NorthStar Cooperative recently distributed $1.16 million in patronage to member-owners, making fiscal year 2015 the greatest patronage distribution in NorthStar's history.
'Thanks to record earnings in 2015, member-owners of NorthStar Cooperative have received the greatest patronage distribution in NorthStar's history,' said Mark Adam, NorthStar general manager. 'This patronage distribution not only shows the financial strength of the cooperative, but our commitment to producers and the dairy and beef industries as a whole.'
The Cooperative's Operating Revenue of $30.7 million was the result of record performances in all business areas. Providing Select Sires genetics, NorthStar marketed a record 1,041,841 units of semen, a 20,000 unit increase over the previous year. More than 4.3 million milk samples were analyzed at NorthStar's two laboratories for production, health and diagnostics; while NorthStar's DHI Services tested 4.6 million cows, a 22 percent increase over the previous year.
These results allowed the Cooperative to declare record patronage, which represented a 7.5 percent return of purchases back to member-stockowners. In March, NorthStar paid 55 percent of the patronage in cash, which totaled $638,000. The remaining patronage was allocated to members and is converted to NorthStar Preferred Stock after eight years, allowing members to share in the success of non-patronage business, while providing working capital for the Cooperative to fund continued growth.
Along with record patronage, the NorthStar Board of Directors approved a 67 cent dividend on all shares of Class A Preferred Stock. Totaling $46,530, this dividend is the largest ever provided to Preferred Stockowners through cash and reinvestments.
NorthStar Cooperative, Inc. is a stock based cooperative, owned by dairy and beef producers in Michigan, Indiana and Wisconsin. Producers in NorthStar's service area can choose to be a member-stockowner and have the opportunity to share in the financial success of the cooperative through patronage distributions. Over the past 10 years, NorthStar has distributed $6.2 million in patronage to member-stockowners.
Originally formed in 1944 as an artificial insemination cooperative, NorthStar Cooperative, Inc. is now comprised of sales and service for Select Sires, Ag Products and Technologies, DHI Services and Antel BioSystems, an animal diagnostic testing center. Based in Lansing, Michigan, NorthStar provides sales and service to producers, veterinarians and industry members across the United States. For more information, visit www.northstarcooperative.com.