Keystone Cooperative to pay out $68 million to members
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Indianapolis-based Keystone Cooperative Inc. said this week it will pay out $68 million in shared earnings with farmer members.
The agriculture and energy cooperative—which was established last year from the merger between Co-Alliance Cooperative and Ceres Solutions—says the patronage represents 57% of Keystone’s 2024 net income.
Keystone said members will receive between 80-90% of their patronage payment in cash, based on their legacy membership. The remainder will go toward their equity in Keystone.
“This significant cash return is a powerful demonstration of the cooperative advantage,” Keystone CEO Kevin Still said in a news release. “The cooperative model has served generations of farmers, and our commitment is clear: when the cooperative succeeds, our members directly benefit. This $68 million distribution reflects the trust and loyalty of our members who choose to do business with Keystone.”
The patronage payout for each Keystone farmer member is calculated based on the volume of business conducted with the cooperative during the fiscal year. It equates to about 5% of members’ transactions in 2024.
“These payments empower our members to reinvest in their farms, communities, and local economies,” Bill Peters, chair of Keystone’s board of directors, said. “Rural America thrives on service and collaboration, and this patronage will undoubtedly strengthen the communities our members call home.”
The cooperative said the remaining profits from 2024 will be reinvested in its infrastructure, and there are plans for about $100 million in future capital investment.
Keystone Cooperative also announced Wednesday that Dewey Bucher, vice president of swine and animal nutrition, is retiring at the end of March. He will be succeeded by Nathan Hedden, who has served in the same division as assistant vice president for the past seven years.