FARMER

COOPERATIVE

STATISTICS,

2005

United States

Department of

Agriculture

Service Report 65

ABSTRACT

A survey of 2,896 U.S. farmer-owned cooperatives 

ending their business year during calendar year 2005 

showed a net business volume of $106.5 billion with a 

net income of $2.5 billion. These cooperatives had assets 

totaling $47 billion, about $27 billion of liabilities, and 

$20 billion in equity. Cooperatives were a major employer in rural areas, with 125,000 full-time workers, but this 

was about 40,000 fewer employees than in 2003 due to 

the bankruptcy of two large cooperatives and the conversion of another two cooperatives to investor-oriented 

firms. Business volume by commodity is reported for 

all cooperatives. Number of cooperatives, cooperative 

memberships, and number of employees are classified 

according to whether the business is a marketing, farm 

supply, or service cooperative. Trends in cooperative 

numbers, memberships, employees, business size, sales 

volume, net income, assets, liabilities, and net worth are 

reported. 

Keywords: cooperatives, statistics, business volume, 

employees, memberships, balance sheet, net income, 

financial ratios.

FARMER COOPERATIVE STATISTICS, 2005

Katherine C. DeVille, 

Jacqueline E. Penn, and 

E. Eldon Eversull

Rural Development

U.S. Department of Agriculture

STOP 3256

1400 Independence Ave., S.W.

Washington, DC 20250 3256

Service Report 65

April 2007

Farmer Cooperative Statistics, 2005 i

“The U.S. Department of Agriculture (USDA) prohibits discrimination in all its programs and activities on the 

basis of race, color, national origin, age, disability, and where applicable, sex, marital status, familial status, parental status, religion, sexual orientation, genetic information, political beliefs, reprisal, or because all or a part of an 

individualʼs income is derived from any public assistance program. (Not all prohibited bases apply to all programs.) 

Persons with disabilities who require alternative means for communication of program information (Braille, large 

print, audiotape, etc.) should contact USDAʼs TARGET Center at (202) 720-2600 (voice and TDD). 

To file a complaint of discrimination write to USDA, Director, Office of Civil Rights, 1400 Independence Avenue, 

S.W., Washington, D.C. 20250-9410 or call (800) 795-3272 (voice) or (202) 720-6382 (TDD). USDA is an equal opportunity provider and employer.”
ii Farmer Cooperative Statistics, 2005

 

 

Farmer cooperative statistics are collected annually 

to provide information on the progress and trends among 

the Nationʼs farmer-owned cooperatives. These statistics 

are used for research, technical assistance, education, 

planning, and public policy. The collection, analysis, and 

dissemination of farmer cooperative statistics by USDA 

are authorized by the Cooperative Marketing Act of 

1926.

This report provides aggregate information on the 

number, membership, business volume, net income, 

basic balance sheet items, and full-time and part-time 

and seasonal employees of farmer cooperatives for business years ending in calendar year 2005. Cooperatives 

are classified by principal product marketed and major 

function. Fishery and ethanol cooperatives are included 

as “other product marketing” cooperatives. Both gross 

(includes inter-cooperative business) and net (excludes 

inter-cooperative business) dollar volumes are reported.

Statistics for 2005 were compiled on a State and 

national basis. The information was collected from 

individual farmer and fishery cooperatives by a mail 

survey of all organizations identified by USDAʼs Rural 

Development-Cooperative programs (RD) as farmer or 

aquacultural cooperatives. Information was requested for 

the cooperativesʼ 2005 business year. Information is not 

available for 2004 at this time due to a pending conversion of the database. Information for 2004 was collected 

but not summarized. Hopefully, this information will be 

available soon.

RD conducts an annual census to gain accurate information for assistance purposes. Information obtained 

from individual cooperatives is combined with data from 

other cooperatives to maintain confidentiality. 

Statistics for all cooperatives were derived by estimating data for non-respondents and combining this information with respondent data. Data from respondents 

and other sources accounted for 87.3 percent of the total 

gross sales of farmer cooperatives in 2005. 

RD depends on the cooperative communityʼs response to its annual survey to develop a detailed and 

comprehensive set of statistics on farmer cooperatives. 

The time and effort taken to provide information and the 

timeliness with which it is furnished are greatly appreciated.

PREFACE
Farmer Cooperative Statistics, 2005 iii

ABSTRACT i

PREFACE ii

HIGHLIGHTS v

FARMER COOPERATIVE STATISTICS, 2005 1

I–DEFINITION OF A FARMER COOPERATIVE 1

Classification of Cooperatives 1

Organizational Membership Structures 1

II–2005 STATISTICS 2

Number of Cooperatives 2

Memberships 3

Employees 4

Business Size 11

Business Volume 11

Balance Sheet 14

Income Statement 15

Selected Financial Ratios 19

APPENDIX TABLES 25

APPENDIX FIGURES 48

CONTENTS
iv Farmer Cooperative Statistics, 2005
Farmer Cooperative Statistics, 2005 v

There are 2,896 U.S. farmer-owned cooperatives, 

according to the 2005 survey of marketing, farm supply, and related-service cooperatives by USDAʼs Rural 

Development-Cooperative (RD) programs. 

❏ Total gross business volume (includes inter-cooperative business) handled by cooperatives was $121.3 

billion; net business (excludes inter-cooperative business) was $106.5 billion. 

❏ Total net income was $2.5 billion, which includes 

inter-cooperative dividends and refunds of $400.7 

million.

❏ Cooperative memberships were 2.6 million, down 

about 7 percent from 2003.

❏ Cooperatives employed 125,000 full-time and 54,000 

part-time and seasonal employees. Full-time employee numbers were down 24 percent due to the bankruptcy of two large cooperatives and the conversion 

of two large cooperatives to investor-oriented firms.

❏ Gross value of farm products marketed by cooperatives was $78 billion, with a net value (after eliminating duplication from inter-cooperative business) of 

$74 billion.

❏ Gross value of farm supplies handled by farmer 

cooperatives was $39 billion, with a net value of $28 

billion.

❏ Receipts for services related to marketing farm products and handling farm supplies, plus other income, 

totaled almost $4 billion.

❏ Farmer cooperatives had $46.6 billion in combined 

assets. Net assets, after eliminating inter-cooperative investments, was $42.2 billion. Inter-cooperative 

investments included those in CoBank. 

 

❏ Total liabilities totaled $27 billion.

❏ Net worth, or member and patron equity, was $19.5 

billion. Member and patron equity financed 42 percent of total assets.

 

2005 2003 Change

 

Number of cooperatives 2,896 3,086 -190

Memberships (million) 2.6 2.8 -0.19

Gross business volume (billion $) 121.3 116.9 4.40

Net business volume (billion $) 106.5 100.6 5.89

Net income (billion $) 2.5 1.1 1.44

Total assets (billion $) 46.6 46.9 -0.34

Net worth (billion $) 19.5 20.4 -0.90

Full-time employees (thousand) 125.4 165.1 -39.71

Part-time and seasonal employees (thousand) 54.4 61.6 -7.16

HIGHLIGHTS

Table A–Highlights, 2005 
vi Farmer Cooperative Statistics, 2005
Farmer Cooperative Statistics, 2005 1

USDAʼs Rural Development-Cooperative programs 

mission area considers four major criteria in identifying 

an organization as a farmer-owned cooperative:

(1) Membership is limited to persons producing agricultural and aquacultural products and to associations 

of such producers; 

(2) Cooperative members are limited to one vote regardless of the amount of stock or membership capital 

owned; or the cooperative does not pay dividends on 

stock or membership capital in excess of 8 percent 

a year or the legal rate in the State, whichever is 

higher;

(3) Business conducted with nonmembers may not exceed the value of business conducted with members; 

(4) The cooperative operates for the mutual interest of 

members by providing member benefits on the basis 

of patronage.

These criteria may result in larger or smaller numbers 

of farmer cooperatives than found in lists or directories 

of State agencies or cooperative councils. Year-to-year 

comparisons with specific commodity groups reflect 

any differences in lists and classifications in State and 

Federal data.

Classification of Cooperatives

RD classifies each cooperative under one of the 

following major functions: marketing, farm supply, or 

related-service. Fishery and ethanol cooperatives are 

classified as other product marketing cooperatives, wool 

pools as marketing cooperatives, livestock shipping 

associations, and rice drying cooperatives as service 

cooperatives.

Marketing cooperatives derive most of their total 

dollar volume from the sale of membersʼ farm products. 

These cooperatives are further classified into 1 of 13 

commodities or commodity groups, depending upon 

which accounts for most of its business volume. RD 

may reclassify a cooperative into a different commodity 

category if its primary business volume changes significantly.

Farm supply cooperatives derive most of their business volume from the sale of farm production supplies, 

farm machinery and equipment, and building materials. 

Many also handle farm and home items, such as heating 

oil, lawn and garden supplies and equipment, and food.

Service cooperatives provide specialized services 

related to the agricultural business operations of farmers, 

ranchers, or cooperatives, such as cotton ginning, trucking, storing, drying, and artificial insemination. Livestock shipping associations and rice drying cooperatives 

are also classified as service.

Many cooperatives handle multiple commodities and 

provide both marketing and farm supply services, as well 

as the facilities and equipment used to perform these 

services. These associations are classified according to 

the predominant commodity or function, as indicated by 

their business volume.

Organizational Membership Structures

RD further classifies marketing, farm supply, and 

service cooperatives into three organizational structures 

according to membership. The membership structures 

used are centralized, federated, and mixed.

Centralized

Of the 2,896 farmer cooperatives in 2005, 2,823 were 

centralized organizations, mostly locals with individual 

farmer-members. Centralized cooperatives usually serve 

a local area or community, county, or several counties. 

Most usually perform a limited number of initial marketing functions. Most farm supply sales are at the retail 

level. A few centralized cooperatives, principally regionals, operate over multi-State areas and provide more 

Farmer Cooperative Statistics, 2005

Katherine C. DeVille, Jacqueline E. Penn, and E. Eldon Eversull, Rural Development

I. DEFINITION OF A FARMER COOPERATIVE
2 Farmer Cooperative Statistics, 2005

vertically integrated services, such as 

processing farm products or manufacturing feed and fertilizer.

Bargaining associations also have 

centralized organizational structures. 

They derive all or most of their business 

volume from negotiating with distributors, processors, and other buyers and 

sellers over price, quantity, grade, terms 

of sale, and other factors involved in 

marketing farm products. Only a few 

bargain to purchase farm supplies. 

While the primary function of such an 

association is to bring buyers and sellers 

together to contract for the sale of membersʼ products, many bargaining associations now perform additional functions.

For example, dairy bargaining associations at one time only negotiated 

price. Now, many perform additional functions, such as 

physically handling part of the milk for spot sales. They, 

like other dairy marketing cooperatives, represent their 

members at Federal or State milk marketing order hearings.

Federated

The 50 federated cooperatives—two or more member associations organized to market farm products, 

purchase production supplies, or perform bargaining 

functions—often operate at points quite distant from 

their headquarters. Members are usually local cooperatives, although some are interregional associations with 

regional cooperative members.

Mixed

The 23 mixed cooperatives have individual farmer 

members and autonomous cooperative members, a combination of centralized and federated structures. They 

serve large geographic areas, with members in many 

States, and provide a variety of integrated services.

Cooperativesʼ total net business volume was $106.5 

billion in 2005, while net income was $2.5 billion. There 

were 2,896 agricultural cooperatives in 2005, and they 

had 2.6 million members. Together 

they had $47 billion in assets with $20 

billion in equity. Although employment 

levels had fallen due to fewer cooperatives, cooperatives remained a major 

employer in rural areas, using 125,000 

full-time workers.

Number of Cooperatives

The 2005 survey counted 2,896 marketing, farm supply, and related-service1

cooperatives, compared with 3,086 

II. 2005 STATISTICS

1

Services include trucking, cotton ginning, 

crop drying, artificial insemination, livestock 

shipping, and similar services affecting the 

form, quality, or location of farm products 

and supplies. They do not include credit, 

electric, telephone, or other such services 

not directly related to marketing or purchasing activities.
Farmer Cooperative Statistics, 2005 3

Table 1–Number of cooperatives and memberships, by major business activity, 2005 

Major business 

 activity Cooperatives Memberships

Number Thousands

Bean and pea, dry edible 6 1.7

Cotton 14 43.2

Dairy 193 60.8

Fruit and vegetable 188 29.8

Grain and oilseed1 683 479.3

Livestock 59 82.9

Nuts 17 15.4

Poultry2 14 0.4

Rice 15 12.1

Sugar3 47 14.8

Tobacco 19 160.1

Wool and mohair 71 10.5

Other marketing 86 21.2

 Total marketing 1,412 932.2

 Farm supply 1,128 1,538.3

Service 356 101.2

Total 2,896 2,571.7 

 1

 Cooperatives primarily handling grains and oilseeds, 

excluding cottonseed. 

2

 Cooperatives primarily handling eggs, turkeys, ratite, 

squab, and related products.

3

 Cooperatives primarily handling sugar beets, sugarcane, honey, and related products.

in 2003. Of the 2,896 cooperatives, 1,412 primarily 

marketed farm products, 1,128 primarily handled farm 

production supplies, and 356 provided services related 

to marketing or purchasing activities (table 1, appendix 

figure 1). The proportion of marketing, farm supply, and 

service cooperatives to the total number of cooperatives 

remained virtually unchanged from 2003. Marketing 

cooperatives comprise about 50 percent of all cooperatives; farm supply, 38 percent; and service, 12 percent of 

the total (figure 1 and appendix table 1).

There was a net decrease of 190 associations (6 percent) from 2003 to 2005, largely reflecting a continuing 

trend involving merger, acquisition, or dissolution. The 

largest decrease was in grain and oilseed cooperatives 

(89), followed by farm supply, and service cooperatives, 

losing 28 and 23, respectively. Most notably, a large 

farm supply and a large livestock cooperative declared 

bankruptcy while a poultry and a farm supply cooperative converted to investor-oriented firms. 

Cooperative numbers by marketing, farm supply, 

and service functions by State are shown in table 2. 

Minnesota had the most marketing cooperatives (128), 

followed closely by North Dakota (117). Texas had the 

most farm supply and service cooperatives (158).

Many cooperatives operate branches to better serve 

their members. Most branches are owned; others are 

leased. A number of the branches are formerly independent cooperatives that served a local community. For 

economic or other reasons, many were acquired by or 

merged with other cooperatives and operated as branches 

from which to serve members and patrons at outlying 

locations. 

Grain and oilseed and farm supply cooperatives operated almost 4,400 branches—1,900 and 2,500, respectively. Grain and oilseed cooperatives averaged almost 3 

branches, while farm supply cooperatives averaged just 

over 2 branches per cooperative. 

Memberships

Memberships in marketing, farm supply, and relatedservice cooperatives totaled an estimated 2.6 million 

in 2005, down 6 percent from 2003 (table 3). By major business activity, 60 percent and 19 percent were 

memberships of farm supply and grain cooperatives, 

respectively (appendix table 2, figure 2). Dairy cooperative memberships were only 2 percent of the total, but 

accounted for 26 percent, or $28 billion, of cooperativesʼ 

net business volume in 2005.

Memberships in farmer cooperatives dropped from 

3.6 million in 1996 to 2.6 million in 2005 (figure 3). The 

long term decline largely reflects the decreasing number of farms, farmers, and ranchers in the United States 

(appendix figure 2). Many farmers are members of more 

than one cooperative and each membership is counted. 

Consequently, the number of memberships exceeds the 

number of farmers. Duplication in membership cannot 

be eliminated with current reporting methods. 

Member classification depends on the type of cooperative used and may not be related to the memberʼs 

product(s) marketed or supplies purchased. For example, 

a member may market only one of the farm products 

handled by the cooperative; another may use a cooperative classified in the marketing group to purchase one 

or more production items. A memberʼs business with 

the cooperative, therefore, may not be in the group that 

represents the cooperativeʼs major business volume (the 

criterion for classifying cooperatives in this report). The 

membership, however, will be included arbitrarily in that 

classification.

During the past decade, memberships in related-service and marketing cooperatives decreased at more than 

twice the rate of memberships in farm supply cooperatives. Memberships in marketing cooperatives dropped 
4 Farmer Cooperative Statistics, 2005

Table 2–Number of cooperatives, by major 

function and State, 2005 

 

 Farm supply

Function Marketing & service Total

State Number

Alabama 8 52 60

Arizona 5 4 9

Arkansas 10 40 50

California 88 62 150

Colorado 20 19 39

Florida 30 7 37

Georgia 7 8 15

Hawaii 12 7 19

Idaho 25 13 38

Illinois 95 52 147

Indiana 12 29 41

Iowa 87 52 139

Kansas 91 32 123

Kentucky 14 27 41

Louisiana 16 30 46

Maryland 3 11 14

Massachusetts 7 4 11

Michigan 32 27 59

Minnesota 128 133 261

Mississippi 12 58 70

Missouri 16 44 60

Montana 30 29 59

Nebraska 43 33 76

New Jersey 11 2 13

New Mexico 3 6 9

New York 71 11 82

North Carolina 13 5 18

North Dakota 117 96 213

Ohio 44 19 63

Oklahoma 30 41 71

Oregon 19 12 31

Pennsylvania 37 12 49

South Dakota 52 52 104

Tennessee 7 69 76

Texas 56 158 214

Utah 8 6 14

Virginia 17 39 56

Washington 38 31 69

West Virginia 13 13 26

Wisconsin 36 124 160

Wyoming 6 5 11

Other States1 43 10 53 

United States 1,412 1,484 2,896

1

 Includes States with fewer than three cooperatives for any 

function. States with at least three cooperatives were: Alaska, 

7; Connecticut, 4; Delaware, 3; Maine, 27; South Carolina, 5; 

and Vermont, 3.

750,000 (45 percent) and service cooperatives had a decline of 85,000 (46 percent), while memberships in farm 

supply cooperatives decreased 256,000 (14 percent).

Employees

Farmer cooperatives had an estimated 125,000 fulltime employees in 2005, a decrease of 40,000 from 2003 

(table 4), and far less than the peak of 176,665 in 2000. 

Livestock and poultry cooperatives decreased their 

employee numbers by 32,000 due to the bankruptcy of 

a livestock cooperative and the conversion of a poultry 

cooperative into an investor-oriented firm. A large farm 

supply cooperative went bankrupt, another was converting to an investor-oriented firm in 2005, and a fruit and 

vegetable cooperative went bankrupt. These actions by 

five cooperatives alone accounted for more than the loss 

of 40,000 employees. Dairy, sugar, and other products 

cooperatives increased their full-time employees by 

4,000 in total. 

Farmer cooperatives employ full-time and, in most 

cases, part-time and seasonal employees to run their 

operations. Their number and type depends on a number 

of factors, such as size of operation, type of commodity 

handled, and involvement in value-added activities. 

In 2005, farmer cooperatives employed an estimated 

180,000 full-time and part-time and seasonal employees, about 47,000 less than in 2003 (appendix table 5). 

Again, this change is due mainly to five cooperativesʼ 

bankruptcy or conversion to investor-oriented firms. 

Among marketing cooperatives, those primarily handling fruits and vegetables had the most employees 

(31,000), followed by dairy (26,000), then grains and 

oilseeds (23,000).

By type, marketing cooperatives had 109,000 fulltime and part-time and seasonal employees (60 percent 

of total); farm supply cooperatives had 61,000 (37 

percent); and related-service cooperatives had 10,000 (3 

percent) (appendix figure 4). 

Figure 4 shows the number of full-time employees 

by type of cooperative for 2005. Farm supply, fruit and 

vegetable, and dairy cooperatives used the most employees; cotton cooperatives, the fewest. Dairy, rice, 

and cotton cooperatives had the smallest proportion of 

part-time and seasonal employees to total employees. 

Fruit and vegetable and cotton ginning cooperatives both 

had more than half of their employees as part-time and 

seasonal employees. 

Cooperatives used 54,000 part-time and seasonal employees in 2005, down about 7,000, or 12 percent, from 

2003. Most of the decrease was in fruit and vegetable 

cooperatives. 

In 2005, marketing cooperatives reported 34,000 
Farmer Cooperative Statistics, 2005 5

FRUITS AND VEGETABLES (continued)

Minnesota 3 0.2 11.336 11.336

New Jersey 7 0.7 171.230 171.230

New York 9 0.8 37.019 37.019

North Carolina 4 0.1 17.471 17.410

Ohio 3 0.3 6.272 6.272

Oregon 10 0.9 716.380 716.380

Pennsylvania 3 0.4 118.035 118.035

Texas 3 0.3 64.763 64.763

Washington 12 4.1 763.509 763.093

Other States 20 2.1 861.365 857.416

Foreign7 0 0.1 26.773 25.609

United States 188 29.8 7,597.982 7,255.570 

GRAINS AND OILSEEDS8

 

Colorado 14 7.4 193.589 193.589

Idaho 4 0.7 34.064 34.064

Illinois 87 76.2 2,397.910 2,397.261

Indiana 8 16.1 411.106 411.106

Iowa 76 65.0 3,900.319 3,900.319

Kansas 88 80.6 1,702.436 1,702.436

Michigan 4 1.7 111.671 111.671

Minnesota 74 39.8 3,450.857 3,450.857

Mississippi 4 1.8 185.969 184.790

Missouri 10 15.5 751.115 751.115

Montana 8 1.5 363.727 363.727

Nebraska 36 46.5 1,996.403 1,996.403

North Dakota 96 35.0 1,865.789 1,865.789

Ohio 31 19.1 872.045 872.045

Oklahoma 27 18.7 239.688 239.688

South Dakota 51 28.6 1,567.855 1,567.855

Texas 32 12.6 449.210 449.210

Washington 17 7.8 438.985 438.985

Other States 16 4.8 1,687.720 1,685.382

Foreign7 0 0.0 360.639 360.639

United States 683 479.3 22,981.094 22,976.928

 (continued next page)

Table 3–Number1 of cooperatives, memberships2, and gross and net sales by State, 20053

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

BEANS AND PEAS, DRY EDIBLE 

United States 6 1.7 65.271 61.163

 

COTTON6 

California 3 1.4 377.382 336.232

Texas 5 24.4 1,090.058 1,034.796

Other States 6 17.5 2,038.337 2,023.481

Foreign7 0 0.0 16.207 16.207

United States 14 43.2 3,521.983 3,410.715

 

DAIRY 

California 5 1.0 2,933.873 2,906.520

Illinois 4 2.1 1,305.753 1,014.155

Iowa 5 3.3 1,443.707 1,234.120

Massachusetts 3 0.2 78.565 78.565

Minnesota 32 9.5 4,168.983 3,909.650

New Mexico 3 0.2 633.875 607.145

New York 57 4.1 2,156.202 1,676.281

North Dakota 3 0.7 331.856 304.772

Ohio 5 0.9 176.944 152.992

Pennsylvania 19 2.7 437.399 432.790

Wisconsin 29 14.7 5,770.236 5,271.003

Other States 28 20.2 11,494.693 10,506.074

Foreign7 0 0.0 68.809 68.809

United States 193 60.8 31,000.896 28,162.875

FRUITS AND VEGETABLES 

Arizona 4 0.8 92.331 92.331

Arkansas 3 0.1 1.414 1.394

California 49 12.6 2,974.801 2,974.781

Colorado 4 0.3 8.315 8.315

Florida 21 1.1 907.499 587.781

Hawaii 4 0.1 6.811 6.811

Idaho 3 1.3 274.721 274.721

Kentucky 4 0.2 3.857 3.857

Maine 8 0.4 4.160 4.160

Michigan 14 2.5 529.922 512.857

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

1

 Includes centralized and federated cooperatives and those 

with mixed organizational structures. Headquartered in the 

State listed.

2

 Includes voting farmer-members, but not nonvoting patrons. 

(Duplication in these membership figures occurs because 

many farmers belong to more than one cooperative. Memberships include members of cooperatives not headquartered in 

the State listed. Totals may not add due to rounding. The question to assign members to States other than the cooperativeʼs 

headquarters was inadvertently left off the 2005 survey, State 

membership percentages for 2003 was used as a proxy.) 

3

 Data covering operations of cooperatives for fiscal years 

ended in 2005. States listed are those with more than two 

cooperatives or where disclosure was not a problem.

4

 Gross business volume includes sales between cooperatives. Gross sales include sales of cooperatives not headquartered in the State listed. Totals may not add due to rounding. 

5

 Net business volume excludes sales between cooperatives. 

Net sales include sales of cooperatives not headquartered in 

the State listed. Totals may not add due to rounding. 

6

 Cotton ginning cooperatives are included as service cooperatives.

7

 Includes memberships, marketing and sales in other countries.

8

 Excludes oilseed meal and oil. Oilseed meal is included in 

feed sales while oil sales are included in other marketing sales.
6 Farmer Cooperative Statistics, 2005

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

LIVESTOCK 

Alabama 4 2.9 25.427 25.427

Indiana 3 1.5 46.278 46.278

Kentucky 3 0.2 2.583 2.583

North Dakota 5 0.4 35.557 35.557

Virginia 3 0.4 2.586 2.586

West Virginia 3 0.2 3.027 3.027

Wisconsin 4 45.1 414.468 414.468

Other States 34 25.3 1,791.605 1,766.880

Foreign7 0 0.0 0.000 0.000

United States 59 82.9 2,321.532 2,296.806

NUT9 

California 6 2.7 633.833 633.833

Other States 11 12.6 147.061 137.404

Foreign7 0 0.1 0.000 0.000

United States 17 15.4 780.893 771.237

 

POULTRY10 

California 3 0.1 159.547 145.547

Utah 3 0.2 221.334 221.334

Other States 8 0.1 773.509 773.509

Foreign7 0 0.0 0.000 0.000

United States 14 0.4 1,154.390 1,140.390

 

RICE 

California 4 0.9 168.607 0.953

Louisiana 3 0.4 22.658 22.413

Texas 5 0.8 46.426 46.426

Other States 3 10.0 798.651 786.646

United States 15 12.1 1,036.343 856.439

 

SUGAR11 

Idaho 8 2.0 476.120 476.120

Louisiana 8 0.6 509.969 509.969

Michigan 7 2.0 116.538 116.538

Minnesota 3 2.9 963.858 963.858

Montana 3 0.5 136.362 136.362

Wyoming 4 0.4 33.785 33.785

Other States 14 6.4 1,272.133 1,113.233

Foreign7 0 0.0 7.532 7.532

United States 47 14.8 3,516.296 3,357.396

TOBACCO7 

Kentucky 5 7.2 27.370 27.370

Tennessee 6 150.3 14.721 14.721

Virginia 3 1.2 3.886 3.886

Other States 7 0.3 106.767 106.767

United States 21 160.1 152.745 152.745

 

WOOL AND MOHAIR 

Idaho 4 0.1 0.017 0.017

Montana 16 0.6 0.327 0.327

North Dakota 4 0.2 0.554 0.554

Pennsylvania 12 1.0 0.273 0.273

Virginia 7 0.3 0.033 0.033

West Virginia 9 0.7 0.007 0.007

Other States 19 7.3 3.598 3.598

Foreign7 0 0.1 0.090 0.090

United States 71 10.5 4.900 4.900

 

OTHER MARKETING12 

Alaska 7 4.0 11.134 11.134

California 8 1.1 113.236 113.236

Florida 5 0.3 28.860 11.120

Georgia 3 0.0 5.795 5.795

Hawaii 4 0.3 2.100 2.100

Maine 15 0.7 54.838 54.838

Minnesota 13 9.1 1,081.619 1,045.477

Washington 5 0.6 166.049 166.049

Other States 26 3.1 2,426.475 2,293.307

United States 86 21.2 3,890.105 3,703.055

TOTAL MARKETING 

Alabama 8 10.5 388.809 362.719

Alaska 7 3.9 11.134 11.134

Arizona 5 1.3 801.534 758.299

Arkansas 10 11.5 1,565.568 1,531.631

California 88 24.1 7,528.958 7,278.781

Colorado 20 9.2 384.238 384.238

Florida 30 4.3 1,829.094 1,332.468

Georgia 7 18.0 406.350 406.350

Hawaii 12 0.5 13.811 13.811

Idaho 25 7.0 1,151.030 1,151.030

Illinois 95 84.4 3,812.353 3,520.105

Indiana 12 19.2 902.560 824.963

Iowa 87 74.0 6,704.250 6,481.588

Kansas 91 85.6 2,364.867 2,268.701

Kentucky 14 8.3 189.207 189.207

Louisiana 16 4.4 933.988 933.202

Maine 25 1.4 142.599 141.588

Maryland 3 0.7 241.932 241.932

Table 3–Number1 of cooperatives, memberships2, and gross and net sales by State, 20053

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

(Continued)

9

 Membership fluctuates annually and is affected by the extent 

to which producers participate in price stabilization programs.

10 Includes eggs, turkeys, ratite, squab, and related products.

11 Includes sugar, sugarcane, sugar beets, honey, maple syrup, 

molasses, and sorghum.

12 Includes forest products, fish, hay, hops, seed marketed for 

growers, nursery stock, ethanol, coffee, and other farm products not classified separately. Also includes manufactured food 

products and resale items marketed by cooperatives.
Farmer Cooperative Statistics, 2005 7

TOTAL MARKETING (continued)

Massachusetts 7 0.9 486.546 486.546

Michigan 32 9.8 1,774.852 1,725.562

Minnesota 128 64.8 10,110.033 9,813.737

Mississippi 12 6.4 1,025.017 997.194

Missouri 16 23.3 3,442.404 3,047.333

Montana 30 2.9 557.409 557.195

Nebraska 43 51.2 3,246.304 3,101.149

New Jersey 11 1.5 199.907 198.569

New Mexico 3 0.7 667.492 640.762

New York 71 6.4 2,335.946 1,856.024

North Carolina 13 3.3 310.504 310.443

North Dakota 117 43.6 2,792.468 2,762.099

Ohio 44 27.7 1,282.327 1,249.484

Oklahoma 30 26.1 663.617 642.247

Oregon 19 4.3 1,881.742 1,855.419

Pennsylvania 37 4.6 864.400 859.790

South Carolina 3 2.6 36.472 36.472

South Dakota 52 31.7 2,265.887 2,235.925

Tennessee 7 108.1 115.165 115.165

Texas 56 40.5 2,851.253 2,608.160

Utah 8 2.7 535.614 531.595

Vermont 3 1.4 485.654 484.137

Virginia 17 18.6 187.120 186.852

Washington 38 13.4 2,698.779 2,693.278

West Virginia 13 1.1 19.444 19.444

Wisconsin 36 63.4 6,958.326 6,447.588

Wyoming 6 0.7 55.111 55.111

Other States 5 1.7 321.090 321.090

Foreign7 0 0.3 481.266 480.102

United States 1,412 932.2 78,024.431 74,150.220

FARM SUPPLIES PROVIDED 

 

CROP PROTECTANTS13

Alabama 31.515 29.760

Arkansas 92.641 85.662

California 27.133 26.457

Colorado 48.159 48.159

Florida 10.920 10.173

Georgia 182.705 177.273

Idaho 27.508 27.508

Illinois 419.383 292.941

Indiana 197.104 188.731

Iowa 362.074 325.982

Kansas 122.344 121.330

Kentucky 39.560 33.218

CROP PROTECTANTS (continued)

Louisiana 26.158 26.158

Maryland 14.175 10.612

Massachusetts 0.161 0.161

Michigan 22.080 20.728

Minnesota 261.051 260.543

Mississippi 21.205 21.201

Missouri 120.240 83.520

Montana 44.487 44.149

Nebraska 196.739 196.401

New York 4.584 1.244

North Dakota 131.861 131.850

Ohio 108.713 107.605

Oklahoma 25.000 25.000

Oregon 79.033 78.695

Pennsylvania 9.703 2.043

South Dakota 129.520 129.431

Tennessee 155.741 97.944

Texas 49.028 47.676

Utah 8.316 7.978

Virginia 19.927 17.683

Washington 116.256 112.145

West Virginia 1.997 1.704

Wisconsin 126.347 116.147

Wyoming 2.610 2.610

Other States 52.737 38.578

Foreign7 28.128 2.531

United States 3,316.845 2,951.533

 

FEED13 

Alabama 47.858 30.400

Arkansas 66.132 65.100

California 199.499 139.565

Colorado 42.465 42.105

Florida 35.971 34.609

Georgia 19.016 15.753

Idaho 91.033 54.868

Illinois 229.754 204.510

Indiana 65.403 63.986

Iowa 1,527.920 1,163.491

Kansas 177.714 158.105

Kentucky 52.671 46.062

Louisiana 39.889 38.332

Maryland 34.960 31.272

Massachusetts 10.785 10.679

Michigan 79.473 78.139

Minnesota 844.151 632.867

Mississippi 51.161 50.746

Missouri 201.884 156.851

(continued next page)

(Continued)

13 Headquartered in State and Membership values are not 

collected for individual farm supply products; rather they are 

collected for total farm supplies.

Table 3–Number1 of cooperatives, memberships2, and gross and net sales by State, 20053

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 
8 Farmer Cooperative Statistics, 2005

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

FEED (continued)

Montana 27.335 19.253

Nebraska 305.857 234.025

New York 51.828 39.289

North Dakota 58.074 43.753

Ohio 117.367 117.123

Oklahoma 62.284 59.260

Oregon 350.462 211.847

Pennsylvania 27.649 25.826

South Dakota 185.743 141.153

Tennessee 193.190 124.673

Texas 118.957 111.826

Utah 93.309 92.045

Virginia 118.265 108.342

Washington 275.740 160.389

West Virginia 16.913 14.716

Wisconsin 806.844 585.437

Wyoming 4.135 4.135

Other States 231.933 171.909

Foreign7 158.659 98.803

United States 7,022.280 5,381.244

 

FERTILIZER13 

Alabama 78.057 74.520

Arkansas 116.124 103.211

California 134.522 134.511

Colorado 66.452 65.867

Florida 79.889 38.859

Georgia 56.388 46.838

Idaho 50.778 50.778

Illinois 750.932 543.716

Indiana 356.112 325.948

Iowa 837.662 732.936

Kansas 265.272 265.236

Kentucky 113.759 99.969

Louisiana 21.010 20.742

Maryland 31.124 27.079

Massachusetts 10.750 4.293

Michigan 51.626 51.371

Minnesota 437.605 395.518

Mississippi 40.006 38.915

Missouri 421.690 279.432

Montana 88.440 88.440

Nebraska 373.253 351.601

New York 24.906 11.895

North Dakota 239.656 206.954

Ohio 265.225 207.921

Oklahoma 88.644 76.381

Oregon 117.223 117.223

Pennsylvania 41.431 18.627

FERTILIZER (continued)

South Dakota 210.605 194.144

Tennessee 184.599 120.161

Texas 103.742 91.456

Utah 19.653 19.653

Virginia 79.010 70.841

Washington 145.207 144.401

West Virginia 7.446 6.510

Wisconsin 245.196 217.625

Wyoming 6.991 6.955

Other States 121.846 93.006

Foreign7 133.962 26.619

United States 6,416.794 5,370.149

 

PETROLEUM13 

Alabama 11.285 11.182

Arkansas 112.151 110.739

California 4.394 4.291

Colorado 374.029 241.262

Florida 5.093 5.093

Georgia 199.721 66.807

Idaho 272.418 150.538

Illinois 1,255.319 840.560

Indiana 1,133.978 610.228

Iowa 1,565.494 963.122

Kansas 2,477.561 514.366

Kentucky 143.430 97.638

Louisiana 9.695 9.695

Maryland 110.965 90.283

Massachusetts 0.018 0.018

Michigan 281.647 128.828

Minnesota 903.178 767.805

Mississippi 23.502 21.769

Missouri 994.504 745.641

Montana 412.922 306.458

Nebraska 814.663 600.578

New York 6.140 5.025

North Dakota 607.821 480.655

Ohio 285.685 213.770

Oklahoma 448.252 229.672

Oregon 329.614 232.059

Pennsylvania 12.677 10.682

South Dakota 474.390 342.078

Tennessee 339.006 149.992

Texas 120.106 118.864

Utah 189.069 61.721

Virginia 477.900 294.796

Washington 361.152 274.379

West Virginia 31.573 27.088

Wisconsin 856.135 711.385

Table 3–Number1 of cooperatives, memberships2, and gross and net sales by State, 20053

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

(Continued)
Farmer Cooperative Statistics, 2005 9

PETROLEUM (continued)

Wyoming 256.564 166.541

Other States 92.034 79.773

Foreign7 314.087 114.061

United States 16,308.171 9,799.443

SEED13 

Alabama 16.357 15.915

Arkansas 44.623 43.465

California 17.531 17.531

Colorado 6.409 6.387

Florida 2.927 2.666

Georgia 7.685 6.337

Idaho 64.595 6.332

Illinois 216.870 144.017

Indiana 72.448 39.672

Iowa 301.485 141.426

Kansas 31.629 31.629

Kentucky 30.109 26.948

Louisiana 11.515 11.515

Maryland 9.015 7.813

Massachusetts 0.730 0.613

Michigan 13.863 13.507

Minnesota 203.975 139.208

Mississippi 21.301 21.261

Missouri 276.689 47.882

Montana 36.185 23.239

Nebraska 82.085 62.542

New York 2.694 2.272

North Dakota 58.085 38.528

Ohio 50.222 49.674

Oklahoma 6.731 6.728

Oregon 29.423 29.423

Pennsylvania 5.583 3.713

South Dakota 86.732 66.900

Tennessee 86.088 54.716

Texas 20.501 20.501

Utah 2.950 2.950

Virginia 24.939 22.359

Washington 43.246 36.773

West Virginia 3.513 3.045

Wisconsin 146.123 78.356

Wyoming 0.531 0.531

Other States 29.823 24.479

Foreign7 3.689 1.539

United States 2,068.897 1,252.391

OTHER FARM SUPPLIES13, 14

Alabama 88.043 63.161

Arkansas 97.064 90.157

California 219.818 217.280

Colorado 80.481 77.567

Florida 170.537 170.286

Georgia 37.713 27.122

Idaho 34.293 31.379

Illinois 155.975 126.731

Indiana 101.480 71.114

Iowa 152.509 136.767

Kansas 95.721 88.917

Kentucky 77.573 62.308

Louisiana 17.281 17.264

Maryland 28.027 24.545

Massachusetts 12.962 11.579

Michigan 83.779 74.986

Minnesota 258.409 250.999

Mississippi 47.334 47.298

Missouri 251.356 203.961

Montana 52.341 50.122

Nebraska 118.347 114.413

New York 33.957 28.314

North Dakota 193.684 191.082

Ohio 95.654 81.546

Oklahoma 48.803 44.902

Oregon 163.137 161.537

Pennsylvania 29.023 22.040

South Dakota 81.233 79.878

Tennessee 278.690 171.920

Texas 90.078 81.990

Utah 59.510 55.200

Virginia 145.412 136.071

Washington 149.944 121.114

West Virginia 25.764 22.798

Wisconsin 322.192 318.925

Wyoming 25.062 24.181

Other States 187.376 151.657

Foreign7 58.874 20.478

United States 4,169.434 3,671.587

 

FARM SUPPLY 

Alabama 46 19.1 273.114 224.937

Arkansas 35 34.5 528.736 498.334

California 17 13.0 602.897 539.635

Colorado 18 19.7 617.995 481.347

Florida 6 7.7 305.336 261.687

Georgia 5 1.1 503.229 340.130

Idaho 12 8.3 540.624 321.403

(continued next page)

14 Includes building materials, containers and packaging supplies, farm machinery and equipment, meats and groceries, 

automotive supplies, hardware, chicks, and other supplies not 

separately classified.

Table 3–Number1 of cooperatives, memberships2, and gross and net sales by State, 20053

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 
10 Farmer Cooperative Statistics, 2005

FARM SUPPLY (continued)

Illinois 51 51.1 3,028.233 2,152.475

Indiana 27 34.1 1,926.525 1,299.678

Iowa 51 66.4 4,747.144 3,463.724

Kansas 31 25.7 3,170.242 1,179.583

Kentucky 26 162.8 457.103 366.142

Louisiana 19 5.7 125.549 123.706

Maryland 11 71.7 228.264 191.605

Massachusetts 4 3.5 35.406 27.343

Michigan 22 9.8 532.468 367.558

Minnesota 109 78.4 2,908.369 2,446.939

Mississippi 37 70.7 204.510 201.191

Missouri 43 63.9 2,266.362 1,517.287

Montana 29 21.7 661.710 531.661

Nebraska 31 22.2 1,890.943 1,559.559

New York 7 27.3 124.109 88.039

North Dakota 93 43.0 1,289.180 1,092.821

Ohio 16 15.1 922.866 777.639

Oklahoma 27 21.3 679.714 441.944

Oregon 12 21.0 1,068.891 830.783

Pennsylvania 7 26.5 126.066 82.932

South Dakota 52 40.2 1,168.223 953.583

Tennessee 68 61.0 1,237.314 719.406

Texas 42 33.9 502.412 472.313

Utah 5 1.3 372.808 239.548

Virginia 36 154.6 865.451 650.090

Washington 27 11.3 1,091.546 849.201

West Virginia 13 80.9 87.205 75.860

Wisconsin 77 81.1 2,502.836 2,027.875

Wyoming 5 3.4 295.894 204.953

Other States 11 123.3 715.749 559.403

Foreign7 0 2.0 697.398 264.031

United States 1,128 1,538.3 39,302.421 28,426.346

SERVICE15 

Alabama 6 0.1 18.617 18.617

Arizona 4 0.5 12.442 12.442

Arkansas 5 0.5 60.106 60.106

California 45 3.1 502.861 502.861

Georgia 3 0.3 9.364 9.364

Hawaii 6 0.1 2.054 2.054

Illinois 1 0.2 253.401 253.401

Louisiana 11 0.5 144.213 144.213

Michigan 5 0.9 55.103 55.103

Minnesota 24 5.7 577.862 577.862

Mississippi 21 9.8 71.031 71.031

New Mexico 5 1.1 9.783 9.783

New York 4 0.3 88.184 88.184

SERVICE (continued)

North Carolina 3 0.0 13.677 13.677

North Dakota 3 3.2 69.410 69.410

Ohio 3 2.3 99.480 99.480

Oklahoma 14 4.7 46.873 46.873

Pennsylvania 5 0.1 5.993 5.993

Texas 116 19.5 278.880 278.880

Virginia 3 8.8 26.008 26.008

Washington 4 2.3 114.539 114.539

Wisconsin 47 15.7 104.570 104.570

Other States 18 21.4 1,364.839 1,364.839

United States 356 101.2 3,929.289 3,929.289

 

TOTAL 

Alabama 60 29.6 680.540 606.273

Alaska 7 4.1 66.114 48.302

Arizona 9 2.2 836.949 791.106

Arkansas 50 45.9 2,154.411 2,090.072

California 150 41.2 8,634.716 8,321.565

Colorado 39 28.7 1,041.625 904.977

Connecticut 4 1.7 274.215 271.954

Delaware 3 40.6 95.228 71.164

Florida 37 21.9 2,398.991 1,858.716

Georgia 15 20.4 918.942 755.843

Hawaii 19 0.8 69.754 46.472

Idaho 38 15.4 1,730.223 1,511.002

Illinois 147 138.6 7,093.986 5,925.981

Indiana 41 53.1 2,912.605 2,207.380

Iowa 139 145.3 11,792.854 10,287.856

Kansas 123 115.2 5,689.122 3,602.297

Kentucky 41 167.3 656.258 565.297

Louisiana 46 10.7 1,203.750 1,201.121

Maine 27 6.6 227.963 225.772

Maryland 14 70.0 470.857 434.197

Massachusetts 11 4.3 532.546 524.483

Michigan 59 20.7 2,362.423 2,148.223

Minnesota 261 149.9 13,596.264 12,837.166

Mississippi 70 85.1 1,300.558 1,269.416

Missouri 60 86.9 5,783.461 4,639.316

Montana 59 24.0 1,230.347 1,100.085

Nebraska 76 75.5 5,282.741 4,806.202

New Jersey 13 5.6 237.330 226.863

New Mexico 9 2.1 693.929 664.876

15 Includes cooperatives providing services such as cotton ginning, livestock shipping, storing, grinding, drying, and artificial 

insemination. Sales include charges for services related to 

marketing or purchasing, but not included in the volume reported for those activities, plus other income.

`

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

Table 3–Number1 of cooperatives, memberships2, and gross and net sales by State, 20053

Headquartered Member- Business volume

State in State ships Gross4 Net5

 

No. Thousands Million $ 

(Continued)
Farmer Cooperative Statistics, 2005 11

Table 3–Number1 of cooperatives, 

memberships2, and gross and net sales 

by State, 20053

New York 82 33.3 2,548.239 2,034.957

North Carolina 18 67.4 558.913 506.843

North Dakota 213 90.7 4,151.058 3,924.329

Ohio 63 46.3 2,304.673 2,126.604

Oklahoma 71 53.0 1,390.204 1,131.063

Oregon 31 24.8 3,002.987 2,738.556

Pennsylvania 49 30.6 996.458 948.714

South Carolina 5 2.9 96.572 83.239

South Dakota 104 75.5 3,505.127 3,260.526

Tennessee 76 174.9 1,386.536 868.629

Texas 214 95.7 3,632.546 3,359.354

Utah 14 5.3 928.142 790.862

Vermont 3 4.2 494.437 492.172

Virginia 56 177.8 1,078.579 862.950

Washington 69 27.4 3,904.864 3,657.018

West Virginia 26 79.2 107.162 95.817

Wisconsin 160 161.4 9,565.733 8,580.033

Wyoming 11 4.0 354.231 263.291

Other States 4 1.9 102.314 95.497

Foreign7 0 2.3 1,178.664 744.133

United States 2,896 2,571.7 121,256.140 106,508.565

part-time and seasonal employees, or 62 percent of that 

type of worker used. Marketing cooperatives averaged 

24 part-time and seasonal employees per cooperative. 

Fruit and vegetable cooperatives, with 18,000, accounted 

for about 32 percent of all part-time and seasonal employees used by cooperatives. Farm supply cooperatives 

had about 15,000 part-time and seasonal employees, an 

average of 13 per cooperative.

Most types of marketing cooperatives operated with 

more employees than did farm supply cooperatives. For 

example, sugar cooperatives averaged 217 employees; 

rice, 198; fruit and vegetable, 166; while farm supply 

cooperatives averaged 54 (figure 5).

Business Size 

Most farmer cooperatives, as measured by annual 

gross business volume, are relatively small and serve 

local areas. Some actively seek regional, national, and 

even international markets to increase business volume. 

Although few in number, larger cooperatives account 

for much of cooperativesʼ business volume. They have 

grown in size partly from mergers, consolidations, and 

acquisitions.

In 2005, 70 percent of all farmer cooperatives reported a business volume of less than $15 million. However, 

they accounted for only 8 percent of the total gross dollar 

volume (appendix table 6 and figure 6). Only 3 percent 

of farmer cooperatives reported a business volume of at 

least $200 million, but they accounted for 63 percent of 

the total sales. 

Business Volume

Total gross business volume of the 2,896 marketing, 

farm supply, and related-service cooperatives for 2005 

was $121 billion (appendix table 7), up 4 percent from 

$117 billion in 2003. Gross business volume fell from 

the record $128 billion in 1996 to $112 billion in 2002; 

however, this has not been a steady decline, some years 

saw increases to over $120 billion while other years fell 

to $115 billion or less (appendix table 3, appendix figure 

5). The volume increase of $16 billion from 1995 to 

1996 was due mainly to much higher prices for grains 

and oilseeds. 

Gross dollar volume of farm products marketed by 

cooperatives increased about $1 billion, from $77 billion 

in 2003 to $78 billion in 2005 (1 percent). Gross volume 

of all farm supplies handled by cooperatives was $39 billion, up 11 percent from $35 billion in 2003 (almost the 

entire increase was due to higher petroleum prices). 

Total net business volume of farmer cooperatives in 

2005 was $106 billion: $74 billion from farm products 

marketed, $28 billion from farm supply sales, and $4 billion from services performed and other income sources. 

The total net figure, which excludes inter-cooperative 

business, was up 6 percent from $101 billion in 2003. 

Cooperativesʼ record net business volume of $106.7 billion in 1997 was almost equaled in 2005, lower by just 

$0.2 billion (appendix table 4, appendix figure 6). Net 

cooperative business, unadjusted for price changes, remained virtually the same as the level recorded in 1996, 

$106 billion. 

There have been a number of fluctuations: net business volume dropped to around $100 billion in 1999 and 

stayed there except for 2001 when it was $103 billion. 

Adjusted for inflation where 1991 = 1002, net business 

volume totaled $103 billion in 1996 and dropped to $88 

billion in 2005 (figure 7). Consequently, the difference 

between actual and real net business volume in 2005 was 

$18 billion. The real net business volume was lower than 

the actual value in 2005 due to lower prices received for 

farm products and higher prices paid for farm production inputs. The index for prices received for all farm 

commodities from 1996 to 2005 rose 4 points, while the 

index for prices paid for farm production items increased 

31 points, hence the large gap between actual and real 

cooperative net business volume when adjusted by prices 

(Continued)

2

Marketing sales was deflated by the index of producer prices 

received for “all farm products” (1991 = 100). Supply sales and 

service receipts and other income were deflated by the index of 

prices paid by farmers for “production items,” excluding inter- est, taxes, and wages (1991 = 100).
12 Farmer Cooperative Statistics, 2005

paid and prices received for farm 

production. 

Net volume of farm products 

marketed increased from 2003, 

from $71 billion to $74 billion—a 

growth of 4 percent. Net marketing 

business volume accounted for 70 

percent of total cooperative sales 

in 2005, virtually unchanged from 

2003.

Figure 8 illustrates the leading 

products marketed by cooperatives 

based on net marketing business 

volume. Dairy (milk and milk 

products) led with 38 percent, 

followed by grains and oilseeds 

(excluding cottonseed) with 31 

percent, and fruits and vegetables 

with 10 percent. The proportions of 

dairy and grains and oilseeds were 

about the same as those in 2003, 

while livestock had dropped from 

10 percent to 3 percent.

 Net farm supply volume of $28 

billion, up 11 percent from $25 

billion, accounted for 27 percent 

of the total net business volume. 

The leading farm production goods 

handled by cooperatives in terms 

of farm supply net business vol-

ume were petroleum, 35 percent; 

feed, 19 percent; and fertilizer, 19 

percent (figure 9). All farm supply 

goods had increased sales from 

2003 except feed, where net sales 

fell $0.5 billion. 

Receipts for services provided 

by marketing, farm supply, and 

related-service cooperatives, plus 

other income, decreased 5 percent 

to $4 billion. Service receipts and 

other income represented 4 percent 

of total net business volume.

Marketing sales of four major 

commodity groups—dairy; grains 

and oilseeds; fruits and vegetables; 

and livestock—were down from 

84 percent of marketing sales in 

1996 to 82 percent in 2005 (figure 

10). Grains and oilseeds had a huge 

bump up in prices in 1996 which 
Farmer Cooperative Statistics, 2005 13

led to sales of $28 billion in 1996—with 

lower prices, sales had fallen to $23 bil-

lion in 2005. Net volume among com-

modity groups was highest in 2005 for 

dairy, with $28 billion ($23 billion in 

1996), followed by grains and oilseeds.

Milk and milk product sales showed 

the strongest dollar growth during 1996-

2005. There was steady growth in coop

-

erative sales of milk and milk products, 

with slight declines in 2000, 2002, and 

2003 due to lower prices.

In the farm supply group, petroleum, 

feed, and fertilizer sales were especially 

important (figure 11). They accounted 

for 72 percent of cooperativesʼ total farm 

supply sales in 2005 and 71 percent in 

1996. Cooperativesʼ sales of petroleum, 

feed, fertilizer, and crop protectants 

showed a general decline until 1999 

but petroleum rebounded in 2000 and 

then dropped in 2002, but showed very 

strong growth due to price increases 

in 2005. Feed and fertilizer sales both 

declined and grew from 1999 until they 

converged in 2005 at $5 billion. In 2005, 

the sales of all farm supplies increased 

except feed—feed sales fell $0.5 billion. 

Net marketing of farm products to-

taled $79 billion in 1996, and generally 

decreased through 2000. Since 2000, the 

net marketing dollar volume increased, 

to $74 billion in 2005. Farm supply 

sales have been about $24 or $25 billion 

each year except 1999 when they were 

$23 billion and 2005 when they were 

$28 billion. Service receipts (includes 

other income and revenue) increased 

from $3 billion in 1996 to $4 billion in 

2005, slightly below the record of $4.1 

billion in 2003.

Gross and net business volume by 

State are presented in table 3. Sales 

are allocated to the State in which the 

product marketed was originated and the 

farm supplies were sold. Minnesota led 

all States in total gross and net business 

volume with $13.6 billion and $12.8 bil-

lion, respectively, followed by Iowa with 

$11.8 billion in gross business and $10.3 

billion in net business volume.
14 Farmer Cooperative Statistics, 2005

Balance Sheet

The balance sheet of a cooperative states its financial 

position at the end of a 12-month fiscal year. The balance sheet represents the cooperativeʼs assets, liabilities, 

member equity, and their mutual relationship. Combined 

assets for all farmer cooperatives totaled $47 billion 

in 2005, about the same as 2003 (appendix table 8). 

Total assets of cooperatives, excluding inter-cooperative investments, remained virtually unchanged at $42 

billion. Cooperativesʼ total assets grew from $43 billion 

in 1996 to $47 billion in 2005 (appendix table 5 and 

figure 12), reflecting growth in their own operations and 

investments in other cooperatives. In 1996, $3.6 billion 

(8 percent of total assets) was invested in other cooperatives, including CoBank. In 2005, these 

investments were $4.3 billion, up $0.7 

billion from 1996, and at 9 percent of 

total assets, 1 percent higher than a 

decade ago. 

Of the $47 billion in total assets, 

marketing cooperatives accounted 

for $28 billion, down 7 percent from 

2003. Dairy cooperatives had about $9 

billion in assets and grain and oilseed 

cooperatives had about $8 billion in 

assets, more than double the assets of 

any other type of marketing cooperative but only about half of the more 

than $17 billion assets of farm supply cooperatives. Both dairy and farm 

supply cooperatives had over $1 

billion of assets invested in other 

cooperatives.

Table 9 compares common-size 

balance sheets for five sizes of cooperatives (for all types and sizes, 

see appendix table 6). Commonsize balance sheets present all accounts as a percent of total assets, 

which allows comparison between 

cooperatives. 

Current assets

Current assets are generally 

comprised of cash and cash equivalents, accounts and notes (with 

short-term maturities) receivable, 

inventories, prepaid expenses. Current assets for all cooperative sizes 

were at least 55 percent of total assets except for the 

very largest cooperatives (53 percent). 

Investments and other assets

Investments were most often in other cooperatives 

and CoBank, while other assets were a catch-all account 

in this study and, as imagined, contained a wide variety of items. Investments were larger for farm supply 

cooperatives than most marketing cooperatives with the 

exception of small to mid-size dairy cooperatives. 

Property, plant, and equipment

Net property, plant, and equipment (net PP&E) are 

tangible assets used in the cooperativeʼs operations. As 

a percent of total assets, net PP&E ranged from a low 
Farmer Cooperative Statistics, 2005 15

of 3 percent for fresh fruit and vegetable 

cooperatives with sales of less than $1 

million to 67 percent for sugar marketing 

cooperatives with sales of less than $75 

million. Most farm supply and grain and 

oilseed marketing cooperatives had net 

PP&E between 20 percent and 25 percent 

of total assets. 

Current liabilities

Current liabilities are all obligations 

that will be paid with the use of current 

assets and will probably be paid within 1 

year. Current liabilities are comprised of 

notes payable to banks and/or other trade 

creditors, accounts payable, current maturities of long-term debt, income taxes, 

other accrued liabilities (payroll, property taxes, interest and other), patronage 

dividends payable, and miscellaneous or other current 

liabilities. Current liabilities by cooperative size were at 

least 38 percent of total assets and grew to 43 percent for 

cooperatives with $15 to $100 million in sales. 

Total liabilities

Total liabilities includes current liabilities plus longterm debt. In the aggregate, all types and sizes of cooperatives had some long-term debt. The first four sizes of 

cooperatives in table 9 all had about 10 percent of their 

assets financed through long-term debt. The very largest 

cooperatives used the most debt, financing 13 percent of 

their assets. Total liabilities were $27 billion, unchanged 

as were assets from 2003 (table 10). Cooperativesʼ total 

liabilities grew from $25 billion in 1996 to $27 billion in 

2005 but continued to remain just below 60 percent of 

total assets.

Allocated (or member) equities

Comparing allocated equities to total assets determines the percent of the cooperativeʼs assets owned by 

members. Allocated equity comprised about a third of 

ownership of all sizes of cooperatives. The very largest 

had both the smallest percentage of retained earnings 

and overall equity. 

Net worth, or member and patron equity, was $20 

billion—about the same as 2003. The proportion of total 

assets financed by member and patron equity fell to 42 

percent, 2 points lower than in 2003. Net worth for all 

marketing cooperatives totaled $11 billion, down $1.0 

billion from 2003. Marketing cooperatives accounted for 58 percent of 

farmer cooperativesʼ combined net 

worth, down 3 points from 2003. Net 

worth for farm supply cooperatives 

totaled almost $8 billion and was 40 

percent of the total. For marketing 

cooperatives, the highest percentage of total assets represented by net 

worth shown in Figure 13 (60 percent) was for other marketing cooperatives. The lowest, 26 percent, was 

for cooperatives marketing livestock 

and poultry. Marketing and farm 

supply cooperatives had 40 percent 

and 45 percent, respectively, of their 

assets financed by net worth. 
16 Farmer Cooperative Statistics, 2005

Income Statement

The income statement shows the net results of a 

cooperativeʼs operations. Because most managersʼ performance is judged by net income, members attach great 

importance to the income statement. Table 9 presents a 

common-size income statement for all cooperatives by 

5 different sizes. Each item in a common-size income 

statement is represented as a percent of total sales. Common-size income statements by cooperative type and 

size are presented in appendix table 6.

Total (net) sales

Total (net) sales are all sales less discounts and 

returns and allowances from gross sales. Service cooperatives do not have a total sales value: the first income 

statement item for these cooperatives is service. 

Cost of goods sold (COGS)

COGS includes the beginning inventory plus purchases and freight costs, minus purchase returns and allowances, purchase discounts, and ending inventory. COGS, 

therefore, was the purchase price of the farm supplies 

sold or products marketed. For all sizes of cooperatives, 

COGS was at least 85 percent of net sales. COGS can 

be much lower for cooperatives that process products 

or provide technical services. Artificial insemination 

cooperatives have a lower COGS and processed fruit and 

vegetable cooperatives can also have a lower COGS. 

Gross Margins

The excess of net sales over the cost of goods sold 

is the gross margin or gross margin percentage, and it 

is an important operating ratio. A small change in the 

gross margin can tremendously impact local savings. A 

cooperative manager must maintain a gross margin near 

industry averages. Thus, least cost sources of supplies 

need to be developed and marketing cooperatives need 

to pay market rates on the products they purchase.

Cooperatives are often characterized as businesses 

that provide goods and services “at cost.” However, a cooperative cannot operate at cost on a daily basis. Cooperatives need adequate gross margins to be profitable and 

afford to finance essential future-directed discretionary 

expenditures, such as expansion and advertising. 

Gross margin equals net sales less cost of goods sold, 

so cooperatives with higher COGS had lower gross 

margins. COGS were about 4 points lower for the very 

largest cooperatives than the other sizes. As discussed 

earlier in COGS, those cooperatives with low COGS 

would have high gross margins. 

Table 4–Cooperativesʼ number of full-time 

employees, 2005-2000 

 

Commodity 2005 2004 2003 2002 2001 2000 

 

Thousands 

Cotton 1.8 1.9 2.0 1.8 1.8

Dairy 24.4 23.4 23.7 20.7 23.4

Fruits and 

 vegetables 13.5 18.4 18.7 19.9 25.1

Grains and 

 oilseeds 17.6 20.4 18.9 19.6 20.3

Livestock and 

 poultry 1.9 34.4 34.4 35.8 34.6

Rice 2.4 2.6 2.5 2.4 2.6

Sugar 6.8 4.9 4.5 4.4 4.5

Other marketing 7.2 5.8 6.8 6.3 8.8

Total marketing 75.5 111.9 111.3 111.0 121.1

 

Total farm supply 46.0 48.2 50.7 50.6 51.3

 

Service 3.9 5.0 4.0 4.0 4.2

 

Total 125.4 165.1 166.1 165.7 176.7

Service and other income 

This consists of any service these cooperatives provided. Some cooperatives only provide services such as 

rice driers, cotton gins, storage and transportation, grinding (feed), locker plants, pest management and scouting, and other miscellaneous services. Service income 

is important to marketing and farm supply cooperatives: 

they provide hauling, storage, grading, delivery, custom 

application, record keeping and drying, to name some of 

the most common. Other income comes from providing 

financing for sales and interest from investments. Other 

income also could come from the sale of property, plant, 

and equipment, rentals, and extraordinary items. 

Sometimes property, plant, and equipment were sold 

to generate income, but usually they are fully depreciated. When sold, if the market value was greater than the 

book value, income is generated. In some cases, disposal 

of a fully depreciated asset may mean a loss. Rental 

income from unused facilities or equipment provided 

income flows. Extraordinary items might be either a gain 

or a loss. A gain could result from a fire loss where the 

insurance settlement was greater than the book value. A 

loss might occur from flood damage for which the cooperative had no coverage.

For service cooperatives, service is 100 percent on 

their income statement. By cooperative size, service 

income is the most important for smaller cooperatives 
Farmer Cooperative Statistics, 2005 17

and diminishes as size increases. Many of the cotton ginning cooperatives have only service income and no sales, 

hence the 53 percent of sales value for service income 

for these cooperatives. 

Operating expenses

There are only four accounts for expenses in table 9, 

wages, depreciation, interest, and all other. The wage account includes all employee expenses, some of which are 

salaries and wages, payroll taxes, employee insurance, 

unemployment compensation, and pension expense. The 

all other account would include administrative expenses 

(which are overhead costs associated with a cooperative 

and indirectly related to revenue production) such as professional services, office supplies, telephone, meetings 

and travel, donations, dues and subscriptions, directorsʼ 

fees and expense, and annual meetings. The all other 

account would also include general expenses (which are 

directly related to revenue production) such as advertising and promotion, delivery (auto and truck), insurance, 

property, business and other taxes and licenses, rent and 

lease expenses, plant supplies and repairs, repairs and 

maintenance, utilities, miscellaneous, bad debts and 

other. 

Wage expenses were the 

highest for smaller cooperative and fell as cooperative size 

increased from 11 percent for 

the smallest cooperatives to 4 

percent for the largest. Wage 

expenses were large for service 

cooperatives as they are generally small and lack other sales to 

spread out wage costs. 

 Depreciation expenses did 

not change much with cooperative size; their range was less 

than 1 with an average cost just 

over 1 percent of sales. Ethanol 

cooperatives have newer PP&E 

and a lot of undepreciated costs, 

so they have some of the highest 

depreciation expenses (almost 5 

percent) relative to sales. 

Interest expenses were 

relatively minor for all sizes of 

cooperatives, comprising less 

than 1 percent of total sales. 

Other expenses fell as cooperatives grew larger. However, there 

are many different accounts that 

could be included in this other 

expense category. Also included 

in other expenses were wages, depreciation, and interest 

for the few cooperatives that did not break out individual 

expenses on the survey or in their annual report. As a 

result, other expenses could be larger than expected. 

Income from own operations

This is gross margins minus total expenses but before 

taxes and patronage refunds from other cooperatives, so 

it is income generated by the cooperatives own operations. Income from own operations for all cooperatives 

in 2005 was $2.5 billion, including inter-cooperative 

dividends and refunds (table 11). Net income was up 130 

percent from the $1.1 billion in 2003. Net income was 

$2 billion in 1996 (down from the record of $2.36 billion 

in 1995), and generally fell through 2003, but rebounded 

in 2005 (appendix table 6 and figure 14). 

Marketing cooperativesʼ total net income of $1,389 

million was up 142 percent from the $575 million generated in 2003. There were several large cooperatives with 

losses in 2003 that lowered income. 

Total net income of farm supply cooperatives was 

$1,016 million in 2005, up 194 percent from $346 million in 2003 (figure 15). They accounted for 40 percent 

of cooperativesʼ total net income in 2003, compared with 

Table 5–Full-time and part-time and seasonal employees of 

farmer cooperatives, by cooperative type, 2005-20031

 

Principal product(s) Total Part-time & 

marketed employees Full-time seasonal

or major function 2005 2003 2005 2003 2005 2003

 

Products marketed Thousands 

Cotton 2.2 2.1 1.8 1.9 0.4 0.2

Dairy 25.8 24.7 24.4 23.4 1.4 1.3

Fruit and vegetable 31.2 42.3 13.5 18.4 17.7 23.9

Grain and oilseed2 23.3 25.8 17.6 20.4 5.7 5.4

Livestock and poultry 3.1 37.3 1.9 34.4 1.2 3.0

Rice 3.0 3.3 2.4 2.6 0.5 0.7

Sugar 10.2 6.4 6.8 4.9 3.4 1.5

Other marketing3 10.5 8.8 7.2 5.8 3.4 3.0

Marketing 109.2 150.8 75.5 111.9 33.7 38.9

 

Farm supply 60.7 65.7 46.0 48.2 14.7 17.4

Service 10.0 10.3 3.9 5.0 6.1 5.3

Total 179.9 226.7 125.4 165.1 54.4 61.6

1

 Totals may not add due to rounding. 2 Excludes oilseed meal and oil. Oilseed meal is included in feed sales while oil sales are 

included in other marketing sales.

3

 Includes dry edible bean and pea, nut, tobacco, wool, fishery, and other product marketing cooperatives.
18 Farmer Cooperative Statistics, 2005

31 percent in 2003 (appendix figure 8). Income from 

their own operations, excluding patronage refunds from 

other cooperatives and CoBank, was $751 million, up 

151 percent from $299 million in 2003. 

Losses totaled $54 million in 2005, a vast improvement over the $1,034 million in losses in 2003. The 

number of cooperatives with losses was down from 778 

to 242, or a decrease of 69 percent (appendix figure 9).

Income from own operations as a 

percent of net sales was about 2 percent for all cooperatives by size (table 

9). Fish marketing, livestock marketing, and most dairy marketing cooperatives had low income from own 

operations. Most service cooperatives, 

rice drier and ethanol cooperatives had 

high income from own operations. 

Patronage income

Refunds received or income from 

other cooperatives resulted from 

business cooperatives generated with 

other cooperatives, generally regionals 

or CoBank, a cooperative bank. The 

patronage refund from regionals was 

based on business volume and consisted of cash refunds and 

equity stock. Stock was 

usually revolved back 

to the local cooperative 

on a set schedule. Many 

cooperatives that borrowed funds from CoBank received both cash 

and noncash patronage 

income. The noncash 

patronage from CoBank 

was from investing in 

the bank, which was 

usually required in 

proportion to the funds 

borrowed.

Patronage refunds 

received from other 

cooperatives, including 

CoBank, totaled $401 

million, up tremendously (335 percent) 

from $92 million in 

2003 (appendix figure 

7). In 1996, refunds 

from other cooperatives 

totaled $773 million, 

or 34 percent of total net income. In 2005, refunds had 

fallen to 16 percent of total net income.

Patronage refunds were less than 0.75 percent of sales 

for the smallest cooperatives and fell to 0.2 percent for 

the largest (table 9). Livestock marketing and fruit and 

vegetable cooperatives tended to have very low levels of 

patronage refunds while small farm supply cooperatives 

had some of the highest refunds relative to total sales. 

 Cooperatives Dollar volume Memberships2 

Sales volume Percent Gross3 Percent Number Percent

group(million $) Number of total (million $) of total (1,000) of total

 

 

Less than 5.0 1,289 44.5 2,438 2.0 361 14.0

 5 - 9.9 470 16.2 3,554 2.9 296 11.5

 10 - 14.9 260 9.0 3,319 2.7 154 6.0

 15 - 24.9 257 8.9 5,174 4.3 209 8.1

 25 - 49.9 268 9.3 9,300 7.7 322 12.5

 50 - 99.9 160 5.5 11,798 9.7 243 9.4

 100 - 199.9 113 3.9 9,372 7.7 353 13.7

 200 - 499.9 46 1.6 14,290 11.8 82 3.2

 500 - 999.9 17 0.6 12,322 10.2 127 4.9

1,000 and more 16 0.6 49,690 41.0 425 16.5

Total4 2,896 100.0 121,256 100.0 2,572 100.0

 

1

 Business volume includes revenues from marketing plus the value of products bargained for or 

handled on a commission basis, supply sales, service receipts, and other income.

2

 Includes number of farmers, ranchers, and fishermen eligible to vote for directors. Does not include memberships held by other cooperatives, such as local cooperative memberships in regional 

cooperatives.

3

 Excludes inter-cooperative business volume. 4

 Total may not add due to rounding.

Table 6–Farmer cooperatives and memberships, by gross business 

volume, 20051
Farmer Cooperative Statistics, 2005 19

Table 7–Cooperativesʼ gross and net business volumes by commodity, 2005 & 20031

 

Commodity Gross volume Net volume

2005 2003 2005 2003 

Products marketed: Billion $ 

Beans and peas 

(dry edible) .065 .132 .061 .129

Cotton 3.522 2.617 3.411 2.536

Dairy 31.001 25.984 28.163 23.454

Fruits and 

 vegetables 7.598 7.453 7.258 6.900

Grains and 

 oilseeds2 22.981 23.552 22.977 20.612

Livestock 2.322 6.795 2.297 6.795

Nuts .781 .851 .771 .851

Poultry3 1.154 2.667 1.140 2.653

Rice 1.036 .969 .856 .968

Sugar 3.516 3.513 3.357 3.513

Tobacco .153 .085 .153 .085

Wool and 

 mohair .005 .011 .005 .011

Other 

 marketing4 3.890 2.614 3.703 2.496

Total farm 

 products 78.024 77.242 74.152 71.002

 

Supplies purchased: 

Crop protectants 3.317 3.165 2.952 2.776

Feed 7.022 7.220 5.381 5.873

Fertilizer 6.417 6.482 5.370 4.640

Petroleum 16.308 12.827 9.799 7.512

Seed 2.069 1.828 1.252 1.234

Other supplies5 4.169 3.976 3.672 3.463

Total farm 

 supplies 39.302 35.498 28.426 25.499

 

Services and 

 other income6 3.929 4.118 3.929 4.118

Total business 121.256 116.858 106.508 100.619

 

1

 Gross includes and net excludes inter-cooperative business. 

Totals may not add due to rounding.

2

 Excludes cottonseed. Cottonseed oil is included in other 

marketings while cottonseed meal is included in feed.

3

 Includes eggs, turkeys, ratite, squab, and related products. 4

 Includes coffee, fish, forest products, hay, hops, seed marketed for growers, nursery stock, ethanol, other farm products not separately classified, and sales of farm products not 

received directly from member patrons. Also includes manufactured food products and resale items marketed by cooperatives.

5

 Includes building materials, containers and packaging supplies, farm machinery and equipment, meats and groceries, 

automotive supplies, hardware, chicks, and other supplies not 

separately classified.

6

 Includes trucking, cotton ginning, storage, grinding, application, locker plants, and other related items. Services include 

charges related to marketing or purchasing, but not included in 

the volume reported for those activities, plus other income and 

extraordinary items.

Income Taxes

Cooperatives paid income taxes on earnings not 

allocated to members (retained earnings) and on dividend payments. The board determined what amounts of 

income were allocated to retained earnings and to members. Nonmember business has an impact on retained 

earnings because cooperatives can allocate the earnings 

to nonmembers or retain the income. By size, all cooperatives paid less than 0.25 percent of sales as income 

taxes. Larger farm supply and mixed farm supply paid 

the highest proportion of income taxes, but still less than 

1 percent of sales. 

Net Income

Net income (local savings plus patronage refunds 

minus taxes) was the highest for smaller cooperatives 

(2.7 percent) but fell to less than 2 percent for the largest 

cooperatives (1.6 percent). Nut, rice and ethanol marketing as well as most service cooperatives had the highest 

levels of net income relative to sales. 

Selected Financial Ratios

Financial ratios express relationships between items 

in the balance sheet and income statements of a business operation and help in analyzing a cooperativeʼs 

economic and financial situation. Ratios can indicate 

problem areas, serve as guidelines for planning, and aid 

in formulating actions. However, ratio interpretation is 

largely subjective.

Nine financial ratios were used to measure cooperative performance or financial condition—the current 

ratio, debt to asset, debt to equity, times interest earned, 

total asset turnover, fixed asset turnover, gross profit 

margin, return on assets and return on member equity. 

Liquidity Ratio

The current ratio is a liquidity ratio—a measure of 

the cooperativeʼs ability to meet short-term obligations. 

It focuses on the cooperativeʼs ability to remain solvent. 

The current ratio is current assets divided by current 

liabilities. However, this ratio does not consider the degree of liquidity of each of the current asset components. 

If the current assets of a cooperative were mainly cash, 

they would be much more liquid than if comprised of 

mainly inventory.
20 Farmer Cooperative Statistics, 2005

If the ratio is less than 1, current liabilities exceed 

current assets and the cooperativeʼs liquidity is threatened. Improvements can be achieved by selling additional capital stock, borrowing additional long-term debt, 

or disposing of unproductive fixed assets and retaining 

proceeds. Current liabilities may also be reduced by 

retaining a greater portion of allocated savings (reducing 

the cash portion). 

 A high current ratio is a favorable condition financially because it indicates the ability to pay current 

liabilities from the conversion of current assets into cash. 

Operationally, this same high ratio tends to increase operating freedom and reduce the probability of bill-paying 

difficulty from write-downs of 

accounts receivable or inventory. 

The current ratios of five 

sizes of cooperatives are shown 

in table 9 (for all types and 

sizes, see table 6). By size, the 

ratio is always less than 1.5, 

meaning current assets exceed 

current liabilities by 1.5 times. 

If needed, these current assets 

could be sold to cover all shortterm liabilities and the cooperative would still have some liquid 

assets left. By type, the current 

ratio exceeds 2 for small livestock marketing cooperatives 

and small farm supply. 

Leverage Ratios

Leverage or debt to asset 

ratios look at the long-term 

solvency of the cooperative and 

help analyze the use of debt and 

the ability to meet obligations 

in times of crisis. Debt to asset 

ratio is defined as total debt 

divided by total assets. Elements 

include long-term debt plus 

short-term debt and total assets. 

Generally, larger cooperatives relied on the use of more 

debt financing. Reducing debt, 

increasing savings, or financing 

a greater portion of assets with 

working capital may improve 

this ratio. 

Debt financing was used for 

about half of assets owned by 

cooperatives up to $100 million 

in sales and rose to over 60 percent for the largest cooperatives. The smallest farm supply and mixed farm 

supply cooperatives use debt to finance about a third 

of their assets. 

Debt to equity ratio is calculated by dividing debt 

by total member equity. This ratio shows the financial 

flexibility and the long-term capital structure of the 

cooperative. 

High ratios indicate inadequate borrowing power. 

A low ratio is more favorable and financially makes 

the cooperative more independent of outside sources 

of funds, because there is ownersʼ equity available. A 

low ratio may indicate low return on equity. OperaTable 8–Combined assets for farmer cooperatives, 20051

Principal product(s) Assets Investments Investments in

marketed and of own in other Total other co-ops as 

major function Co-ops2 operations co-ops3 assets percent of total

Products No. Billion $ Percent

 marketed

Cotton 14 .833 .029 .862 3.4

Dairy 193 8.061 1.376 9.437 14.6

Fruits and

 vegetables 188 3.667 .091 3.758 2.4

Grains and 

 oilseeds4 683 7.207 .778 7.985 9.7

Livestock 

 and poultry 73 .535 .016 .551 2.9

Rice 15 .511 .002 .513 0.5

Sugar 47 2.436 .099 2.535 3.9

Other 

 marketing5 199 2.536 .058 2.594 2.2

Total 

 marketing 1,412 25.785 2.450 28.235 8.7

 

Total 

farm supply 1,128 15.602 1.796 17.399 10.3

 

Service 356 .853 .091 .944 9.6

Total 2,896 42.241 4.337 46.578 9.3

1

 Totals may not add due to rounding.

2

 Many cooperatives have multi-product and multi-functional operations. Most are 

classified according to predominant commodity or function as indicated by business 

volume.

3

 Also includes investments in CoBank.

4

 Excludes cottonseed and other oilseed oils and meals. Oilseed oil is included in other 

marketings while meal is included in farm supplies (feed).

5

 Includes dry edible beans and peas, fish, nuts, tobacco, wool, and other product 

marketing.
Farmer Cooperative Statistics, 2005 21

Table 9–Common size analysis by cooperative size, 2005

Cooperative sales size < $5 From $5 to From $15 to From $100 to > $500 

 million $15 million $100 million $500 million million

Balance sheet Percent of total assets

Current Assets 56.21 56.14 55.48 56.53 52.54

Other Assets 10.77 6.79 5.93 6.46 12.02

Investments 6.22 9.80 10.86 5.76 10.17

PP&E (net) 26.79 27.26 27.73 31.24 25.26

Total Assets 100.00 100.00 100.00 100.00 100.00

Current Liabilities 38.01 40.60 43.16 38.20 39.23

Total Liabilities 48.75 49.50 54.02 57.20 62.32

Allocated Equity 35.54 33.08 28.50 30.20 31.55

Retained Earnings 15.72 17.42 17.40 12.60 6.13

Total Equity 51.25 50.50 45.98 42.80 37.68

Total Equity and Liabilities 100.00 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00 100.00

Cost of Goods Sold 86.22 87.63 87.36 85.54 91.82

Gross Margin 13.78 12.24 11.99 13.19 8.18

Service and other income 9.65 7.15 5.05 3.77 1.76

Gross Revenue 23.43 19.37 17.03 16.96 9.94

Expenses 

Wages 10.67 8.25 6.70 6.24 3.79

Depreciation 1.75 1.67 1.60 1.39 1.02

Interest 0.66 0.60 0.61 0.74 0.57

Other 8.32 6.68 6.01 6.75 3.00

Total Expenses 21.41 17.21 14.92 15.13 8.38

Income from own operations 2.02 2.16 2.11 1.83 1.56

Patronage Income 0.73 0.63 0.59 0.28 0.22

Net Income Before Taxes 2.75 2.78 2.77 2.27 1.78

Taxes 0.05 0.11 0.24 0.24 0.18

Net Income 2.70 2.69 2.46 1.87 1.61

Ratios Percent or number

Current 1.48 1.38 1.29 1.48 1.34

Debt to asset 0.49 0.50 0.54 0.57 0.62

Debt to equity 0.95 0.98 1.18 1.34 1.65

Times interest earned 5.16 5.63 5.52 4.06 4.12

Total asset turnover 1.72 1.98 2.29 2.31 2.89

Fixed asset turnover 6.43 7.25 8.26 7.38 11.44

Gross profit margin 13.78 12.24 11.99 13.19 8.18

Return on assets 5.88 6.69 7.76 6.94 6.78

Return on member equity 13.10 16.10 19.80 14.28 14.70 
22 Farmer Cooperative Statistics, 2005

tionally, a low ratio tends to reduce interest cost. Improvement may be gained by disposing of unproductive 

assets and using proceeds to liquidate debt, or accelerating payments on long-term loans. 

Other ways of improvement include increasing local 

equity by generating higher levels of local savings, slowing down equity retirement programs, selling additional 

capital stock, or retaining more allocated savings.

As cooperativesʼ size grew, so did their use of debt. 

The ratio was less than 1 for the smallest cooperatives 

and it grew to 1.65 for the largest. Large livestock marketing and small fish marketing both had ratios greater 

than 5. 

Times interest earned ratio is the number of times 

interest expense is covered by earnings. It is calculated 

by dividing earnings before interest and taxes by interest 

expense. A ratio of 1.0 or more indicates the ability of 

current earnings to pay current interest expenses. 

Lending institutions are more apt to loan to cooperatives whose times interest earned ratio is more than 1.0 

because it shows their ability to pay interest payments. 

Subsequently, a lending institution may lend funds at 

lower rates more readily for capital improvements. 

Collecting old receivables, improving inventory 

turnover, disposing of assets and reducing debt with 

proceeds, or reducing debt with working capital, may 

improve this ratio. Financially, a high ratio affects the 

return on equity and tends to increase it. Operationally, a 

high ratio reduces interest cost.

 Interest coverage was between 4 and 5 for all sizes 

of cooperatives. Some especially high values were 

calculated by cooperative type but these values could be 

Table 10–Combined balance sheet data for 

farmer cooperatives, 20051

Principal product(s) 

marketed and Total Total Net 

major function Co-ops assets liabilities worth 

 

Products 

marketed: No. Billion dollars

Cotton 14 .86 .46 .41

Dairy 193 9.44 6.17 3.27

Fruits and 

 vegetables 188 3.76 2.39 1.37

Grains and 

 oilseeds2 683 7.99 4.72 3.27

Livestock 

 and poultry 73 .55 .41 .14

Rice 15 .51 .24 .28

Sugar 47 2.54 1.57 .96

Other 

 marketing3 199 2.59 1.05 1.55

Total marketing 1,412 28.23 16.99 11.24 

Total farm supply 1,128 17.40 9.60 7.80

 

Service 356 .94 .45 .49

Total 2,896 46.58 27.05 19.53

 

 

1

 Totals may not add due to rounding.

2

 Excludes cottonseed and other oilseed oils and meals. Oilseed oil is included in other marketing while meal is included in 

farm supplies (feed).

3

 Includes dry edible beans and peas, fish, nuts, tobacco, wool, 

cottonseed, and other product marketing.

Table 11–Farmer cooperativesʼ net income 

before taxes, 20051

 

Principal product(s) Income Patronmarketed and from own age

major before opera- infunction Co-ops2

 taxes tions come3

Products No. Million dollars

marketed:

Cotton 14 122.3 121.1 1.2

Dairy 193 391.2 366.2 25.0

Fruits and 

 vegetables 188 196.0 190.0 6.0

Grains and 

 oilseeds4 683 372.6 282.5 90.1

Livestock 

 and poultry 73 22.4 20.4 2.0

Rice 15 6.7 6.1 .6

Sugar 47 60.5 74.1 -13.6

Other 

 marketing5 199 217.2 213.3 3.9

Total 

 marketing 1,412 1,388.9 1,273.6 115.2

 

Total farm 

 supply 1,128 1,016.1 751.3 264.9

 

Service 356 143.0 122.3 20.6

Total 2,896 2,547.9 2,147.2 400.7 

 

1

 Adjusted for losses and before taxes. Before tax income used 

in this table because historically,

 after tax net income was not collected. Totals may not add 

due to rounding.

2

 Includes a number of cooperatives operating on a strictly 

pooling basis, but not their pool proceeds. 

3

 Includes patronage refunds from CoBank.

4

 Excludes cottonseed and other oilseed oils and meals. Oilseed oil is included in othemarketings while meal is included in 

farm supplies (feed).

5

 Includes dry edible beans and peas, fish, nuts, tobacco, wool, 

and other product marketing.
Farmer Cooperative Statistics, 2005 23

influenced by a number of cooperatives in any particular 

type not breaking out interest expenses in their surveys 

or on their annual reports. 

Activity ratios

These ratios measure how well cooperatives use 

assets. A low ratio could mean that the cooperative was 

overcapitalized or carrying too much inventory.

Total asset turnover ratio was found by dividing sales 

by total assets. A high ratio favorably influences finances 

through the reduction of financial 

leverage and/or increased return 

on equity. A high ratio operationally tends to reduce interest costs. 

The ratio grew as cooperatives 

were larger. Dairy cooperatives 

all have a high total asset turnover 

ratio.

Fixed asset turnover ratio

represents sales divided by net 

PP&E. This ratio is similar to 

the total-asset turnover ratio and 

shows how well the cooperative 

used its fixed assets. This ratio by 

itself might not give a complete 

picture of the cooperativeʼs financial health. A cooperative with 

fully depreciated assets would 

have an artificially high ratio. A 

cooperative that invested heavily 

in PP&E for future expansion 

will have a temporarily low 

ratio.

 The measure for this ratio 

may or may not show favorable or unfavorable conditions, but merely cooperative 

conditions. An abnormally 

high ratio usually indicates 

very old, nearly depreciated 

fixed assets or the leasing of 

property and equipment. Financially, a high ratio is influenced favorably by increasing 

asset use, reducing financial 

leverage, and/or increasing 

return on equity. Operationally, it tends to reduce depreciation and interest costs. It may 

also increase costs related to 

operating leases, personnel 

and travel, or delivery expenses. This ratio may be improved by restricting further 

investments in fixed assets; redesigning production or 

office facilities to increase the sales-generating potential of existing space and equipment; and/or selling idle 

machinery and parts, unused vehicles, and unnecessary 

equipment.

The fixed asset turnover ratio was between 6 and 8 

for all sizes of cooperatives except the very largest where 

it grew to 11. As with the total asset turnover ratio, dairy 

cooperatives all have a high fixed asset turnover ratio. 
24 Farmer Cooperative Statistics, 2005

Profitability Ratios

Profitability ratios indicate the efficiency of the 

cooperativeʼs operations. Because a cooperative is 

owned by its user-members, many common industry 

profitability ratios have little meaning. For instance, 

profitability ratios measuring the return on common or 

preferred stock of similar investor-oriented firms are not 

appropriate because there is seldom an open market for 

cooperative stock. Gross profit margin, a profitability 

ratio, was discussed in the income statement so will not 

be reexamined in this section. 

Return on assets measures the rate of return on total 

investment. It is determined by dividing net income by 

total assets and usually calculated before interest and 

taxes. This ratio is a measure of performance. It is not 

sensitive to the leverage position of the cooperative. Although some assets were financed through debt, the ratio 

measures return to both members and lenders. 

Operationally, a high ratio tends to reduce interest cost and financially indicates a comparatively high 

rate of return on assets employed. This ratio rose from 

almost 6 for the smallest cooperatives to almost 8 for 

cooperatives with sales of $15 to $100 million and then 

fell to under 7 for the largest cooperatives. It is high for 

many of the fresh fruit and vegetable cooperatives and 

for those cooperatives identified earlier with high net 

incomes as a percentage of sales (larger service cooperatives, large rice marketing and ethanol cooperatives).

Return on member equity is net income divided by 

allocated equity. It represents membersʼ investment in 

their cooperative and is an important measure of profitability. This ratio is sensitive to the amount of debt 

capital in the cooperative and is best used in conjunction 

with other measures such as the return on assets. Financially, a high ratio is favorable and tends to decrease 

financial leverage. However, a high ratio may also be 

a symptom of insufficient investment. Operationally, a 

high ratio tends to reduce interest cost over time but may 

occur when both total debt and interest costs are high. 

By size, the highest return on member equity was almost 

20 percent for cooperatives with $15 to $100 million in 

sales. Larger service cooperatives, rice marketing and 

ethanol cooperatives have very high returns on member 

equity. 
Farmer Cooperative Statistics, 2005 25

APPENDIX TABLES

Appendix Table 1–Number of cooperatives by major business activity, 2005-1996 

 

 

Major business activity 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996

Products marketed: Number

Beans and peas (dry edible) 6 8 8 9 8 8 8 8 9

Cotton 14 14 14 14 14 15 15 16 16

Dairy 193 197 198 204 208 221 228 236 237

Fruits and vegetables 188 207 212 220 232 231 249 259 267

Grain and oilseed1 683 772 769 789 826 896 964 1,014 1,066

Livestock 59 67 66 70 74 81 80 88 89

Nuts 17 17 18 18 18 18 18 18 19

Poultry2 14 19 19 19 19 15 18 20 16

Rice 15 15 15 15 16 17 17 18 19

Sugar3 47 48 48 48 48 48 52 51 49

Tobacco 19 21 22 24 25 25 26 26 26

Wool and mohair 71 76 78 80 83 84 91 88 97

Other marketing 86 90 92 96 101 90 97 99 102

Total farm products 1,412 1,551 1,559 1,606 1,672 1,749 1,863 1,941 2,012

 

Total farm supplies 1,128 1,156 1,201 1,234 1,277 1,313 1,347 1,386 1,403

Total related services 356 379 380 389 397 404 441 464 469

Total business 2,896 3,086 3,140 3,229 3,346 3,466 3,651 3,791 3,884

1

 Cooperatives primarily handling grains and oilseeds, excluding cottonseed. 

2

 Cooperatives primarily handling eggs, turkeys, ratite, squab, and related products.

3

 Cooperatives primarily handling sugar beets, sugarcane, honey, and related products.
26 Farmer Cooperative Statistics, 2005

Appendix Table 2–Cooperative memberships, by major business activity, 2005-1996 

 

 

Major business activity 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996

Products marketed: Thousands

Beans and peas (dry edible) 1.7 2.1 2.2 2.7 2.8 2.8 2.9 2.9 4.0

Cotton 43.2 43.4 43.5 45.9 45.4 43.8 41.3 42.7 42.6

Dairy 60.8 80.8 81.7 91.0 96.9 90.7 92.9 104.9 111.4

Fruits and vegetables 29.8 32.7 32.5 37.8 41.1 40.9 44.0 44.0 46.8

Grain and oilseed1 479.3 555.3 542.5 581.5 615.3 657.9 728.7 745.0 783.4

Livestock 82.9 91.9 94.0 105.3 132.1 137.1 161.5 236.0 278.8

Nuts 15.4 33.8 35.8 40.1 41.7 43.7 46.0 41.7 48.0

Poultry2 0.4 26.3 26.1 19.1 29.2 29.2 36.3 34.3 32.3

Rice 12.1 12.5 12.4 13.9 12.2 11.8 12.9 14.0 14.8

Sugar3 14.8 13.9 13.9 16.3 15.6 15.7 15.9 13.8 11.8

Tobacco 160.1 127.4 127.8 165.7 165.9 170.0 172.8 172.9 266.7

Wool and mohair 10.5 10.9 11.1 12.6 13.0 15.4 17.9 16.7 17.5

Other marketing 21.2 23.3 25.5 28.0 31.9 23.9 25.3 29.0 24.2

Total farm products 932.2 1,054.2 1,049.1 1,160.0 1,243.0 1,282.8 1,398.4 1,497.8 1,682.4

 

Total farm supplies 1,538.3 1,590.4 1,637.1 1,745.8 1,717.8 1,731.4 1,773.7 1,743.2 1,794.7

Total related services 101.2 113.3 107.4 128.1 124.3 159.1 180.6 183.1 186.5

Total business 2,571.7 2,758.0 2,793.6 3,033.9 3,085.1 3,173.3 3,352.6 3,424.2 3,663.6

1

 Cooperatives primarily handling grains and oilseeds, excluding cottonseed. 

2

 Cooperatives primarily handling eggs, turkeys, ratite, squab, and related products.

3

 Cooperatives primarily handling sugar beets, sugarcane, honey, and related products.
Farmer Cooperative Statistics, 2005 27

Appendix Table 3–Cooperativesʼ gross business volume, by type of cooperative, 2005-

1996 

 

Major business activity 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996

Products marketed: Billion $

Beans and peas (dry edible) 0.1 0.1 0.1 .2 .1 .2 .2 .2 .2

Cotton 3.5 2.6 2.5 2.5 2.8 2.2 3.0 3.1 2.7

Dairy 31.0 26.0 25.9 29.4 25.8 28.5 27.8 26.3 26.0

Fruits and vegetables 7.6 7.5 8.4 9.7 10.1 10.1 9.9 9.8 9.9

Grains and oilseeds 23.0 23.6 20.1 22.6 22.9 21.7 25.3 28.8 33.9

Livestock 2.3 6.8 9.9 9.6 8.0 7.4 7.6 7.5 6.7

Nuts 0.8 0.9 .9 .9 .7 .9 .9 .9 1.0

Poultry 1.2 2.7 2.5 2.2 2.2 2.2 2.1 2.1 2.1

Rice 1.0 1.0 .8 .8 .8 .9 .9 .9 .9

Sugar 3.5 3.5 2.4 2.7 2.7 2.7 2.7 2.4 2.0

Tobacco 0.2 0.1 .2 .4 .6 .3 .3 .6 1.4

Wool and mohair 0.0 0.0 .0 .0 .0 .0 .0 .0 .0

Other marketing 3.9 2.6 2.8 3.0 3.7 3.5 3.7 3.3 3.4

Total farm marketing 78.0 77.2 76.6 84.0 80.4 80.5 84.5 85.9 90.3

 

Supplies purchased:

Crop protectants 3.3 3.2 3.1 3.6 4.0 3.8 4.1 4.4 3.9

Feed 7.0 7.2 6.7 5.5 6.6 6.4 7.2 8.1 7.4

Fertilizer 6.4 6.5 5.2 7.4 7.3 7.3 7.8 8.9 8.7

Petroleum 16.3 12.8 11.4 14.1 13.3 8.1 8.8 10.6 9.8

Seed 2.1 1.8 1.6 1.5 1.4 1.1 1.0 .9 .9

Other supplies 4.2 4.0 3.6 4.0 4.1 4.3 4.1 4.2 4.1

Total farm supplies 39.3 35.5 31.5 36.1 36.8 30.9 33.0 37.1 34.7

 

Services and other income 3.9 4.1 3.4 3.5 3.5 3.9 3.5 3.6 3.1

Total business 121.3 116.9 111.6 123.6 120.7 115.3 121.0 126.7 128.1
28 Farmer Cooperative Statistics, 2005

Appendix Table 4–Cooperativesʼ net business volume, by type of cooperative, 2005-1996 

 

 

Major business activity 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996

Products marketed: Billion $

Beans and peas (dry edible) 0.1 0.1 .1 .2 .1 .2 .2 .2 .2

Cotton 3.4 2.5 2.5 2.4 2.7 2.1 3.0 3.0 2.7

Dairy 28.2 23.5 23.0 26.2 22.7 26.0 25.3 23.4 22.9

Fruits and vegetables 7.3 6.9 7.3 8.8 9.6 9.3 9.4 9.3 9.4

Grains and oilseeds 23.0 20.6 17.5 18.1 18.4 17.1 21.3 24.6 27.7

Livestock 2.3 6.8 9.9 9.6 8.0 7.3 7.4 7.5 6.7

Nuts 0.8 0.9 .9 .9 .7 .9 .9 .9 1.0

Poultry 1.1 2.7 2.4 2.2 2.1 2.2 2.1 2.1 1.8

Rice 0.9 1.0 .7 .8 .8 .9 .9 .9 .9

Sugar 3.4 3.5 2.4 2.6 2.7 2.5 2.4 2.3 1.9

Tobacco 0.2 0.1 .2 .4 .6 .3 .3 .6 1.4

Wool and mohair 0.0 0.0 .0 .0 .0 .0 .0 .0 .0

Other marketing 3.7 2.5 2.6 2.9 3.6 3.1 3.3 3.1 2.9

Total farm marketing 74.2 71.0 69.7 75.0 72.1 72.0 76.6 77.8 79.4

Supplies sold: 

Crop protectants 3.0 2.8 2.7 3.0 3.0 3.0 3.2 3.1 2.8

Feed 5.4 5.9 5.4 4.0 4.7 4.7 5.4 6.0 5.4

Fertilizer 5.4 4.6 4.3 5.0 4.6 4.8 5.2 5.4 5.2

Petroleum 9.8 7.5 7.2 8.4 7.5 6.3 6.6 6.8 6.3

Seed 1.3 1.2 1.1 1.1 .9 .8 .7 .7 .7

Other supplies 3.7 3.5 3.0 3.3 3.4 3.7 3.5 3.2 3.3

Total farm supplies 28.4 25.5 23.7 24.8 24.1 23.2 24.6 25.2 23.7

 

Services and other income 3.9 4.1 3.4 3.5 3.5 3.9 3.5 3.6 3.1

Total business 106.5 100.6 96.8 103.3 99.7 99.1 104.7 106.7 106.2
Farmer Cooperative Statistics, 2005 29

 Assets Investments 

 from own in other Total Total Net 

Year operations cooperatives1 assets liabilities worth 

 Billion dollars

1996 39.011 3.577 42.588 25.195 17.392

1997 39.922 4.074 43.996 25.459 18.537

1998 41.884 4.676 46.560 26.606 19.954

1999 42.330 5.352 47.682 27.418 20.263

2000 44.635 5.087 49.722 29.447 20.275

2001 43.285 5.180 48.465 28.317 20.148

2002 41.947 5.539 47.486 27.883 19.602

2003 42.864 4.058 46.922 26.493 20.429

2004 

2005 42.241 4.337 46.578 27.048 19.530

 Percent of total assets 

1996 91.6 8.4 100.0 59.2 40.8

1997 90.7 9.3 100.0 57.9 42.1

1998 90.0 10.0 100.0 57.1 42.9

1999 88.8 11.2 100.0 57.5 42.5

2000 89.8 10.2 100.0 59.2 40.8

2001 89.3 10.7 100.0 58.4 41.6

2002 88.3 11.7 100.0 58.7 41.3

2003 91.4 8.6 100.0 56.5 43.5

2004 

2005 90.7 9.3 100.0 58.1 41.9

1 Includes investments in other farmer cooperatives, CoBank, and Banks for Cooperatives, where applicable.

Appendix Table 5–Combined balance sheet data for farmer cooperatives, 1996-2005
30 Farmer Cooperative Statistics, 2005

Type of cooperative Artificial Cotton Cotton

 insemination marketing ginning

Cooperative sales size > $10 < $10 $30 to Less than 

 million million $200 million $30 million all sizes

Balance sheet Percent of total assets 

Current Assets 52.91 70.69 44.88 42.25 44.40

Other Assets 15.64 5.07 29.62 17.62 5.15

Investments 5.34 10.04 0.99 2.53 11.83

PP&E (net) 26.11 14.20 24.51 37.60 38.63

Total Assets 100.00 100.00 100.00 100.00 100.00

Current Liabilities 25.53 23.27 52.90 40.52 31.17

Total Liabilities 30.03 24.02 61.87 57.28 45.47

Allocated Equity 53.31 46.81 22.69 34.23 46.80

Retained Earnings 16.66 29.17 15.44 8.49 7.74

Total Equity 69.97 75.98 38.13 42.72 54.53

Total Equity and Liabilities 100.00 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00 100.00

Cost of Goods Sold 15.68 31.69 88.88 83.01 82.00

Gross Margin 84.32 68.31 11.12 16.99 18.00

Service and other income 11.40 13.88 1.29 0.95 53.42

Gross Revenue 95.73 82.19 12.41 17.94 71.42

Expenses 

Wages 37.40 31.65 2.64 4.06 17.73

Depreciation 2.82 1.92 0.87 1.96 4.24

Interest 0.15 0.00 0.97 1.28 0.96

Other 48.03 29.81 3.46 6.50 34.69

Total Expenses 88.40 63.39 7.93 13.81 57.62

Income from own operations 7.33 18.80 4.48 4.13 13.80

Patronage Income 0.42 1.04 0.06 0.13 5.09

Net Income Before Taxes 7.75 19.84 4.54 4.26 18.90

Taxes 1.35 0.63 0.13 0.11 0.12

Net Income 6.40 19.21 4.41 4.15 18.77

Ratios Percent or number

Current 2.07 3.04 0.85 1.04 1.42

Debt to asset 0.30 0.24 0.62 0.57 0.45

Debt to equity 0.43 0.32 1.62 1.34 0.83

Times interest earned 51.64 na 5.69 4.32 20.65

Total asset turnover 1.49 1.28 2.50 2.16 0.63

Fixed asset turnover 5.71 9.04 10.21 5.74 1.64

Gross profit margin 84.32 68.31 11.12 16.99 18.00

Return on assets 11.78 25.47 13.79 11.96 12.59

Return on member equity 17.89 52.70 48.61 26.18 25.43

Appendix table 6–Common size analysis, by cooperative type and size, 2005 
Farmer Cooperative Statistics, 2005 31

Type of cooperative Dairy and dairy products

Cooperative sales size > $500 $200 to $100 to $50 to 

 million $500 million $200 million $100 million 

Balance sheet Percent of total assets

Current Assets 70.52 61.62 74.73 58.75

Other Assets 2.23 4.42 2.93 2.93

Investments 2.30 5.34 6.32 8.45

PP&E (net) 24.95 28.62 16.03 29.87

Total Assets 100.00 100.00 100.00 100.00

Current Liabilities 71.51 50.85 71.01 42.43

Total Liabilities 75.59 68.79 79.54 48.43

Allocated Equity 23.89 23.86 19.89 43.85

Retained Earnings 0.52 7.36 0.57 7.71

Total Equity 24.41 31.21 20.46 51.57

Total Equity and Liabilities 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00

Cost of Goods Sold 94.61 89.59 92.80 91.95

Gross Margin 5.39 10.41 7.20 8.05

Service and other income 2.75 1.04 2.23 0.53

Gross Revenue 8.13 11.45 9.43 8.58

Expenses 

Wages 1.64 4.42 3.30 3.66

Depreciation 0.38 0.61 0.38 0.77

Interest 0.09 0.24 0.19 0.09

Other 4.98 5.47 5.79 2.24

Total Expenses 7.09 10.74 9.67 6.77

Income from own operations 1.05 0.71 -0.23 1.80

Patronage Income 0.28 0.04 0.00 0.12

Net Income Before Taxes 1.33 1.90 -0.23 1.93

Taxes 0.01 0.10 0.00 0.01

Net Income 1.31 0.66 -0.23 1.91

Ratios Percent or number

Current 0.99 1.21 1.05 1.38

Debt to asset 0.76 0.69 0.80 0.48

Debt to equity 3.10 2.20 3.89 0.94

Times interest earned 15.51 8.84 -0.19 21.38

Total asset turnover 5.44 5.53 6.04 4.94

Fixed asset turnover 21.82 19.34 37.68 16.55

Gross profit margin 5.39 10.41 7.20 8.05

Return on assets 7.72 11.85 -0.22 9.99

Return on member equity 29.96 15.33 -7.03 21.56

(continued next page)

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)
32 Farmer Cooperative Statistics, 2005

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Dairy and dairy products

Cooperative sales size $20 to $10 to $5 to Less than

 $50 million $20 million $10 million $5 million 

Balance sheet Percent of total assets

Current Assets 57.73 63.20 44.44 48.58

Other Assets 2.87 10.02 2.48 6.67

Investments 19.82 16.26 32.42 29.20

PP&E (net) 19.58 10.52 20.67 15.55

Total Assets 100.00 100.00 100.00 100.00

Current Liabilities 49.78 51.14 24.26 34.39

Total Liabilities 58.24 55.50 34.32 40.23

Allocated Equity 33.89 38.35 58.00 55.91

Retained Earnings 7.87 6.15 7.68 3.86

Total Equity 41.76 44.50 65.68 59.77

Total Equity and Liabilities 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00

Cost of Goods Sold 92.74 98.40 94.69 91.44

Gross Margin 7.26 1.60 5.31 8.56

Service and other income 0.65 2.54 0.95 0.72

Gross Revenue 7.91 4.13 6.26 9.29

Expenses 

Wages 2.63 1.97 3.67 4.70

Depreciation 0.55 0.31 0.44 0.61

Interest 0.16 0.18 0.23 0.22

Other 4.03 1.53 1.37 4.03

Total Expenses 7.37 3.99 5.70 9.57

Income from own operations 0.54 0.15 0.56 -0.28

Patronage Income 0.42 0.28 0.51 0.25

Net Income Before Taxes 0.97 0.43 1.07 -0.03

Taxes -0.05 0.02 0.10 0.00

Net Income 1.01 0.41 0.97 -0.03

Total Sales 100.00 100.00 100.00 100.00

Ratios Percent or number

Current 1.16 1.24 1.83 1.41

Debt to asset 0.58 0.56 0.34 0.40

Debt to equity 1.39 1.25 0.52 0.67

Times interest earned 6.99 3.33 5.73 0.87

Total asset turnover 5.37 5.69 5.28 4.64

Fixed asset turnover 27.42 54.08 25.54 29.84

Gross profit margin 7.26 1.60 5.31 8.56

Return on assets 6.05 3.49 6.82 0.90

Return on member equity 16.03 6.14 8.83 -0.23 
Farmer Cooperative Statistics, 2005 33

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Fresh fruit and vegetable

Cooperative sales size > $50 $25 to $10 to $3 to Less than

 million $50 million $20 million $7 million $1 million 

Balance sheet Percent of total assets

Current Assets 61.02 55.16 53.19 62.74 71.92

Other Assets 7.64 2.04 0.42 1.85 24.86

Investments 1.98 4.95 4.99 4.22 0.03

PP&E (net) 29.36 37.85 41.40 31.20 3.20

Total Assets 100.00 100.00 100.00 100.00 100.00

Current Liabilities 41.52 50.96 33.90 40.12 55.23

Total Liabilities 48.42 64.51 47.06 46.69 62.28

Allocated Equity 48.94 20.24 42.05 43.24 50.26

Retained Earnings 2.64 15.25 10.89 10.07 -12.55

Total Equity 51.58 35.49 52.94 53.31 37.72

Total Equity and Liabilities 100.00 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00 100.00

Cost of Goods Sold 84.67 64.95 76.72 80.46 59.95

Gross Margin 15.33 35.05 23.28 19.54 40.05

Service and other income 2.50 26.80 6.26 5.38 2.34

Gross Revenue 17.84 61.85 29.54 24.92 42.40

Expenses 

Wages 1.18 13.64 10.33 4.95 2.80

Depreciation 1.83 1.84 1.84 0.71 0.16

Interest 0.29 0.26 0.53 0.12 0.00

Other 8.13 43.93 9.68 18.22 32.46

Total Expenses 11.43 59.66 22.37 23.99 35.42

Income from own operations 6.41 2.19 7.17 0.93 6.98

Patronage Income 0.21 0.29 0.03 0.07 0.01

Net Income Before Taxes 6.62 2.48 7.20 0.99 6.67

Taxes -0.25 0.04 0.05 0.07 0.00

Net Income 6.87 2.44 7.14 0.92 6.98

Ratios Percent or number

Current 1.47 1.08 1.57 1.56 1.30

Debt to asset 0.48 0.65 0.47 0.47 0.62

Debt to equity 0.94 1.82 0.89 0.88 1.65

Times interest earned 24.16 10.67 14.66 9.38 na

Total asset turnover 3.11 1.97 2.36 2.14 3.09

Fixed asset turnover 10.61 5.20 5.70 6.87 na

Gross profit margin 15.33 35.05 23.28 19.54 40.05

Return on assets 21.51 5.39 18.24 2.39 20.65

Return on member equity 43.71 23.73 40.13 4.57 42.97

 (continued next page)
34 Farmer Cooperative Statistics, 2005

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Processed and fresh fruit and vegetable

Cooperative sales size > $300 $200 to $5 to Less than

 million $300 million $100 million $2 million 

Balance sheet Percent of total assets

Current Assets 56.10 64.94 69.81 62.10

Other Assets 10.06 7.47 2.88 0.00

Investments 2.73 1.76 5.62 5.55

PP&E (net) 31.11 25.83 21.70 32.36

Total Assets 100.00 100.00 100.00 100.00

Current Liabilities 32.75 38.08 44.04 36.41

Total Liabilities 63.20 65.17 69.79 38.91

Allocated Equity 28.31 19.19 22.68 60.09

Retained Earnings 8.49 15.64 7.53 1.00

Total Equity 36.80 34.83 30.21 61.09

Total Equity and Liabilities 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00

Cost of Goods Sold 77.72 56.85 83.60 83.64

Gross Margin 22.28 43.15 16.40 16.36

Service and other income 5.92 0.29 1.51 0.36

Gross Revenue 28.20 43.44 17.91 16.71

Expenses 

Wages 8.35 9.96 6.16 7.94

Depreciation 2.28 2.55 1.13 1.97

Interest 1.07 1.00 0.57 0.74

Other 9.13 25.27 9.70 2.16

Total Expenses 20.83 38.78 17.56 12.81

Income from own operations 7.37 4.66 0.35 3.90

Patronage Income 0.01 0.06 0.05 0.10

Net Income Before Taxes 7.40 4.73 0.40 4.00

Taxes 0.10 0.27 0.02 0.00

Net Income 7.28 4.45 0.38 4.00

Ratios Percent or number

Current 1.71 1.71 1.59 1.71

Debt to asset 0.63 0.65 0.70 0.39

Debt to equity 1.72 1.87 2.31 0.64

Times interest earned 7.89 5.74 1.70 6.41

Total asset turnover 1.74 1.50 2.34 1.51

Fixed asset turnover 5.58 5.82 10.77 4.66

Gross profit margin 22.28 43.15 16.40 16.36

Return on assets 14.70 8.61 2.26 7.14 

Return on member equity 44.61 34.88 3.92 10.04 
Farmer Cooperative Statistics, 2005 35

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Farm supply

Cooperative sales size > $1 $50 to $30 to $20 to

 billion $100 million $50 million $30 million 

Balance sheet Percent of total assets

Current Assets 59.11 59.48 57.06 53.56

Other Assets 9.52 1.37 1.74 1.93

Investments 7.49 17.29 16.76 19.32

PP&E (net) 23.87 21.87 24.43 25.18

Total Assets 100.00 100.00 100.00 100.00

Current Liabilities 41.32 48.02 37.90 39.06

Total Liabilities 59.60 53.90 44.95 48.77

Allocated Equity 33.75 24.68 29.89 32.29

Retained Earnings 6.64 21.41 25.16 18.95

Total Equity 40.40 46.10 55.05 51.23

Total Equity and Liabilities 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00

Cost of Goods Sold 91.26 85.93 84.66 83.19

Gross Margin 8.74 14.07 15.34 16.81

Service and other income 1.43 3.34 3.87 2.96

Gross Revenue 10.17 17.40 19.21 19.77

Expenses 

Wages 0.42 8.46 8.87 9.42

Depreciation 0.58 1.57 1.76 1.71

Interest 0.56 0.60 0.66 0.83

Other 4.66 5.03 5.20 6.22

Total Expenses 6.22 15.66 16.49 18.18

Income from own operations 3.96 1.74 2.72 1.59

Patronage Income 0.43 0.92 0.80 1.20

Net Income Before Taxes 3.97 2.66 3.52 2.79

Taxes 0.78 0.52 0.60 0.38

Net Income 3.19 2.15 2.92 2.41

Ratios Percent or number

Current 1.43 1.24 1.51 1.37

Debt to asset 0.60 0.54 0.45 0.49

Debt to equity 1.48 1.17 0.82 0.95

Times interest earned 8.10 5.43 6.32 4.36

Total asset turnover 2.44 2.13 2.18 2.02

Fixed asset turnover 10.23 9.73 8.93 8.04

Gross profit margin 8.74 14.07 15.34 16.81

Return on assets 11.07 6.95 9.12 7.32

Return on member equity 23.08 18.49 21.30 15.11 (continued next page)
36 Farmer Cooperative Statistics, 2005

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Farm supply

Cooperative sales size $10 to $5 to Less than

 $20 million $10 million $5 million 

Balance sheet Percent of total assets

Current Assets 52.44 52.85 57.98

Other Assets 0.96 2.06 1.94

Investments 21.77 20.59 20.45

PP&E (net) 24.83 24.50 19.63

Total Assets 100.00 100.00 100.00

Current Liabilities 35.97 30.95 22.05

Total Liabilities 43.47 34.56 30.45

Allocated Equity 36.16 45.68 52.69

Retained Earnings 20.21 19.77 16.86

Total Equity 56.53 65.44 69.55

Total Equity and Liabilities 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00

Cost of Goods Sold 83.75 84.03 84.24

Gross Margin 16.25 15.97 15.76

Service and other income 3.77 2.85 3.62

Gross Revenue 20.03 18.61 19.38

Expenses 

Wages 9.17 9.10 9.71

Depreciation 1.91 1.71 1.56

Interest 0.57 0.56 0.59

Other 6.39 5.74 6.36

Total Expenses 18.05 17.11 18.22

Income from own operations 1.98 1.50 1.16

Patronage Income 1.19 1.13 1.04

Net Income Before Taxes 3.17 2.84 2.20

Taxes 0.31 0.19 0.16

Net Income 2.87 2.65 2.05

Ratios Percent or number

Current 1.46 1.71 2.63

Debt to asset 0.43 0.35 0.30

Debt to equity 0.77 0.53 0.44

Times interest earned 6.58 6.06 4.76

Total asset turnover 1.98 1.95 1.95

Fixed asset turnover 7.97 7.97 9.92

Gross profit margin 16.25 15.97 15.76

Return on assets 7.40 6.65 5.43

Return on member equity 15.68 11.35 7.56 
Farmer Cooperative Statistics, 2005 37

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Mixed farm supply

Cooperative sales size $100 to $50 to $30 to

 $200 million $100 million $50 million 

Balance sheet Percent of total assets

Current Assets 56.28 59.09 61.58

Other Assets 1.81 2.13 2.80

Investments 16.03 17.66 13.73

PP&E (net) 25.88 21.11 21.89

Total Assets 100.00 100.00 100.00

Current Liabilities 42.89 46.77 50.00

Total Liabilities 61.40 57.50 60.14

Allocated Equity 19.24 22.18 23.31

Retained Earnings 19.36 20.32 16.56

Total Equity 38.60 42.50 39.86

Total Equity and Liabilities 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00

Cost of Goods Sold 87.31 87.44 86.89

Gross Margin 12.69 12.56 13.11

Service and other income 4.16 4.29 5.21

Gross Revenue 16.85 16.85 18.32

Expenses 

Wages 6.58 7.21 8.13

Depreciation 1.51 1.56 1.80

Interest 1.02 0.81 0.90

Other 6.50 5.82 6.14

Total Expenses 15.60 15.40 16.96

Income from own operations 1.25 1.45 1.36

Patronage Income 0.90 1.08 0.90

Net Income Before Taxes 2.14 2.53 2.26

Taxes 0.48 0.49 0.29

Net Income 1.66 2.04 1.96

Ratios Percent or number

Current 1.31 1.26 1.23

Debt to asset 0.61 0.57 0.60

Debt to equity 1.59 1.35 1.51

Times interest earned 3.10 4.12 3.52

Total asset turnover 2.46 2.26 1.91

Fixed asset turnover 9.52 10.69 8.74

Gross profit margin 12.69 12.56 13.11

Return on assets 7.79 7.53 6.03

Return on member equity 21.28 20.73 16.11

 (continued next page)
38 Farmer Cooperative Statistics, 2005

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Mixed farm supply

Cooperative sales size $20 to $5 to Less than

 $30 million $10 million $5 million 

Balance sheet Percent of total assets

Current Assets 53.50 60.52 56.71

Other Assets 1.70 0.77 0.94

Investments 21.13 14.04 17.06

PP&E (net) 23.67 24.66 25.29

Total Assets 100.00 100.00 100.00

Current Liabilities 40.06 39.64 25.43

Total Liabilities 50.86 46.44 31.51

Allocated Equity 32.45 34.58 42.72

Retained Earnings 16.69 18.99 25.77

Total Equity 49.14 53.56 68.49

Total Equity and Liabilities 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00

Cost of Goods Sold 87.97 87.43 85.96

Gross Margin 12.03 12.57 14.04

Service and other income 4.57 5.61 5.74

Gross Revenue 16.60 18.18 19.78

Expenses 

Wages 7.40 8.06 10.04

Depreciation 1.73 1.77 1.77

Interest 0.71 0.69 0.52

Other 5.43 6.65 6.96

Total Expenses 15.27 17.17 19.29

Income from own operations 1.34 1.01 0.49

Patronage Income 1.10 0.91 0.89

Net Income Before Taxes 2.44 1.91 1.38

Taxes 0.26 0.21 0.03

Net Income 2.18 1.70 1.34

Ratios Percent or number

Current 1.34 1.53 2.23

Debt to asset 0.51 0.46 0.32

Debt to equity 1.03 0.87 0.46

Times interest earned 4.46 3.78 3.67

Total asset turnover 2.20 2.12 2.00

Fixed asset turnover 9.32 8.59 7.91

Gross profit margin 12.03 12.57 14.04

Return on assets 6.93 5.51 3.79

Return on member equity 14.81 10.42 6.30 
Farmer Cooperative Statistics, 2005 39

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Mixed grain and oilseed marketing

Cooperative sales size $200 to $100 to $50 to $30 to $20 to

 $400 million $200 million $100 million $50 million $30 million 

Balance sheet Percent of total assets

Current Assets 64.82 54.04 60.91 59.51 56.81

Other Assets 2.45 12.59 1.02 1.58 2.76

Investments 9.71 12.46 14.66 13.13 15.06

PP&E (net) 23.03 20.91 23.41 25.78 25.37

Total Assets 100.00 100.00 100.00 100.00 100.00

Current Liabilities 50.19 45.77 50.72 50.35 41.11

Total Liabilities 64.38 69.07 61.46 62.14 48.43

Allocated Equity 24.07 20.17 23.52 22.60 31.70

Retained Earnings 11.55 10.76 15.01 13.76 19.87

Total Equity 35.62 30.93 38.54 37.86 51.57

Total Equity and Liabilities 100.00 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00 100.00

Cost of Goods Sold 91.33 92.28 91.43 91.24 90.90

Gross Margin 8.67 7.72 8.57 8.76 9.10

Service and other income 4.40 6.31 5.23 6.26 5.35

Gross Revenue 13.07 14.02 13.80 15.02 14.44

Expenses 

Wages 4.60 5.04 5.39 6.16 5.88

Depreciation 1.36 1.59 1.48 1.79 1.70

Interest 0.64 0.91 0.73 0.72 0.58

Other 5.11 5.27 4.93 5.49 4.70

Total Expenses 11.72 12.81 12.54 14.16 12.86

Income from own operations 1.35 1.21 1.27 0.86 1.59

Patronage Income 0.49 0.59 0.66 0.74 0.71

Net Income Before Taxes 1.84 1.80 2.81 1.56 2.29

Taxes 0.22 0.32 0.26 0.26 0.21

Net Income 1.62 1.48 1.66 1.34 2.09

Ratios Percent or number

Current 1.29 1.18 1.20 1.18 1.38

Debt to asset 0.64 0.69 0.61 0.62 0.48

Debt to equity 1.81 2.23 1.60 1.64 0.94

Times interest earned 3.87 2.98 4.83 3.16 4.97

Total asset turnover 2.58 1.82 2.31 2.19 2.35

Fixed asset turnover 11.20 8.71 9.86 8.49 9.25

Gross profit margin 8.67 7.72 8.57 8.76 9.10

Return on assets 6.39 4.94 8.17 5.01 6.74

Return on member equity 17.37 13.38 16.27 13.00 15.45 

 (continued next page)
40 Farmer Cooperative Statistics, 2005

Type of cooperative Fish marketing Poultry Wool 

 marketing marketing

Cooperative sales size > $10 < $10 > $40 

 million million million All sizes 

Balance sheet Percent of total assets

Current Assets 64.91 45.67 51.21 

Other Assets 0.11 0.15 1.23 

Investments 0.08 0.00 8.24 

PP&E (net) 34.89 54.18 39.33 

Total Assets 100.00 100.00 100.00 100.00

Current Liabilities 52.87 37.03 32.36 

Total Liabilities 60.95 83.33 46.66 19.49

Allocated Equity 39.05 13.68 27.25 

Retained Earnings 0.00 2.67 26.09 

Total Equity 39.05 16.34 53.34 78.36

Total Equity and Liabilities 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00 

Cost of Goods Sold 87.64 85.52 83.41 

Gross Margin 12.36 14.48 16.59

Service and other income 1.97 0.60 1.44 1.84

Gross Revenue 14.34 15.08 18.03 101.84

Expenses 

Wages 6.98 3.80 4.39 0.96

Depreciation 0.83 1.08 0.98 

Interest 0.57 0.60 1.42 

Other 5.90 8.50 8.34 

Total Expenses 14.29 13.98 15.14 101.71

Income from own operations 0.05 1.10 2.89 0.13

Patronage Income 0.12 0.02 0.58 

Net Income Before Taxes 0.17 1.12 3.47 0.13

Taxes 0.03 0.01 0.13 

Net Income 0.14 1.11 3.33 0.13

Ratios Percent or number

Current 1.23 1.23 1.58

Debt to asset 0.61 0.84 0.47 0.22

Debt to equity 1.56 5.12 0.87 0.28

Times interest earned 1.30 2.86 3.44 

Total asset turnover 3.08 8.49 4.26 1.82

Fixed asset turnover 8.84 15.68 10.84 

Gross profit margin 12.36 14.48 16.59 

Return on assets 2.29 14.56 20.83 0.24

Return on member equity 1.12 68.76 52.16 0.31 

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)
Farmer Cooperative Statistics, 2005 41

Type of cooperative Livestock marketing

Cooperative sales size > $100 From $10 < $7 

 million to $50 million million 

Balance sheet Percent of total assets

Current Assets 90.04 65.08 26.09

Other Assets 2.29 13.75 7.95

Investments 1.87 0.36 52.45

PP&E (net) 5.80 20.82 13.52

Total Assets 100.00 100.00 100.00

Current Liabilities 71.98 52.34 5.31

Total Liabilities 84.47 61.95 48.41

Allocated Equity 19.11 14.70 63.24

Retained Earnings -3.58 23.35 -11.65

Total Equity 15.53 38.05 51.59

Total Equity and Liabilities 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00

Cost of Goods Sold 98.84 98.70 97.90

Gross Margin 1.16 1.30 2.10

Service and other income 1.64 2.20 1.05

Gross Revenue 2.80 3.50 3.15

Expenses 

Wages 0.65 1.26 1.50

Depreciation 0.09 0.26 0.05

Interest 0.35 0.12 0.05

Other 1.61 1.15 1.84

Total Expenses 2.70 2.79 3.43

Income from own operations 0.10 0.71 -0.28

Patronage Income 0.03 0.00 0.00

Net Income Before Taxes 0.13 0.74 -0.28

Taxes 0.06 0.06 0.00

Net Income 0.07 0.68 -0.28 

Ratios Percent or number

Current 1.25 1.24 4.91

Debt to asset 0.84 0.62 0.48

Debt to equity 5.44 1.63 0.94

Times interest earned 1.37 7.17 -4.31

Total asset turnover 7.00 10.78 14.64

Fixed asset turnover 120.60 51.77 108.31

Gross profit margin 1.16 1.30 2.10

Return on assets 3.39 9.27 -3.38

Return on member equity 2.44 49.72 -6.59

 (continued next page)

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)
42 Farmer Cooperative Statistics, 2005

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Dry bean and pea marketing Nut marketing

Cooperative sales size > $10 < $10 > $50 < $8 

 million million million million 

Balance sheet Percent of total assets

Current Assets 71.99 73.78 53.05 36.85

Other Assets 0.06 0.15 21.04 0.98

Investments 6.64 1.89 2.77 1.43

PP&E (net) 21.31 24.18 23.15 60.74

Total Assets 100.00 100.00 100.00 100.00

Current Liabilities 60.66 51.15 27.90 32.38

Total Liabilities 67.42 55.79 56.24 78.55

Allocated Equity 27.38 19.89 25.99 19.43

Retained Earnings 5.20 24.33 17.77 2.03

Total Equity 32.58 44.21 43.76 21.45

Total Equity and Liabilities 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00

Cost of Goods Sold 85.56 77.81 35.83 93.17

Gross Margin 14.44 22.19 64.17 6.83

Service and other income 0.73 16.99 0.70 18.89

Gross Revenue 15.17 39.18 64.88 25.71

Expenses 

Wages 7.14 16.61 10.30 9.96

Depreciation 2.22 2.47 0.90 2.18

Interest 0.86 1.26 1.24 1.72

Other 3.97 12.80 1.84 8.59

Total Expenses 14.18 33.14 14.29 22.45

Income from own operations 0.99 6.05 50.59 3.27

Patronage Income 0.37 0.18 0.10 0.06

Net Income Before Taxes 1.36 6.23 50.68 3.32

Taxes -0.04 1.25 0.32 0.04

Net Income 1.40 4.98 50.36 3.28

Ratios Percent or number

Current 1.19 1.44 1.90 1.14

Debt to asset 0.67 0.56 0.56 0.79

Debt to equity 2.07 1.26 1.29 3.66

Times interest earned 2.59 5.93 41.79 2.93

Total asset turnover 1.47 1.07 2.33 0.96

Fixed asset turnover 6.91 4.44 10.05 1.59

Gross profit margin 14.44 22.19 64.17 6.83

Return on assets 3.26 8.03 120.79 4.85

Return on member equity 7.51 26.87 450.81 16.24 
Farmer Cooperative Statistics, 2005 43

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Ethanol marketing Other marketing

Cooperative sales size From $30 to > $20 < $ 3 

 $75 million million million 

Balance sheet Percent of total assets

Current Assets 30.27 50.69 18.69

Other Assets 0.57 15.70 61.43

Investments 5.08 2.66 0.00

PP&E (net) 64.08 30.95 19.88

Total Assets 100.00 100.00 100.00

Current Liabilities 15.95 22.22 7.27

Total Liabilities 31.41 35.30 9.82

Allocated Equity 33.05 42.94 87.87

Retained Earnings 35.53 21.76 2.31

Total Equity 68.59 64.70 90.18

Total Equity and Liabilities 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00

Cost of Goods Sold 71.24 86.22 76.40

Gross Margin 28.76 13.78 23.60

Service and other income 3.70 1.27 2.14

Gross Revenue 32.46 15.04 25.74

Expenses 

Wages 1.49 7.70 7.89

Depreciation 4.61 2.14 0.53

Interest 0.47 0.47 0.04

Other 2.62 2.99 8.95

Total Expenses 9.19 13.31 17.41

Income from own operations 23.27 1.74 8.33

Patronage Income 0.08 0.02 0.00

Net Income Before Taxes 23.35 1.76 8.33

Taxes 0.30 0.13 0.00

Net Income 23.04 1.63 8.33

Ratios Percent or number

Current 1.90 2.28 1.82

Debt to asset 0.31 0.35 0.10

Debt to equity 0.46 0.55 0.11

Times interest earned 50.56 4.73 198.71

Total asset turnover 1.25 2.80 1.15

Fixed asset turnover 1.95 9.06 5.77

Gross profit margin 28.76 13.78 23.60

Return on assets 29.73 6.24 9.60

Return on member equity 87.04 10.63 10.87

 (continued next page)
44 Farmer Cooperative Statistics, 2005

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Rice marketing Sugar marketing Tobacco marketing

Cooperative sales size > $10 < $10 > $ 100 < $75

 million million million million All sizes 

Balance sheet Percent of total assets

Current Assets 54.75 58.65 30.25 26.56 91.74

Other Assets 1.11 0.80 24.17 2.17 0.05

Investments 0.91 15.83 4.55 4.30 0.02

PP&E (net) 43.23 24.73 41.02 66.97 8.18

Total Assets 100.00 100.00 100.00 100.00 100.00

Current Liabilities 33.73 34.94 25.19 28.57 0.51

Total Liabilities 45.61 36.43 65.48 43.42 15.02

Allocated Equity 47.99 86.84 33.93 54.70 7.87

Retained Earnings 6.39 -23.27 0.59 1.88 77.11

Total Equity 54.39 63.57 34.52 56.58 84.98

Total Equity and Liabilities 100.00 100.00 100.00 100.00 100.00

Income statement Percent of total sales

Total Sales 100.00 100.00 100.00 100.00 100.00

Cost of Goods Sold 34.31 82.33 56.86 63.95 98.43

Gross Margin 65.69 17.67 43.14 36.05 1.57

Service and other income 2.35 9.98 5.25 0.25 11.05

Gross Revenue 68.04 27.64 48.39 36.30 12.61

Expenses 

Wages 10.77 4.97 12.37 14.05 4.67

Depreciation 1.89 0.37 4.10 3.53 2.09

Interest 0.41 0.26 2.01 2.04 0.02

Other 10.10 23.97 11.41 20.40 5.92

Total Expenses 23.17 29.55 29.90 40.02 12.70

Income from own operations 44.86 -1.91 18.48 -3.71 -0.08

Patronage Income 0.11 0.34 -0.58 0.22 0.00

Net Income Before Taxes 44.82 -1.57 17.71 -3.50 -0.09

Taxes 0.08 0.00 0.12 -0.76 -0.11

Net Income 44.74 -1.57 17.59 -2.74 0.03

Ratios Percent or number

Current 1.62 1.68 1.20 0.93 180.56

Debt to asset 0.46 0.36 0.65 0.43 0.15

Debt to equity 0.84 0.57 1.90 0.77 0.18

Times interest earned 110.46 -5.12 9.80 -0.72 -3.40

Total asset turnover 2.34 2.60 1.18 1.17 0.30

Fixed asset turnover 5.40 10.53 2.87 1.74 3.70

Gross profit margin 65.69 17.67 43.14 36.05 1.57

Return on assets 105.66 -3.42 23.25 -1.70 -0.02

Return on member equity 217.78 -4.70 61.11 -5.84 0.12

 
Farmer Cooperative Statistics, 2005 45

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)

Type of cooperative Rice drier Storage and transportation

Cooperative sales size > $1 < $ 1 

 All sizes million million 

Balance sheet Percent of total assets

Current Assets 48.63 46.72 37.55

Other Assets 0.35 5.13 0.00

Investments 0.00 1.51 2.76

PP&E (net) 51.02 46.64 59.69

Total Assets 100.00 100.00 100.00

Current Liabilities 25.82 26.14 5.88

Total Liabilities 41.83 31.40 13.37

Allocated Equity 51.44 54.62 68.82

Retained Earnings 6.73 13.98 11.93

Total Equity 58.17 68.60 80.75

Total Equity and Liabilities 100.00 100.00 100.00

Income statement Percent of service

Service and other income 100.00 100.00 100.00

Gross Revenue 100.00 100.00 100.00

Expenses 

Wages 22.65 31.97 23.15

Depreciation 5.76 6.33 3.49

Interest 0.16 0.29 0.00

Other 30.17 61.71 63.79

Total Expenses 58.74 100.31 90.43

Income from own operations 41.26 -0.31 9.57

Patronage Income 0.00 0.21 0.29

Net Income Before Taxes 41.26 -0.10 9.86

Taxes -0.05 -0.17 0.23

Net Income 41.31 0.07 9.63

Ratios Percent or number

Current 1.88 1.79 6.39

Debt to asset 0.42 0.31 0.06

Debt to equity 0.72 0.46 0.06

Times interest earned 251.80 0.66 na

Total asset turnover 0.67 2.29 0.47

Fixed asset turnover 1.32 4.92 0.79

Return on assets 27.86 0.44 4.64

Return on member equity 54.01 0.30 5.52

 (continued next page)
46 Farmer Cooperative Statistics, 2005

Type of cooperative Service

Cooperative sales size > $5 $ 1 to < $ 1 

 million $ 5 million million 

Balance sheet Percent of total assets

Current Assets 56.59 49.06 42.76

Other Assets 0.63 0.64 17.01

Investments 0.64 41.31 0.13

PP&E (net) 42.14 8.99 40.11

Total Assets 100.00 100.00 100.00

Current Liabilities 33.83 73.93 15.10

Total Liabilities 51.27 76.53 29.03

Allocated Equity 42.40 9.02 52.47

Retained Earnings 6.33 14.45 18.50

Total Equity 48.73 23.47 70.97

Total Equity and Liabilities 100.00 100.00 100.00

Income statement Percent of service

Service and other income 100.00 100.00 100.00

Gross Revenue 100.00 100.00 100.00

Expenses 

Wages 23.24 21.98 34.10

Depreciation 2.69 5.12 4.99

Interest 1.01 6.48 2.02

Other 51.51 28.99 52.37

Total Expenses 78.46 62.57 93.49

Income from own operations 21.54 37.43 6.51

Patronage Income 0.01 0.51 0.74

Net Income Before Taxes 21.54 37.95 5.02

Taxes -0.17 0.16 0.08

Net Income 21.72 37.79 5.01

Ratios Percent or number

Current 1.67 0.66 2.83

Debt to asset 0.51 0.77 0.29

Debt to equity 1.05 3.26 0.41

Times interest earned 22.25 6.86 3.48

Total asset turnover 1.18 0.21 0.64

Fixed asset turnover 2.79 2.29 1.60

Gross profit margin 0.00 0.00 0.00

Return on assets 26.52 9.12 4.52

Return on member equity 60.21 86.06 6.14

 

Appendix table 6–Common size analysis, by cooperative type and size, 2005 (continued)
Farmer Cooperative Statistics, 2005 47

Appendix Table 7–Net income of farmer cooperatives, 1996-20051

 

 From own From other

Year operations cooperatives2 Total

 

 Million dollars

1996 1,475 773 2,248

1997 1,557 757 2,314

1998 1,169 573 1,742

1999 945 384 1,328

2000 1,041 235 1,276

2001 1,039 318 1,357

2002 847 362 1,210

2003 1,013 92 1,105

2005 2,147 401 2,548

 

1

 Totals may not add due to rounding. Excludes income from cooperative pooling operations. 2

 Dividends and patronage refunds received from other marketing, farm supply, and related-service

 cooperatives, CoBank, and Banks for Cooperatives, where applicable. 
48 Farmer Cooperative Statistics, 2005

APPENDIX FIGURES
Farmer Cooperative Statistics, 2005 49
50 Farmer Cooperative Statistics, 2005
Farmer Cooperative Statistics, 2005 51
52 Farmer Cooperative Statistics, 2005
Farmer Cooperative Statistics, 2005 53
54 Farmer Cooperative Statistics, 2005
Farmer Cooperative Statistics, 2005 55
56 Farmer Cooperative Statistics, 2005