AgSouth distributes record patronage amount
AgSouth Farm Credit CEO William P. Spigener Jr. recently announced that on March 24, the cooperative distributed a record $32.7 million in patronage to its members.
Morethan $9.3 million of the total patronage was returned in cash, with the remaining $21.7 million designated as allocated surplus.
The patronage return represents nearly 28 percent of the total interest earned to AgSouth for the year ending Dec. 31, 2007.
“Since 1991, AgSouth has put more than $315 million of our profits into members’ pockets. The 2007 patronage we returned is nearly 28 percent of interest earned by the association,” said Spigener. “This means that for every $1 paid in interest on an AgSouth loan, members received 28 cents back. In February, the association revolved nearly $12 million in qualified surplus to members from the 2002 pool.
“This year our customers have seen more than $21.5 million dollars in cash returned to them through the patronage program.”
Spigener attributes the strength of the patronage program to the strong financial position of the cooperative and the commitment of the association’s directors, management and staff.
“AgSouth is a strong cooperative, and we’re very pleased to continue the history of paying out a significant portion of the association’s profits in the form of patronage returns. Year after year we continue to show that it really does pay to do business on a cooperative basis with AgSouth,” said Chief Financial Officer Alisa Gunter.
AgSouth Farm Credit is one of the largest lending cooperatives in the Southeast.
Headquartered in Statesboro, with administrative offices in Spartanburg, S.C., and Orangeburg, S. C., the cooperative’s 28 offices serve 34 South Carolina and 59 Georgia counties.
As of Dec. 31, 2007, AgSouth had more than 6,700 members, $1.6 billion in assets and $206 million in capital and allocated accounts.
AgSouth provides loans for real estate, agriculture and rural homes and offers leasing for automobiles, equipment, buildings and commercial operations.
The association also makes secondary home loans through its subsidiary, AgSouth Mortgages.
AgSouth Mortgages provides loans for home purchases, home construction and refinances.
For questions about the patronage program, contact Alisa Gunter at (864) 5856234, ext. 237.