National Cooperative Bank Announces Top 100 Cooperatives: Reporting Revenues of over $131 Billion in 2004

Business Wire, Oct 3, 2005

WASHINGTON -- Today, National Cooperative Bank (NCB) released its annual list of the nation's 100 highest revenue-earning cooperative businesses, totaling approximately $131 billion in 2004. The NCB Co-op 100 is the only annual report of its kind and an important indicator of the vibrant cooperative business activity across the country. Charles E. Snyder, President and Chief Executive Officer of NCB, made the announcement.

The NCB Co-op 100 tracks revenues generated by cooperatives further indicating the strength and yearly growth of these businesses nationwide. Demonstrating the cooperative sector's ongoing success, the organization listed at 50 on this year's list, with 2004 revenues of $787 million, outpaced its 2003 performance by $420 million. Last year this cooperative was listed at 94, with annual 2003 revenues of $367 million.

"Overall, the nation's top 100 cooperatives increased revenues by almost $15 billion dollars in 2004, a 14 percent gain from the same period last year and the highest-ever yearly revenue," commented Mr. Snyder. "This double-digit growth, rarely experienced in other business sectors, further demonstrates the vital role of cooperatives in the marketplace and the financial stability they bring to communities nationwide."

The continued strong performance of cooperatives is especially notable as these companies impressively rebound from difficult economic situations created by times of global conflict. Unlike investor-owned firms, cooperatives are controlled by their members, the individuals who use and benefit from the goods and services provided. As a result, cooperatives are organized to maximize economic returns for members, not top-ranking executives or distant investors.

Although similar to other business models, a cooperative has several unique features. It is owned and controlled by its members who have joined together to use the cooperative's goods, services and facilities. A board of directors, elected by the membership, sets both policies and procedures. By pooling resources, members can leverage their power to buy, sell, market, or bargain as one group, achieving economics of scale and sharing in any profits generated. In addition, communities benefit both socially and fiscally by the cooperatives' ability to access and deliver goods and services from across the nation.

According to the National Cooperative Business Association, there are nearly 40,000 cooperatives in the United States. These entities exist in a cross-section of sectors, including agriculture, grocery, hardware and lumber, finance, energy, housing and others. Many cooperatives on the NCB Co-op 100 list are household names such as ACE Hardware, Land O'Lakes and The Associated Press.

The entire NCB Co-op 100 report, as well as additional information on cooperatives, is available at www.co-op100.coop. Barry Silver, NCB Managing Director is available to answer questions regarding cooperatives and the NCB Co-op 100. Please contact Felicia Grammas at NCB to arrange an interview.

National Cooperative Bank provides comprehensive financial services to cooperatives and other member-owned organizations throughout the United States. Chartered by Congress in 1978, NCB was privatized in 1981 as a cooperative, and today is owned by more than 1,800 of its member-customers. The bank is now proudly celebrating its 25th anniversary of supporting cooperative communities nationwide. Headquartered in Washington, DC, NCB also has offices in Alaska, California, Connecticut, Fayetteville and Hillsboro, Ohio and New York. To learn more about NCB, visit www.ncb.coop.