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Warning to FLBA Borrowers!
Attached is a copy of a solicitation letter received by a Federal Land Bank Association of South Alabama borrower. Please be advised that if you receive a similar notice, it did not originate from our Association. It is a scam by a disreputable third party to solicit business through unauthorized use of the Association's name. Contact your local FLBA branch office to verify any such communications prior to taking action.
South Alabama to Distribute $3.2 Million to Borrowers
The Federal Land Bank Association (FLBA) of South Alabama, a rural financing cooperative serving the lower 40 counties of the state, will distribute $3.2 million in cash patronage to its borrowers, based on the FLBA’s financial performance in 2007. Checks will be mailed in late April.
Patronage payments are an essential characteristic of the lender’s cooperative business philosophy. The FLBA of South Alabama is owned by its borrower/stockholders. When the co-op performs well, it shares its earnings with the stockholders.
“We are pleased to continue the long history of sharing our financial success with our stockholders,” said Thomas Dozier, chairman of the board of directors. “This $3.2 million cash refund effectively lowers our stockholders’ interest rate for the year by approximately 65 basis points, or 0.65 percent, proving once again that it pays to do business with the Federal Land Bank.”
This is the tenth year that the FLBA of South Alabama has declared a dividend or patronage payment to its customers. With this year’s distribution, the lending cooperative has returned more than $24 million in stock refunds, dividends and patronage to stockholders since 1996. |
