CoBank Reports 2008 Figures

CoBank, a leading cooperative bank serving agribusinesses and rural utilities throughout the U.S., has announced financial results for the first nine months of 2008. Is the news good or bad for agricultural retailers?

In a very volatile global financial market, the bank reported strong growth in loan volume, net income, and regulatory capital as well as continued good overall credit quality.

Net earnings for the first nine months of the year increased 48 percent to $449 million, compared with $304 million for the same period in 2007. Net interest income rose 42 percent to $672 million, from $474 million the year before. Total loans and leases outstanding for CoBank were $43.1 billion at Sept. 30, 2008, compared to $40.5 billion at year-end 2007.

"We are pleased with the ongoing strength of CoBank’s financial performance, which has enabled us to continue meeting the borrowing needs of our customers at a time of extraordinary dislocation in the world economy and in global financial markets," says Robert B. Engel, president and chief executive officer of CoBank. "We remain focused on maintaining the foundation of strength and stability we have built over our long history serving lifeline businesses across rural America."

The bank saw solid growth in loans to international and corporate finance customers as well as to affiliated associations and other strategic partners inside the Farm Credit System. Growth in these areas was partially offset by a decline in loans to the commercial agribusiness customers. Commercial agribusiness lending decreased 23 percent from Dec. 31, 2007, to $10.6 billion, due to typical seasonal declines in demand as well as recent drops in commodity prices for grains and certain farm inputs.

Engel said that CoBank’s financial strength and its membership in the Farm Credit System have enabled the bank to maintain the confidence of investors and, as a result, access to the debt capital markets that the bank relies on to fund loans and serve customers.

CoBank, a $58 billion cooperative bank, provides financing to rural cooperatives and critical lifeline businesses — food, water, electricity ,and communications — across the United States. Part of the $208-billion U.S. Farm Credit System, the bank also finances agricultural exports. In addition to the national office in Denver, CoBank has offices across the United States and one international representative office in Singapore. For more information about CoBank, visit the bank’s Web site at www.cobank.com.

(Source: CoBank)

Leave a Reply

Latest News
StewardshipOhio Grower: Why Water Quality Matters To Me
August 3, 2015
Fresh off the first anniversary of last summer’s unfortunate Toledo Water Crisis — which was largely attributed in mainstream media Read More
Young soybean field
Industry NewsH.J. Baker To Build New Facility In Emporia, KS
August 3, 2015
H.J. Baker has announced the expansion of its Animal Health and Nutrition division with the ground breaking of a new Read More
Young corn plants
Crop InputsNufarm Reorganizing Ag, Industrial Vegetation Managemen…
August 3, 2015
Today Nufarm announced a reorganization of its Agriculture and Industrial Vegetation Management sales and marketing organizations effective August 1, 2015. Read More
StewardshipExcellence Through Stewardship Reaches 30 Members
August 3, 2015
Excellence Through Stewardship, a non-profit that promotes the adoption of best practices and stewardship in agricultural technology, reached the milestone Read More
CropLife 100Southern States Coop Hosting Drone Flight This Friday
August 3, 2015
Southern States Cooperative — No. 9 on the CropLife 100 — is hosting an FAA-approved drone demonstration at Grandview Farms Read More
CropLife 100Aligned Ag Distributors Adds Four New Owners
July 30, 2015
Aligned Ag Distributors LLC has announced the addition of four new customer/owners to Franklin Holding Co. LLC. They are: The Read More
FungicidesReport: Sudden Death Syndrome Symptoms Appearing In Soy…
July 30, 2015
Last week, symptoms of sudden death syndrome (SDS) began to appear in April 15-planted soybeans at the University of Illinois’s Read More
Seed/BiotechAdvanta Seeds Adds New Phoenix Corn Hybrids
July 30, 2015
Corn growers in the High Plains and Western states have new options available for the 2016 growing season from Advanta Read More
ManagementTechnology and agriculture: a Futurist’s Perspective
July 30, 2015
Futurist David Zach, speaking at this week’s InfoAg Conference in St. Louis, shared thoughts on the benefits and limitations of Read More
Biofuels Plant in Lousiana
Industry NewsIdle Biofuels Plant In Louisiana To Reopen As Ammonia F…
July 30, 2015
A Lithuania-based company plans to spend $265 million to reopen an idle biofuels refinery in Grant Parish as an ammonia Read More
FFA at Monsanto Booth at the 2015 National Farm Machinery Show
Industry NewsFive Students Receive The 2015 Monty’s Plant Food Compa…
July 29, 2015
This fall, five college-bound students will have financial support through the Monty’s Plant Food Company FFA Scholarship. All five scholarship Read More
GYPSOIL Blendable Pellets
Crop InputsBeneficial Reuse Management Launches Pelletized Gypsum …
July 29, 2015
Beneficial Reuse Management (BRM) announced this week at Ag Media Summit that its GYPSOIL Pelletized Products Division will open a Read More
StewardshipOhio Water Quality Project To Determine How Much Phosph…
July 27, 2015
Researchers with the College of Food, Agricultural, and Environmental Sciences at The Ohio State University are looking for farmers in Read More
FertilizerKoch Agronomic Services Launches N-TEGRATION Technology
July 27, 2015
Koch Agronomic Services, LLC (KAS) has launched  N-TEGRATION Technology, a process technology platform designed to enable production of enhanced efficiency fertilizers at Read More
HerbicidesExpert: IARC Herbicide Classifications Leading To Confu…
July 24, 2015
Few people in the crop protection industry had heard of the International Agency for Research on Cancer (IARC) before this Read More
ManagementFCI Trade Summit Update & Precision Tank Turns 50
July 23, 2015
Editors Dave Frabotta and Eric Sfiligoj discuss the upcoming FCI Trade Summit in Las Vegas, NV, and how Precision Tank Read More
Palmer pigweed seedhead in cotton
HerbicidesUSDA Deregulates Dow AgroSciences’ Enlist Cotton Trait
July 23, 2015
The USDA today issued its decision deregulating Dow AgroSciences’ Enlist cotton trait in the U.S. The USDA has now completed its Read More
Industry NewsVerdesian Life Sciences Showcases Versatile Product Por…
July 23, 2015
Technology has revolutionized agriculture by bringing farmers, retailers and distributors to the forefront of the digital age. To meet the Read More