$125 Million in Patronage Returns to Member-Owners
Nora Nolden, Communications Consultant
[email protected] or (651) 245-6804
Compeer Financial returns $125 million to member-owners
Member-owners will receive payments through the cooperative’s patronage program
Sun Prairie, Wis. (August 13, 2020) – Compeer Financial is returning $125 million in patronage payments to member-owners in August. The cooperative’s board of directors voted to increase patronage in 2020 after seeing strong financial results from the organization’s diverse portfolio in 2019.
Including $52 million in allocated equities already paid out in February, in total, member-owners will receive over $177 million in patronage returns this year, which is approximately 50 percent of the organization’s 2019 adjusted earnings. This is an increase of $26 million in patronage payments compared to the organization’s patronage returns in 2019. Patronage payments are based on the amount of products and services purchased by member-owners, along with the organization’s financial performance.
“When the board of directors decided to increase patronage payments after seeing strong financial results in 2019, we couldn’t have predicted the unprecedented challenges our member-owners and the agriculture industry would be facing this year,” said Rod Hebrink, president and CEO of Compeer Financial. “We recognize this infusion of extra capital can make a big difference for our member-owners, especially now.”
Since Compeer Financial was established in 2017, the organization has returned a total of $500 million to member owners.
This is the second of two patronage payments Compeer Financial will make to member-owners in 2020. The August cash patronage payment is for business member-owners had with Compeer Financial in 2019. In February, the organization paid out $52 million in allocated equities to member-owners who conducted business with 1st Farm Credit Services, AgStar Financial or Badgerland Financial before the organizations joined to form Compeer Financial in July 2017.
About Compeer Financial
Compeer Financial is a member-owned Farm Credit cooperative serving and supporting agriculture and rural communities. The $23.4 billion organization provides loans, leases, risk management and other financial services throughout 144 counties in Illinois, Minnesota and Wisconsin. Based in the Upper Midwest, Compeer Financial exists to champion the hopes and dreams of rural America, while providing personalized service and expertise to clients and the agriculture industry.
Compeer Financial is the third largest cooperative of the Farm Credit System, a nationwide network of lending institutions supporting agriculture and rural communities with reliable, consistent credit and financial services. Learn more about Compeer Financial.