(FRESNO, CA) March 14, 2013 -- Fresno Madera Farm Credit (FMFC), a federally chartered credit institution serving farmers and ranchers in the central San Joaquin Valley, announced its first patronage distribution since inception in 1917.
Chairman of the Board, Jeff Jue stated, “In recognition of the fact that FMFC has grown and prospered over the last fourteen years, the FMFC Board unanimously approved a Patronage Program that established a basis for the Association to make annual cash distributions to the members subject to the regulatory, legal, and Board approved conditions. Patronage is one of the fundamental and core precepts of the Farm Credit System which is organized as a cooperative. In today’s world, partnerships with our discount Bank and our Associations are critical. Our Patronage Program puts FMFC on a level playing field with our partners. We are very pleased that the financial results of 2012 allow our members to share in the profits of the Association and reduce their cost of borrowing.”
The cash distribution is 50% of the Association’s 2012 patronage source net income which equates to 75 basis points of the Association’s patronage source volume. The distributions will be mailed to all eligible customers before March 31, 2013. Payments will vary based on each member’s net interest income as a proportionate share of the Association’s total net interest income.
Tom Brown, FMFC’s President and Chief Executive Officer stated, “The financial stability of the membership equates to the strength of the Association. Our long standing commitment to providing sound and constructive financing to qualified member borrowers has allowed FMFC to not only survive but to thrive in the inevitable cycles of agriculture. FMFC has proven that we can consistently grow the business while maintaining sound credit quality; our capital level has remained significantly above the regulatory minimum and exceeds the minimum set by the Board. Our objective is to provide competitive pricing to existing and new customers. FMFC is just beginning to realize our potential as we are in the heart of the best agricultural area in the World.”
As part of the nationwide Farm Credit System, Fresno Madera Farm Credit was founded in 1917 and provides mortgage and commercial loans, appraisal and leasing services, and crop insurance to farmers, ranchers and ag related businesses throughout the central San Joaquin Valley. FMFC’s focus remains to provide credit to all eligible and creditworthy agricultural producers in Fresno and Madera Counties. In addition, FMFC supports local 4-H and FFA Ag Youth Organizations while sponsoring various agricultural industry events. For more information on rates or other services contact Fresno Madera Farm Credit in Fresno at 559-277-7000 or in Madera at 559-674-2437.