Magazines spring 2018 cover crop smaller | Page 2

A message from the CEO Annual meeting recap including changes suspect is not widely known beyond the GM level. It is no wonder that some coops view Servi-Tech as a ervi-Tech is striving to improve competitor, rather than a partner in their businesses. the quality and substance of Servi-Tech does not sell seed, interactions with our owner- fertilizer or chemicals, nor do we cooperatives – changing the timing custom-apply these products. Servi- and venue for this month’s Annual meeting is one example. Re-engaging Tech doesn’t buy grain or sell feed, hardware or related products. with our owners regarding current Servi-Tech does consult and make and future relationships is a second, recommendations directly to our and the subject of this brief article. customers – those who sign a While nearly 65 percent of last contract for our services. For the year’s crop service business and 44 most part, those customers are percent of last year’s lab business at growers – our customers and your Servi-Tech was member-related, the portion that is directly attributable to patrons. We contract directly with owner-coops is just under 22 percent owner-coops as well; from soil sampling and fertility planning, to in- and 7 percent respectively. As I look season scouting on acres contracted at our current-year revenues, our by the coop or distributing owners’ stake of business directly technology around soil moisture or with Servi-Tech remains under- aerial imagery. There is no shortage represented in both categories. of ideas to consider. As the numbers above attest, The consolidation pressures facing most patronage received by owner- our owner-coops are significant, coops is related to contract business creating new roles for you and for done by their farmer-patrons – the Servi-Tech. I have been challenged grower signs the contract, commits by the Servi-Tech Board to sit down to the service and pays the bill. Our with those coop-owners who are coop-owners have a very indirect willing to lay their cards on the table relationship with Servi-Tech, one I S Servi-Tech was formed in 1975 by three farmer-owned cooperatives that saw a need to provide technical services for agricultural producers in southwest Kansas. Servi-Tech is organized as a federated cooperative owned by 60 farmer-cooperatives across six states. In the 42 years since our founding, we have expanded into Colorado, Nebraska, Iowa, Oklahoma, Missouri, Minnesota, Texas and South Dakota. Servi-Tech began with 100,000 acres under contract in 1976. Today, we provide consulting on almost 1 million acres on behalf of both individual growers and cooperatives of all sizes. Since our founding, Servi-Tech has been dedicated to providing growers and cooperatives with the solutions they need to make more productive decisions in the field. Combined with new technology developed through Servi-Tech Expanded Page 2 Greg Ruehle and determine a beneficial path forward. If you have that interest, let’s schedule a time to bring our key staff together and develop a progressive offering for the benefit of our common customers. If you are not interested in any further dialogue, I would appreciate knowing that, as well. Servi-Tech can work with growers as preferred stockholders delivering patronage directly to them for their business with Servi-Tech. In either case, there is greater clarity for the grower, for the coop and for Servi-Tech. I look forward to these discussions beginning with the annual conference and continuing through the spring! Premium Services, LLC (STEPS), our precision ag experts, and the world-class laboratories in Dodge City, Kansas, Hastings, Nebraska, and Amarillo, Texas, Servi-Tech provides the ultimate in agronomic knowledge for cooperatives and growers alike. To learn more about how Servi- Tech can help you serve your growers, visit us online at servitech. com for the full list of services, or call us at 1-800-557-7509. The Cover Crop