annual report 2010 - 2011 - equity exchange · manager; j.b. daughenbaugh, grain merchandiser. back...
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Annual Report2010 - 2011
Agenda
Twenti eth Annual Meeti ng
Alliance Grain Co.North Park Pavilion - Gibson City, Illinois
Tuesday, July 26, 2011 - Meeti ng at 5:00 PM
Call to Order . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CURT MEINER
Invocati on . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PASTOR STEPHEN GOODWIN
Meeti ng Noti ce & Certi fi cati on of Quorum . . . . . . . . . . . . .DENNIS HELMERS
Introducti on of Directors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CURT MEINER
Financial Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . JOE THOMPSON
Manager’s Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . JOE THOMPSON
Electi on Results, Chair of Nominati ons . . . . . . . . . . . . . . . . BRIAN DAMERON
Other Business . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CURT MEINER
Door Prizes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CURT MEINER
Adjournment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CURT MEINER
Dinner . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . TOM YOUNG CATERING
Alliance Grain Co.Corporate Headquarters
1306 West 8th StreetPost Offi ce Box 546
Gibson City, Illinois 60936-0546PH: 800-222-2451 FX: 217-784-8949
www.Alliance-Grain.com
MISSION STATEMENT
Alliance Grain Co. is a farmer-owned cooperati ve providing grain marketi ng and handling services focused on enhancing the profi tability of its
farmer-owners while preserving the fi nancial integrity of the cooperati ve.
Board of Directors
Dennis HelmersSecretary, District 9
Curt MeinerPresident, District 8
Bob ProvinDirector, District 1
Rick YoungDirector, District 2
David ButlerDirector, District 3
Doug BruckerTreasurer, District 4
Wayne MorrisonVice-President, District 10
Phillip MoritzDirector, District 6
Bob CregoDirector, District 7
Mark KerberDirector, District 10
2010 -
2011
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Rodney LandauDirector, District 5
About Us
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Established in 1991, Alliance Grain Co. is a farmer-owned elevator system that includes thirteen elevators throughout East Central Illinois. Alliance Grain has operati ons in Anchor, Bellfl ower, Cabery, Campus, Charlott e, Colfax, Cropsey, Cullom, Gibson City (West and Middle), Melvin, Saybrook and Sibley. Eight of these elevators are rail load-out accessible via the Bloomer Line railroad. Approximately 22 million bushels of grain can be stored at the thirteen locati ons.
On a daily basis, the services of Alliance Grain include grain storage, marketi ng assistance and off -farm hauling, to name a few, all at competi ti ve prices. Being farmer-owned has helped us visualize all aspects of agricultural producti on. Shareholders (producers) elect board members from 10 districts. These 11 board members, with one at large, discuss the operati ons of the elevator and represent their district. This management system has kept Alliance Grain Cooperati ve thriving these last 20 years.
September 1991 - Alliance Grain Cooperati ve is formed with a consolidati on vote from the shareholders of Anchor Grain Co. and The Farmer’s Grain of Gibson City.
April 1992 - Foosland Grain is acquired by contract with faciliti es at Foosland & Bellfl ower.
August 1994 - Farmer’s Grain of Charlott e and shareholders voted to merge with Alliance Grain Co.
September 1997 - The Cullom elevator is acquired from Tri-Central Coop.
July 2002 - The shareholders of Sibley Grain Co. voted to merge with Alliance Grain Co.
September 2002 - Alliance Grain Co. purchased the Hamilton Elevator, with faciliti es in Campus, Cabery and Sunbury. Sunbury was later sold.
June 2006 - Alliance Grain Co. purchased Ford Grain of Melvin to be the 13th Alliance locati on.
With 13 locati ons, Alliance Grain’s total capacity stands at over 22 million bushels. We are ready to serve you!
ALLIANCE GRAIN CO.BALANCE SHEET
as of May 31, 2011
ASSETS
CURRENT ASSETS Cash and Short Term Investments 478,633 Receivables 21,246,006 Inventories 64,557,456 Prepaid Expenses 195,154 Total Current Assets $ 86,477,249
Investments in other Corporati ons $ 3,956,975 Property, Plant & Equipment $ 20,159,701 TOTAL ASSETS $ 110,593,925
LIABILITIES AND STOCKHOLDERS EQUITY
CURRENT LIABILITIES Grain Payables 17,894,243 Other Payables 7,000,527 Notes Payable 48,342,781 Total Current Liabiliti es $ 73,237,551
LONG-TERM LIABILITIES Long Term Note Payable 6,056,000 Other Deferred Payables 2,793,131 Total Long-term Liabiliti es $ 8,849,131 TOTAL LIABILITIES $ 82,086,682
STOCKHOLDERS EQUITY Capital Stock & Credits $ 7,389,645 Retained Income $ 21,117,598 Equity For Investment $ 0 Total Stockholders Equity $ 28,507,243 TOTAL LIABILITIES & STOCKHOLDERS EQUITY $ 110,593,925
Balance Sheet
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Statement of Income (Loss)
ALLIANCE GRAIN CO.STATEMENT OF INCOME (LOSS)12 months ended May 31, 2011
Volume (Bushels Sold) 65,058,827
Sales $ 400,309,578 Gross Trading Income $ 10,481,403
Service Income Grain Drying 1,281,063 Grain Storage & PL Charges 2,350,181 Rental Income 58,100 Other Income 163,530 Total Service Income $ 3,852,874 TOTAL GROSS INCOME $ 14,334,277
Operati ng Expenses People & Related Expenses 3,545,449 Facility Expenses 4,939,519 Administrati ve Expenses 1,141,742 Interest - Seasonal 798,484 Total Operati ng Expenses $ 10,425,304 NET OPERATING INCOME $ 3,908,973
Other Income Gain on Involuntary Conversion 417,525 Gain on Sale of Marketable Securiti es 109,075 Patronage Dividend Income 150,789 Income (Loss) from Subsidiaries (175,731) Total Other Income $ 501,658 NET INCOME (LOSS) BEFORE TAXES $ 4,410,631
Federal and State Tax (1,256,343)
NET INCOME (LOSS) AFTER TAXES $ 3,154,288
BU
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Changes in Financial Position
ALLIANCE GRAIN CO.STATEMENT OF CHANGES IN FINANCIAL POSITION
12 months ended May 31, 2011
SOURCES OF WORKING CAPITAL Net Income for the Year 3,154,288 Add (Deduct) Items Not Aff ecti ng Working Capital: Depreciati on & Amorti zati on 2,085,634 Non cash Patronage Refund Received (52,173) Income Taxes Deferred 936,220 Joint Venture (Income) Loss _ 175,731 Working Capital Provided from Operati ons $ 6,299,700 Stock Redempti ons 21,498 Gain on Marketable Securiti es 14,288
TOTAL SOURCES $ 6,335,486
USES OF WORKING CAPITAL Purchase of Property, Plant & Equipment 5,271,421 Reti rement of Capital Stock 815,754 Reti rement of Long-Term Debt 919,000 Increase in Notes Receivable 2,500,000 Other 72,565
TOTAL USES $ 9,578,740 INCREASE (DECREASE) IN WORKING CAPITAL $ (3,243,254)
WORKING CAPITAL - Beginning of Year $ 16,482,952
WORKING CAPITAL - END OF YEAR $ 13,239,698
This report is a condensati on of our auditors long form report which is available for your inspecti on at our corporate offi ce in Gibson City, or from any of our Directors. If you have any questi ons about this statement or our fi nancial conditi on, any director or the manager would be happy to discuss them with you.
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LOCATIONS
Anchor
Anchor Branch2W East Street
PO Box 128Anchor, IL 61720-0128
PH: 309-723-2091FX: 309-723-2011
ABOVE: The new Anchor offi ce under
constructi on.
RIGHT: Garry Cole, Locati on Supervisor and Jonathan York,
Operati ons Support. Not pictured: Terry Benway
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Bellfl ower
Bellfl ower Branch305 East Melvin StreetPO Box 167Bellfl ower, IL 61724PH: 309-722-3216FX: 309-722-3335
LEFT: Gary Meier, Locati on Supervisor;Chare Robinson, Offi ce Manager
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Cabery
Cabery Branch305 East Main
PO Box 171Cabery, IL 60919
PH: 815-949-1672FX: 815-949-1661
RIGHT: Michael Riedel,
Locati on Supervisor
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Campus
Campus Branch27896 North 3300 East Rd.PO Box 118Campus, IL 60920PH: 815-567-3311FX: 815-567-3430
LEFT: Christi ne Graveson, Offi ce Manager; Dan Gray, Operati ons Support; Shaun Edwards, Locati on Supervisor.
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Charlotte
Charlott e Branch33573 East 1300 North Rd.
Chatsworth, IL 60921PH: 815-689-2673FX: 815-689-2525
ABOVE: Jamie Stein, Assistant Operati ons Manager. RIGHT: Shane
Puls, Operati ons Support; Gloria Hitchens, Offi ce Manager; Jordan
Kintner, Operati ons Support
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Colfax
Colfax Branch200 South Brook StreetPO Box 236Colfax, IL 61728PH: 309-723-2611 FX: 309-723-6090
LEFT: Sheryl Roelfs, Offi ce Manager; Dennis Farney, Locati on Supervisor; Brandon Bose, Operati ons Support
13
Cropsey
Cropsey Branch103 South Main
PO Box 57Cropsey, IL 61731-0057
PH: 309-377-2141FX: 309-377-2018
RIGHT: Matt Dunn, Central Area Support;
Bill Kemmer, Offi ce Manager; Bill Farmer,
Locati on Supervisor; Branden Kruse,
Operati ons Support; Jessica McCabe,
Offi ce.
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Cullom
Cullom Branch121 North Maple StreetPO Box 296Cullom, IL 60929PH: 815-689-2130FX: 815-689-2717
ABOVE: Brad Wallrich, Locati on Supervisor; Susan Deany, Offi ce Manager; Logan Spenard, Operati ons Support
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TOP OF PAGE: Cullom South. ABOVE: Cullom North
Gibson City - Middle & West
Gibson City - Middle220 West 8th Street
PO Box 546Gibson City, IL 60936
PH: 217-784-5402FX: 217-784-5965
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RIGHT: Clint Pearson, Operati ons Support;
Dennis Angus, Middle Locati on Supervisor;
Myron Shelton, Operati ons Support
BOTTOM: Ed Kirkpatrick,
Locati on Support; Brett Dunn, West
Locati on Supervisor
Gibson City - Middle & West
Corporate Offi ce, Gibson City - West1306 West 8th StreetPO Box 546Gibson City, IL 60936PH: 800-222-2451 / 217-784-4284FX: 217-784-8949
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GIBSON CITY WEST STAFF: Jeff Grider, Grain Originator and AgriVisor Coordinator; Joe Thompson, General Manager; Gary Allen, Operati ons Manager; J.B. Daughenbaugh, Grain Merchandiser. BACK ROW: Angie Beach, Assistant Controller; Bonnie Voyles, Administrati ve Assistant; Sue Ann Harsha, Administrati ve Assistant; Joy Boyce, Administrati ve Assistant; Teresa Steidinger, Grain Accounti ng Coordinator.
LEFT: Adam Moritz, Grain Originator based at One Earth Energy
Melvin
Melvin Branch101 East Main Street
Melvin, IL 60952PH: 217-388-2261FX: 217-388-2855
ABOVE: Roger Ford, Operati ons Support; Kevin Redeker, Locati on Supervisor.
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Saybrook
Saybrook Branch509 South Washington StreetSaybrook, IL 61770PH: 309-475-3361FX: 217-388-2855
ABOVE: Tom Williamson, Locati on Supervisor
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Sibley
Sibley Branch312 West Ohio Street
RR 1 Box 101KSibley, IL 61773
PH: 217-745-2336FX: 217-745-2505
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RIGHT: Dan Farmer, Locati on Supervisor and
Bonnie Wurmnest, Offi ce Manager
Transportation
ABOVE: Aaron Rickett s, Richard Hammond, Roger Ford, Kevin Redeker. NOT PICTURED: Randy York
Aaron Rickett s Richard Hammond
Roger Ford Kevin Redeker
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Maintenance
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RIGHT: T.J. Mygatt and Kevin Bazzell.
NOT PICTURED:Chris Bach
The Bloomer Line
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The Bloomer Line, shown loading at our Charlott e, Gibson City and Cullom locati ons, hauled over 10,000 carloads of grain this past year.
Notes Location Map