NewsDecember 06 2017

Capital Credit Distribution from West Central Electric Cooperative, Inc. (WCEC)

Posted by Lucy

Capital Credit Distribution from West Central Electric Cooperative, Inc. (WCEC)  
   Murdo, SD – The board of Directors of West Central Electric has the general retirement of $720,000 in Capital Credits. This is in addition to the $54,765 that was retired to estates. The total 2017 retirement is $774,765. This represents 100% of 1993 Capital Credits and 80% of the West Central portion of 2016 Capital Credits.  
   Capital Credits checks will be mailed out the middle of December. If the credit value is less than $35 it will be credited to your November bill.  
   Capital Credits are created when any earnings (revenues minus expenses) are left over at the end of each year. This creates a margin. At the end of each year, the Co-op assigns each member-owner’s account a share of the margin, known as an allocation. The Cooperative’s goal is to rotate Capital Credits on a 25-year cycle.  
   Before returning margins back to members, Co-op’s use the capital to help offset the cost of debt for equipment and materials used for the construction and maintenance of the electric distribution system. This helps lower financing needs. 
   Capital Credit retirements promote the cooperative philosophy of “service at cost” and a true representative of the cooperative’s way of doing business,” said CEO Steve Reed. “We are proud that we have been financially sound which enables us to retire Capital Credits on an annual basis. Which is consistent with our mission to provide safe, reliable service to our member-owners.” 
   If you have any questions regarding your Capital Credit check, please contact our office at 605-669-8100 or 1-800-242-9232.

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