Dear Members, Staff and Volunteers,

  We are facing extremely challenging times in the financial market with the increase of stolen identity, compromised card issues and fraudulent activity on the rise.  Compliance with the Patriot Act and Bank Secrecy Act are becoming increasingly expensive and time consuming.         

  Your credit union has remained with the education community locally and not pursued a community charter.  The requirements make it costly and there are so many credit unions in the area already serving all 770,000 people living in San Mateo County .

  A major goal for 2008 is the development of our Business Continuity Plan including full testing of the computers and recovery of all resources to ensure operations will resume in the event of a full disaster.

  As always, we wish all of our members a very happy and prosperous 2008 and want to thank you for your continued support of our credit union family.

Sincerely,
Rochelle Kirchner
Manager