The Arthur Mutual Telephone Company
21980 State Route 637
Defiance, Ohio 43512-9308
419.393.2233

Capital Credits

Capital credits are our patrons' reward for doing business with their cooperative. Every subscriber accumulates patronage during each year they received telephone and other telecommunication services from The Arthur Mutual Telephone Company. At the end of each fiscal year the cooperative determines what the margin, the excess after operating costs and other expenses have been satisfied, and then allocates the margin to the subscribers who had received services during that year. Example: A subscriber accumulates $500.00 of patronage during the year and the cooperative has a 15% margin. The subscriber will receive capital credits in the amount of $75.00 posted to their membership account. The capital credits remain in their membership account until the Board of Directors authorizes the release of those capital credits.

Even though the cooperative has been in operation for 98 years there were no margins during the first years of operation. In 1984 the first allocation of margins to subscribers was authorized. Since 1984 margins have been allocated to subscribers every year. Each year The Arthur Mutual Telephone Company updates the capital credit accounts and sends a statement showing subscribers the amount allocated for the prior year.

In 1991 the Board of Directors authorized the first general retirement or payout of capital credits. Since 1991 there have been 7 general retirements. That means that everyone who earned capital credits during a certain timeframe qualifies to receive a payout of their capital credits. The Arthur Mutual Telephone Company has currently paid out 100% of all capital credits for service years 1984 through 1991. The other types of capital credit retirements involve businesses that have closed or estates. The individuals handling the final affairs of an estate or closed business must apply to have the capital credits paid out. The Arthur Mutual Telephone Company Board of Directors reviews each request at a board meeting and determines whether the cooperative will pay out those capital credits.

The Arthur Mutual Telephone Company uses capital credits to operate on and to make capital improvements. By using capital credits, The Arthur Mutual Telephone Company is able to hold down the cost of service and provide state of the art service to its customer owners.

Anyone having any questions about their capital credit membership account is welcome to call the business office for information. Should you leave The Arthur Mutual Telephone Company's service area it is very important that you keep us informed of your current mailing address. If we can't find you it is very difficult to send you your capital credit dollars. If you know anyone on this list of unclaimed capital credits, please have them contact us.

Thanks for being a part of our Cooperative!