ANNUAL MEETING

February 19, 2009

The meeting was called to order by Vice President Audwin Gallion who welcomed all 48 guests present. Debby Cowden then read last year's minutes. No changes were made and they were accepted unanimously when Chris Petree made the motion which was 2nd by Susan Frank.

Gallion then gave a brief overview report of the Director's activities this year and noting that even though the nation was experiencing instability, the Crane Gulf is not unstable, capitalized at 18%. They have bought a building for what they hope to sell the old building, that way only costing the upgrade costs, but positioning them for better service and ability to start more programs. Gallion emphazied that Crane Gulf was committed to helping its members. Gallion then introduced all board members: Chris Petree, Debby Cowden, Audwin Gallion, Joe McCarty, Richy DeGraffenreid, Susan Frank and Tony Jones.

The Treasurer's report was presented by Chris Petree. Petree noted the low charge offs this year, and the transfer to fully allow for the 6-12 month delinquency keeps them ready for any action they may have to take in 2009. They stand ready and able to help their members through any panic that is causing them to make poor long term decisions for short term problems. Petree reported the NCUSIF Fund, representing their capitalization with NCUA, has been devalued by appx 51% and will have to be replenished this year. That is one way their credit union has been effected by the dishonesty of Wall Street. Job and income losses can effect them, too. Investment rates have really challenged their bottom line, falling from 4+% to less than a quarter of a percent. Their best return, of course, would be to loan it out (6%+). Petree briefly commented on the new building, phone system, online cash management tools, and the ability to meet their own cash needs all being pluses for the future of the credit union and the best use of their time.

Malissa Heredia gave the Credit Officers' report. Besides the normal review of total loans for the year and other statistics, Malissa introduced 2 new loan products to help their members with the "Bail Out Consolidation" and a new line of credit products for the low end scores with fees to offset the risk involved. She spoke of training she was receiving, also. She introduced all loan officers: Arthur Rodriguez, Jackie Hicks, Malissa Heredia, and Chris Petree.

Susan Frank then read a memo from the Supervisory Chairman Teresa Clark about the last NCUA exam and Supervisory Audit. She stressed the need for address changes to be made promptly with the credit union. The committee members, David Williams, Peggy Cunningham, Teresa Clark, and clerk, Charlotte Lee, were introduced.

Joe McCarty represented the Nominating Committee made up of himself, Richy DeGraffenreid and Chris Petree. The committee recommended, Debby Cowden, Susan Frank, Tony Jones, and Audwin Gallion be returned to their positions. There were no nominations from the floor. Richy DeGraffenreid made the motion and Susan Rodriguez 2nd it that they accept the committee's recommendations by acclamation. Unanimously carried.