SAWNEE EMC TO GIVE SPECIAL REFUND OF PATRONAGE CAPITAL

(Cumming, February 24, 2010) – With all of the financial stress on our economy, most budgets are being stretched to the limit.   The cost of everything…from groceries to gasoline…seems to be increasing daily.   But, sometimes, you actually do get good financial news. 

Sawnee Electric Membership Corporation (Sawnee EMC) announced today that it is planning a $3.1 million refund of patronage capital to members through a “special retirement” of patronage capital from the year 1986.  This action will give those customers who were members of Sawnee EMC in 1986 a nice credit on their April 2010 energy bill.  

Because Sawnee EMC is a non-profit electric cooperative, each year the members receive an assignment of “patronage capital” in the records of the cooperative based on the amount of capital they provided the cooperative through their electric bill.  This is defined in the bylaws as an allocation of the revenue in excess of operating costs.  Georgia law requires the collection of patronage capital.  Sawnee EMC returns these funds to the members when the Board of Directors determines that doing so will not impair the cooperative’s financial condition.

Sawnee EMC members that received service in 1986 will be eligible to receive this special retirement of patronage capital.  This refund represents the patronage capital funds assigned to their account, less any amount that might be owed to Sawnee EMC.  A total of over $3.1 million will be distributed this year to those members, with the average refund being about $98.77.  Each individual refund will vary based on the amount of patronage capital contributed by the member in 1986.

For current members of Sawnee EMC, a credit will be placed on their April 2010 electric bill.  Former qualifying members, who no longer receive electric service from Sawnee EMC, will be mailed a check to their last known address on or around April 16, 2010. 

“It is important for Sawnee EMC to demonstrate through this and many other actions that the cooperative business model works for our members and our organization,” states Michael Goodroe, Sawnee’s President and CEO. 

This is not the only refund of patronage capital made by Sawnee throughout the year.  Blake House, Vice President of Marketing and Member Services states, “Sawnee EMC refunds patronage capital on demand each month to the estates of deceased members.”  For 2009, Sawnee EMC made over $417,000 in refunds to estates of deceased members. 

Executors of estates of former Sawnee EMC members should contact the Customer Service Center (770-887-2363) to find out if their family member’s estate is entitled to a patronage capital refund.

Sawnee EMC is a member-owned electric cooperative and it supports the principles that made cooperatives the most successful public/private partnership in our government’s history.  These cooperative principles anchor Sawnee EMC firmly in the communities it serves. 

About Sawnee EMC  

Sawnee Electric Membership Corporation is an electric distribution cooperative headquartered in Cumming, Georgia.  Sawnee serves electricity to over 148,000 accounts in seven (7) counties in greater north Georgia.  Sawnee’s assets exceed $467 million, with average annual energy sales of three (3) billion kWh and annual revenue of $291 million.  With a team of approximately 300 dedicated professionals and over 9,800 miles of distribution facilities, Sawnee stands ready to meet the needs of its member/owners… “At Sawnee EMC, We’re More Than Electricity, We’re Service”.