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Honored Advisor

Losing a market

The CHS specialty bean plant in Creston , Iowa is closing. They have been expanding yearly here.

 

Jan 30 last day. Out of money. Gotta be some of the fall out from some of the stupid financing of some mega growers that have gone t!t's up, like the one in Michigan for 140+ million. Big one In the Dakota's too.

 

Should be saleable, o f course at a discount.

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9 Replies
Veteran Advisor

Re: Losing a market

Will they go into bankruptcy, clear all the debts and start over, or what is your take?

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Honored Advisor

Re: Losing a market

Maybe another outfit will buy it 30 cents on the dollar and make a good go of it?    That`s the great thing about capitalism, always those looking for opportunity and under new management it can come back better.

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Veteran Advisor

Re: Losing a market

Our millwright supervisor says he heard the doors are closed this morning.

Our millwright crew has been doing work there since CHS bought the facility a few years ago.

Bummer because we had a contract to provide steel for a new bag-house attachment to the building.

Good thing we only put in some of the first floor and haven't ordered the balance of materials.

 

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Veteran Advisor

Re: Losing a market

BA- This form of Capitalism being a great thing - unless your accounts receivable shows a balance due from them ---

 

 

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Honored Advisor

Re: Losing a market

How much protection does a mechanics lien provide?

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Veteran Advisor

Re: Losing a market

I'm sure not enough, as far as a lender is concerned ---    

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Veteran Advisor

Re: Losing a market

I heard today that CHS is closing bean processing plant in Hutchinson Kansas as well
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Veteran Advisor

Re: Losing a market

ouch clayton, that's going to hurt.....guess closest will be at Wichita now.

 

here is some interesting reading.

 

Note, not the corp website they say ""CHS is the nations leading cooperative"".

 

so WE lost money on both plants, and doing away with a research center...

 

www.ksn.com/2017/12/01/chs-to-close-hutchinson-facility

 

www.chsinc.com

 

question is, which commodities so low.......how are they loosing money ???

 

at just what levels must beans be in order for them (us) to make money ???

 

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