AgStar Financial Services Announces Third Quarter Results
MANKATO, Minn. (November 10, 2014) – AgStar Financial Services, a value-added financial services company owned by its client-stockholders, today reported earnings for third quarter ending September 30, 2014. The company reported net after-tax earnings of $32.8 million for the third quarter of 2014 and $85.7 million for the year. This reflects a $1.8 million increase over last year’s, year-to-date performance for AgStar.
“These earnings are the result of strong net interest income growth year-over-year,” stated Rod Hebrink, president and CEO of AgStar Financial Services. “In addition to positive net interest income, we’ve had significant improvements in the portfolio credit quality.”
“With solid results, we’re once again proud to allocate earnings back to clients.” Later this month, AgStar will pay out the 2005 patronage allocations of $28.9 million to over 10,700 stockholders. “We’re committed to sharing this success with our clients by offering this additional value.” Since the program’s inception in 1998, AgStar has allocated $453 million in patronage dividends.
“In addition to allocating earnings back to our clients, AgStar remains committed to the success of rural communities - the communities that our clients rely on every day.” AgStar, along with eight affiliated Farm Credit partners, recently closed a $150 million junior capital fund. This fund, the Rural Business Investment Company (RBIC), facilitates private equity investments in agriculture-related businesses that will create growth and job opportunities in rural America. “AgStar committed $20 million to the fund, helping secure the future for businesses and communities in rural America,” explained Hebrink.
AgStar Financial Services, ACA, headquartered in Mankato, Minn., employs more than 600 full-time team members. The company is part of the national Farm Credit System and has a public mission to serve 69 counties in Minnesota and northwest Wisconsin. AgStar’s industry specialization, client segments and market delivery systems result in diversification nationwide. The company has expertise in the corn, soybean, swine, and dairy and bio-energy industries. AgStar has developed successful programs in loans, leases, rural community development, crop insurance, consulting and rural home mortgages. As a value-added financial services cooperative, AgStar allocates patronage dividends to its 15,000 stockholders. The company is also committed to giving back to rural residents, organizations and communities through AgStar’s Fund for Rural America. Visit www.AgStar.com for more information.
Contact: Krystal Ohlhaber
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