Q2 Financial Reports

Finally! The rain has slowed down, the sun has come out and summer has decided to arrive in Yankee’s territory. It feels good and so does Yankee’s financial health. Yankee’s second quarter financial results are now available and we can announce that we had another good quarter. Favorable net income was primarily due to a negative provision for loan losses. This is a result of the improving quality of the loan portfolio, which remains strong. It is expected to remain that way in the foreseeable future. The balance sheet shows that loans were down from year-end, but up from the previous quarter. Great members and staff are two reasons for these results.

Quarterly net income for Yankee was $3.1 million, an increase of $1.1 million over the same period in 2014. The most significant factor driving the increase was a negative provision of $468 thousand to the provision for credit losses, as compared to a provision of $424 for the same period in 2014. This was due to the improving quality of our loan portfolio.

For the first six months of 2015, net income was $5.7 million, an increase of $1.3 million from 2014. There was a negative provision for credit losses of $604 thousand through the second quarter of 2015, as compared to a provision of $732 during the same period of 2014. Other income increased $197 thousand, primarily due to an increase in income from fees for financial services.

Loans held by the Association at June 30, 2015 were $423.4 million, down 2.3 percent from year end but up 0.9 percent from March 31, 2015. The loan portfolio continues to be concentrated in the dairy industry with 49 percent of loan invested in dairy businesses. The second largest concentration is timber, with 15 percent of loan volume at quarter end.

Credit quality across Yankee’s loan portfolio remained strong during the quarter and well within the risk-bearing capacity of the Association. At quarter-end 0.6 percent of the Association loans were classified as nonperforming, 0.1 percent improved from the previous quarter and unchanged from year end. This statistic was 0.2 percent improved from the same period in 2014. There were no loan charge-offs, but $1 thousand in recoveries in the quarter. The Association’s capital position remains strong.

Click here for the full quarterly Report to Shareholders and here for the quarterly financial news release.

Personnel Changes in our WRJ Office

After serving the Association’s members for more than 33 years, Ken Nelson has announced his retirement effective August 31st. Ken began his Farm Credit career in February 1982 in South Deerfield, MA, but soon thereafter moved to the St. Johnsbury office. He transferred to the White River Junction office in 1992 when the St. Johnsbury office closed. Ken has served the Association in a number of capacities over the years. He has been a credit representative, loan officer, real estate appraiser, senior loan officer, and for the past three years has been the branch manager of our White River Junction office. We’ll miss Ken’s experience and dedication, and we thank him for his service and wish him all the best in his well-deserved retirement.

Morgan Rilling, currently the Association’s Credit Operations Coordinator, has been named Interim Branch Manager of the White River Junction office effective August 1st. Morgan began her Farm Credit career in 2004 working as a part-time employee in the Williston office while attending the University of Vermont. Following her graduation in 2005 she became a full-time employee, serving in the White River Junction office. Morgan started as a credit analyst/FRS assistant, became a loan officer in 2006, and assumed her current position in 2012. Morgan’s experience in both credit and administrative roles will serve the Association well. One of her first duties will be to work with Ken Nelson to re-assign his loans to other members of the White River Junction credit staff.

After a 39 year career with Farm Credit, Senior Loan Officer Jeff Temple retired on June 30th. Jeff started out working for the Mohawk-Schoharie Association in Fultonville, NY in 1976, then transferred to Champlain Valley Farm Credit (one of Yankee’s predecessor associations) in 1984. Jeff worked in the Association’s Rutland and Middlebury offices before transferring to White River Junction in 1995. He served there as a loan officer and senior loan officer, becoming the branch manager in 2006. Three years ago Jeff decided it was time to begin transitioning into retirement and stepped down from branch manager to part-time senior loan officer. Jeff’s loans have been re-assigned to other members of the White River Junction and Middlebury credit staff. Just like with Ken Nelson, we’ll miss Jeff’s experience and dedication. We express our gratitude for his service and extend our best wishes for his retirement.

On August 3rd Cory Haggett will begin work as a credit representative. Cory is a native of Brookfield, VT where his parents operated a dairy farm. He holds a degree in agricultural economics from the University of Nebraska. For the past 17 years he has operated his own business in the Randolph area. Cory is enthusiastic about joining Yankee and is looking forward to working with our borrowers.

On June 22nd Kristen Murray began work as a Financial Services Assistant. Kristen is from Ryegate, VT and holds degrees in economics and history from the University of New Hampshire. Immersing herself immediately in tax training, Kristen is looking forward to learning the intricacies of farm taxation.

While there’s been a considerable amount of change in the White River office please be assured that Association management, as well as the entire White River Junction staff, remain committed to continuing to provide you with the highest quality credit and financial services

A Century of Service: Farm Credit Enters Its 100th Year

 

The Farm Credit System celebrates its 99^th anniversary today, officially entering its 100^th year of service to the country’s agricultural and farm community. On July 17th, 1916, President Woodrow Wilson signed into law the Federal Farm Loan Act—thereby establishing the Farm Credit System. For a century now, Farm Credit has provided reliable credit and quality financial services to America’s farmers, farm-related businesses, and rural homeowners. Through its relationships with rural utility providers, Farm Credit has promoted healthy and sustainable growth to the infrastructure of rural America. Farm Credit is grateful for the continued enthusiasm, diligence, and devotion its customers exhibit in their work and conduct, and is proud to celebrate this extraordinary milestone with those who make it all possible.

 

 

Every county in the United States is served by the Farm Credit System. Four counties in New Hampshire (Coos, Grafton, Sullivan, Cheshire), two in New York (Clinton and Essex), and all fourteen counties in Vermont are served by Yankee Farm Credit. But it hasn’t always been that way. Before the creation of Yankee in 1995, those 20 counties across three states were served by two separate Associations—Farm Credit of the Connecticut Valley and Champlain Valley Farm Credit. The Farm Credit System is fluid and adaptable, and there have been many changes throughout its history—names have changed, territories have shifted, and Associations have merged. The thing that has never changed—the one unflinching principle the Farm Credit System abides by—is the commitment to its customers.

Yankee’s motto is “building relationships that last generations.” This is not just a catchy slogan—it is a virtue all of our employees honor and believe in. It is the core of our business. As such, the celebration of  Farm Credit’s 100 years of service is not just about the Association and its employees, it is about you—those customers with whom we forge these relationships. We invite you all to join in the celebration.

Farm Credit's Centennial Program, Farm Credit 100, will last all year, and will encompass many features and events across various mediums. Continue to follow the Yankee blog for updates throughout the year. For more information, please visit these sites:

-Farm Credit 100 website: http://www.farmcredit100.com/

-The AGgregator blog post about the Farm Credit Centennial celebration: http://www.farmcreditnetwork.com/newsroom/the-aggregator

 

 

 

 

The Boston Public Market

It’s a busy week on Hanover Street in Boston. 35 agricultural and farm vendors from all over New England are moving into their stalls in preparation for the grand opening of the Boston Public Market (BPM). A self-described “permanent, year-round, self-sustaining market featuring fresh locally-sourced food brought directly to and from the diverse people that make up Massachusetts and New England,” the BPM will be both a showcase of agriculture in New England as well as an active, functioning marketplace. The BPM will open to the public on July 30^th.

Image courtesy bostonpublicmarket.org

Occupying over 28,000 square feet of retail space and with 325 available parking spaces, the Boston Public Market is the local farmers market on an enormous scale. A partnership between the Boston Public Market Association, the Commonwealth of Massachusetts, the City of Boston, various foundations, and individual and corporate donors, the BPM is a massive and ambitious undertaking, and is claimed to be the only locally-sourced market of its kind in the United States. (SOURCE). The BPM’s organizers hope to create a space that will not only allow people to taste and purchase products, but also educate them about their food: how it is made, its nutritional value, and its impact on the environment.

The Boston Public Market is focused on the retail, consumer products side of agriculture. The vendors come from all corners of the region and embody all the flavors of the New England farm and ag community—from dairy to fishing to beekeeping to brewing. Though the majority of the BPM’s vendors are from the state of Massachusetts, Rhode Island and Vermont are also represented in this initial incarnation of the market. The two vendors from Vermont with stalls at the BPM are The Cellars at Jasper Hill, an artisan cheese maker from Greensboro Bend, VT who specializes in aging single-herd sourced cheeses, and Harlow’s Vermont Farmstand, a diversified farm in Westminster, VT that focuses on organic produce. A complete list of BPM vendors can be found HERE.

The Boston Public Market is located above the Haymarket MBTA Station at 100 Hanover Street in Boston. Once open, the market’s hours will be Wednesday-Sunday from 8am-8pm. Applications for potential vendors are still being accepted, and those interested in applying are asked to fill out an application (they can be found HERE). Those interested in working on location for the vendors at the BPM can find information on how to apply HERE. For more information about the BPM, visit their website: https://bostonpublicmarket.org/