Letter to the Editor
Farm Credit Merger Reconsideration Remains an Inequitable Bad Idea
I write to you as a former Production Credit Association Lender, former Farm Credit of New Mexico Board of director, 25 year experienced Bank CEO, Rancher, and former Land Commissioner, to ask you to Vote NO on the proposed merger of Farm Credit of New Mexico and American AgCredit out of California as it wrong from many of producers while a good thing for others, this organization needs to consider what is good for the membership as a whole.
While as Bank CEO for First Federal Bank, we both acquired other institutions and ultimately were acquired by another financial institution. Our bank shareholders did well in our trades, but the employees, depositors, borrowers, communities, and charitable contributions suffered. After our takeover only a small percentage of our employees remain, branches have been closed and customers have had to move elsewhere.
We were purchased by another west coast group who did not share New Mexico values and focused more on profits than customer service, in my opinion. As institutions get larger the decisions they make get further away from individuals they serve and people become numbers. Our ag economy is super dependent on Farm Credit of New Mexico and moving decisions about a small rancher in New Mexico to a big California institution will ensure that many of our New Mexico producers will be anything but a priority for service.
I urge you to vote NO on the reconsideration of the merger of Farm Credit of New Mexico and the big California American AgCredit. Save our New Mexico ag economy and the agriculture future of our children and grandchildren.
Respectfully,
Aubrey Dunn
Vagabond Cattle Company Partner
KRTN note: The following was taken from Farm Credit of NM website
On May 9, 2023, the majority of voting stockholders who voted – from both American AgCredit and Farm Credit of New Mexico – voted in favor of merging the two Associations. Both Farm Credit of New Mexico and American AgCredit are part of the Farm Credit System, are owned by their stockholders/customers, and are overseen by a stockholder-elected Board of Directors.
The merger process, as established by Congress, includes a 35-day reconsideration period after the vote. During this period, it is the right of voting stockholders to petition for a reconsideration of the vote. A group of FCNM stockholders submitted a reconsideration petition, and FCA deemed the petition valid. As a result, the FCNM B stockholders will re-vote on the proposed merger.
The Board is committed to doing what’s right for our customers and our employees – The Board believes this is the best path forward. Farm Credit of New Mexico (FCNM) is proud of our deep legacy of serving farmers and ranchers and our commitment to agriculture is unchanged. The Board has been diligently working on the strategic direction of the Association and supports a merger with American AgCredit.
A revised merger effective date has been set for Oct. 1, 2023, pending the FCNM re-vote and FCA approval.
