Ilta Grain

[farmaholic]

Status Update as at July 15, 2019

The ILTA Group will seek Court approval for interim financing as well as the authorization to commence a sales process for its assets and operations on Thursday, July 18, 2019 at 9:00 AM Vancouver time.

Can you say "50 cents on the dollar" for those assets and operations?

[bucket]

Can you say "50 cents on the dollar" for those assets and operations?

How about 10 cents on the dollar and there might be a well subsidized company looking at those assets at that value to make the rest of their facilities look better on paper....just thinking out loud....

[westernvicki]

No way in hell we should have to buy insurance out of our own pocket to pay to get our money. All these so called subsidies and programs should be some where in there to account for this.

But as I said I cannot see why there isn’t a requirement for them to put money in a fund that is allocated to purchases. Once it’s rhere make your contracts for x amount of grain and that’s what your allowed to buy. No creditors or other liabilities should factor into this.

We insure our home, equipment, crop, self, companies can buy EDC insurance to protect sales, yet suggest a farmer is incontrol of risk management on commodity liabilities is an assault to sensibility?

Having operated export based companies they are complex, a multitude of problems from trade, to rail impell profits, and the challenges of the trade in the last few years have been formidable. Providing an environment that attracts investment is imperative to the future, and the systems we support determine how producers & industry thrive in event of failure, & support success play an important role in future investment.

It's my belief that cards better in held in my hand to be played than others. I admit the bias.

[bucket]

We insure our home, equipment, crop, self, companies can buy EDC insurance to protect sales, yet suggest a farmer is incontrol of risk management on commodity liabilities is an assault to sensibility?

Having operated export based companies they are complex, a multitude of problems from trade, to rail impell profits, and the challenges of the trade in the last few years have been formidable. Providing an environment that attracts investment is imperative to the future, and the systems we support determine how producers & industry thrive in event of failure, & support success play an important role in future investment.

It's my belief that cards better in held in my hand to be played than others. I admit the bias.

Here is the question....

AS a farmer I go buy insurance to protect grain sales.....Will I just take the scale ticket to the insurance company and say they haven't paid or are not going to and get a cheque?????

Somehow I don't think its that easy ...If I put a rock in the combine there is a lot of due diligence before the claim is paid...

I had small fires in one combine...sent it in to be repaired....nope thats my fault because deere didn't tell me there was an update to the back of the rotor....but had I let it burn up....all good...

Insurance at times is a little ****ed up...and more than likely it would be in grain coverage as well...Also could be open to scams pretty quick....

[the big wheel]

How about 10 cents on the dollar and there might be a well subsidized company looking at those assets at that value to make the rest of their facilities look better on paper....just thinking out loud....

Ya I can see another government handout coming to complete the sale. And then a story in the paper about how smart a business man the new owners are. Lol

[rumrocks]

Here is the question....

AS a farmer I go buy insurance to protect grain sales.....Will I just take the scale ticket to the insurance company and say they haven't paid or are not going to and get a cheque?????

Somehow I don't think its that easy ...If I put a rock in the combine there is a lot of due diligence before the claim is paid...

I had small fires in one combine...sent it in to be repaired....nope thats my fault because deere didn't tell me there was an update to the back of the rotor....but had I let it burn up....all good...

Insurance at times is a little ****ed up...and more than likely it would be in grain coverage as well...Also could be open to scams pretty quick....

My experience with insurance companies goes like this . . .

Me "I'd like to report a fire that occurred in my combine"
Ins Co. " What day of the week did this fire occur "
Me " Last Sunday "
Ins Co. " We're sorry sir you're not covered when working on the Sabbath "
Me " No, it was rather late at night it was probably early Monday morning "
Ins Co. " Well that changes everything, yes you are covered then, one more question, what color shirt were you wearing at the time of the fire".
Me "Black"
Ins Co. " We're sorry sir, black appears to be for Tuesday fires " . . . .

This is an exaggeration but you get my drift.

[hobbyfrmr]

We insure our home, equipment, crop, self, companies can buy EDC insurance to protect sales, yet suggest a farmer is incontrol of risk management on commodity liabilities is an assault to sensibility?

Having operated export based companies they are complex, a multitude of problems from trade, to rail impell profits, and the challenges of the trade in the last few years have been formidable. Providing an environment that attracts investment is imperative to the future, and the systems we support determine how producers & industry thrive in event of failure, & support success play an important role in future investment.

It's my belief that cards better in held in my hand to be played than others. I admit the bias.

Farmer A/R Insurance works great for out of province sales but worthless when selling in Sask.
December 2018 I contracted a semi load of new crop organic peas to JGL Commodities who was sourcing for Verdient. Sent samples then waited the winter for a call. Contract due end of march.
I started to phone mid March. The buyers were really defensive and evasive. The organic guy was on a “late lunch” for 10 straight days. I would say I have these contracted peas and his colleagues were very abrupt and would say “I don’t know anything about that”.
I would leave a message every second day looking for an update. Literally no response.
They finally picked up the load middle of June. I should have the cheque in the next couple of days.
I really dont like any way this transaction has transpired. In 28 years I have never had this experience selling grains. The organic market is getting sketchy with new buyers, sunshine, no chemicals, “save the world”, “doing the right thing”, “bless the farmer” type of conversations.
Those ****ers are going to have a hard time sourcing organic peas after this bullshit.

[MBgrower]

Here is the question....

AS a farmer I go buy insurance to protect grain sales.....Will I just take the scale ticket to the insurance company and say they haven't paid or are not going to and get a cheque?????

Somehow I don't think its that easy ...If I put a rock in the combine there is a lot of due diligence before the claim is paid...

I had small fires in one combine...sent it in to be repaired....nope thats my fault because deere didn't tell me there was an update to the back of the rotor....but had I let it burn up....all good...

Insurance at times is a little ****ed up...and more than likely it would be in grain coverage as well...Also could be open to scams pretty quick....

Thats what ive been told by someone who had a combine fire, dont rescue it, let it burn completely.

[bucket]

Thats what ive been told by someone who had a combine fire, dont rescue it, let it burn completely.

Well you have to use the token fire extinguisher to say you tried....

It was too good a combine to burn...

[farmaholic]

Local rumours claim some people had deferred some grain with this Co and supposedly the CGC bonds don't cover that?

Why not, what's the difference? It's money owed.
How does deferring payment make it any less important than a cash settlement?
Think it needs to change?
What difference would it make anyway when the bonds don't cover current sales?
You would think the value of the checks deferred should be held in a reserve account instead of being used to finance or bankroll the GrainCo operations.

Sad....

[jamesb]

Local rumours claim some people had deferred some grain with this Co and supposedly the CGC bonds don't cover that?

Why not, what's the difference? It's money owed.
How does deferring payment make it any less important than a cash settlement?
Think it needs to change?
What difference would it make anyway when the bonds don't cover current sales?
You would think the value of the checks deferred should be held in a reserve account instead of being used to finance or bankroll the GrainCo operations.

Sad....

my understanding that deferred grain checks have never been covered by the cgc bond. It gives the CGC an out. You could have been paid but didn't take the money.Deferred checks would be an unsecured creditor. The take away is if can get paid, take the money. Years ago it was put to me that it was very risky to defer from a lot of plants as they just didn't have deep pockets and a few bad deals would ruin them.