Frontier Farm Credit and Farm Credit Services of America Announce Strategic Alliance
Jun 04, 2014
Manhattan, Kansas, and Omaha, Nebraska – (June 4, 2014) – Frontier Farm Credit and Farm Credit Services of America (FCSAmerica) have announced their Boards of Directors have signed a letter of intent to bring the two organizations together in a strategic alliance. The alliance is designed to benefit the farmers and ranchers who own and support the two financial services cooperatives by ensuring that both associations have the strength and capacity to serve agricultural customers’ needs for years to come.
As part of the new alliance, Frontier Farm Credit and FCSAmerica will continue to exist as separate associations while integrating their day-to-day business operations, technology systems and leadership teams. Each association will continue to have its own Board, with representatives participating in a coordinating committee to facilitate Board governance between the two organizations.
By aligning with FCSAmerica, Frontier Farm Credit will gain access to state-of-the-art technology and business processes to serve their customers, lower their cost of operations and strengthen their risk management capabilities. FCSAmerica will benefit from economies of scale with access to a larger capital pool and the ability to spread their IT investment across a larger customer base.
The alliance will honor the Frontier Farm Credit legacy by maintaining their local staff relationships with customers in the eastern region of Kansas where the association does business.
Target date for implementation of the alliance is January 1, 2015, subject to a vote of approval by Frontier Farm Credit stockholders.
About Frontier Farm Credit
Frontier Farm Credit is a $1.7 billion customer-owned financial cooperative serving more than 6,000 shareholders in Kansas with regional offices in Manhattan, Marysville, Hiawatha, Emporia, Baldwin and Parsons. The association offers agricultural loans, leases, crop insurance, appraisal services, tax preparation and recordkeeping. Learn more at frontierfarmcredit.com.
About Farm Credit Services of America
Farm Credit Services of America is a customer-owned financial cooperative proud to finance the growth of rural America, including the special needs of young and beginning producers. With more than $20 billion in assets and more than $3 billion in members' equity, 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 fcsamerica.com