AgTexas returns $2 Million to customers as patronage

AgTexas, FCS recently returned $2 million in earnings to its borrowers, following a year of outstanding growth. The amount was distributed as a cash patronage and was based on the association’s financial performance in 2007.

This latest patronage payment reduced AgTexas customers’ average interest rate by 58 basis points in 2007, and highlighted the co-op’s solid 2007 financial results. The cooperative reported net year-end loan volume of $416 million at Dec. 31, 2007, a 39.1 percent increase from Dec. 31, 2006. Net income of $4.53 million in 2007 was up compared to the $4.34 million reported at Dec. 31, 2006.

“We had another successful year during 2007,” said Mitchell Harris, AgTexas, FCS, chief executive officer. “Our new loan growth exceeded our goals, which in turn, meant more earnings to continue a strong patronage program. We will continually strive to increase growth, enhance financial stability and expand patronage in the years to come.”