Another year of record profits at Red Deer Co-op

The term “record profits” appears on very few financial reports these days. Red Deer Co-op Ltd. has earned the right to put it on theirs. On Tuesday, it announced 2008 earnings of $7.83 million on sales of $122.8 million.

The term “record profits” appears on very few financial reports these days.

Red Deer Co-op Ltd. has earned the right to put it on theirs. On Tuesday, it announced 2008 earnings of $7.83 million on sales of $122.8 million.

Those numbers are up from 2007, when earnings and sales were $7.36 million and $107 million respectively — both records at the time.

“Despite the fact everything you read is negative, we’re pretty happy where we’re at,” said Larry Parks, Red Deer Co-op’s general manager.

Co-op members will share in a patronage allocation of $4.25 million this year, with $2.5 million of this amount to be paid out in cash. These amounts also eclipsed previous records: the $4 million patronage allocation and $2.1 million cash payout in 2007.

Cheques should go out by the end of May, said Parks.

High fuel prices during the year helped boost the 2008 sales figure, said Parks. The co-operative also benefited from competitive pricing and selection with respect to its products, he added, and strong customer service supported by the absence of layoffs.

He also noted that membership grew at a record pace during the year, to a current tally of about 40,000 active members. He credited this to the appeal of Red Deer Co-op’s equity program.

Sales at the Home and Garden Centre were down, said Parks, but he’s optimistic that federal stimulus programs like the home renovation tax credit will generate business.

“People are bringing in estimates and looking for stuff right now.

“In the fall, I think you’re gong to see a big push on renovations.”

Patronage allocations for 2008 will be based on each member’s purchases during the year, with an allocation of 2.6 per cent paid on food, pharmacy and liquor purchases, 3.85 per cent on products from the Home and Garden Centre, and 7.5 per cent on petroleum purchases.

The size of each member’s cash payment will depend on the equity they’ve built up with Red Deer Co-op, with these ranging from 40 per cent for members with $250 or less in equity, to 100 per cent for those who have accumulated more than $10,000. Members over 70 years of age will also receive 100 per cent of their allocation amount.

Red Deer Co-op operates two grocery stores, a home and garden centre, two gas bars and two liquor stores in Red Deer. It also has a grocery store, liquor store and gas bar in Lacombe.

In December, it took over the operation of bulk petroleum card lock outlets in Stettler and Elnora that it purchased from Five Star Fuel Ltd. Meanwhile, work is about to begin on a new card lock station in Lacombe.

In addition to its strong sales figures for 2008, highlights from the year identified by Parks included Red Deer Co-op being named the Red Deer Chamber of Commerce Business of the Year and receiving a United Way of Central Alberta’s Community Builder Award.

Red Deer Co-op, which operates with a Jan. 31 fiscal year-end, was scheduled to hold its annual general meeting on Tuesday evening.

hrichards@bprda.wpengine.com

Just Posted

Parenting: Every woman will have a different pregnancy experience

Wife whose hormones are unbalanced can be unpleasant experience

Men posing as repo men attempt to steal vehicle in Red Deer County

Two men attempted to steal a utility vehicle from a Red Deer… Continue reading

Red Deerian spreads kindness with one card at a time

One Red Deerian wants to combat bullying by spreading kindness in the… Continue reading

Bowden baby in need of surgery

“Help for Alexis” Go Fund Me account

PHOTO: First Rider bus safety in Red Deer

Central Alberta students learned bus safety in the Notre Dame High School… Continue reading

WATCH: Annual Family Picnic at Central Spray and Play

Blue Grass Sod Farms Ltd. held the Annual Family Picnic at the… Continue reading

Woman has finger ripped off at West Edmonton Mall waterslide

SASKATOON — A Saskatchewan woman says she lost a finger after her… Continue reading

Uncertainty looms over Canada’s cannabis tourism, but ambitions are high

TORONTO — Longtime marijuana advocate Neev Tapiero is ready for the cannabis-driven… Continue reading

Feds mulling safeguards to prevent ‘surge’ of cheap steel imports into Canada

OTTAWA — The federal government extended an olive branch of sorts to… Continue reading

Ontario govt caps off summer session by passing bill to cut Toronto council size

TORONTO — The Ontario government passed a controversial bill to slash the… Continue reading

Updated:Italian bridge collapse sends cars plunging, killing 26

MILAN — A 51-year-old highway bridge in the Italian port city of… Continue reading

Saudi Arabia spat affecting Canadians embarking on hajj, community members say

TORONTO — Members of Canada’s Muslim community say recent tensions between Ottawa… Continue reading

Tug carrying up to 22,000 litres of fuel capsizes in Fraser River off Vancouver

VANCOUVER — The smell of diesel filled the air as crews worked… Continue reading

Nebraska executes first inmate using fentanyl

LINCOLN, Neb. — Nebraska carried out its first execution in more than… Continue reading

Most Read


Five-day delivery plus unlimited digital access for $185 for 260 issues (must live in delivery area to qualify) Unlimited Digital Access 99 cents for the first four weeks and then only $15 per month Five-day delivery plus unlimited digital access for $15 a month