Plains Cotton Cooperative Association Announces Record Net Margins For 2010-2011
An area cotton co-op has announced record profits.
The Plains Cotton Cooperative Association held their 58th annual stockholders meeting Wednesday, and announced record total net margins of $41.2 million from their fiscal year 2010-2011 operations.
Further cash distributions to members totaling $36.3 million will be made this month, comprised of $19.5 million in cash dividends, $4.7 million in stock retirements, and $12.1 million in retirement of per-unit returns.
PCCA President and CEO Wally Darneille commented on the numbers, saying “All divisions were profitable despite the greatest volatility any market has ever experienced.”
“To the best of our knowledge, we paid significantly more equity to our marketing pool members than any other pool where producers are not required to shoulder personal financial risk…The adverse weather last October affected volume more than was initially apparent, or our results would have been even better.” Darneille continued.
PCCA’s Warehouse Division received the third largest volume in its history, and the Textile and Apparel Division returned to profitability, adding new accounts, such as American Eagle Outfitters, Urban Outfitters, and Under Armour.