Omaha, Nebraska (February 20, 2014) -- Farm Credit Services of America (FCSAmerica), a farmer-owned financial cooperative, today announced annual net income of $514.6 million for the 2013 calendar year. This compares to net income of $481.1 million in 2012.
The increase primarily was due to greater net interest income from loan growth and a reduction in the provision for credit losses due to an increase in credit quality, partially offset by a decrease in noninterest income and an increase in noninterest expense.
Loan volume increased to $20.2 billion from $18.5 billion in 2012. Most of this increase was in the long-term agriculture real estate portfolio.
FCSAmerica will distribute $145 million of the net income earned in 2013 to eligible customer-owners. This brings the amount of net income distributed to eligible customer-owners since 2004 to $830 million.
“As a farmer-owned cooperative, our earnings either contribute to our balance sheet, where they support our customers’ financial needs, or they are returned to producers in the form of cash-back dividends,” said Doug Stark, president and CEO of FCSAmerica. “Our customers use those dividends to invest in their operations and to support the schools, businesses and organizations in their local communities.”
In 2013, members’ equity in FCSAmerica increased to $3.6 billion from $3.2 billion at the end of 2012. The cooperative’s financial strength enabled the FCSAmerica Board of Directors to approve a cash-back dividend for the 10th consecutive year.
About Farm Credit Services of America
Farm Credit Services of America is proud to finance the growth of rural America, including the special needs of young and beginning producers. With assets of more than $21 billion, FCSAmerica is one of the region’s leading providers of credit and insurance services to farmers, ranchers, agribusiness and rural residents in Iowa, Nebraska, South Dakota and Wyoming. Learn more at www.fcsamerica.com.
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