HARRY HUGHES, Governor

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(G) "MEMBERSHIP CAPITAL" MEANS A MEMBER'S CAPITAL
CONTRIBUTION TO THE COOPERATIVE TO SECURE THE BENEFITS OF
MEMBERSHIP IN THE COOPERATIVE.

(H) "NET SAVINGS" MEANS A COOPERATIVE'S TOTAL INCOME MINUS
THE COST OF OPERATION, INCLUDING RESERVES.

(I) "PATRONAGE REFUND" "SAVINGS RETURN" MEANS ANY PAYMENT
OR ALLOCATION MADE BY THE COOPERATIVE OUT OF NET SAVINGS WHICH IS
COMPUTED ON THE BASIS OF THE PATRON'S BUSINESS WITH THE
COOPERATIVE AND REFUNDED IN ACCORDANCE WITH SECTION 5-5A-22 OF
THIS SUBTITLE.

(J) "PERSON" MEANS A NATURAL PERSON OR ANY INCORPORATED OR
UNINCORPORATED ENTITY.

(K) "SUBSCRIBER" MEANS ANY PERSON OR ENTITY ELIGIBLE FOR
MEMBERSHIP AND LEGALLY OBLIGATED TO PURCHASE A SHARE OR SHARES
OF, OR MEMBERSHIP IN, THE COOPERATIVE IN ACCORDANCE WITH ITS
BYLAWS.

(L) "DELEGATE" MEANS A REPRESENTATIVE OF THE MEMBERS
ELECTED EITHER FROM THE MEMBERSHIP AT LARGE OR FROM SPECIFIC
GEOGRAPHIC DISTRICTS OR GROUPS OF MEMBERS AS DEFINED IN THE
BYLAWS.

5-5A-03.

A CONSUMER COOPERATIVE OR A FEDERATED COOPERATIVE MAY BE
INCORPORATED UNDER THIS SUBTITLE AND ENGAGE IN ANY LAWFUL
BUSINESS TO ACQUIRE, PRODUCE, MANUFACTURE, FURNISH, OR DISTRIBUTE
ANY GOODS OR SERVICES ON A COOPERATIVE BASIS FOR THE MUTUAL
BENEFIT OF ITS MEMBERS AND PATRONS OR THE MEMBERS AND PATRONS OF
ANY MEMBER COOPERATIVE, OR BOTH.

5-5A-04.

ANY 5 OR MORE ADULT INDIVIDUALS, OR 2 OR MORE ENTITIES
OPERATING ON A COOPERATIVE BASIS, MAY INCORPORATE UNDER THIS
SUBTITLE.

5-5A-05.

(A)  A COOPERATIVE MAY BE FORMED AS A STOCK CORPORATION OR
AS A NONSTOCK CORPORATION.

(B)  MEMBERSHIP INTERESTS MAY BE EVIDENCED BY CERTIFICATES
OF STOCK, CERTIFICATES OF MEMBERSHIP, OR NOTIFICATION OF CREDIT
TO A MEMBER'S CAPITAL OR OWNERSHIP ACCOUNT.

5-5A-06.

EXCEPT FOR POWERS INCONSISTENT WITH THIS SUBTITLE, EACH
COOPERATIVE MAY EXERCISE ALL POWERS GRANTED TO ORDINARY BUSINESS