The cooperative recently hosted its 88th Annual Delegate Meeting in Branson, Mo. on Nov. 7 and 8. More than 430 delegates, guests and employees attended the meeting to review the company’s operations, approve the distribution of patronage and conduct elections for the board of directors.
Chief Financial Officer Robert Condron provided an overview of the company’s performance for the 2017 fiscal year, including total earnings of $11.5 million. The company’s balance sheet is in excellent shape in spite of two consecutive warm winters, with less than a million dollars in long-term debt and a net worth of $304.8 million.
“Many companies, including other cooperatives, would be envious of our financials,” Condron noted.
Following Condron’s presentation, the MFA Oil Board of Directors recommended a return of $5.2 million in patronage to member-owners based on the company’s 2017 results, which was unanimously approved by the delegation. The payout includes 80 percent of the company’s earnings for fiscal 2017 paid in cash and a retirement of $1.9 million in equities from 2004.
Brief presentations were made by Kenny Steeves, vice president of BP/LP operations; Larry Ehrman, vice president of logistics; and Jon Ihler, vice president of sales and marketing; to explain how the cooperative is working to keep its promises to members. Steeves focused on MFA Oil’s commitment to service and how the company has invested in new technology and equipment to improve the delivery process. Ehrman detailed how the company promises to deliver product in a timely fashion with better efficiency by improving its routing.
Ihler discussed how the cooperative keeps the membership informed with communications like Momentum magazine, the company’s website, social media channels and Fueled e-newsletter. He also explained how MFA Oil is working to make it easier to do business with the cooperative with online bill pay, the new Fuel Smarter program and an online customer portal, which is under development. Ihler concluded his remarks by discussing MFA Oil’s promise to provide quality products such as BOSS Performance Diesel, Top Tier Gasoline and MFA Oil Premium Lubricants.
President and CEO Mark Fenner spoke next and assured the delegates that the company remains committed to meeting their needs and that includes adapting to the changing marketplace.
“Change is everywhere these days,” Fenner said. “If a company isn’t constantly talking about change, there’s a good chance the world may be passing them by.”
Fenner presented Blockbuster and Kodak as two companies that were once dominant in their businesses that are now obsolete because they failed to adapt to the demands of their customers.
“We have to be aware of our surroundings, pay attention to new technologies, and be willing to change the way we do business, if there’s a better way,” Fenner said.
Guest speaker Chris Chinn, director of the Missouri Department of Agriculture (MDA), spoke about how her team is working to promote and protect agriculture in the state.
“Every single day our team is carrying out our mission by stopping the introduction and spread of animal disease; ensuring accurate measurement and weighing at gas stations, grocery stores and livestock barns; snuffing out harmful insects and plant disease; assisting agribusinesses in finding new markets for their goods; and guaranteeing the quality and quantity of grain passing through elevators,” Chinn said. “I want to assure you that our team is top notch. They are a group of passionate and professional individuals, many of whom live and work on their own farming operations.”
Chinn and her staff are in the midst of the reach MORE tour, an effort to bring leaders from MDA to agriculture and commodity organizations’ winter meetings. Chinn said the tour is taking the place of 2017’s Missouri Governor’s Conference on Agriculture and will help MDA connect with more farmers and ranchers.
In other business at the meeting, delegate caucuses were held for the cooperative’s northeast, east central and southeast voting districts. Monte Fisher, a farmer from Brashear, Mo., was elected to the company’s board of directors to represent the Northeast District. Two sitting directors, Floyd Buckman of Stoutsville, Mo., and Marion Kertz of Ste. Genevieve, Mo. were re-elected to the board to represent the East Central and Southeast districts, respectively.
A tradeshow with entertaining and educational booths was held the night before the business meeting. Meeting attendees were also given the option to attend shows by the Texas Tenors or the Million Dollar Quartet.