Propane/Fuel AccountOrder / Pay Account
Ag/Retail Account
Review AccountYour Land, Your Community, Your Co-op
Dec 26, 2024
This is my 10th year being part of Federated Co-ops and 2024 was another unique year weather-wise. A lot of rain early, followed by very little rain when the crops needed it the most. Based on feedback from many growers, yields were not the worst, but there weren’t any records set. The common feedback was: “It wasn’t as bad as it could have been.”
As you would expect, our business is predicated on the success of the growers. The co-op overall will deliver our plan for 2024; however, our agronomy business will be off plan; our energy business continues to add new tanks and will deliver plan even with the warmer winter and less dryer gas than budgeted. As in all businesses, price is important, but safety and service are critical for this business.
With the support of your board of directors we spent over $5.5 million on capital projects to continue to upgrade the fleet, equipment, and buildings. The largest investment we made was over $2.0 million in our new mechanic shop in Ogilvie. We have over $40 million invested in rolling stock that we will be able to handle internally. We had our 2024 annual meeting in the new shop, and we were proud to show our patrons the new space. Our plan is to have the annual meeting there again in 2025, now that everything is complete.
As we move into 2025, I would like to reinforce that the reason the co-op was founded was to work together and win together. When we win together everyone benefits. As a team, we are very proud of our performance and our ability to pay patronage back to our owners. Over the last four years we have had an average of 7.5% patronage and have paid out 100% cash. We have returned over $11.9 million to you, our patrons. Our performance and return are the results of patrons believing in the co-op system and buying their inputs from us. You will not get this return from a private company, nor do I believe you will see it from other co-ops.
We are very proud of our ability to support the communities we live and work in. In 2024 we donated money for 36 scholarships, fire and police departments, and 4-H events, to name a few. We do everything we can to make the communities we work and live in better. We are working with all our suppliers to look for ways to reduce our costs. We are committed to leveraging all three of our businesses – Agronomy, Energy, and Retail – to achieve solid return for you and your communities.
You have a great team of employees that is laser focused on you, the patrons, because we know if we work together, we will succeed and win together. This is why our tagline says: Your Land, Your Community, Your Co-op. You own us so why not continue to invest in us? I am so proud of the team members and grateful every day for their commitment and dedication.
On behalf of your board of directors and the 290 employees at Federated Co-ops, thank you for your patronage. I look forward to working together to succeed together for years to come.
Stay safe and healthy. Merry Christmas and Happy New Year!
Mike McMahon
CEO, Federated Co-ops
As you would expect, our business is predicated on the success of the growers. The co-op overall will deliver our plan for 2024; however, our agronomy business will be off plan; our energy business continues to add new tanks and will deliver plan even with the warmer winter and less dryer gas than budgeted. As in all businesses, price is important, but safety and service are critical for this business.
With the support of your board of directors we spent over $5.5 million on capital projects to continue to upgrade the fleet, equipment, and buildings. The largest investment we made was over $2.0 million in our new mechanic shop in Ogilvie. We have over $40 million invested in rolling stock that we will be able to handle internally. We had our 2024 annual meeting in the new shop, and we were proud to show our patrons the new space. Our plan is to have the annual meeting there again in 2025, now that everything is complete.
As we move into 2025, I would like to reinforce that the reason the co-op was founded was to work together and win together. When we win together everyone benefits. As a team, we are very proud of our performance and our ability to pay patronage back to our owners. Over the last four years we have had an average of 7.5% patronage and have paid out 100% cash. We have returned over $11.9 million to you, our patrons. Our performance and return are the results of patrons believing in the co-op system and buying their inputs from us. You will not get this return from a private company, nor do I believe you will see it from other co-ops.
We are very proud of our ability to support the communities we live and work in. In 2024 we donated money for 36 scholarships, fire and police departments, and 4-H events, to name a few. We do everything we can to make the communities we work and live in better. We are working with all our suppliers to look for ways to reduce our costs. We are committed to leveraging all three of our businesses – Agronomy, Energy, and Retail – to achieve solid return for you and your communities.
You have a great team of employees that is laser focused on you, the patrons, because we know if we work together, we will succeed and win together. This is why our tagline says: Your Land, Your Community, Your Co-op. You own us so why not continue to invest in us? I am so proud of the team members and grateful every day for their commitment and dedication.
On behalf of your board of directors and the 290 employees at Federated Co-ops, thank you for your patronage. I look forward to working together to succeed together for years to come.
Stay safe and healthy. Merry Christmas and Happy New Year!
Mike McMahon
CEO, Federated Co-ops