First off, allow me to thank all of you for everything you have done to make this last year simply incredible. In the 20 year history of TBG our financial health and well-being has never been better than it is right now. This is an exciting time to be a Member of TBG and it’s about to get even better.
It is my pleasure to announce that for the first time in 10 years, TBG will be distributing a Dividend to our Members. At the September 21st Board Meeting, the TBG Board of Directors approved the first Dividend distribution for the 2012 Fund Year. We couldn’t be more thrilled to be in the financial position to pay a Dividend once again.
Under the guidelines of our Dividend Policy, the first distribution of a Fund Year is 20% of the total Dividend amount available for that year. The amount to be paid is $653,023 which is 20% of the total Dividend available of $3,265,115 as of 12-31-2015. The payment will most likely be made in May of 2017, following approval by our regulator, the Minnesota Department of Commerce.
Briefly, to qualify for a Dividend, a Member has to meet three basic criteria:
- You were a Member of the Fund the year the Dividend is based on.
- You must be a Member on the date the Dividend is paid.
- Your loss ratio must be less than the breakeven loss ratio for the Fund year the Dividend is paid from.
This year, the TBG Board of Directors and the Minnesota Department of Commerce approved a revised plan outlining the method to distribute future Dividends. The development of this plan was a process that considered the future long-term financial stability of TBG, our fiscal responsibility to you, our Members, and our desire and commitment to pay Dividends to the Members that contributed to the Dividend Funds available (Member Distribution Payable).
The Great Recession was a difficult time to overcome, but we were able to navigate through it without having to assess our Members. Having learned from those tough times, our new policy is designed to provide the best opportunity to pay consistent, annual Dividends into the future. This is a truly great time to be a TBG Member.
Thank you for your support and loyalty to The Builders Group. Look for a more detailed overview of the dividend policy shortly.
CEO The Builders Group
Dividend Fact Sheet