(a) The net earnings or losses of an employee cooperative shall be apportioned and distributed at such times and in such manner as the governing documents specify. Net earnings declared as patronage allocations with respect to a period of time, and paid or credited to members, shall be apportioned among the members in accordance with the ratio which each member's patronage during the period involved bears to total patronage by all members during that period.
(b) The apportionment, distribution, and payment of net earnings required by subsection (a) may be in cash, credits, written notices of allocation, or capital stock issued by the employee cooperative.
Structure Code of Alabama
Title 10A - Alabama Business and Nonprofit Entities Code.
Chapter 11 - Employee Cooperative Corporations.
Section 10A-11-1.01 - Short Title.
Section 10A-11-1.02 - Definitions.
Section 10A-11-1.03 - Election as Employee Cooperative.
Section 10A-11-1.04 - Revocation.
Section 10A-11-1.05 - Corporate Name.
Section 10A-11-1.06 - Members; Membership Shares; Rights and Responsibilities.
Section 10A-11-1.07 - Directors and Officers.
Section 10A-11-1.08 - Voting Power; Amendment or Repeal of Bylaws; Protection of Stockholders.
Section 10A-11-1.09 - Apportionment, etc., of Net Earnings or Losses.
Section 10A-11-1.10 - Internal Capital Accounts.
Section 10A-11-1.11 - Internal Capital Account Cooperatives.
Section 10A-11-1.12 - Conversion of Membership Shares, etc.; Merger of Employee Cooperatives.