I honestly have no idea. Three years ago in particular is when the perfect storm lead to historically high commodity prices. If that's what they consider the worst time in agriculture history, I have no understanding of where they are coming from. The problem right now is that the input costs are still trying to act as if it is still three years ago, which is a problem, but the cure for high prices is high prices. I see no reason to think that will last.
As suggested before, it is likely that they are overleveraged and the loss of profitability coupled with higher interest rates is what is killing them. That's the trouble with trying to be a mid-sized player.
No comments yet.