That`s exactly right, the 3 location well run elevator is on rail but for many years didn`t need it as they are hooked up with feed mills and have an excellent grain bids. I think they are ripe for a "hostile takeover".
5 Star had been in good shape early on, but were hit hard with the hedge-to-arrive debacle in the mid-90`s and the last cases were cleaned up not all that long ago. Their problems can be laid at the feet of one very stubborn unpopular farmer that basically broke them...but I will say this, the old orginal coop paid me back every penny of my share, it took 15 years, but I did get paid. So to survive they went from "3 star" to 5 Star...5 Star is actually about 40 Star, but still called "5 Star". They approved a merger with Viafield, but Viafield didn`t want us 🙂 I wasn`t going to vote until, they called and said they hadn`t recieved my vote, so I voted...."No" 🙂
Dividends are a joke, yeah it`s nice to get a check when you`re low on cash in late summer, but you end up paying it all in taxes anyway. Dividends very year to year, probably a nickel on grain you sell, 2¢ on fuel and such. Like that Gold Eagle coop advertising they pay $69/acre if you had did all your business with them. Well, maybe next year it won`t be that amount, they`ll retain to dividends to build a bin or buy pickups 🙂
But when these coops run ads on the radio and send out 10 page glossy brouchures to "vote yes' on the merger and I don`t imagine those on the board are using their own money to fund this campaign, the member`s own money is being used to convince them to vote for it.
