Weathering Unexpected Downturns in Agriculture. Paul Ellinger University of Illinois

Size: px
Start display at page:

Download "Weathering Unexpected Downturns in Agriculture. Paul Ellinger University of Illinois pellinge@illinois.edu"

Transcription

1 Weathering Unexpected Downturns in Agriculture Paul Ellinger University of Illinois

2 Outline Risks and risk weights Agricultural producers Profitability Asset valuations Simple shocks Lenders to Agriculture Who is financing? Financial condition Simple shocks Discussions Ellinger, 7/20/2011 2

3 Ellinger, 7/20/ Quotes Robert Shiller: farmland is a dark horse bubble candidate partially because the environment is similar to the 1970s in the U.S. when a food price scare sparked the last farmland bubble. Sheila Bair (FDIC Chair): signs of instability exist in farmland markets and require close monitoring

4 Ellinger, 7/20/ Agricultural Weights Risks: different from 1980s? Portfolio / Magnitude Higher or Lower? Weights Different? Farmers Lenders Suppliers Government Investors Insurance Cos. Consumers Others Can the new risk bearers manage the risks?

5 Profitability Figure 1. U.S. Net Farm Income F F 2011F Net Farm Income Average NFI ( F) 250,000 Figure 2. Average Income on Illinois Farms , , ,000 50, Ellinger, 7/20/2011 Illinois Average Net Farm Income Average Net Farm Income Illinois Farms 5

6 Aggregate Measures Relative Stability Good Times Bad Times Relative Stability Good Times Good Times Debt to Asset Relative Stability Good Times Bad Times Relative Stability Good Times Good Times 0.20 Debt Coverage Ellinger, 7/20/2011 Economic Research Service

7 How Many Farms Does It Take? Value of Ag Output - $200 Billion Ellinger, 7/20/2011 Distribution matters 389 Farms 30,495 Farms 34,085 Farms 3,201 Farms 2,000,000 Farms 0% 10% 25% 50% 100%

8 Farm Financial Conditions Briggeman: 2008 & 2011 Debt Utilization Leverage Net Worth Extensions: Sources of loan repayment Cash Flow and Earnings Liquidity Equity Ellinger, 7/20/2011 8

9 Ellinger, 7/20/ Illinois Farm Records data % revenue drop to reduce repayment capacity to 1.25 benchmark 20.00% 15.00% 14% 10.00% 5.00% 0.00% -5.00% % % % % % 3% % % -7% -10% -13% -20% -19% -26% 25% percentile 50% percentile

10 Revenue Decline: 50% farms below repayment capacity benchmark (ave: ) 0% -2% -4% -6% -8% -10% -12% -14% -16% -18% -20% Baseline Large Young Livestock -2% -15% -18% -17% Ellinger, 7/20/

11 Ellinger, 7/20/ Liquidity: Working Capital to Sales % percentile 50% percentile

12 Ellinger, 7/20/ Components of Equity Figure 5. Components of Farm Equity 100% 90% 80% 41% 37% 36% 38% 36% 70% 60% 50% 40% 44% 43% 44% 46% 46% 30% 20% 10% 19% 21% 12% 18% 18% 0% Working Capital Real Estate Other

13 Ellinger, 7/20/ Leverage Changes: 30% Decline in Farmland Prices Baseline Young Large Livestock Baseline 30% Reduction

14 Ellinger, 7/20/ Interest Rate Risk: Farmers Capital values more than cash flows Source: Schnitkey and Sherrick

15 Land Value Ellinger, 7/20/ Land Prices: CAP Rates x Cash Rents $6,500 $6,000 $5,500 $5,000 $4,500 $4,000 $3,500 $3,000 $2,500 $2,000 Source: Schnitkey and Sherrick 3.20% 3.70% 4.20% Cap Rate $195 $169 $145 Cash rent 4.70% $ % 5.70% $6,000 -$6,500 $5,500 -$6,000 $5,000 -$5,500 $4,500 -$5,000 $4,000 -$4,500 $3,500 -$4,000 $3,000 -$3,500 $2,500 -$3,000 $2,000 -$2,500

16 Ellinger, 7/20/ Farm Debt Shares 160, , , ,000 80,000 60,000 Farm Service Agency, 2,343 Individuals and others, 9,164 Life insurance companies, 14,246 Commercial banks, 50,338 Farm Service Agency, 2,823 Individuals and others, 11,113 Commercial banks, 57,027 40,000 20,000 Farm Credit System, 58,423 Farm Credit System, 39,883 0 Real Estate Non Real Estate

17 Ellinger, 7/20/2011 How Many Banks Does It Take? % of Commercial Bank Loans to Agriculture Distribution Matters 15 Banks 474 Banks 821 Banks 332 Banks 5,184 Banks 0% 20% 40% 50% 100%

18 Ellinger, 7/20/2011 Delinquency Rates: Commercial Banks Delinquency Rate (%) Commercial Real Estate, Agr Loans, 9.08 Residential Mortgages, 9.94 Commercial Real Estate, Business Loans, 6.37 Credit Cards, 5.24 Residential Mortgages, 3.24 Credit Cards, 4.17 Business Loans, 3.01 Agr Loans,

19 Financial Health: Commercial Banks Profitability: ROA 2010 Q4= 0.88 Failed Banks Q1 1.2 billion of ag loans banks) Commercial Banks: Problem Ag Loans / Equity 68 banks > 20% 232 banks > 10% (1.5% ag loans) (4.7% ag loans) GA, FL, OK, NE Ellinger, 7/20/

20 Health of Commercial Banks Table 1. Distribution of Agricultural Loans at Commercial Banks By Equity/Asset Ratio December 2010 Large Banks 1 Other Banks Equity to Assets Share Number Share Number less than 4% % % 1.2% 8 7.0% % 16.5% % 3605 > 12% 6.0% % Banks with assets exceeding $10 billion. Table 2. Distribution of Agricultural Loans at Commercial Banks By Equity/Asset Ratio Shock Equity 10% of Ag Loans December 2010 Large Banks 1 Other Banks Equity to Assets Share Number Share Number less than 4% % % 1.2% % % 16.6% % 2902 > 12% 5.9% % Banks with assets exceeding $10 billion. Ellinger, 7/20/

21 Health of Farm Credit System ROA 2011Q1=2.19% Capital to assets ratio for FCS associations exceeded 17% with nonperforming loans at 2.39% of gross loan volume. 16 FCS associations nonaccrual / loans > 5% (Q4 2010) 5 FL, 3 TX, 2 GA and all others in south Ethanol, hogs, dairy, forestry, and poultry are the portfolio segments experiencing the most stress across the Farm Credit System. Cumulatively, these segments represent about 1/5 of Farm Credit System s portfolio. Ellinger, 7/20/

22 22 Discussion: Weathering Unexpected Downturns in Agriculture Discussion

but that was then. Today, those in agriculture may find themselves competing against lower-risk businesses for the services of a lender.

but that was then. Today, those in agriculture may find themselves competing against lower-risk businesses for the services of a lender. There was a time when lenders knew the financial pressures and capitalization needs of those involved in agriculture. They knew just about every member of the agricultural community by name and probably

More information

Educational Efforts With FAST Tools

Educational Efforts With FAST Tools Educational Efforts With FAST Tools By Paul N. Ellinger 1 farmdoc companion project initiated in 1999 FAST Tools Development of spreadsheet-based tools to aid decisions for producers, lenders, consultants

More information

Repayment Capacity Sensitivity Analysis Using Purdue Farm Financial Analysis Spreadsheet

Repayment Capacity Sensitivity Analysis Using Purdue Farm Financial Analysis Spreadsheet Repayment Capacity Sensitivity Analysis Using Purdue Farm Financial Analysis Spreadsheet ABSTRACT Many agricultural producers purchased capital items the past few years and some used borrowed funds to

More information

To review credit conditions in rural America

To review credit conditions in rural America Statement for the Record By the Independent Community Bankers of America Before the House Committee on Agriculture Subcommittee on Operations, Oversight, and Credit Hearing To review credit conditions

More information

THE FINANCIAL CRISIS: Is This a REPEAT OF THE 80 S FOR AGRICULTURE? Mike Boehlje and Chris Hurt, Department of Agricultural Economics

THE FINANCIAL CRISIS: Is This a REPEAT OF THE 80 S FOR AGRICULTURE? Mike Boehlje and Chris Hurt, Department of Agricultural Economics THE FINANCIAL CRISIS: Is This a REPEAT OF THE 80 S FOR AGRICULTURE? Mike Boehlje and Chris Hurt, Department of Agricultural Economics The current financial crisis in the capital markets combined with recession

More information

Financial Stages of a Farmer s Life: Effects on Credit Analysis Measures

Financial Stages of a Farmer s Life: Effects on Credit Analysis Measures Financial Stages of a Farmer s Life: Effects on Credit Analysis Measures By Paul N. Ellinger, Freddie L. Barnard, and Christine Wilson Abstract Farm financial performance measures are evaluated for producers

More information

How Lending Decisions Are Made

How Lending Decisions Are Made How Lending Decisions Are Made Every lending institution has a set of credit standards or guidelines that are used to analyze and approve loans. At Northwest Farm Credit Services, these guidelines ensure

More information

Effectiveness of Increasing Liquidity as a Response to Increased Repayment Risk: A Case Study

Effectiveness of Increasing Liquidity as a Response to Increased Repayment Risk: A Case Study Effectiveness of Increasing Liquidity as a Response to Increased Repayment Risk: A Case Study ABSTRACT Volatile net farm incomes and potential for higher interest rates has strengthened the importance

More information

Center for Commercial Agriculture

Center for Commercial Agriculture Center for Commercial Agriculture Investment and Financing Behavior of Farmers: Responding to Boom and Bust Times by Michael Boehlje The Set-Up Although the U.S. farming sector has exhibited very strong

More information

Using the Standards with Producers and Lenders to Analyze Operations

Using the Standards with Producers and Lenders to Analyze Operations Using the Standards with Producers and Lenders to Analyze Operations Todd Doehring Centrec Consulting Group, LLC FFSC 2012 Conference -- 1 Agenda Background Producers Census data Decision support activities

More information

Using Solvency Ratios to Predict Future Profitability

Using Solvency Ratios to Predict Future Profitability Using Solvency Ratios to Predict Future Profitability Gregg Ibendahl (ibendahl@ksu.edu) Kansas State University Department of Agricultural Economics August 2015 http://www.agmanager.info/kfma/newsletters/research/solvencyratios.pdf

More information

Farm Sector Income & Finances 2015 Outlook. By Ryan Kuhns and Kevin Patrick Economics Research Service, USDA

Farm Sector Income & Finances 2015 Outlook. By Ryan Kuhns and Kevin Patrick Economics Research Service, USDA Farm Sector Income & Finances 2015 Outlook By Ryan Kuhns and Kevin Patrick Economics Research Service, USDA Net cash and net farm income forecast below 10-year moving average for first time since 2009

More information

North American Agriculture: A Perspective As Indicated By U.S. Farm Financial Results

North American Agriculture: A Perspective As Indicated By U.S. Farm Financial Results North American Agriculture: A Perspective As Indicated By U.S. Farm Financial Results CAES Annual Meeting June 17-19, 212 Michael Harris Farm and Rural Business Branch USDA-Economic Research Service The

More information

Figure 1.1 Number of Bank Failures, 1934 1995

Figure 1.1 Number of Bank Failures, 1934 1995 Number 300 Figure 1.1 Number of Bank Failures, 1934 1995 250 200 150 100 50 0 1935 1945 1955 1965 1975 1985 1995 Note: Data refer to FDIC-insured commercial and savings banks that were closed or received

More information

Ratio Calculator. Program

Ratio Calculator. Program Ratio Calculator Program This program allows the user to enter the minimum data needed to calculate key financial performance ratios. The program calculates specific ratios and identifies strengths or

More information

Balance Sheet A Financial Management Tool

Balance Sheet A Financial Management Tool Balance Sheet A Financial Management Tool Overview A balance sheet is a statement of the financial condition of a business at a specific time. The balance sheet shows what is owned by a business, what

More information

Understanding Key Financial Ratios and Benchmarks

Understanding Key Financial Ratios and Benchmarks Understanding Key Financial Ratios and Benchmarks How does my business stack up compared to my neighbors? This question is becoming more and more common as the agricultural industry continues to change

More information

Helping New Ag Producers Grow

Helping New Ag Producers Grow Helping New Ag Producers Grow Objectives Who is Northwest Farm Credit Services? What services do we provide? How are loan decision made? What are some obstacles our applicants face? Who is Northwest FCS?

More information

Module 6 Understanding Lending Decisions Module Outline

Module 6 Understanding Lending Decisions Module Outline Module 6 Understanding Lending Decisions Module Outline Introduction The Five C s of Credit Roadside Chat #1 1. Character Adapting to Change Management Ability Commitment to Loan Repayment Sound Production

More information

Financial Resources Available to Poultry Producers

Financial Resources Available to Poultry Producers Financial Resources Available to Poultry Producers 2015 MN TURKEY GROWER S ANNUAL CONFERENCE PAULINE VAN NURDEN AG BUSINESS MANAGEMENT EDUCATOR 1 COLLABORATION IS KEY Work with your team to develop a plan

More information

www.development.ohio.gov

www.development.ohio.gov Minority Business Development Division Joseph Brooks (614) 466-5065 joseph.brooks@development.ohio.gov www.development.ohio.gov The State of Ohio is an Equal Opportunity Employer and Provider of ADA Services

More information

Financial Ratios and Quality Indicators

Financial Ratios and Quality Indicators Financial Ratios and Quality Indicators From U.S. Small Business Administration Online Women's Business Center If you monitor the ratios on a regular basis you'll gain insight into how effectively you

More information

Director s Guide to Credit

Director s Guide to Credit Federal Reserve Bank of Atlanta Director s Guide to Credit This guide was created by the Supervision and Regulation Division of the Federal Reserve Bank of Atlanta, 1000 Peachtree Street NE, Atlanta,

More information

MANAGING YOUR FARM S FINANCIAL RISK

MANAGING YOUR FARM S FINANCIAL RISK chapter seven MANAGING YOUR FARM S FINANCIAL RISK Gayle Willett 2 3 4 4 10 11 13 15 18 20 21 Table of Contents Instructor Guidelines Introduction Financial Risk: Definition and Sources Managing Financial

More information

NEWS RELEASE BNCCORP, INC. REPORTS THIRD QUARTER NET INCOME OF $1.9 MILLION, OR $0.40 PER DILUTED SHARE SERIES A PREFERRED STOCK TO BE REDEEMED

NEWS RELEASE BNCCORP, INC. REPORTS THIRD QUARTER NET INCOME OF $1.9 MILLION, OR $0.40 PER DILUTED SHARE SERIES A PREFERRED STOCK TO BE REDEEMED NEWS RELEASE FOR FURTHER INFORMATION: WEBSITE: www.bnccorp.com TIMOTHY J. FRANZ, CEO TELEPHONE: (612) 305-2213 DANIEL COLLINS, CFO TELEPHONE: (612) 305-2210 BNCCORP, INC. REPORTS THIRD QUARTER NET INCOME

More information

Measuring Financial Performance: A Critical Key to Managing Risk

Measuring Financial Performance: A Critical Key to Managing Risk Measuring Financial Performance: A Critical Key to Managing Risk Dr. Laurence M. Crane Director of Education and Training National Crop Insurance Services, Inc. The essence of managing risk is making good

More information

BUSINESS TOOLS. Understanding Financial Ratios and Benchmarks. Quick Definitions:

BUSINESS TOOLS. Understanding Financial Ratios and Benchmarks. Quick Definitions: Understanding Financial Ratios and Benchmarks Historically, great production drove success in agricultural businesses. To maintain long-term success in today s volatile and highly competitive marketplace,

More information

OBTAINING OPERATING CAPITAL FOR 2016 GRAIN OPERATIONS: NEEDS, RISKS, REWARDS & THE BOTTOM LINE

OBTAINING OPERATING CAPITAL FOR 2016 GRAIN OPERATIONS: NEEDS, RISKS, REWARDS & THE BOTTOM LINE OBTAINING OPERATING CAPITAL FOR 2016 GRAIN OPERATIONS: NEEDS, RISKS, REWARDS & THE BOTTOM LINE 02.03.16 JEFF RODIBAUGH FIRST FARMERS BANK & TRUST POLL: 2016 CORN BELT SEED CONFERENCE 1. You believe there

More information

Understanding Loans and Other Programs Available for Certified Minority Business Enterprises

Understanding Loans and Other Programs Available for Certified Minority Business Enterprises Understanding Loans and Other Programs Available for Certified Minority Business Enterprises Presented by Allen McConnell, Manager Minority Business Development Division Slide 1 Access to Financial Assistance

More information

FIRST BANKS, INC. ST. LOUIS, MISSOURI NEWS RELEASE FOR IMMEDIATE RELEASE: First Banks, Inc. Announces First Quarter 2014 Results

FIRST BANKS, INC. ST. LOUIS, MISSOURI NEWS RELEASE FOR IMMEDIATE RELEASE: First Banks, Inc. Announces First Quarter 2014 Results FIRST BANKS, INC. ST. LOUIS, MISSOURI NEWS RELEASE Contacts: Terrance M. McCarthy Lisa K. Vansickle President and Executive Vice President and Chief Executive Officer Chief Financial Officer First Banks,

More information

SOUTHEAST EUROPE MORTGAGE FINANCE WORKING GROUP Sofia February 23, 2005

SOUTHEAST EUROPE MORTGAGE FINANCE WORKING GROUP Sofia February 23, 2005 SOUTHEAST EUROPE MORTGAGE FINANCE WORKING GROUP Sofia February 23, 2005 Who We Are Presentation Topics Credit Life Insurance Mortgaged Property Insurance Mortgage Insurance Who We Are The leading international

More information

The Farmland Asset Class

The Farmland Asset Class The Farmland Asset Class December 2010 Jeffrey A. Conrad, CFA President, Hancock Agricultural Investment Group jconrad@hnrg.com (617) 747-1601 Presentation Overview I. Introduction to the Hancock Agricultural

More information

January 2015. Report on SBLF Participants Small Business Lending Growth Submitted to Congress pursuant to Section 4106(3) of

January 2015. Report on SBLF Participants Small Business Lending Growth Submitted to Congress pursuant to Section 4106(3) of January 2015 Report on SBLF Participants Small Business Lending Growth Submitted to Congress pursuant to Section 4106(3) of the Small Business Jobs Act of 2010 OVERVIEW Small businesses are a vital part

More information

State Bank Financial Corporation Reports Fourth Quarter and Full Year 2015 Financial Results

State Bank Financial Corporation Reports Fourth Quarter and Full Year 2015 Financial Results Investor Relations Contact: Jeremy Lucas 404.239.8626 / jeremy.lucas@statebt.com Fourth Quarter 2015 Highlights State Bank Financial Corporation Reports Fourth Quarter and Full Year 2015 Financial Results

More information

Financial Ratio Analysis A GUIDE TO USEFUL RATIOS FOR UNDERSTANDING YOUR SOCIAL ENTERPRISE S FINANCIAL PERFORMANCE

Financial Ratio Analysis A GUIDE TO USEFUL RATIOS FOR UNDERSTANDING YOUR SOCIAL ENTERPRISE S FINANCIAL PERFORMANCE Financial Ratio Analysis A GUIDE TO USEFUL RATIOS FOR UNDERSTANDING YOUR SOCIAL ENTERPRISE S FINANCIAL PERFORMANCE December 2013 Acknowledgments This guide and supporting tools were developed by Julie

More information

Chapter 5 - Comparative Performance of Community Bank Lending Specialty Groups

Chapter 5 - Comparative Performance of Community Bank Lending Specialty Groups Chapter 5 - Comparative Performance of Community Bank Lending Specialty Groups Introduction Community banks are defined in large part by their focus on traditional lending and deposit gathering activities.

More information

Analyzing Quicken Farm Records with FINPACK

Analyzing Quicken Farm Records with FINPACK Analyzing Quicken Farm Records with FINPACK FINPACK is a computerized farm financial planning and analysis system. It will help you evaluate your financial situation, explore alternatives, and make informed

More information

MPP Decision Guide 15 01. MPP Dairy Financial Stress test Calculator: A User s Guide

MPP Decision Guide 15 01. MPP Dairy Financial Stress test Calculator: A User s Guide MPP Decision Guide 15 01 MPP Dairy Financial Stress test Calculator: A User s Guide Christopher Wolf and Marin Bozic Michigan State University and the University of Minnesota A financial stress test calculator

More information

Nova Scotia Farm Loan Board. Financial Statements March 31, 2015

Nova Scotia Farm Loan Board. Financial Statements March 31, 2015 Nova Scotia Farm Loan Board Financial Statements March 31, Management's Responsibility for the Financial Statements The financial statements have been prepared by management in accordance with Canadian

More information

The Law of First Impressions A Practical Guide to Mortgage Applicants

The Law of First Impressions A Practical Guide to Mortgage Applicants The Law of First Impressions A Practical Guide to Mortgage Applicants Increased Importance of Borrower Financial Statements For Commercial Real Estate Financing Robert T. Gibney Real estate investors prepare

More information

Vincent H. Vieten, MBL PO Office of Examination and Insurance MBL. CUNA Lending Council Conference Fort Lauderdale, FL November 9, 2015

Vincent H. Vieten, MBL PO Office of Examination and Insurance MBL. CUNA Lending Council Conference Fort Lauderdale, FL November 9, 2015 Vincent H. Vieten, MBL PO Office of Examination and Insurance MBL CUNA Lending Council Conference Fort Lauderdale, FL November 9, 2015 Credit unions continue to post strong loan growth in first half of

More information

INCOME APPROACH Gross Income Estimate - $198,000 Vacancy and Rent Loss - $9,900

INCOME APPROACH Gross Income Estimate - $198,000 Vacancy and Rent Loss - $9,900 INCOME APPROACH The Income Approach considers the return on Investment and is similar to the method that investors typically use to make their investment decisions. It is most directly applicable to income

More information

Real Estate Investment Newsletter July 2004

Real Estate Investment Newsletter July 2004 The Case for Selling Real Estate in California This month I am writing the newsletter for those investors who currently own rental properties 1 in California. In any type of investing, be it real estate,

More information

Minority Business Development Division Allen McConnell, Manger (614) 752-4833 Allen.McConnell@development.ohio.gov www.development.ohio.

Minority Business Development Division Allen McConnell, Manger (614) 752-4833 Allen.McConnell@development.ohio.gov www.development.ohio. Minority Business Development Division Allen McConnell, Manger (614) 752-4833 Allen.McConnell@development.ohio.gov www.development.ohio.gov The State of Ohio is an Equal Opportunity Employer and Provider

More information

Paragon Bank Reports 117% Year-Over-Year Increase in Earnings for Third Quarter of 2015

Paragon Bank Reports 117% Year-Over-Year Increase in Earnings for Third Quarter of 2015 Media Contacts: Amanda Romano Kate Feldhouse MMI Public Relations Marketing & Public Relations (919) 233-6600 Specialist jake@mmipublicrelations.com 919.534.7462 http://www.mmipublicrelations.com kfeldhouse@paragonbank.com

More information

Deutsche Wohnen AG.» Full Year Results 2009. Conference Call, 26 March 2010

Deutsche Wohnen AG.» Full Year Results 2009. Conference Call, 26 March 2010 Deutsche Wohnen AG» Full Year Results 2009 Conference Call, 26 March 2010 1 » Agenda 1. Results of the financial year 2009 2. Financial highlights 2009 3. Strategic objectives 4. Forecast 2 » 1 Results

More information

Subject: Preliminary consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 2014

Subject: Preliminary consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 2014 Warsaw, February 12, 2015 Subject: Preliminary consolidated financial statements of the Capital Group of Bank Handlowy w Warszawie S.A. for the 2014 Legal basis: Art. 5 section 1 item 25) of the Ordinance

More information

QUAINT OAK BANCORP, INC. ANNOUNCES SECOND QUARTER EARNINGS

QUAINT OAK BANCORP, INC. ANNOUNCES SECOND QUARTER EARNINGS FOR RELEASE: Tuesday, July 28, 2015 at 4:30 PM (Eastern) QUAINT OAK BANCORP, INC. ANNOUNCES SECOND QUARTER EARNINGS Southampton, PA Quaint Oak Bancorp, Inc. (the Company ) (OTCQX: QNTO), the holding company

More information

Financial Statements and Ratios: Notes

Financial Statements and Ratios: Notes Financial Statements and Ratios: Notes 1. Uses of the income statement for evaluation Investors use the income statement to help judge their return on investment and creditors (lenders) use it to help

More information

FOR IMMEDIATE RELEASE

FOR IMMEDIATE RELEASE FOR IMMEDIATE RELEASE FirstMerit Corporation Analysts: Thomas O Malley/Investor Relations Officer Phone: 330.384.7109 Media Contact: Robert Townsend/Media Relations Officer Phone: 330.384.7075 FirstMerit

More information

Contact: Charity Frantz October 13, 2015 570-724-0225 charityf@cnbankpa.com

Contact: Charity Frantz October 13, 2015 570-724-0225 charityf@cnbankpa.com Contact: Charity Frantz October 13, 2015 570-724-0225 charityf@cnbankpa.com C&N ANNOUNCES THIRD QUARTER 2015 UNAUDITED FINANCIAL RESULTS FOR IMMEDIATE RELEASE: Wellsboro, PA Citizens & Northern Corporation

More information

MISSION OF THE FARM CREDIT ADMINISTRATION

MISSION OF THE FARM CREDIT ADMINISTRATION Testimony of the Honorable Kenneth A. Spearman Chairman and Chief Executive Officer Farm Credit Administration Before the Subcommittee on Agriculture, Rural Development, Food and Drug Administration, and

More information

Acquiring Working Capital. Presented by Allen Lash, CEO AgriSolutions Inc. Top Producer Seminar January 22, 2009

Acquiring Working Capital. Presented by Allen Lash, CEO AgriSolutions Inc. Top Producer Seminar January 22, 2009 Acquiring Working Capital Presented by Allen Lash, CEO AgriSolutions Inc. Top Producer Seminar January 22, 2009 Working Capital Fundamentals Working Capital Sources The Only Ways to Build Working Capital

More information

Deutsche Wohnen AG.» German Jour Fixe 1-1 Conference Merrill Lynch. London, 27 April 2010

Deutsche Wohnen AG.» German Jour Fixe 1-1 Conference Merrill Lynch. London, 27 April 2010 Deutsche Wohnen AG» German Jour Fixe 1-1 Conference Merrill Lynch London, 27 April 2010 1 » Agenda 1. Deutsche Wohnen at a glance 2. Results of the financial year 2009 3. Financial highlights 2009 4. Strategic

More information

FEDERAL DEPOSIT INSURANCE CORPORATION Washington, D.C. 20429 FORM 10 Q

FEDERAL DEPOSIT INSURANCE CORPORATION Washington, D.C. 20429 FORM 10 Q FEDERAL DEPOSIT INSURANCE CORPORATION Washington, D.C. 20429 FORM 10 Q [ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June

More information

Impact of Debt on Ontario Swine Farms

Impact of Debt on Ontario Swine Farms Impact of Debt on Ontario Swine Farms Prepared by: Randy Duffy and Ken McEwan University of Guelph, Ridgetown Campus November 2011 Funding support for this project. This project is funded in part through

More information

Member Business Lending October 14, 2015

Member Business Lending October 14, 2015 Member Business Lending October 14, 2015 Presented by BKD, LLP John Bourquard, Principal Ryan Swope, Director Topics We ll Cover Current Trends Case studies Credit Administration Charge-Offs Non-Performing

More information

A Guide to Federal, State and Regional Loan and Grant Programs for Agribusiness

A Guide to Federal, State and Regional Loan and Grant Programs for Agribusiness Illinois Office of Associate Director April 2004 Environmental 1021 North Grand Avenue East Protection Agency Springfield, IL 62706 Governor Rod Blagojevich Director Renee Cipriano A Guide to Federal,

More information

GOVERNMENT-SPONSORED ENTERPRISES

GOVERNMENT-SPONSORED ENTERPRISES GOVERNMENT-SPONSORED ENTERPRISES This chapter contains descriptions of the data on the Governmentsponsored enterprises listed below. These enterprises were established and chartered by the Federal Government

More information

INCOME APPROACH. Leased Fee Income Approach Example

INCOME APPROACH. Leased Fee Income Approach Example INCOME APPROACH The Income Approach considers the return on Investment and is similar to the method that investors typically use to make their investment decisions. It is most directly applicable to income

More information

Debt Service Analysis: Can I Repay?

Debt Service Analysis: Can I Repay? Purdue Extension Knowledge to Go Debt Service Analysis: Can I Repay? Low prices and incomes have made many farmers and their lenders concerned about the farmers ability to fulfill debt obligations. Lenders

More information

PULASKI FINANCIAL S SECOND FISCAL QUARTER EPS MORE THAN TRIPLES

PULASKI FINANCIAL S SECOND FISCAL QUARTER EPS MORE THAN TRIPLES PULASKI FINANCIAL S SECOND FISCAL QUARTER EPS MORE THAN TRIPLES Current Versus Prior Year Quarter Highlights Earnings growth - Diluted EPS $0.29 in 2013 versus $0.08 in 2012 - Annualized return on average

More information

The transfer between levels of hierarchy (i.e., from Level 2 to Level 1) in 2010 was due to the listing of the SMC shares in December 2010.

The transfer between levels of hierarchy (i.e., from Level 2 to Level 1) in 2010 was due to the listing of the SMC shares in December 2010. 24 In accordance with this amendment, financial assets and liabilities measured at fair value in the statement of financial position are categorized in accordance with the fair value hierarchy. This hierarchy

More information

2015 Farm Bank Performance Report Key Findings

2015 Farm Bank Performance Report Key Findings 2015 Farm Bank Performance Report Key Findings The banking industry is the nation s most important supplier of credit to agriculture providing nearly 50 percent of all farm loans in the U.S. $170 billion

More information

First Quarter 2015 Earnings Conference Call. 20 February 2015

First Quarter 2015 Earnings Conference Call. 20 February 2015 First Quarter 2015 Earnings Conference Call 20 February 2015 Safe Harbor Statement & Disclosures The earnings call and accompanying material include forward-looking comments and information concerning

More information

Article Accounting Terminology

Article Accounting Terminology Article Accounting Terminology Contents Page 1. Accounting Period... 4 2. Accounts Payable (Sundry Creditors)... 4 3. Accounts Receivable (Sundry Debtors)... 4 4. Assets... 4 5. Benchmarks... 4 6. B.O.S.

More information

October 21, 2015 MEDIA & INVESTOR CONTACT Heather Worley, 214.932.6646 heather.worley@texascapitalbank.com

October 21, 2015 MEDIA & INVESTOR CONTACT Heather Worley, 214.932.6646 heather.worley@texascapitalbank.com October 21, 2015 MEDIA & INVESTOR CONTACT Heather Worley, 214.932.6646 heather.worley@texascapitalbank.com TEXAS CAPITAL BANCSHARES, INC. ANNOUNCES OPERATING RESULTS FOR Q3 2015 DALLAS - October 21, 2015

More information

2015 Survey of Credit Underwriting Practices

2015 Survey of Credit Underwriting Practices 2015 Survey of Credit Underwriting Practices Office of the Comptroller of the Currency Washington, D.C. December 2015 Contents Introduction... 1 Part I: Overall Results... 3 Primary Findings... 3 Commentary

More information

FOR IMMEDIATE RELEASE November 7, 2013 MEDIA CONTACT: Lisa Gagnon 703-903-3385 INVESTOR CONTACT: Robin Phillips 571-382-4732

FOR IMMEDIATE RELEASE November 7, 2013 MEDIA CONTACT: Lisa Gagnon 703-903-3385 INVESTOR CONTACT: Robin Phillips 571-382-4732 FOR IMMEDIATE RELEASE MEDIA CONTACT: Lisa Gagnon 703-903-3385 INVESTOR CONTACT: Robin Phillips 571-382-4732 FREDDIE MAC REPORTS PRE-TAX INCOME OF $6.5 BILLION FOR THIRD QUARTER 2013 Release of Valuation

More information

GOVERNMENT-SPONSORED ENTERPRISES

GOVERNMENT-SPONSORED ENTERPRISES GOVERNMENT-SPONSORED ENTERPRISES This chapter contains descriptions of the data on the Government-sponsored enterprises listed below. These enterprises were established and chartered by the Federal Government

More information

NEWS RELEASE TO BUSINESS EDITOR

NEWS RELEASE TO BUSINESS EDITOR NEWS RELEASE TO BUSINESS EDITOR DIMECO, INC. ANNOUNCES EARNINGS FOR YEAR AND QUARTER ENDED SEPTEMBER 30, 2015 Honesdale, PA, October 28, 2015/ Dimeco, Inc. (OTC Pink: DIMC), parent company of The Dime

More information

Financial Trends and Needs of Cooperatives and Implications of Consolidation in the Farm Credit System

Financial Trends and Needs of Cooperatives and Implications of Consolidation in the Farm Credit System Financial Trends and Needs of Cooperatives and Implications of Consolidation in the Farm Credit System ACCC Fact Sheet Series Paper #6 February 20, 2014 Brian C. Briggeman, Ph.D. Associate Professor and

More information

Audit Guidance: Things that nonprofit CDFI Loan Funds should ask from their auditors Eric Hangen, I Squared Community Development Consulting, Inc.

Audit Guidance: Things that nonprofit CDFI Loan Funds should ask from their auditors Eric Hangen, I Squared Community Development Consulting, Inc. Audit Guidance: Things that nonprofit CDFI Loan Funds should ask from their auditors Eric Hangen, I Squared Community Development Consulting, Inc. Many audits of nonprofit CDFI Loan Funds provide information

More information

Supervisory Letter. Current Risks in Business Lending and Sound Risk Management Practices

Supervisory Letter. Current Risks in Business Lending and Sound Risk Management Practices Dollars in Billions Supervisory Letter Current Risks in Business Lending and Sound Risk Management Practices The September 2009 Financial Performance Report data reflects an increasing portion of loans

More information

The Texas district has done a particularly admirable job in the past year of reducing the volume of its criticized and high-risk assets.

The Texas district has done a particularly admirable job in the past year of reducing the volume of its criticized and high-risk assets. Remarks by The Honorable Jill Long Thompson Board Chair and CEO, Farm Credit Administration Annual Meeting of the Farm Credit Bank of Texas Point Clear, Alabama April 4, 2013 Good morning. Thank you for

More information

Federal Reserve Bank of Atlanta. Components of a Sound Credit Risk Management Program

Federal Reserve Bank of Atlanta. Components of a Sound Credit Risk Management Program Federal Reserve Bank of Atlanta Components of a Sound Credit Risk Management Program LOAN POLICY The loan policy is the foundation for maintaining sound asset quality because it outlines the organization

More information

BUSINESS TOOLS. Preparing Agricultural Financial Statements. How do financial statements prove useful?

BUSINESS TOOLS. Preparing Agricultural Financial Statements. How do financial statements prove useful? Preparing Agricultural Financial Statements Thoroughly understanding your business financial performance is critical for success in today s increasingly competitive agricultural, forestry and fisheries

More information

UNIVERSITY BANCORP 2Q2015 PROFIT $2,184,026, $0.427 PER SHARE

UNIVERSITY BANCORP 2Q2015 PROFIT $2,184,026, $0.427 PER SHARE For Immediate Release Contact: Stephen Lange Ranzini, President and CEO Phone: 734-741-5858, Ext. 9226 Email: ranzini@university-bank.com UNIVERSITY BANCORP 2Q2015 PROFIT $2,184,026, $0.427 PER SHARE Ann

More information

SOURCES AND USES OF FUNDS ON KFMA FARMS

SOURCES AND USES OF FUNDS ON KFMA FARMS KANSAS FARM MANAGEMENT ASSOCIATION Your Farm - Your Information - Your Decision N E W S L E T T E R Volume 6, Issue 3 March 2012 SOURCES AND USES OF FUNDS ON KFMA FARMS A flow of funds report, often referred

More information

Rent and Mortgage Dataset

Rent and Mortgage Dataset and Mortgage Dataset This dataset includes data variables for rent values of renter-occupied housing units, including breakdowns for number of bedrooms rented. Median and aggregate values, as well as gross

More information

Preparing Agricultural Financial Statements

Preparing Agricultural Financial Statements Preparing Agricultural Financial Statements Thoroughly understanding your business financial performance is critical for success in today s increasingly competitive agricultural environment. Accurate records

More information

Farm Record Keeping and Financial Analysis

Farm Record Keeping and Financial Analysis Indiana Small Farms Conference 2013 Farm Record Keeping and Financial Analysis Alan Miller Farm Business Management Specialist March 1, 2013 Farm Records Opening discussion question What is the best reason

More information

OLR RESEARCH REPORT ANALYSIS OF STATE SMALL BUSINESS LOAN GUARANTEE PROGRAMS. By: Michelle Kirby, Associate Analyst

OLR RESEARCH REPORT ANALYSIS OF STATE SMALL BUSINESS LOAN GUARANTEE PROGRAMS. By: Michelle Kirby, Associate Analyst OLR RESEARCH REPORT February 19, 2013 2013-R-0054 ANALYSIS OF STATE SMALL BUSINESS LOAN GUARANTEE PROGRAMS By: Michelle Kirby, Associate Analyst You asked for an analysis of state small business loan guarantee

More information

GAAP Accounting for Farmers presented by Tom Bayer, Partner, Sikich LLP tbayer@sikich.com 217.793.3363

GAAP Accounting for Farmers presented by Tom Bayer, Partner, Sikich LLP tbayer@sikich.com 217.793.3363 GAAP Accounting for Farmers presented by Tom Bayer, Partner, Sikich LLP tbayer@sikich.com 217.793.3363 Outline of topics Why GAAP financial statements Types of CPA prepared financial statements Conversion

More information

THE LOAN RENEWAL SEASON: YOUR LENDER S CONCERNS. Michael Boehlje Department of Agricultural Economics Purdue University

THE LOAN RENEWAL SEASON: YOUR LENDER S CONCERNS. Michael Boehlje Department of Agricultural Economics Purdue University THE LOAN RENEWAL SEASON: YOUR LENDER S CONCERNS Michael Boehlje Department of Agricultural Economics Purdue University Now that harvest is over, farmers are planning for next year s planting season. Lining

More information

Summary of FDIC Proposal to Revise the Calculation of Deposit Insurance Assessments for Banks with Assets of Less than $10 Billion

Summary of FDIC Proposal to Revise the Calculation of Deposit Insurance Assessments for Banks with Assets of Less than $10 Billion Summary of FDIC Proposal to Revise the Calculation of Deposit Insurance Assessments for Banks with Assets of Less than $10 Billion July 2015 Contact: Chris Cole Executive Vice President & Senior Regulatory

More information

Financial Ratio Analysis using ARMS Data

Financial Ratio Analysis using ARMS Data Financial Ratio Analysis using ARMS Data Bruce L. Ahrendsen (University of Arkansas) and Ani L. Katchova (University of Kentucky) Agricultural Economics Staff Paper # 477 2012 This staff paper is an electronic

More information

financing your business in the new economy

financing your business in the new economy MEDC Capital Services Programs financing your business in the new economy Presented by: Paul Brown, VP, MEDC Capital Services 1. Capital Continuum Contents 2. Small Business Capital Access Program (CAP)

More information

The State of the Corporate Banking Industry 2008 2009 Banking Industry Crisis Andrew Cardimen, Senior Vice President Middle Market Corporate Banking Harris Bank, N.A. 1 The 2008 2009 Credit Crisis 2 ~8,300

More information

Iowa s Beginning Farmer Loan and Tax Credit Programs. Iowa Agricultural Development Division

Iowa s Beginning Farmer Loan and Tax Credit Programs. Iowa Agricultural Development Division Iowa s Beginning Farmer Loan and Tax Credit Programs Iowa Agricultural Development Division 1 IADD Programs Beginning Farmer Loan Program (BFLP) Loan Participation Program (LPP) Beginning Farmer Tax Credit

More information

Volume Title: Federal Lending: Its Growth and Impact. Volume Author/Editor: Raymond J. Saulnier, Harold G. Halcrow, and Neil H.

Volume Title: Federal Lending: Its Growth and Impact. Volume Author/Editor: Raymond J. Saulnier, Harold G. Halcrow, and Neil H. This PDF is a selection from an out-of-print volume from the National Bureau of Economic Research Volume Title: Federal Lending: Its Growth and Impact Volume Author/Editor: Raymond J. Saulnier, Harold

More information

Deutsche Wohnen AG.» 1st Quarter 2010. Conference Call, 31 May 2010

Deutsche Wohnen AG.» 1st Quarter 2010. Conference Call, 31 May 2010 Deutsche Wohnen AG» 1st Quarter 2010 Conference Call, 31 May 2010 1 » Agenda 1. Highlights 2. Operative development 3. Financials 2 » 1 Highlights 3 » Capitalizing on the completed restructuring > Adjusted

More information

Third District Banking Conditions as of March 31, 2016

Third District Banking Conditions as of March 31, 2016 Third District Banking Conditions as of March 31, 2016 PREPARED BY THE RISK ANALYTICS & SURVEILLANCE UNIT SUPERVISION, REGULATION, AND CREDIT FEDERAL RESERVE BANK OF PHILADELPHIA Third District Conditions

More information

This article illustrated deferred tax liabilities for a cash crop farm in west central Indiana. The

This article illustrated deferred tax liabilities for a cash crop farm in west central Indiana. The September 2014 Computation of Deferred Liabilities Michael Langemeier, Associate Director, Center for Commercial Agriculture This article is one of a series of financial management articles that will examine

More information

Bertelsmann Annual Results 2010 Investor Conference Call

Bertelsmann Annual Results 2010 Investor Conference Call Bertelsmann Annual Results 2010 Investor Conference Call March 29, 2011 Dr. Thomas Rabe Member of the Executive Board and Chief Financial Officer Bertelsmann AG Summary and highlights Operating performance

More information

CCT 224 LEVERAGE RATIOS. Professor Tim Richardson. Dana Abu Hudra Jelyn Advincula Karlo Cantor Gursimran Ghai Rana Haram

CCT 224 LEVERAGE RATIOS. Professor Tim Richardson. Dana Abu Hudra Jelyn Advincula Karlo Cantor Gursimran Ghai Rana Haram CCT 224 Professor Tim Richardson Dana Abu Hudra Jelyn Advincula Karlo Cantor Gursimran Ghai Rana Haram LEVERAGE RATIOS 19, October 2011 LEVERAGE RATIOS Keywords: debt, equity, assets, cash(flow), creditor

More information

How Do I Qualify for a loan?

How Do I Qualify for a loan? How Do I Qualify for a loan? Borrowing money is one of the most common sources of funding for a small business, but obtaining a loan isn't always easy. Before you approach your banker for a loan, it is

More information

Farm Debt to Asset Ratios by Age

Farm Debt to Asset Ratios by Age Farm Debt to Asset Ratios by Age Gregg Ibendahl (ibendahl@ksu.edu) Kansas State University Department of Agricultural Economics June 2015 http://www.agmanager.info/kfma/newsletters/research/ratiosbyage.pdf

More information

Agricultural borrowers are increasingly concerned

Agricultural borrowers are increasingly concerned 9 Agricultural Credit Standards Tighten By Jason Henderson, Vice President and Omaha Branch Executive Agricultural borrowers are increasingly concerned about access to credit. Amid economic weakness and

More information

2014 Survey of Credit Underwriting Practices

2014 Survey of Credit Underwriting Practices 2014 Survey of Credit Underwriting Practices Office of the Comptroller of the Currency Washington, D.C. December 2014 Contents Introduction... 1 Part I: Overall Results... 3 Primary Findings... 3 Commentary

More information