FCL News Release
Federated Co-operatives Limited reports stellar year with sales of $9.4 billion. Net earnings a record $879 million
(December 17, 2013) — Federated Co-operatives Limited (FCL) achieved record sales of $9.4 billion during 2013, an increase of 7.4% from the previous year. The Saskatoon-based company, owned by 225 retail co-op members across Western Canada, experienced sales growth in all its strategic business sectors – energy, food, home and building supplies, crop supplies and feed.
FCL also recorded net earnings from operations of $879 million. Of this total, $574 million is being returned to local retail co-ops in the form of a patronage allocation. During the past 10 years, FCL has provided a patronage allocation of $4.1 billion to its owners that form the Co-operative Retailing System (CRS). This money is reinvested by local retail co-ops into their operations to address the needs of 1.6 million active co-op members and many other customers in 500 communities throughout Western Canada.
“Our financial success in 2013 is a testament to the enduring strength of the co-operative business model and retail co-ops in an ever increasing competitive marketplace, dedication of our employees, and support of individual owner-members,” says FCL CEO Scott Banda. “Traditions that started decades ago remain the cornerstone of who we are today. A promise to stay local, a commitment to community and a business model that shares profits with anyone who wishes to become a member.”
Banda added: “Our profits are our members’ profits. And the profits generated by the CRS stay at home supporting the growth of local communities across Western Canada.”
Throughout 2013, the CRS continued to grow and evolve to better serve its members, customers and communities. FCL invested $512 million in capital projects including the completion of the expansion and associated revamps at the Co-op Refinery Complex in Regina, construction of the new Carseland petroleum terminal near Calgary, and completion of the Saskatoon warehouse expansion. In addition, FCL supported hundreds of projects upgrading or building new food stores, gas bars and convenience stores, bulk fuel plants, and home and building centres across Western Canada. FCL also assisted retail co-ops in the acquisition of numerous fertilizer, seed and agriculture chemical supply centres.
FCL, which celebrated 85 years as a as a wholesaler and partner to local retail co-ops in 2013, is the largest wholesaler and non-financial services co-operative in Canada. It is ranked as the 48th largest company in Canada. The 2013 World Co-operative Monitor ranks FCL as the 13th largest co-operative in the wholesale and retail trade sector in the world.
About Federated Co-operatives Limited and the Co-operative Retailing System
Federated Co-operatives Limited (FCL), based in Saskatoon, is the 48th largest company in Canada and the largest non-financial co-operative in Canada. FCL is a unique multi-billion dollar wholesaling, manufacturing, marketing and administrative co-operative owned by 225 autonomous retail co-operatives across Western Canada. Together FCL and those local retail co-operatives form the Co-operative Retailing System (CRS). The CRS serves our members and communities with products and services that help build, feed and fuel individuals and communities from Vancouver Island to northwestern Ontario. Our total workforce of 23,000 employees serve 1.6 million active individual members and many more non-member customers at 2,500 retail locations in more than 500 communities. We are a different kind of business – we are locally invested, community-minded and offer lifetime membership benefits including patronage refunds, quality products, quality service and fair prices.