Northwest FCS Yields - Giving Back - Fall 2012

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Fall 2012

Giving Back


yields

Fall 2012

FEATURE STORY > 4 New Second Harvest Distribution Center in Pasco, Wash. will increase food bank distribution from 5 million to 9 million pounds of food a year.

Who we are: Northwest Farm Credit Services is a customer-owned, financial services cooperative, providing more than $11 billion in credit, crop insurance, and related services to farmers, ranchers, agribusinesses, commercial fishermen, forest products producers, equipment dealers, chemical suppliers, part-time farmers, and country homeowners.

A Mission of Stewardship Phil DiPofi, President and CEO

Board of Directors Kevin Riel, Chair, Yakima, WA Karen Schott, Vice Chair, Broadview, MT Rick Barnes, Callahan, CA Christy Burmeister-Smith, Newman Lake, WA Drew Eggers, Meridian, ID Jim Farmer, Nyssa, OR

Simply put, stewardship is the careful and responsible management of something entrusted to one’s care. Just as farmers and ranchers have been entrusted to be good stewards of the land, our Northwest FCS team has the same responsibility – to be exceptional stewards of your cooperative. We must continue to care for and grow a strong and stable lending organization that will provide for the financing and related service needs of our member borrowers for generations to come.

Mark Gehring, Salem, OR Dave Hedlin, Mount Vernon, WA John Helle, Dillon, MT Herb Karst, Billings, MT Bruce Nelson, Spokane, WA

At Northwest FCS, part of stewardship also means finding ways to help young producers get started and to support entrepreneurs in new, emerging markets. We are called by Congress to serve the full breadth of agriculture, from small, local growers to large, vertically-integrated operations. This is a stewardship responsibility we take seriously. Next year we will expand our AgVision program by offering existing customers a four-year extension in the program. This will give our veteran AgVision producers more time to build their management and financial skills as we enhance our education programs.

Dave Nisbet, Bay Center, WA Julie Shiflett, Spokane, WA Shawn Walters, Newdale, ID

About Yields Yields is produced for stockholders of Northwest FCS, an

Agriculture’s roots grow deep in healthy, productive communities where talented employees, suppliers and vendors make the business of agriculture possible. Strong communities foster strong businesses. To complement the business side of our stewardship mission, we are putting our company’s talent and resources back into these communities. We will continue to enhance our support for safety, economic development, infrastructure, and quality of life projects to care for the people who live in the communities we serve. Because our corporate roots are deeply ingrained in food production, we strongly support food bank networks that help less fortunate people in rural communities receive the food and nutrition they need. We encourage our employees to volunteer for regional and local food banks and encourage our customers to help us address hunger by donating their time, talent and treasures of bountiful food.

Agricultural Credit Association. Comments and story ideas

Familiy Business Succession Planning Seminar > 10

can be sent to the Marketing Department, c/o Northwest FCS, P.O. Box 2515, Spokane, Washington 99220-2515.

Business Management Center Calendar > 11

website: farm-credit.com

New Members Stock Program > 17

Northwest Farm Credit Services is an equal opportunity employer and does not discriminate on the basis of race, color, religion, sex, national origin, marital status, age, disability, disabled veteran, Vietnam era or other eligible veteran status.

I am continually inspired by stories from customers and employees who share a passion for doing good work and helping others. Not because they have to. But, because they want to give back and make a difference in their schools, churches and communities. As responsible stewards, we care for and share our blessings and business resources with others to the best extent we can. Together we accomplish great things.

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Advocates in the Fight Against Hunger

Financial Insights Net Income

Net Loan Volume

(in millions)

150

(in millions)

We share a deep passion and appreciation for our agricultural roots. We’re

10000

$144.6

$9,072.7 $8,565.0 $122.9 $117.4

120

$112.6

$8,403.7

$8,568.6

8000

blessed to live in a region as bountiful as the Northwest, known for abundant natural resources. Sometimes it’s not easy to see – amongst all this bounty –

90

6000

60

4000

30

2000

0

0

the number of families in our community who go hungry. Sadly, some of the hungriest counties in the Northwest are where we grow the most food. Food banks across the country are seeing unprecedented need for food assistance as they face the worst economic

12 Actual

12 Budget

11 Actual

11 Budget

12 Actual

12 Budget

11 Actual

11 Budget

recession since the 1930s. Rural communities, where unemployment and underemployment are higher, face

Financially Related Services

Nonaccrual Loan Volume & Acquired Property

(in millions)

(in millions)

always mean a lack of generosity. Everything boils down to $292.8

300

12 $10.6

$248.1

250

10 $8.8

$8.6

tougher challenges with fewer resources. Hunger doesn’t

$255.0

and distribute billions of pounds of food for the needy.

$214.2 $7.6

8

phenomenal need and capacity – to source, fund, transport, At Northwest Farm Credit Services, we are

200

closely tied to food production. 6

150

4

100

2

50

0

12 Actual

12 Budget

11 Actual

11 Budget

0

That’s why we’re investing our time, talents and resources to help less fortunate people receive the food and nutrition they need. 12 Actual

Core Capital Ratio 15

13.9% 13.2%

100 13.3%

13.3%

80

9

60

6

40

3

20

12 Actual

12 Budget

11 Actual

11 Budget

Credit Quality

12

0

12 Budget

11 Actual

11 Budget

0

4.7% 2.9%

7.1% 5.7%

92.4%

87.2%

2012

Acceptable

2011

OAEM

Substandard

(September 30, 2012 and 2011)

3 | Nor thwest Farm Credit Ser vices

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Today, millions of Americans are struggling with hunger.

Their partnerships with more than 250 neighborhood food

Nationally, and across the Northwest, one in six people are

banks and meal centers make it possible to feed more than

either hungry, or at risk for hunger. One in three of these

48,000 people every week. Mindboggling. Yet, the numbers

are children. An estimated 3 million rural households are

aren’t keeping pace with the increasing need for food

food insecure in communities that typically have smaller

assistance.

food banks and less capacity to distribute fresh, perishable

Chasing the hunger train Fighting hunger is a complex issue. But, when the rubber meets the road, everything comes down to capacity – funding, sourcing, storing, transporting, distributing, billions of pounds of donated food. Plus, truckloads of logistics.

Areas hard hit with the drought this year will also need Northwest produce and protein.

CoBank recently donated $1 million to Feeding America. Funds

As a member of Feeding America, food bank networks use a point system (based on the size of their service area

product . The number of people seeking food assistance for

Last year, Second Harvest distributed an unprecedented

the first time is staggering. Many of these folks are educated,

Feeding America is the nation’s leading domestic hunger-

will be designated to

20.5 million pounds of donated food. More than half –

have jobs, own homes, and tend to be older when a spouse

relief charity. The Chicago-based organization helps

11 million pounds – was fresh produce and other perishable

support rural areas

to “bid” on loads of donated

suddenly loses their job. Many say they waited more than

distribute food to a nation-wide network of more than 200

food products. In three years, Second Harvest must increase

of the country where

food. Points are distributed

90 days to seek help putting food on the table.

food bank organizations, including those supported by

capacity by another 50 percent to meet the demanding need.

Northwest FCS -- Second Harvest in Eastern Washington and North Idaho, Food Lifeline in Western Washington, the

associations

“Agricultural growers are a critical part of what we do,” says

Montana Food Bank Network, Idaho Food Bank, Oregon

do business.

Melissa Cloninger, Second Harvest Director of Community

Food Bank, and Food Bank of Alaska, Inc .

Prevalence of food insecurity, average 2009-11

and Corporate Relations. “We could not begin to meet this

once a month, and twice daily the food bank networks can access Feeding America’s online system to source

the food they need. Transportation however, is funded by member food banks who work logistics and budgets

challenge without our grower donors. They are the ones

“Feeding America knows

bringing fresh, nutritious, perishable product to us, so we

our greatest challenge

can get it on the tables of families who are so in need.”

is sourcing food,” says Melissa with Second

Since 2010, Washington

Harvest. “They help us resource food from large growers,

ranchers and the

food processors, wholesalers and retail-grocery partners.

Agri Beef Co. have

Our relationship with Feeding America makes it possible for

contributed $75,000

us to access loads of donated

worth of beef to Second

food from companies like

Harvest, which translates

General Mills, Kellogg and

At Northwest Farm Credit Services we have a responsibility

to more than 10,000

ConAgra Foods. Many

food to feed more than

to care for people in need, especially in rural communities.

family-size portions of

Feeding America partners

37 million Americans

That’s why we strongly support food bank networks across the

beef, or 30,700 pounds of

donate cash, but they also

each year, including

Northwest. Our employees offer their leadership and expertise

product. Wheat growers are also joining forces by donating

donate tons of food, like

to food bank boards of directors. They volunteer to help

a portion of their crop proceeds to the Washington Grain

pledging so many container-

regional and local food banks pack and sort food. We donate

Growers Against Hunger project. Grain industry donations

loads of product a month.”

money to food bank networks in Alaska, Idaho, Oregon,

will help cover the costs of securing and warehousing food

Montana, and Washington. But, nothing is more important to

for a service area that spans more than 51,000 square miles.

Food insecurity below U.S. average

their Farm Credit

and number of clients served)

to source food across the country. Imagine the impact of rising fuel prices . Second Harvest, for example, has staff dedicated solely to transportation and logistics as they push to reduce costs.

Food insecurity near U.S. average Food insecurity above U.S. average

Source: Calculated by ERS based on Current Population Survey Food Security Supplemental data.

fighting hunger than the connection we share to the greatest agricultural producers and processors in the country.

Nationally, Feeding America supplies enough

14 million children and 3 million seniors.

The challenge then becomes logistics. How to get fresh,

“We’re always talking about feeding the world. Maybe

perishable food to specific

we should start thinking about feeding our next door

areas of the country that

neighbors first,” says Bruce Nelson, former board president

need it most. Feeding

Second Harvest, in Spokane, Wash., is one of the food

of Northwest FCS and the Washington Association of Wheat

America’s affiliates in Arizona

Building capacity to serve others

bank organizations supported by Northwest FCS and

Growers. “We all know the economy has turned down and

probably have all the melons

Second Harvest recently completed renovations to

our customers. Second Harvest distributes more than 1.5

there are more and more struggling families to feed. When

they can handle. They’re

their 60-year-old warehouse in Spokane. More than

million pounds of donated food every month to people

we’re giving something to help food banks in our region we

looking for potatoes and

2,000 volunteers sort and box food here every year.

in need throughout Eastern Washington and North Idaho.

can all walk away feeling good.”

apples from the Northwest.

Northwest FCS employees actually hold the record for the

Feeding our neighbors

5 | Nor thwest Farm Credit Ser vices

(left to right) Mark Nonnenmacher, Northwest FCS Executive Vice President, Chuck Olsen, CoBank Lead Relationship Manager, Eida Siegel, Northwest FCS Financial Specialist

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Raising the barn for hunger Imagine a warehouse like this, being built in six months (not eight months), with all volunteer labor. Incredible. Members of 10 different unions in the building and construction

I believe the community is better off for us being part of it.

trades donated

construction photo

community, but

To everyone who worked on this project, well done.”

100 percent of their labor

On September 29, 2012, the Second Harvest Distribution

to erect and

Center in Pasco proudly opened for business. Albeit, there

complete the

was still a little dust in the air and some fine tuning to

project. Their

do. But, the Columbia Basin community came together

fellow engineers,

and celebrated that day. Skone and Connors Produce, a

contractors,

Northwest FCS customer, delivered the first truckload of fresh

suppliers

food – 40,000 pounds of potatoes and onions. Northwest

most food sorted in a two-hour period, beating the closest

financing with a shorter-term loan

and vendors

competition from Fairchild Air Force Base. Earlier this

commitment to build the facility

dramatically

year, Second Harvest asked the community for support to

and then, long-term amortization

discounted time

meet the driving need for food assistance in the Columbia

after fundraising is completed,”

and materials to

Basin. We are proud to serve alongside our Northwest FCS

explains Herb Sanders, Northwest

finish construction in September, just in time for harvest!

customers, Second Harvest donors, and members of the

FCS Relationship Manager/VP

These in-kind donations represent nearly half of the $2.9

building trades to support a 14,000-square-foot facility in

in Spokane. “They wanted to

million needed for the first phase of the project.

the Port of Pasco, Wash.

use as much of their on going

“The Second

Herb Sanders, Northwest FCS Relationship Manager/Vice President

FCS employees from Yakima, Sunnyside, Prosser, Pasco, Moses Lake and Spokane, along with their teammates from Dave Davis, President, Central Washington Buildings Trade Council, Jason Clark, President/CEO Second Harvest (right)

fundraising income and cash

“In the 35 years that I’ve been involved in organized

proceeds for food distribution. Not

labor, I have never seen or heard of a project being done

Harvest

for debt amortization. Fundraising for a project like this is

to this magnitude,” said Dave Davis, President of Central

distribution

a process. You don’t know exactly how many funds you’re

Washington Buildings Trade Council. “Very seldom do

center in Pasco

going to bring in during the campaign, so you need to

industries and organizations get the opportunity to

demonstrates

build flexibility into the financing. Because Second Harvest

accomplish something like this. When we look back, it will

how this

is so well managed, we were able to help finance the

be a defining moment in our lives, to help men, women

community

distribution center, waive most of the loan fees and offer a

and children for generations to come. It’s a tremendous

responds to a

very good interest rate.”

feeling. As an organization, for us, sometimes I think we’re

CoBank, were there to celebrate too. There were boxes to pack and hungry mouths to feed. In less than 30 minutes our team repacked 40,000 pounds of produce to distribute to neighborhood food banks. We think that’s a new record.

a little misunderstood. But as organized labor and building

need,” says Phil

trades, I think this shows that we are not only part of the

DiPofi, President/CEO of Northwest FCS and Second Harvest

The new Pasco distribution center provides 1,000 square

board member. “With the new facility and equipment,

feet of cooler space and another 2,000 square feet of

Second Harvest will be able to increase food distribution

freezer space in the heart of Columbia-Basin farmland. The

“Northwest Farm Credit Services and CoBank are the kind

in the Columbia Basin from 5 million to 9 million pounds

warehouse was designed to handle fresh and perishable

of partners and donors that non-profit organizations dream

a year. Northwest FCS is privileged to be a part of this

food with an area for growers to offload semi-trucks. The

of,” says Jason Clark, President/CEO at Second Harvest.

essential project and we’re encouraging our customers in

2,200 square foot Volunteer Center is generously sponsored

“They donate financially, support us with volunteers, and

the region to participate with us.”

by Northwest FCS and CoBank. Our Spokane employees

they have been phenomenal advocates. They’ve given us

still remember packing food in the old, cold, dark, Spokane

their voices to build partnerships with the Columbia Basin

To fund the project out of the gates, Second Harvest used

warehouse. Now, Second Harvest volunteers in Pasco (and

growers they serve. Northwest Farm Credit Services is the

Northwest FCS’ Agricultural and Rural Community Securities

Spokane) are treated to a comfortable, coffee-bistro style

kind of organization that truly shows their compassion by

(ARC) Financing Program. “Second Harvest needed

break room and warm reception area.

being an all-in partner for the fight against hunger.”

7 | Nor thwest Farm Credit Ser vices

Bill Shibley, Northwest FCS Regional Vice President

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Rural Community Grants

“Creating a local farmers market in the Stanwood

At Northwest FCS we are proud to be a part of the longstanding history of agriculture, forestry and fisheries in the Northwest. We have been blessed with success by the customers we serve and the talented employees who work here every day. That’s why we have a profound corporate responsibility to care for the rural communities our customers and employees call home.

Camano Island community is exciting for our farm businesses,” says

Northwest FCS Rural Community Grants are given to support creative, collaborative projects that address emerging challenges and opportunities for rural communities. This year Northwest FCS, with support from CoBank, proudly supported more than 70 rural community grants with contributions totaling more than $142,000.

Tristan Klesick, Northwest FCS Local Advisor and

Rural Community Grant projects come in all shapes and sizes. Some improve community infrastructure, like buildings and facilities. Others support rural safety and health. The projects may be wildly diverse, yet they all share one thing in common – community driven support.

Tristan Klesick, Northwest FCS Local Advisor, Audrey Gravley, Northwest FCS Regional Vice President

board member

“Movies In The Park”

of the new Port

Pendleton, Oregon

Susan Food & Farming Center. “We have an active network

Pendleton’s “Movies in the Park” program brings the nostalgia

of local growers here who are engaged in direct marketing.

of drive-in movies to a beautiful park setting. Here, families

“We respond to a lot of car accidents with our first response

They have been actively promoting agriculture and building

simply enjoy an evening together with friends and neighbors.

team,” explains Chief Mike. The extrication equipment we use –

networks for years. The farmers market gives us another

Movie night is free for everyone. Theme nights and fun,

jaws-of-life, spreaders, cutters – are all newer, pneumatic tools

option to market our farm goods and helps us capture more

youth activities – like the pineapple walk on Luau night

that run on a motor. But, you just can’t get them into certain

of the retail dollar.”

– are coordinated by the Pendleton Parks and Recreation

places, like down a ravine or in a deep hole. The Hi-Lift First

Department. Local businesses sponsor a night to help cover

Responder Jacks are an amazing new tool. If you know how

“We were so excited to receive the Northwest Farm Credit

costs. “Movies In The Park” has become so popular that

to use them, you can tear a car apart or lift and push heavy

grant when we did,” says Leslie Collings, Port Susan Farmers

audiences range from 300 to 500 a night. Just imagine the

objects. Farmers have used these jacks for years but with a

Market Manager. “It’s always the simple details that make a

impact of losing a major corporate sponsor for a free family

new design, they’re now a wrecking tool. We will definitely be

big event work. With the grant we purchased recycle bins,

event like this. That’s when the City of Pendleton turned to

putting them to good use over the years.”

garbage cans, tents, signage, tables and chairs. We also

Northwest FCS for help.

bought a storage unit to pack everything in overnight. These are things people normally wouldn’t think of, or provide

“The economy has

funding for, but they make a huge difference.”

forced many private

Scott Searle, Northwest FCS Local Advisor, Randy Adams and Chief Mike Carter, Shelley Firth Fire Department, Steve Smith, Northwest FCS Relationship Manager/Assistant Vice President

businesses and

Shelley Firth Rural Fire Department

Port Susan Farmers Market proudly opened for business in

local governments

August with 20 local farm vendors. Wide-spread, enthusiastic

to cut budgets for

Shelley, Idaho

support – from USDA, the City of Stanwood, numerous

programs that have

It takes a special person who willingly responds to a life

community organizations, local farms and businesses – made

good benefit for

threatening event. Yet, in rural volunteer fire departments

the project happen. During this first season the market drew

rural communities,”

across the country highly-skilled, competent people are doing

more than 6,000 attendees who came to shop, visit and learn

says Rick Guenther,

just that – responding to the first calls for help from their

more about where their food comes from. With the positive

Northwest FCS

neighbors and friends.

response, organizers are exploring an indoor holiday market

Pendleton Branch Manager-Credit. “I’ve been a long time

this winter to offer shelf-stable, locally made products.

member of the City’s Parks and Recreation Commission, which

The Shelley Firth Rural Fire District cares for 100 sq. miles and about 8,500 people near Idaho Falls. Chief Mike Carter uses

Port Susan Farmers Market

is an advisory board to the City Council. With this grant, the parks department was able to purchase the outdoor movie

Stanwood, Washington

equipment needed to continue this very popular program.

replacement gear. A firefighter’s “turn out” gear alone costs

Port Susan Bay, about 50 miles north of Seattle, is known for

And now the multi-purpose equipment is being used for

about $2,000 and the district has 24 volunteers. Technology

its rich soils and maritime climate. Large family farms have

other community-related events.”

for saving lives and property continues to improve, too. Like

thrived here for generations. And today, the number of small

the new First Responder rescue jacks recently purchased with

farms is increasing to meet consumer demand for fresh,

“Movies In The Park” brings families and neighbors together.

a Northwest FCS grant.

locally-grown products.

Here they also discover other low-cost opportunities to

grant dollars to stretch his budget for new equipment and

9 | Nor thwest Farm Credit Ser vices

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have fun and recreate. “In these tough times, affordable

8th grade

entertainment for families is even more important,” explains

students have

Deb Whittaker, Special Projects Coordinator at Pendleton

been collecting

Parks and Rec. “That’s why we offer scholarship activities

recyclable

that are income based. Our discounts can be between 50 and 90 percent and we subsidize the rest. Finding outside funding is so important these days and it’s very competitive. We have been very fortunate to have great partnerships, like

Family Business Succession Planning Seminar

products for two

January 24-26, 2013 – Boise, Idaho

years. They also receive private

Northwest Farm Credit Services. As we do good work, people

donations.

really do recognize and want to jump on board to help.”

Ranchers in the Fundrasising for the new sports field

area are offering

the dirt, but de-rocking and hauling some 2.5 miles just isn’t cheap. Plus, a lot of the evacuation equipment is being used

While many producers recognize the importance of ownership and management transition, few know where to start in developing comprehensive plans. The Family Business Succession Planning Seminar, led by family business experts Dr. Don Jonovic and Rich Thornton, is designed to provide families with information and proven processes to help transition the ownership and management of their businesses to the next generation.

to fight fires.

Subjects Covered and Key Takeaways: “We have people out spreading the word about our project and it’s picking up momentum,” says Superintendent Kelly Haaland. “The football and sports field is one of our school board objectives. We were able to get water to the field with help from the city. Mid-Rivers Telephone Cooperative has loaned us their grant writer to help raise funds. The money from Northwest Farm Credit Services helps keep the ball rolling. With this support, we’re going to approach the oil and coal industries in our area for additional funding. After The mighty Melstone Cougars

so many years, it will be nice to finally host a home game.”

Melstone Football & Sports Field

football game someday. With 84 students K-12, they can probably field their own six-man teams. But today, all juniorand high-school games (and most practices) are played

School needs a safe, well-drained field to play and practice. But, they also need about 5,000 yards of top soil plus all

Rural Community Grant Deadlines: February 1st and October 1st For more information, visit farm-credit.com or contact Jennifer Rohrer at 1-800-743-2124 ext. 5303. Email: Jennifer.Rohrer@farm-credit.com

the excavation work to move and level dirt. The students of Melstone deserve our support. Families in this ranching

Submit applications to:

community have been hard hit the past two years – from

Northwest Farm Credit Services Attn: Jennifer Rohrer PO Box 2515 Spokane, Washington 99220-2515

the “1,000 year flood” to drought-fueled wild fires. When there’s a need, hard-working neighbors band together. That’s one of the great things about living in a small community. To raise money for the field, 7th and

11 | Nor thwest Farm Credit Ser vices

• Networking – Cultivate relationships with other families addressing similar issues

All key family members impacted by management succession and asset transition should attend the entire session.

at their cooperating school in Custer, Mont. more than 40 miles one way – on dirt and gravel road. The Melstone

Business and Family – Learn to recognize and balance individual, family and business needs. Financial Implications – Understand the financial requirements and potential pitfalls surrounding succession Business Assessment – Identify your family business strengths, challenges and philosophies Communication – Review best practices in family communications Flexible Solutions – Identify succession alternatives for varying family and business needs Practical Approach – Explore proven, real-world steps in management succession and asset transition Legal Issues – Learn the legal considerations and best practices for succession and estate plans Buy/Sell Agreements – Identify options for funding and structuring buy/sell agreements Road Map for Success – Develop practical next steps in building business succession plans Expert Perspective – Meet and learn from Northwest FCS’ staff and experts in succession planning

Who Should Attend

Melstone, Montana Students in Melstone, Montana dream of playing a home

• • • • • • • • • •

What Participants Say “We now have a great start going into our transition. This was the push we needed to communicate, ask the right questions and make decisions.” “This seminar has opened up dialogues and stimulated a lot of positive family communication. We can now all go forward with cooperation – not conflict or hesitation.”

Time: 2 p.m. Thursday (1/24/13) to 11 a.m. Saturday (1/26/13) Participants: 50+ Seminar Fees: Individual participants $450 – Additional participants $350. Attire: Business casual All meals provided except dinner on Friday Participants are responsible for lodging and travel expenses to Boise.

Fax: 800.255.1789

For registration and details visit: www.farm-credit.com/resources. Questions? Email: bmc@farm-credit.com or call 866.552.9193

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Awarding College Scholarships

Business Management Center

Application Deadline March 1st

2012-2013 BMC Calendar Financial Workshops Level I

Level II

Financial Statements

Financial Analysis

Location

Engaging Seminars and Workshops

November 28, 2012

November 29, 2012

Twin Falls, Idaho

December 12, 2012

December 13, 2012

Klamath Falls, Oregon

January 8, 2013

January 9, 2013

Benton City, Washington

Sons or daughters of current customers, or customers’ employees,

Seeking, interpreting and sharing knowledge about

Level III

Level IV

are eligible to receive a college scholarship from Northwest

the industries we serve is a core value of Northwest

FCS. Last year, Northwest FCS provided more than $80,000 in

FCS. We’re firmly committed to helping business

Growth and Capital

Profits, Cash and Risk

Location

scholarship support. Scholarships are awarded to students

owners and their families to be successful long term.

November 28, 2012

November 29, 2012

Salem, Oregon

throughout Idaho, Montana, Oregon, Washington, and Alaska.

That’s why we’ve invested in educational programs

December 5, 2012

December 6, 2012

Twin Falls, Idaho

High school students who plan to attend a higher education

and business facilitation to help you improve your

December 12, 2012

December 13, 2012

Benton City, Washington

institution within the next year are eligible for a $1,500 scholarship.

management skills and help transfer the leadership

January 8, 2013

January 9, 2013

Bozeman, Montana

In addition, $1,500 scholarships per state are awarded to college

and management of your business to the next

sophomores, juniors and seniors.

generation.

Featured Programming

Scholarship winners will be selected based on scholastic

We have a strong history working with family

Advanced Management Seminar:

performance, leadership activities and a written essay.

businesses in our Business Management Center.

Taking your Business to the Next Level

Knowledgeable and experienced facilitators have

January 22-23, 2013

Interested students need to submit an application by March 1.

worked with hundreds of family operations and

Applications can be found at farm-credit.com or at any

boards of directors, helping them to improve

Family Business Succession Seminar

Northwest FCS location. Winners are announced in May.

their management practices, communication and

January 24-26, 2013

Location

Spokane, Washington

Boise, Idaho

strategic planning skills. Over the years customers High school students: submit your application to your local

have provided tremendous feedback. They say these

Young and Beginning Producers Conference

Northwest FCS office.

educational programs and one-on-one facilitation

February 12-14, 2013

Spokane, Washington

have made significant and lasting differences in their College students: mail your application to:

businesses.

Northwest Farm Credit Services – Marketing Department, P.O. Box 2515, Spokane, WA 99220-2515.

We hope you will take advantage of the BMC

Executive Producers Summit: Managing Growth and Business Evolution February 13-15, 2013

Spokane, Washington

programs offered in 2012-2013. The schedule changes Recent Scholarship Winners

every year and we do our best to provide programs in a variety of locations. During these sessions you will gain insights to better manage your business. Plus, you’ll have the opportunity to work with some of the most successful producers we have the privilege of working with every day.

Financial Summit May 7-9, 2013

Coeur d’Alene, Idaho

For registration and details visit: www.farm-credit.com/resources Questions? Email: bmc@farm-credit.com or call 866.552.9193 Note: BMC financial workshops build on preceding workshops. However, there are no workshop prerequisites.

Deena Emry Wilder, Idaho

Beau Milton Joliet, Mont.

13 | Nor thwest Farm Credit Ser vices

Amelia Fitch Astoria, Ore.

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Learn, Earn, and Return

Get The Market Scoop!

Dr. David Kohl Professor Emeritus, Virginia Tech

Gain knowledge from agricultural professionals who have worked with hundreds of operators just like you. Benefit from the collective knowledge of experts in your specific industry. And, now you can easily access this information via a new electronic newsletter, courtesy of Northwest FCS. Northwest FCS’ Knowledge Center provides a quarterly e-newsletter with the latest updates of industry specific information, gathered and interpreted by our front-line Knowledge Team staff.

“Learn, Earn and Return” was a wise maxim that really

Over the years, one producer has sponsored five young

caught my attention in graduate school. Since then,

FFA students to attend one of my seminars annually.

working in the field of agriculture has given me numerous

They earn the trip through his grilling them about

opportunities to observe many great individual and

the day’s events on the drive home. In return for his

organizational stewards across the country.

sponsorship, the students each compose a one-page summary of what they learned. Years later, these young

Sign up for our e-newsletter to receive special articles on agricultural issues, the general economy and quarterly industry updates with the latest Market Snapshots- information on key commodities including: cattle, dairy, forest products, hay, nursery/greenhouse, row crops, small grains, ethanol, tree fruit, wine/vineyard, corn, soybeans, and processor/manufacturer. Plus, registering gets you access to Northwest FCS Resources on farm-credit.com where you can learn about our Business Management Center workshops and seminars and read up on Industry Perspectives, economic indicators and articles from leading agricultural sources across the country.

people are very successful producers, lenders, teachers,

career is working with Northwest Farm Credit Services and

and agribusiness people.

other associations to deliver young farmer and rancher programs. The reward is observing management, loan

Many producers, as my folks did, have hosted young

officers, and staff feeding off of the energy of young,

people from urban areas and international youth to

diverse producers who will carry the torch for the next

experience agriculture and rural areas. This is a genuine

generation of agriculture.

opportunity to learn about other cultures and regions and their stories, and to earn these young people’s trust. When

Learn, Earn and Return also comes to mind when I think

they return home, the bond will be a lasting one. There

about successful, experienced farmers and ranchers.

is an old saying that “people do not care how much you

Without fanfare, these individuals over the years have

know until you show them how much you care.”

acted as volunteer mentors to young farmers and ranchers. They guide them in production, operation,

Each of us has to make it a personal mission to be effective

financial, and risk management decisions, which has

stewards of our resources. To step outside of our own little

To receive the Knowledge Center e-newsletter and access Northwest FCS Resources, visit

positioned these young people to be more competitive

“bubble” to look for ways to “return” what we have been

and enabled them to feed the people of the world. These

given. Learn, Earn and Return stewardship is analogous to

farm-credit.com/resources

mentors are an invisible hand for those truly seeking to

throwing a stone in a pond. The initial splash sends out

better themselves.

ripples that seemingly go on forever.

or call 800.743.2125 ext. 5428

15 | Nor thwest Farm Credit Ser vices

One of the most rewarding aspects of my professional

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Member Stock Program Changes The Northwest FCS Board has approved a change to the member stock program where you will no longer be required to pay interest on the stock or participation certificates you purchased in the cooperative. On November 19, your stock obligation was removed from the principal balance of your loan and an interest-free obligation to Northwest FCS of like amount was created. Your rights and obligations as a stockholder do not change. Since our association is well capitalized, Northwest FCS does not envision requiring payment of this obligation, provided an adequate capital position is maintained. Please contact your Northwest FCS representative should you have questions.

New Website and Online Banking Upgrade @ northwestfcs.com Northwest FCS is launching a new website in December with a fresh, modern look and a new name, northwestfcs.com. This new url website address was chosen to better align with the Association’s brand image and messaging. The Northwest FCS online banking system is also getting a new look with a brighter, more intuitive customer experience while maintaining the same functionality. Once the transition to the new website and new web address is complete, the old web address, farm-credit.com, will begin linking to the new site. Both site addresses will direct users to the new site. We’ll keep farm-credit.com active for the next couple of years. Look for our new website and online banking upgrades coming this December.

local

advisors and locations

IDAHO Robert Ball Cody Bingham Jeff Blanksma, Jr. Adrian Boer Ray Carlson Bill Clayton Cade Crapo Ron Elkin Carl Ellsworth David Funk LeRoy Funk Brent Griffin John Hepton Jackie Hillman Brian Huettig Ken Koompin Karen Lustig Marty Lux Dan Mader Ray Matsuura Kyle Meyer Ron Mio Greg Moss Kirk Nickerson Jeff Pahl Lisa Patterson Erick Peterson David Rallison D. Brad Reed Nate Riggers Doug Ruff Royce Schwenkfelder Kirt Schwieder Scott Searle Todd Simmons Robert Swainston Ryan Telford Bernie Teunissen Dale Thomas Camellia Thurgood Justin Tindall Steven Toone James Udy Todd Webb Shawn Webster Berkley Wray Randy Wheatley

MONTANA Hamer Jerome Hammett Jerome Blackfoot Wilder St. Anthony Buhl Leadore Hansen Burley Rupert Nampa Dubois Hazelton American Falls Cottonwood Nezperce Genesee Blackfoot Rathdrum Fruitland Ketchum Howe Pocatello Heyburn Moscow Franklin Idaho Falls Nez Perce Aberdeen Cambridge Idaho Falls Shelley Terreton Preston Richfield Caldwell Gooding Nampa Bruneau Grace American Falls Declo Rexburg Blackfoot McCammon

73 Fort Hall Avenue, Suite A American Falls, Idaho 83211 (208) 226-1340 370 North Meridian Street, Suite A Blackfoot, Idaho 83221 (208) 782-3800 1408 Pomerelle Avenue, Suite B Burley, Idaho 83318 (208) 678-6650 501 King Street Cottonwood, Idaho 83522 (208) 962-2280 2225 West Broadway, Suite A Idaho Falls, Idaho 83402 (208) 552-2300 2631 Nez Perce Drive, Suite 201 Lewiston, Idaho 83501 (208) 799-4800 16034 Equine Drive Nampa, Idaho 83687 (208) 468-1600 102 North State, Suite 2 Preston, Idaho 83263 (208) 852-2145 1036 Erikson Drive Rexburg, Idaho 83440 (208) 656-2100 815 North College Road Twin Falls, Idaho 83301 (208) 732-1000

Bill Bergin Adam Billmayer Bart Bitz Keven Bradley Sandy Carey Tom Cheetham Don Connelly Bret Conover Calvin Danreuther Cory Davis Nels DeBruycker Vicki Eggebrecht Conni French Joe Fretheim Beth Granger Chad Hansen Craig Henke Courtney Herzog Dale Hirsch Craig Iverson Tim Johnson Alan Klempel Paul Kronebusch Tim Lake Bill Lauckner, Jr. Kirk Montgomery Bryan Mussard Corie Mydland Traci Mytty Tracey Pearce Shawn Rettig Randy Ridgeway Dave Sattoriva Nancy Schlepp Dennis Schmierer Leonard Schock Amy Sinks Kim Skinner Carmie Steffes Steve Swank Duane Talcott Dale Tarum Bob Taylor Miles Torske Carl Traeholt Brian Tutvedt Larry Tveit, Jr. Bruce Udelhoven Jeff Volf Mike Wallewein Steve Wood

P.O. Box 2515, 1700 S. Assembly St. Spokane, Washington 99220-2515 509.340.5300 | farm-credit.com

OREGON Melstone Hogeland Big Sandy Cut Bank Boulder Redstone Valier Broadview Loma Townsend Choteau Malta Malta Shelby Great Falls Dillon Chester Rapelje Kinsey Winnett Dutton Bloomfield Conrad Polson Nashua Rosebud Dillon Joliet Florence Sheridan Rudyard Stanford Hingham Ringling Savage Vida Jordan Hall Plevna Chinook Hammond Richland Denton Hardin Wolf Point Kalispell Fairview Winifred Judith Gap Conrad Sheridan

Tech Plaza, Building 1, Suite 300 3490 Gabel Road Billings, Montana 59108 (406) 651-1670 1001 West Oak Farm Credit Building, Suite 200 Bozeman, Montana 59772 (406) 556-7300 519 South Main Conrad, Montana 59425 (406) 278-4600 134 East Reeder Street Dillon, Montana 59725 (406) 683-1200 501 First Avenue South Glasgow, Montana 59230 (406) 228-3900 700 River Drive South Great Falls, Montana 59405 (406) 268-2200 1705 Highway 2 Northwest, Suite A Havre, Montana 59501 (406) 265-7878 120 Wunderlin Street, Suite 6 Lewistown, Montana 59457 (406) 538-7737

Headquarters

Monet Allen Dwight Arnoldus Ed Bair Lori Baley Tim Bare Glenn Barrett John Boyer Greg Brink Ron Brown Warren Chamberlain Dan Dawson Mike DeWall Susan Doverspike Rod Fessler Joe Finegan Skip Gray Dennis Harmon Ron Hjort Gary Hull Matt Insko Ken Jensen Alan Keudell Mark Krautmann David Kunkel Leland Lage Dan C. Lewis Sharon Livingston Bill Martin Scott McClaran Ron Meyer Greg Myers David Neal Mary Olson Larry Parker Alan Parks Amy Doerfler Phelan Vikki Price John Reerslev Stephen Roth Steven Sugg Anna Sullivan Steve Walker Charlie Waterman

WASHINGTON Montague, CA Cove Klamath Falls Malin Roseburg Bonanza Haines Joseph Milton-Freewater Vale Roseburg Harrisburg Burns Madras Cornelius Albany Grants Pass Oakland Lebanon LaGrande Vale Aumsville Salem Portland Hood River Gaston Mt. Vernon Rufus Joseph Talent Tillamook Tangent Monmouth Helix Silver Lake Aumsville Nyssa Junction City Brothers The Dalles Hereford Stanfield Bandon

3370 10th Street, Suite B Baker City, Oregon 97814 (541) 524-2920 2345 N.W. Amberbrook Drive, Suite 100 Beaverton, Oregon 97006 (503) 844-7920 650 E. Pine, Suite 106A Central Point, Oregon 97502 (541) 665-6100 2911 Tennyson Avenue, Suite 301 Eugene, Oregon 97408 (541) 685-6140 300 Klamath Avenue, Suite 200 Klamath Falls, Oregon 97601 (541) 850-7500 378 West Idaho Avenue Ontario, Oregon 97914 (541) 823-2660 12 Southwest Nye Pendleton, Oregon 97801 (541) 278-3300 3113 S. Highway 97, Suite 100 Redmond, Oregon 97756 (541) 504-3500 2222 Northwest Kline Street Roseburg, Oregon 97471 (541) 464-6700 650 Hawthorne Ave. S.E., Suite 210 Salem, Oregon 97301 (503) 373-3000 3591 Klindt Drive, Suite 110 The Dalles, Oregon 97058 (541) 298-3400

Dave Allan Melissa Bedlington-Kleindel Jeff Bosma Russ Byerley Roger Canfield Mike Cobb Bill denHoed Richard DeRuwe Frank DeVries Scott Eschbach Patrick Escure Kevin Filbrun Stacy Gilmore Norm Gutzwiler Lori Hayles Gary Kehl Jim Kile Cris Kincaid Jim Klaustermeyer Dave Klaveano Tristan Klesick Chris Kontos Steve Krupke Josh Lawrence Poppie Mantone Sarah McClure Dan McKay Alan Mesman John Miller Pat Murphy Chuck Podlich Jeff Raap Sara Rolfs Jeff Schilter Danielle Scrupps Ben Smith Jerry Smith Mark Tudor Jake Wardenaar Andy Werkhoven Brandy Wigen

Wapato Lynden Outlook Touchet Olympia Ephrata Grandview Dayton Lynden Yakima Quincy Pasco Pasco Malaga Pasco Quincy St. John Pullman Othello Pomeroy Stanwood Walla Walla Reardan Royal City Bingen Walla Walla Almira Mt. Vernon Toledo Chehalis Orondo Ellensburg Wenatchee Olympia Ritzville Sequim Benton City Grandview Royal City Monroe Colfax

265 East George Hopper Road Burlington, Washington 98233 (360) 707-2353 629 South Market Boulevard Chehalis, Washington 98532 (360) 767-1100 224 North Main Colfax, Washington 99111 (509) 397-2840 1501 East Yonezawa Boulevard Moses Lake, Washington 98837 (509) 764-2700 9530 Bedford Street Pasco, Washington 99301 (509) 542-3720 1900 W. Nickerson Street, Suite 215 Seattle, Washington 98119 (206) 691-2000 1515 S. Technology Blvd., Suite B Spokane, Washington 99224 (509) 340-5600 2735 Allen Road Sunnyside, Washington 98944 (509) 836-3080 1 West Pine Walla Walla, Washington 99362 (509) 525-2400 667 Grant Road, Suite 1 East Wenatchee, Washington 98802 (509) 665-2160 1360 North 16th Avenue Yakima, Washington 98902 (509) 225-3200

502 South Haynes Miles City, Montana 59301 (406) 233-3100 3021 Palmer Street, Suite B Missoula, Montana 59808 (406) 532-4900 123 North Central Avenue Sidney, Montana 59270 (406) 433-3920

17 | Nor thwest Farm Credit Ser vices

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P.O. Box 2515 Spokane, Washington 99220-2515 New address? Please notify your local Northwest FCS office.

Operating & Real Estate Loans Crop Insurance Country Home Loans 4th quarter ad

Appraisals 800.743.2125 | farm-credit.com

farm-credit.com | 800.743.2125


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