Detailed Version - UFA.com

ufa.com

Detailed Version - UFA.com

health and sustainability. That is a heavy responsibility to carry. It is one that we cannot take lightly. It is something

that our members remind us of every day.

So how does UFA stay healthy, relevant and sustainable over the long-term? How do we reclaim our place as

leaders in agriculture and the rural community?

Traditionally we have thought of ourselves as farm and ranch supply retailers with a fuel distribution network

operated by independent agents. Today we must think of ourselves as investors in a diversified portfolio of

business opportunities. And we must be constantly evaluating those opportunities to ensure that they align with our

objectives and core purpose and create true value for our owners.

The board has determined that our portfolio will focus on prudent investments in the Agribusiness, Energy and

Retail sectors. We will look to businesses within each of those sectors as opportunities that will help us remain

viable, relevant and sustainable to agricultural producers and their communities. Over the next few years, you will

see that strategy begin to take shape as we make investment decisions with each of our lines of business.

We have had a good year. Our results are better than expected. Last year we announced a loss before patronage

and income taxes of $88.5 million dollars. This year we managed to get back in the black and we do have surplus

earnings. I am pleased to report that the board is recommending a patronage payment of $7 million to our

members. While this is less than we want to deliver in coming years, it is a substantial improvement over last

year‟s results. It represents a monumental accomplishment and a major turning point for UFA.

I want to acknowledge and thank Bob and the management team for the work they have done. Compared to

where we started, considering the enormity of the task they faced, what they have done to get us refocused and

moving in the right direction is nothing short of spectacular. They deserve our thanks, our gratitude and most

importantly, our on-going support.

I also want to thank everyone in the organization who has pulled together and contributed to our progress. Our

elected officials including the board and delegates, our managers, our front line staff, our field people, the agents –

literally everyone who is part of the UFA family. Thank you for your efforts, your patience and your perseverance.

Today, I am more confident and more optimistic than I was last year. We are back on track. We are moving in the

right direction. We are making progress. But we are not out of the woods yet. Last year, I said rebuilding teams

don‟t expect to win the championship in year one. We are now in year two of the three year plan. There is still

much to be done. The second year of a three year plan is very much like part two of a three part movie. You‟re not

at the beginning. You‟re not at the end. You‟re somewhere in the middle. The key is to stay focused and keep

moving forward.

Thank you.

Jim Laverick

Chairman of the Board

4 CHAIRMAN‟S MESSAGE

UFA 2011 Unabridged Annual Report 6

More magazines by this user
Similar magazines