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CHPC Shareholder Definitions
Patron Shareholders
Patron Shareholders are traditionally people who are connected to the Cooperative because they are involved in the same Industry. Currently CHPC Paton Shares are $100 per share. By Limited Cooperative Association (LCA) Statutes, LCAs make no profits themselves, but all allocated distributable revenues may go directly to Shareholders once a year. LCA Statutes mandate that at least 50% of all distributed revenues are paid to Patron Shareholders, and the amount they receive will be on a pro rata basis in perpetuity. Per LCA Statutes, all Patron Shareholders get one (1) vote in all shareholder voting issues regardless of how many shares they own.Investor Shareholders
Investor Shareholders are investing in the Cooperative because they believe in the Cooperatives Mission and Goals. Currently CHPC Investor Shares are $1000 per share. However, once excess revenue distributions have been allocated, 50% of the distributed excess revenues will be returned to the Patron Shareholders and the other 50% will go to paying back the Investor Shareholders their full investment. Once their full investment has been paid back, their Investor Share(s) will convert to Patron Share(s) with the full Statutory pro rata excess revenue distributions accorded to all Patron Shareholders. This conversion will be each Investor Share will convert to one Patron Share. So, in essence, Investor Shareholders get a fairly rapid repayment of their Investment in addition to a Return On Investment (ROI) of 10% (the cost of their Patron Share(s)) plus pro rata excess revenue distributions in perpetuity. Per LCA Statutes, all Investor Shareholders get one (1) vote in all Shareholder voting issues regardless of how many shares they own.
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