Farmerville Processing Plant to be Idled
LOUISIANA, US - The Pilgrim's Pride chicken plant at Farmerville is to be idled from 8 May although Foster Farms continues to negotiate its purchase.
28 April 2009
2 minute read
Foster Farms of California says the chicken plant it hopes to buy from Pilgrim's Pride in north Louisiana will be idled by the current owner on 8 May, according to NOLA of New Orleans. Negotiations for the purchase are reportedly continuing.
In December, Pilgrim's Pride filed for reorganisation under Chapter 11 of the US Bankruptcy Code and later announced plans to idle three of its plants, including the one in Farmerville.
The state has offered to pay half of the the $80 million sale price, plus provide $10 million for site improvements. However, the agreement must be approved by a bankruptcy court and state lawmakers, who must also approve the use of funds.
