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Frontier Farm Credit to Distribute $11.5 Million Cash-Back Dividend for 2017

Frontier Farm Credit to Distribute $11.5 Million Cash-Back Dividend for 2017

Cooperative has returned $80.7 million to farmers, ranchers since 2004

OMAHA, NEBRASKA – Frontier Farm Credit, a financial cooperative owned by farmers and ranchers, approved a 2017 cash-back dividend of $11.5 million for its eligible customer-owners.

Frontier Farm Credit has returned more than $80.7 million to producers in eastern Kansas since 2004.

“Cash-back dividends demonstrate the value of our unique cooperative business model,” said Mark Jensen, president and CEO of Frontier Farm Credit. “As agriculture works through a tough economic cycle, our customer-owners are sharing in the cooperative’s success, and can invest the dividends in their operations and local communities.”

The Board of Directors considers a number of business and economic factors in determining the amount of each year’s cash-back dividends, including the cooperative’s financial strength. The earnings retained by Frontier Farm Credit are used to build the cooperative’s financial capacity to continue serving agriculture.

The 2017 dividend checks will be mailed to eligible customer-owners in March 2018. The Board of Directors has approved a cash-back dividend for 2018, with the amount of the distribution to be decided in December 2018.

About Frontier Farm Credit

Frontier Farm Credit is a customer-owned financial cooperative proud to finance the growth of rural America, including the special needs of young and beginning producers. With nearly $2 billion in assets and $405.1 million in members’ equity, Frontier Farm Credit is one of the region’s leading providers of credit and insurance services to farmers, ranchers, agribusiness and rural residents in eastern Kansas. For more information, visit frontierfarmcredit.com.

Farm Credit Services of America and Frontier Farm Credit Announce President and Chief Executive Officer

OMAHA, NEBRASKA (September 19, 2017) – Farm Credit Services of America (FCSAmerica) and Frontier Farm Credit today named Mark Jensen as incoming president and chief executive officer of the customer-owned financial cooperatives. Jensen, the Associations’ chief risk officer, will assume his new role on November 1, 2017. He succeeds Doug Stark, who is retiring.

Jensen joined FCSAmerica in 1992 and has held senior vice president positions with the Association for the past 16 years. He was named senior vice president – chief risk officer in 2013. Jensen was instrumental in modernizing FCSAmerica’s credit process and implementing an enterprise risk management framework, and today provides executive leadership of the Associations’ risk management, credit and appraisal teams. He graduated from the University of Nebraska-Lincoln with a degree in agricultural economics.

About Farm Credit Services of America and Frontier Farm Credit

FCSAmerica and Frontier Farm Credit are customer-owned financial cooperatives proud to finance the growth of rural America, including the special needs of young and beginning producers. FCSAmerica provides credit and insurance services to farmers, ranchers, agribusiness and rural residents in Iowa, Nebraska, South Dakota and Wyoming. Frontier Farm Credit serves eastern Kansas. Learn more at www.fcsamerica.com and www.frontierfarmcredit.com.

For media and communications inquiries, please contact Judith Nygren, Corporate Communications & Public Relations Specialist, at 402.348.3346.

Frontier Farm Credit Survey Provides Insight into Farmer Grain Marketing Practices

OMAHA, NEBRASKA (June 1, 2017) – Frontier Farm Credit today announced results of a survey it commissioned in association with Farm Credit Services of America (FCSAmerica) on the marketing practices of farmers across the Corn Belt. The results shed light on the practices used by grain producers who say they are satisfied with their marketing results, and offer an opportunity for farmers to compare themselves to their peers and examine their own approach to marketing.

Nearly 650 producers in nine states answered questions about how and when they price their crops. At a time when many farmers have worked to lower their operating costs, the survey offers insights about how to optimize the income side of the farm balance sheet.

“The survey results highlight that knowing cost of production is the foundation of sound marketing,” said Doug Stark, president and CEO at Frontier Farm Credit. “They also highlight the important role that crop insurance plays in supporting both risk management and marketing, not just when there is a crop failure.”

Among the findings:

  • One-third of producers are mostly or completely satisfied with their marketing practices and results.
  • Satisfied marketers are more likely to price as soon as the market offers a profit and to price multiple crop years. They are less likely to sell most of their crop right after harvest or to price based on market fear or cash flow needs.
  • More satisfied than dissatisfied marketers report that they have a good understanding of their cost of production and use it to set an initial price goal. Satisfied marketers are more likely to have written marketing plans.
  • On average, producers use four to five marketing tools, the most popular being storage. Eighty-two percent store grain at least occasionally; one in five always stores.
  • Operations of 1,000 or more acres and growers with higher levels of crop insurance employ a fuller range of marketing tools. Producers with Revenue Protection of at least 80 percent also are more likely to price prior to harvest.
  • More than two-thirds use cash forward contracts and spot cash sales, while only a quarter of respondents use futures or options.
  • Those 35 and younger are more likely to use hedge-to-arrive contracts and lock in the carry when they store. Younger and larger operators are more likely to use their cost of production to set a marketing price. Ted Schroeder, an agricultural economist and director of the Center for Risk Management Education at Kansas State University, assisted with survey design and interpretation of results.
  • Frontier Farm Credit provides credit and crop insurance services for nearly 7,400 customer-owners in eastern Kansas. “We don’t advise producers on their marketing strategies, but as a farmer-owned cooperative, we continually invest in helping our customers enhance their financial acumen to benefit their operations,” Stark said.
  • USDA reports on grain sales are focused on deliveries to elevators. The FCSAmerica survey focused directly on producers with 350 acres or more of corn, soybeans and/or wheat to learn how they actually price their grain. The results reveal how farmers view risk, the pricing strategies they employ, and the factors that influence their marketing attitudes and practices.

To view the full survey report, visit frontierfarmcredit.com/GrainMarketingInsights.

About Frontier Farm Credit

Frontier Farm Credit is a customer-owned financial cooperative proud to finance the growth of rural America, including the special needs of young and beginning producers. With nearly $2 billion in assets and nearly $395 million in members’ equity, Frontier Farm Credit provides credit and crop insurance services to farmers, ranchers, agribusiness and rural residents in eastern Kansas. Learn more at frontierfarmcredit.com.

Frontier Farm Credit Customer-Owners Elect Six Board of Directors

Omaha, Nebraska – (March 22, 2017) – Frontier Farm Credit stockholders elected six customer-owners to the financial cooperative’s Board of Directors:

Ron Dunbar raises a variety of crops and hay, and maintains a beef-cow herd in Princeton, Kansas. He also backgrounds and finishes cattle. His term runs through March 31, 2019.

Jennifer Gehrt owns a cattle ranch near Alma, Kansas, and is associate director of information systems at Kansas State University. Her term runs through March 31, 2020.

Bill Miller runs commercial Angus cows on his ranch in Council Grove, Kansas. He also does communication work for U.S. Premium Beef, LLC. His term runs through March 31, 2018.

Lee Mueller raises corn and soybeans on his farm near Hiawatha, Kansas. His term runs through March 31, 2021.

Steve Powers owns a farm and ranch near Chanute, Kansas. He raises wheat, corn, soybeans, brood cows and stocker cattle. His term runs through March 31, 2019.

Shane Tiffany is president and CEO of Tiffany Cattle Co., a feedlot in Alta Vista, Kansas, where he also serves as the town’s mayor. His term runs through March 31, 2021.

All but Tiffany ran as incumbents. Miller currently serves as chair of the Board of Directors.

Beginning April 1, 2017, the Frontier Farm Credit Board will consist of seven Directors, down from 11. The FCSAmerica and Frontier Farm Credit Boards are each downsizing as part of their strategic alliance. In addition to the six elected customer-stockholders, the Frontier Farm Credit Board will have one appointed Director. Kathy Brick of Overland, Kansas, was re-appointed to a four-year term through March 31, 2021.

Those Directors who retire from the Board on March 31, 2017 are Mike Collinge of Hamilton, Bill Fleming of Lawrence (appointed), Alan Hess of Alma, Larry Hoobler of Manhattan and Mark Wulfkuhle of Berryton.

“We are thankful for the dedication, leadership and sacrifice that our Directors have given over many years of service to stockholders of the Association and the Farm Credit System,” said Doug Stark, president and CEO of Frontier Farm Credit and FCSAmerica.

Click to view full Frontier Farm Credit election results, including to the Nominating Committee.

About Frontier Farm Credit
Frontier Farm Credit is a customer-owned financial cooperative proud to finance the growth of rural America, including the special needs of young and beginning producers. With nearly $2 billion in assets and $382 million in members’ equity, Frontier Farm Credit provides credit and insurance services to farmers, ranchers, agribusiness and rural residents in eastern Kansas. Learn more at www.frontierfarmcredit.com.

Farm Credit Associations of Kansas and CoBank Contribute to Wildfire Disaster Relief Fund

WICHITA, KANSAS – (March 16, 2017) The five Farm Credit Associations of Kansas and CoBank today announced their donation of $160,000 to the Kansas Livestock Foundation to aid rebuilding efforts following the recent wildfires in Central and Western Kansas. The Kansas Livestock Foundation is the charitable arm of the Kansas Livestock Association (KLA), a Topeka-based grassroots organization of livestock producers. All donated funds will be distributed to ranchers affected by the wildfire for use in recovery and rebuilding efforts following the disaster.

Denver-based CoBank, a cooperative bank serving agribusiness, rural infrastructure providers and Farm Credit Associations, will match contributions made by the Farm Credit Associations of Kansas-American AgCredit, Farm Credit of Ness City, Farm Credit of Western Kansas, Frontier Farm Credit, and High Plains Farm Credit for a total contribution of $160,000. The five farmer-owned Farm Credit Associations of Kansas provide financing and related services to rural communities and agriculture throughout Kansas, and have a long history of partnering with the KLA on important matters impacting agriculture throughout the state.

The recent fires set the record for the largest wildfire in Kansas history, breaking the record set by the 2016 Anderson Creek fire.

“We are deeply concerned for all who were impacted by the devastating wildfires, including more than 30 American AgCredit customers who lost livestock, homes, grass, fences, equipment, and more,” said Greg Reno, senior vice president, American AgCredit. “It is our honor to support the Kansas Livestock Foundation, along with our Farm Credit partners, in this important relief effort, and we are committed to working closely with our affected customers in the days and weeks ahead.”

“Support of this fund on behalf of our borrower-owners ties back to the support provided last year after the Anderson Creek fire,” said Kevin Swayne, President and CEO, High Plains Farm Credit and Farm Credit of Ness City. “Back-to-back natural disasters in our region are truly devastating and we are thankful to be in a position to provide assistance.”

“Farm Credit and CoBank have a history of standing by our customers and the rural communities we serve in good times and in bad,” said Travis Ball, regional vice president, CoBank. “The recent wildfires throughout Kansas have created a tremendous need and we are committed to doing our part to support the industry and the people of Kansas in their recovery efforts.”

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Contact: Farm Credit Associations of Kansas

Janet Bailey (785) 313-4579

Greg Reno (316) 729-3420

CoBank: Sherry Johnson (303) 740-6518

KLA: Matt Teagarden (785) 273-5115

About Farm Credit Associations of Kansas

The Farm Credit Associations of Kansas are patronage-paying associations, serving more than 15,000 shareholders.  Farm Credit has a rich tradition in Kansas for 100 years. The Farm Credit System is comprised of borrower-owned financial institutions serving farmers, ranchers, agribusiness and rural communities. The five Farm Credit Associations of Kansas are: Farm Credit of Western Kansas, Farm Credit of Ness City, High Plains Farm Credit, American AgCredit, and Frontier Farm Credit. More information is available at www.farmcredit.com.

About CoBank

CoBank is a $126 billion cooperative bank serving vital industries across rural America. The bank provides loans, leases, export financing and other financial services to agribusinesses and rural power, water and communications providers in all 50 states. The bank also provides wholesale loans and other financial services to affiliated Farm Credit associations serving farmers, ranchers and other rural borrowers in 23 states around the country.

CoBank is a member of the Farm Credit System, a nationwide network of banks and retail lending associations chartered to support the borrowing needs of U.S. agriculture, rural infrastructure and rural communities. Headquartered outside Denver, Colorado, CoBank serves customers from regional banking centers across the U.S. and also maintains an international representative office in Singapore.

For more information about CoBank, visit the bank’s web site at www.cobank.com

About KLA

The Kansas Livestock Association is a trade association representing 5600 members on legislative and regulatory issues. KLA was formed in 1894 when a group of more than 100 Flint Hills ranchers met in Emporia to discuss cattle theft problems and unreasonable railroad freight rates. Today, KLA represents the state’s multi-billion dollar cattle industry at both the state and federal levels. KLA members are involved in all segments of the livestock industry including cow-calf, feedlot, swine, dairy and sheep. Dues paid by the membership fund legislative, educational and communications activities. The Kansas Livestock Foundation is a charitable arm of KLA. Online contributions to the Kansas Livestock Foundation for the Wildfire Disaster Relief Fund, may be made at the following website, http://www.kla.org/donationform.aspx. More information about KLA is available at www.kla.org.