TRUSTWORTHINESS “Working with like-minded companies is important to us,” says Kevin McLaren, general manager of Augusta Cooperative Farm Bureau, Inc., Stauton, Virginia. “Agriculture has changed dramatically in Virginia. As we adapt and try to be a leader, we look for suppliers that can help us provide the higher level of service producers are demanding. “Like our organization, CHS has supported agriculture for over 75 years,” he adds. “The fact that CHS is a cooperative is an added bonus. We believe it’s more likely to have our best interests in mind than a private entity would.” Based in Confidence Trustworthiness is a component that should not be overlooked when weighing counterparty risk, says M&M Cooperative’s Domine. “Market volatility and the upheaval of the U.S. financial system have shaken many businesses to the core. In this environment, there is security in partnering with high-caliber organizations,” he says. “There is a different kind of value at work here. It is the value of knowing that when a crop nutrients or futures contract is written, it will be honored. It is the value, sometimes taken for granted, that grain brought into a facility will be marketed with integrity. It’s about doing things the right way, and being able to trust that our business partner is operating at the highest standards every day.” Producers need strong relationships with lenders, dealers, business partners and employees. •• LEARN MORE •• For more on managing counterparty risk and reading balance sheets, see www.chsinc.com/c. 12 March/April 2009 WWW.CHSINC.COM