Was it bound to happen?

[Kodiak]

Top Producer finalist of the Year? What are the criterion? I must be getting old. This is a movie that is being re-run, and something tells me I've seen it before.

"I wonder what they're thinking now?!!??!?" Hubris, or what???
---------------------


Top Producer learned today that Stamp Farms LLC filed for Chapter 11 bankruptcy on Friday, Nov. 30, along with affiliate companies Stamp Farms Custom Ag LLC and Stamp Farms Trucking LLC. Estimated liabilities exceed $50 million, with more than 200 total creditors cited in the bankruptcy filings. Monsanto was the largest creditor listed, with a $3.9 million claim.



Mike Stamp received 2012 Top Producer of the Year Finalist honors, and Stamp Farms and Northstar Grain were featured on the cover of Top Producer’s November issue. The staff at Top Producer learned Nov. 9 that audits had revealed some irregularities and big changes were occurring at Stamp’s operations.



Were the qualities that made Stamp unique and interesting to profile, such as the rail expansion and the rapid growth, contributors to the problem? Time will tell, but Top Producer is committed to analyzing and learning from this situation and passing on to our readers what we learn.

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[ajl]

Sort of like the outstanding young farmer
awards in Canada. Was always a first
class ticket to bankruptcy. I would like
to see how many big wheels would be left
standing after interest rates rise by 200
basis points.

[sumdumguy]

True, these interest rates are distorting
perspective. These lending policies are creating
huge bank liabilities. Hope FCC isnt falling into
line with the banks.

[wd9]

These are the types of farms that Larry
Weber et al say we should all be.

[LWeber]

Find or quote me anywhere that I said that...

Put up or STFU...

Looking for a fight WD9 or maybe someone put sand in your lubricant?

[Kodiak]

Hey, I'd like a front row seat! But to be fair WD, I've never heard Weber advocate anything like this. Larry defended himself well above, but he needs at least one fan cheering!

Now the guy who owns (sic) Broadacre. That's a different matter. Anyone care to speculate on the success of that venture?

[sumdumguy]

Just an example of over-leveraging. Slow and
steady boys. Let them spin their wheels, and
work for the iron companies.

Pretty easy to get carried away at these interest
rates.

[ALLFARMER]

These interest rates are also opportunity. Just
locked in at 4.6% for 5 years, another 5 yr for 6.3
on a machine.

Anyone locking in with AFSC or they won't give a
long term?

[Kodiak]

I'm pretty sure it wasn't interest rates that got Stamp out of the farming business. Rates are at their lowest now-he didn't even have to wait for them to go up! I think he spun himself out of control. The hubris he shows in the video is pretty evident. The bankers he talks about laughing at got the last laugh on him.

My guess is that between leverage, thin margins, and a below target crop, he got toppled. When the "rest of the story" eventually comes out, we'll know for sure. It'll be a case study of what not to do.

[riders2010]

Farming is screwed in Canada because we have govs that don't believe in it.

Other countries use their competitive advantages such as slave labour etc. We have over abundance of fuel and energy and we give it away so other countries can a apply it to slave labor and produce everything cheaper than us.

If we had half an ounce of brain and balls we would have diesel, fertilizer at cost to producers and other industries. Could you imagine the business that would flock here? We all would truly share in the wealth then not just gov cronies.

[Daylate]

But my big equipment makes me feel like a big
man.i dont want closer neighbours,and 3 point
chicken shit spreaders.lol

[furrowtickler]

When you look closely you can see the rise and fall of at least 50% of these "supper" operations. As I have said some might make it most will not. Mother nature will weed them out

[dubsy]

supper? sounds like a tasty operation.

[furrowtickler]

ya ,I know nice spelling. I c u post alot??

[wd9]

Come on Larry, don't be so angry. It's the
glorification of these movers and shakers on large
scale that kinda sickens me. Listening to the
presentations on how great business people
these are by using all sorts of risk management
techniques to in the end transfer risk to others.

Maybe they went too far, but they were just using
the tools from the toolbox often talked about.

Dumb ass farmers who don't hedge and presell
and expand greatly every year are certainly
second or third class farmers and are behind the
times.

Risk has been transferred, Monsanto will get their
4 million from the rest of us. These guys won't
walk away penniless from their LLC's.

Maybe you never thought about it how some of us
react to those presentations and how small we
can feel.