2021 Annual General and Special Meeting and Board of Directors Election

Your well-being is our top priority

At all times, the health and well-being of our members and employees are top priorities for us. Coast Capital Savings Federal Credit Union (“Coast Capital”) continues to take company-wide measures to operate safely, and help mitigate the spread of COVID-19 in the communities that we serve. While the Annual General and Special Meeting (“AGSM”) would typically be a time to come together in person and connect, we are taking the direction of provincial and federal health and governmental authorities, and will be hosting our AGSM virtually. This will allow us to conduct the important business of the credit union, while ensuring we remain committed to providing a safe and accessible meeting environment for our members.

Vote via mail or online In addition to the many steps Coast Capital is taking to protect our members, employees and partners, we ask and encourage you to vote through our online voting platform, or by placing your completed ballot in the mail. Voting will be available starting March 29, 2021, at 8:00 am Pacific Standard Time (PST) and will close on April 21, 2021, at 5:00 pm PST.

View the AGSM from home We will continue to strictly comply with the latest provincial and federal public health measures relating to COVID-19, including the orders from the B.C. provincial health officer restricting large social gatherings. We are asking members to view the AGSM remotely by tuning in to the live stream of our AGSM at 4:30 pm PST on April 29, 2021. During the open members’ forum at the end of the AGSM, you will be able to submit your questions online.

Please visit www.coastcapitalsavings.com/election for full instructions on how to join our virtual AGSM or email [email protected] for assistance.

Given the ongoing COVID-19 pandemic environment and being mindful of the health and safety of our members, staff and business partners, it is possible that some of the above information will change prior to the AGSM. If there are any changes, those updates will be shared at www.coastcapitalsavings.com/ election.

We are here to help All of us at Coast Capital understand that COVID-19 is continuing to impact Canadians in various ways, including their financial well-being. We are dedicated to working alongside our personal and business members to help them navigate through these uncertain times together. Please reach out, as we are here to help, and visit www.coastcapitalsavings.com for the most up-to-date information.

This election booklet has been downsized to minimize the environmental impact and financial costs of postage. The same election details that were provided to all eligible members by mail in previous years (including director candidate credentials, financial statements, frequently asked questions and, if applicable, full text of proposed changes to Coast Capital’s Credit Union Rules) are now made available online at www.coastcapitalsavings.com/election. These election details will help you participate and make decisions to cast your vote, as specified in the 2021 election booklet.

In our efforts to continue to minimize the environmental and financial impact of future elections, we encourage our members to support us in reducing our postage by giving their consent to receive future voting documents electronically, and by voting online. To vote, please use our online voting platform, or complete and return the consent form on the ballot provided.

You’re playing an important role in the governance of your credit union

By casting your vote in the 2021 Board of Directors election, you elect your fellow Coast Capital members to take a seat on our Board of Directors (“Board”).

Special Message from Frank Leonard, Chair, Governance & Nominations Committee

On behalf of the Governance & Nominations Committee, I would like to express our appreciation for your support by voting in our election online or via mail. I would also like to update you on our annual Board renewal process and the 2021 Board of Directors election.

Last fall, the Governance & Nominations Committee reached out to our membership to encourage qualified candidates to apply for the four vacant positions on the Board. A diverse group of individuals submitted their applications and following the committee’s review and interview process, four members—all recommended by the Governance & Nominations Committee—chose to run for this year’s election: new candidates Susan Dujmovic and Pharid Jaffer as well as two incumbent directors, Nancy McKenzie and Christopher Trumpy.

In previous years, if the number of qualified nominees equaled the number of vacant positions, the recommended candidates would be declared elected by general consent or acclamation. When we became a federal credit union in 2018 the regulations changed, and we now must conduct an election by ballot as required by the Bank Act, despite having four candidates and four vacancies.

As a member, you play an important role in the governance of Coast Capital when you vote in this election as it enables you to get to know your fellow members who will be overseeing your credit union, and to express your support for their candidacy. We encourage you to take the time to read about the very capable individuals who have chosen to run in this year’s election and to exercise your voting rights to let us know that you support them.

On behalf of the Governance & Nominations Committee, I thank all of our engaged members who expressed interest in serving on the Board of Coast Capital, and for participating in this year’s comprehensive nominations process. I also want to thank our members for their continued trust in the Board as their credit union’s representatives. Your vote helps shape the future of this organization.

Sincerely,

Frank Leonard Chair, Governance & Nominations Committee 2021 Board of Directors election Coast Capital is one of Canada’s largest credit unions because of you. Together, we empower our 594,000 members to achieve what is important in their lives.

As a federal financial co-operative, we need directors who have the knowledge, skills and experience to guide Coast Capital’s affairs. The decisions made by our Board help ensure we remain strong, relevant and able to support members’ ever-evolving financial well-being needs.

Directors work hard to oversee the affairs and performance of the credit union. They work with the executive team to review, approve and monitor Coast Capital’s strategic direction and risk appetite, set policies, oversee operations and ensure we comply with statutory and regulatory requirements.

Please take some time to learn about the four recommended candidates standing for election for the four available positions. The elected candidates will assume their positions immediately following the Annual General and Special Meeting on April 29, 2021, and are elected to serve a three-year term.

There are three ways to participate and register your vote: 1. Online: Take the 15-digit control number on your mailed ballot, go to www.coastcapitalsavings.com/election and follow further instructions to submit your vote online. You can also use your smartphone or tablet to submit your vote by hovering over the QR code on your ballot. Voting opens March 29, 2021, at 8:00 am PST and closes on April 21, 2021, at 5:00 pm PST. We encourage you to vote online if you are able to do so. 2. Mail-in: Use your mailed ballot and make your voting selections. Insert your ballot into the supplied Reply Envelope. Seal your envelope and drop it off at any Canada Post mailbox. Ballots must be received by the Returning Officer by April 21, 2021, at 5:00 pm PST.If you are a business member, online voting is not currently available to you and we encourage you to mail your completed ballot rather than dropping off at a branch. 3. In-branch: In light of the COVID-19 mitigation measures to limit non-essential travel and engage in social distancing, we are actively discouraging members from going into the branches to vote. Please also note that due to some limitations in branch hours, the option to vote in your nearest branch might not be available to you during the election period of March 29, 2021, to April 21, 2021 See www.coastcapitalsavings.com/contact for days and hours of operations of each branch.

See the enclosed ballot form for more details on how to vote.

Nominations process

For more detailed information about the Governance & Nominations Committee, the selection process of qualified candidates and the nominations process of recommended candidates, please visit www.coastcapitalsavings.com/election.

2020 Financial Highlights

A complete set of Coast Capital’s Consolidated Financial Statements with accompanying notes is currently available online at www.coastcapitalsavings.com/about-us.

Voting Frequently Asked Questions

Who is eligible to vote? You can vote if you met the following criteria on January 29, 2021: • You were 18 years or older. • You held the required minimum of five membership shares. • You were a member in good standing, i.e., not more than 90 days delinquent in any obligations to Coast Capital.

Regardless of the number of memberships you hold, you may cast only one ballot. If there are multiple members on a membership, each member must meet the minimum of five membership shares requirement to be eligible to vote. If you have multiple joint memberships, your election package will be mailed to an address provided on one of your joint memberships, which may not necessarily be your home address.

For all other questions about member’s voting eligibility, the voting process and the Board of Directors election, please visit www.coastcapitalsavings.com/election. Recommended Candidates for the 2021 Board of Directors election

After a thorough assessment, the Governance & Nominations Committee determined the following individuals best met the 2021 Ideal Director Candidate criteria. You can read more about the candidates in this year’s election on our website at www.coastcapitalsavings.com/election.

Recommended Candidate: Susan Dujmovic During her more than 30 years with HSBC Bank Canada, Ms. Dujmovic has established herself as a strategic executive leader with a proven governance skillset. Recognized for her ability to develop strong partnerships and drive growth strategies and initiatives, Ms. Dujmovic has held a variety of executive management positions working with the bank’s domestic and international sectors in the areas of Risk Management and Governance, Compliance, and Corporate Sustainability. Bringing her wealth of knowledge as an experienced director with extensive audit, risk, and governance expertise, she is currently Audit Committee Chair for Infrastructure BC, a provincial crown corporation and procurement advisor for major infrastructure projects in BC. As a community leader, Ms. Dujmovic remains committed to serving on the Boards of non-profit organizations, most recently as a Director and Audit Committee Chair of the Hawaiian Legacy Reforestation Initiative, a sustainable reforestation initiative.

EXPERIENCE DIRECTLY RELATED TO THE 2021 IDEAL CANDIDATE DESCRIPTION

1. National Financial Services—experience with strategy and operations with a national scope. This includes a focus on retail and small business, and a deep understanding of credit risk management and federal banking regulatory compliance.

I have business and functional experience with a global and national bank. As Chief Risk Officer for Retail Banking and Wealth Management (RBWM), I oversaw all respective enterprise risk areas with particular emphasis on credit risk management. I led the small business and retail lending underwriting teams across Canada and was responsible for credit risk strategies, modeling and policy. I also led the RBWM Regulatory Compliance team across Canada and developed relationships with all key federal and provincial regulators.

2. Digital Expertise—understanding of digitalization, omnichannel business models, and the use of digital technologies to provide new revenue and create value-producing opportunities. This experience would include an understanding of how to shape the process of adding digital dimensions to business models and customer/member relationships, to transform a business to become more agile and responsive to its customers’/members’ needs.

I was a key contributor to two major digital transformation projects at HSBC. The first was a global transformation project called OneHSBC. My involvement was to represent credit risk and contribute to the digital process enhancements for mortgage and loan underwriting. The second was a $100 million investment over three years into RBWM with three main digital focus areas: auto-decisioning for mortgages and loans, improved front-line interface for customers and new digital platforms for the mutual funds and discount brokerage businesses. I oversaw the credit risk modeling team as well.

3. Public Policy/Government—understanding of the federal and provincial government public policy and decision making-making process, including government relations and regulations, through specific government-related experience.

As RBWM’s Chief Risk Officer, I had a direct relationship with OSFI. I also participated in the development of policy via CBA special interest groups. I was part of the CBA Mortgage team that helped OSFI shape the B-20 Guidelines and was responsible for the implementation of those policy guidelines in Canada for HSBC. As Head of Regulatory Compliance, I had relationships with the MFDA, IIROC and FCAC and in 2017 was appointed as an industry member to the MFDA Board and sat on the Regulatory Issues and Audit Committees. Recommended Candidate: Pharid Jaffer

With over 20 years’ experience in delivering strategic and transformational solutions, Mr. Jaffer is well known for his expertise in banking and wealth management, government, retailing, and corporate I.T. As the founder of a leading consultancy, Mr. Jaffer has helped a number of organizations envision, plan and shape their solutions to help transform their information technology, and cyber-security initiatives. Having personally led and managed globally dispersed teams of 500+, he is described as an innovation catalyst who brings a thoughtful approach to every discussion. As an experienced corporate director, Mr. Jaffer continues to bring his insight to the organizations directly impacting his community, in addition to taking time to mentor our leaders of tomorrow. EXPERIENCE DIRECTLY RELATED TO THE 2021 IDEAL CANDIDATE DESCRIPTION

As a small business owner, I am very familiar with the banking, tax and regulatory/compliance requirements. And, with prior experience in financial services from banking to wealth management to insurance to fintech, I am experienced in working with North American regulators from OSFI in Canada to the SEC/FINRA in the U.S. to gain their approval on many initiatives.

Having worked in senior technology roles with HSBC, Canaccord, Wolverton and with clients in my independent advisory practice, I feel that I am well qualified in this area and have even spoken and led workshops on digital disruption, transformation, cyber risk and fintech to private clients and at public events.

I have worked with regulators in Canada and the U.S. to gain approval on new business initiatives in wealth management (SEC/FINRA) to offshoring and transformative technology infrastructure initiatives (OSFI) and feel I have the necessary background, understanding and experience to help Coast Capital. Recommended Candidate: Nancy Mckenzie

Ms. McKenzie is an accounting professional with significant experience in guiding an organization through a significant growth period. During her 20-year career with Seaspan ULC, the last 12 of which were as Chief Financial Officer, she was responsible for leading the Finance, Information Technology, Supply Chain, Corporate Communications and Risk and Security Management teams, and managing major capital projects that resulted in decreased costs and improved efficiencies. As the organization took on the responsibility of building ships for the Canadian government, a major focus was the education and training of staff on the increased risk of cyber-security threats. Ms. McKenzie is an experienced corporate director with deep roots in youth sports community involvement and brings a depth of business experience to Coast Capital.

EXPERIENCE DIRECTLY RELATED TO THE 2021 IDEAL CANDIDATE DESCRIPTION

During my first term on the Coast Capital board, I learned a lot about the federal financial services regulatory environment. As Chair of the Risk Review Committee, I have direct interface with regulators. Prior to my time at Coast Capital, I worked with OSFI maintaining a federally regulated pension plan, and have experience governing in an OSFI regulatory framework. At Seaspan, I was on the executive team and led the planning and execution of our national expansion strategy. As a commercial borrower, I bring experience and insights from having negotiated many credit agreements and understanding credit markets.

After winning the National Shipbuilding program, Seaspan implemented technologies to automate operational processes with our ERP. This significant initiative drove excellence in operations, enabling teaming partners and suppliers to directly interact with the company. At UBC where I chair the board, the new Workday ERP has just gone live, a monumental achievement for an organization of this size; the board had a key role in oversight and risk management. As Risk Review Committee Chair at Coast Capital, we also oversee project risk management for Coast Capital’s innovations and ensure members benefit from investments.

My background has exposed me to highly-regulated enterprises. At Seaspan, the federal government was a major customer, and I engaged in contracts and meetings with government leadership. As the Chair of UBC, I must ensure the board operates within our mandate letter and governs according to the University Act. With Coast Capital, in my role chairing the Risk Review Committee, I must ensure our risk oversight complies with OSFI guidelines and I periodically meet with OSFI. Through my career, I have also engaged with various First Nations on matters of mutual benefits. Recommended Candidate: Christopher Trumpy

Mr. Trumpy was an accounting professional and is a former Deputy Minister of Finance for the province of British Columbia, a position equivalent to that of Chief Financial Officer for the province. As Deputy Minister, he held responsibility for the legislation and government policies related to the Financial Institutions Commission (the agency that regulates British Columbia’s credit unions) and the Credit Union Deposit Insurance Corporation (the agency that insures member deposits). Mr. Trumpy’s depth of public policy and government background in addition to his financial controls experience at the senior leadership and board level reinforces the broad expertise he brings to Coast Capital.

EXPERIENCE DIRECTLY RELATED TO THE 2021 IDEAL CANDIDATE DESCRIPTION

During the process of transitioning to a federally regulated credit union, I have developed an understanding of what a successful business model would be and the changes and depth in regulatory expectations operating under an OSFI regime. During my time in the government, I had responsibility for a number of significant policy initiatives—after retiring I continued to stay connected through a variety of consulting contracts including governance and performance reviews. As a member of Coast Capital’s Risk Review Committee my breadth of knowledge has continued to advance in this area.

During my nine years as a Board member, I have gained an understanding of the requirements to expand our digital service offerings to support our members and the complexity of implementation during my time on the board. As former Deputy Minister of Finance, I had responsibility for several technology transformation projects including the implementation of a Corporate Accounting System, where I was brought in to deal with resistance to adoption of the project. Although not a “digital native”, I can bring a perspective to what these shifts mean for our members.

During my career working for the BC government, I was involved in a number of complex public policy initiatives, which required successful navigation of the public policy decision making apparatus. These included the introduction of what was at the time the most comprehensive carbon tax in the world, development of BC’s Climate Action and Clean Air Plans, BC’s 2002 Energy Plan and the divestiture of BC Rail. As a consultant, I provided advice on Public Education funding, BC Transit Governance, ICBC Investment Management and other issues with public policy implications. Farewell to Departing Board Member

Director Christian Morrison is concluding her tenure on the Board at the end of this Annual General and Special Meeting. Christian has dedicated 12 years to Coast Capital and in her time provided oversight to many important initiatives that have ensured the credit union’s long-term success.

Her wisdom and experience have been invaluable and will be greatly missed. As Christian retires from her director role, we thank her for her leadership and her commitment and wish her the very best. Thank you Christian. Special Resolutions The Board is recommending amendments to certain sections of the Coast Capital Savings Federal Credit Union Rules (the “Credit Union Rules”). These changes will: ensure the directors consider all stakeholders in their deliberations (a B Corp requirement); streamline the director nominations process to allow Coast Capital to evolve best practices for director nominations as a federal credit union; allow Coast Capital to reduce its environmental impact by limiting mailings where possible; and, subject to the Bank Act, allow for virtual general meetings.

These special resolutions are to ratify changes to the Credit Union Rules that were approved by the Board of Directors on November 26, 2020 and February 24, 2021.

The Board recommends that the members approve the following special resolutions to amend the Credit Union Rules.

The full Credit Union Rules, as amended, are available on our website: www.coastcapitalsavings.com/governance/credit-union-rules.

In order for the special resolutions to be adopted, they must gain two-thirds approval by the members voting.

Here is a summary of the changes and why the Board is asking you to ratify them:

1. B Corp Certification Language

Coast Capital was proud to become a Certified B Corporation in 2018. The B Corp designation, administered by B Lab, demonstrates public and measurable social and environmental commitments. Companies must meet certain standards before they can be certified by B Lab.

As part of being a certified B Corp, Coast Capital needs to amend its Credit Union Rules to set out that our purpose includes making a positive impact on society, and to ensure directors consider stakeholders in their deliberations. The directors consider these changes to be consistent with cooperative principles by keeping members at the heart of what we do while being mindful of stakeholders that can be affected by the activity of our Credit Union. They do not change the responsibilities of Coast Capital under the Bank Act, create any new rights or remedies, or change the fundamental duty of the directors to the Credit Union itself.

BE IT RESOLVED THAT:

The members of Coast Capital Savings Federal Credit Union (the “Credit Union”) confirm the following amendments to the Credit Union’s Rules made by the directors of the Credit Union on November 26, 2020:

a. The addition of the following new Rules 14.1 through 14.5 and the renumbering of the remaining Rules in section 14:

“14.1 The purpose of the Credit Union includes, but is not in any way limited to or restricted by, the creation of a positive impact on society and the environment, taken as a whole, from the business and operations of the Credit Union, which impact is material in view of the size and nature of the Credit Union’s business.

14.2 The directors shall, subject to all applicable statutory and regulatory duties and requirements including the Bank Act, and in alignment with cooperative principles and the purpose of the Credit Union, act with a view to the best interests of the Credit Union.

14.3 In considering the best interests of the Credit Union, the directors shall consider the interests of the Credit Union’s members, shareholders, employees, suppliers and creditors, as well as the government, the natural environment, and the community and society in which the Credit Union operates and the short-term and long-term interests of the Credit Union, to inform their decisions. 14.4 Nothing in sections 14.1 – 14.3, express or implied, is intended to create or shall it create or grant any additional right or any cause of action by or for any person.

14.5 Notwithstanding the foregoing, any Director is entitled to rely upon the definition of “best interests” as set forth above in enforcing their rights hereunder, and under federal law and such reliance shall not, absent another breach, be construed as a breach of a Director’s fiduciary duty of care.”

2. Nomination of Directors and Certain General Meeting Procedural Clarifications

The nominations process for directors and our annual general meetings are important opportunities for members to participate in the governing of our Credit Union. The details are set out fully in the charter of the Governance & Nominations Committee and the Credit Union Rules which are on the Coast Capital website and always available for members to see. Certain specific provisions relating to the Director nomination process, such as the requirement to host a Candidate information Session, are not required by the Bank Act to be in the Rules and are stated elsewhere. The amendments proposed to Rules 15 and 16 are intended to simplify these procedural requirements in the Rules. The amendments proposed to Rule 18 clarify certain general meeting matters relating to mail ballots and virtual meetings. The Board recommends that members approve the amendments to sections 15, 16, and 18 of the Credit Union Rules, in order to allow Coast Capital to evolve best practices as a federal credit union for director nominations and procedural matters at its general meetings. Coast Capital remains committed to having robust and transparent director nominations and annual general meetings.

BE IT RESOLVED THAT:

The members of Coast Capital Savings Federal Credit Union (the “Credit Union”) confirm:

a. The amendments to Rules 15 and 16 of the Credit Union’s Rules made by the directors of the Credit Union on November 26, 2020 as set out in the blacklined version available at www.coastcapitalsavings.com/governance/credit-union-rules; and

b. The amendments to Rule 18 of the Credit Union Rules made by the directors of the Credit Union on February 24, 2021 as set out below in red font:

“18.9 Subject to the Bank Act, at least 90 days prior to any general meeting of members, the Board of Directors shall determine the method by which voting on special resolutions, other resolutions and an election of Directors shall take place.

(a) The Board of Directors may determine that members may vote:

i. in person at a general meeting or by mail ballot, whichever method the member chooses;

ii. in person at a general meeting or by ballot at a branch office, whichever method the member chooses;

iii. in person at a general meeting, by mail ballot or by ballot at a branch office, whichever method the member chooses;

iv. by mail ballot or voting by ballot at a branch office, whichever method the member chooses;

v. by ballot at a branch office;

vi. by mail ballot; or

vii. in person at a general meeting.

(b) In addition to the voting methods selected by the Board of Directors pursuant to Rule 18.9(a), the Board of Directors may, subject to the Bank Act, determine that members may also vote in an election of Directors and on special resolutions by such electronic means as may be prescribed by the Board of Directors in their discretion. (c) Having regard to the determination made in paragraphs (a) and (b), the Board of Directors may determine to deliver ballots:

i. to members by making ballots available in branch offices;

ii. by electronic means;

iii. by mail to all members eligible to cast a ballot, or by mail to those members eligible to cast a ballot who request a ballot by mail;

iv. to members at the general meeting; or

v. a combination of the above methods.

For greater certainty, the Board of Directors may select either the same or a different method of voting for a members’ resolution and for the election of Directors. If the Board of Directors does not select a method for voting at a particular general meeting, the Board of Directors shall be deemed to have selected the method set out in Rule 18.9(a)(iii).”

“18.13 Subject to the Bank Act, the Board of directors may in their discretion determine that a general meeting (including without limitation an AGM) may be held at two or more places or virtually by means of electronic or other communication facilities that allow all persons participating in the meeting to communicate with each other during the meeting, all of which together shall constitute one single meeting.”

2021 Annual General and Special Meeting

Please join our Board Chair Bob Armstrong and our President and CEO, Calvin MacInnis at our 2021 AGSM to hear the 2020 year in review, to find out about Coast Capital’s plans for 2021, and learn the results of the directors’ election, auditor appointment and Special Resolutions on Thursday, April 29, 2021 at 4:30 pm PST at www.coastcapitalsavings.com/election.

2020-2021 Board of Directors

Directors Year first elected Term expiry Bob Armstrong (Chair) 2016 2022 Charlotte Burke 2019 2022 Frances Fiorillo 2019 2022 Leanna Falkiner 2020 2023 Valerie Lambert 2017 2023 Frank Leonard 2016 2022 Nancy McKenzie 2018 2021 Calvin MacInnis 2019 2022 Christian Morrison 2009 2021 Chris Trumpy 2012 2021

Need help? Computershare is a third-party vendor who will serve as our independent scrutineer. Their Contact Centre is available for all your questions regarding online voting from Monday to Friday between the hours of 5:30 am to 5:00 pm (PST). • By phone: 1-800-564-6253 (toll free North America)—International: 514-982-7255 • By fax: 1-866-249-7775 (toll free North America)—International: 416-263-9524 How to contact us Toll-free: 1-888-517-7000 | Metro Vancouver: 604-517-7000 | Greater Victoria: 250-483-7000 www.coastcapitalsavings.com