$2,402,850 in checks are in the mail co-op says
CVT announces capital credit rollout for current and past members
If you haven't already received it, Copper Valley Telecom says the check is in the mail.
Members of CVT, the telephone and communications cooperative that provides land lines, cell phones and other communication products such as wireless services to Valdez in the Copper basin, will be seeing over $2 million in return to capital credits - just in time for the holiday season.
“Capital credit retirement is strong evidence that our cooperative is doing well financially. The capital credit checks that our customers and former customers will be receiving this month also highlight the fact that Copper Valley is owned by the people who purchase and use telephone, Internet, and wireless services. This is the tenth consecutive year we have paid capital credits back to members,” Dave Dengel said in a press release last week.
Dengel, the cooperative’s Chief Executive Officer, explained how the system works.
He says "capital credits are the financial margins a cooperative achieves through its business operations. Margins are the difference between the cooperative’s income and its expenses. At the end of each year, margins are allocated to members’ capital credit accounts and periodically, the Board of Directors may decide to retire portions of the capital credits. Retired capital credits are paid back directly to members who had services during the years being retired."
The cooperative is also offering bonuses to current members, which can be seen in print advertising throughout this week's edition of the Valdez Star.
The $2.4 million in capital credits is comprised of all capital credits remaining from 1992, all of the capital credits accrued during 1993, and 10 percent of 2014’s capital credits.