
> The Asset Recovery Kit program provided 1,890 interest-free loans totaling $886,300 to military service members as a safe alternative to payday lenders.
He also noted the Foundation’s partnership with the Department of Veterans Affairs to end veteran homelessness. Through the end of 2017, the Foundation made 552 grants for rent and utility payments, transportation vouchers and critical household items valued in excess of $583,982. The Foundation also partnered with the VA to provide relief for those affected by Hurricanes Harvey, Irma and Maria; 554 grants were made totaling $166,000.
The PenFed Board of Directors announced the reelection of Directors Alfred E. Rudolf and COL (Ret.) Robert W. Siegert, III to three-year terms as members of the Board.
About PenFed Credit Union
Established in 1935 as the War Department Credit Union, Pentagon Federal Credit Union (PenFed) is America’s second-largest federal credit union, serving over 1.6 million members worldwide with $23 billion in assets. Our long-standing mission has been to provide superior financial services in a cost-effective manner, while being responsive to members’ needs. PenFed Credit Union offers market-leading mortgages, automobile loans, credit cards, student loans, checking, certificates, and a wide range of other financial services with members’ interests always in mind. PenFed Credit Union serves a diverse population, and no military service is required to join. PenFed Credit Union offers many paths to membership, including numerous employee groups and association affiliations. PenFed Credit Union is federally insured by the NCUA and is an equal housing lender. To learn more about PenFed Credit Union, visit PenFed.org, like us on Facebook and follow us @PenFed on Twitter. Interested in working for PenFed? Check us out on LinkedIn. We are proud to be an Equal Employment Opportunity Employer.