FORT WORTH, Texas — Lone Star Ag Credit, a customer-owned rural lending cooperative, reported solid financial performance in 2016, highlighted by an increase in assets and strong credit quality.
Total assets were $1.69 billion, a 6.9 percent increase from the $1.58 billion reported at the end of 2015. The overall quality of Lone Star’s loan portfolio was excellent at the end of the fourth quarter of 2016, with 98.68 percent of total loans classified as acceptable or special mention. Net income remained strong at $26.8 million in 2016.
These financial results allowed the association’s board of directors to approve a $13.8 million cash patronage dividend, which will be distributed to eligible stockholders in March 2017. The distribution of patronage dividends to its members is just one of the benefits of Lone Star’s cooperative business structure, setting it apart from other kinds of lenders.
Lone Star Ag Credit finances agricultural and recreational real estate, rural homes, agribusinesses, livestock, equipment and operating expenses, and is part of the nationwide Farm Credit System.
“The Farm Credit System celebrated its centennial in 2016,” said Troy Bussmeir, Lone Star Ag Credit chief executive officer. “We’re proud to be part of a network of trusted rural lending cooperatives, and pleased to continue our tradition of returning earnings to our borrower-members through patronage.”
Lone Star Ag Credit is headquartered in Fort Worth, and has credit offices in Abilene, Cleburne, Corsicana, Denton, Fort Worth, Hillsboro, Lampasas, Mount Pleasant, New Boston, Paris, Round Rock, Sherman, Stephenville, Sweetwater, Temple, Waco and Weatherford.
–Lone Star Ag Credit
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