Wilbur-Ellis Co. – Management Brief

Wilbur-Ellis Co., Walnut Grove, Calif., has made recent management announcements in its Agribusiness division. Troy Johnson has been named vice president of Midwest Operations. He joined the company seven years ago as director of seed technology. In 2009, he began managing the South Dakota operations, and soon began managing North Dakota and Nebraska. He has been involved with acquisitions and expanding the company’s building infrastructure and product line. Today, Midwest operations generate about $500 million in sales revenue.

Michael Wilbur has been named the newly-created job of national director of Ag technology. His key responsibility will be to lead the strategy and development of AgVerdict®, a comprehensive interactive online system for generating, tracking, reporting, and managing crop production supported by Wilbur-Ellis’ agronomic experts. He previously served as national director of seed technology for three years. He will be based in the San Francisco Bay Area.

David Ferrell has been named the national director of seed technology. His key responsibility will be to continue the progression of Wilbur-Ellis’ seed and seed treatment business, including the company’s Integra Fortified Seed® brand. He joined the company in 2009 as South Central regional seed manager. He will be based out of Austin, Texas.

Both Wilbur and Ferrell are members of the Ag division’s senior leadership team. The division generates $2 billion in annual revenues.

Corps acts on Mississippi River

The U.S. Army Corps of Engineers St. Louis District reports that on Dec. 15 it began increasing releases from Carlyle Lake in support of safe navigation on the Mississippi River.

Water from the lake will help provide the depth necessary for river commerce to pass Thebes, Ill., where rock formations pose a risk to navigation at -5 feet and below on the St. Louis gage. Carlyle Lake is located on the Kaskaskia River system in Southwest Illinois.

Carlyle Lake is one of few Corps reservoirs able to significantly capture water above its seasonal pool level to support navigation during the current drought. Maj. Gen John Peabody, Mississippi Valley Division commander, authorized all the lakes on the Upper Mississippi River system to hold an additional 10 percent above seasonal pool levels October 17 in anticipation of historic low levels on the Middle Mississippi.

Releases from Carlyle Lake began late Saturday, and will increase gradually to 4,000 cubic feet per second by Monday afternoon. The full extent of the releases is expected to reach Thebes by Dec. 24. This will provide an additional six inches of depth in this critical reach of the river. Releases will continue if needed until the river level increases through precipitation, or until Carlyle Lake reaches its winter pool elevation. With the additional release schedule, Carlyle Lake is expected to reach its winter pool level in approximately three weeks

"With the Mississippi River watershed receiving less rain than forecasted, we are working to provide the water depth needed at a time when inches make a difference," Peabody said. "We’ll continue to work closely with the navigation industry and our partners in the U.S. Coast Guard to keep the vital artery for commerce open."

On Dec. 14, the Corps announced the schedule for removing rock formations in the Mississippi River near Thebes, Ill. The agency has awarded two contracts for rock removal work in a nearly six mile stretch of river. Newt Marine Inc., of Dubuque, Iowa, will remove the rock formation upstream of Thebes; Kokosing Construction, from Fredericktown, Ohio, will remove the rock formation downstream of Thebes.

Work began Saturday, Dec. 15, upstream of the Thebes railroad bridge. While final blasting plans are still being developed, full operations will begin early the week of Dec 17, with blasting to take place during daylight hours. The U.S. Coast Guard is coordinating notices to mariners, and river closures are scheduled for 16 hours on working days starting Monday, Dec. 17, between 6 a.m. and 10 p.m. each day during the rock removal, with traffic allowed to pass for eight hours.

The work will remove around 890 cubic yards of limestone from the water-starved river to reduce the risk for vessels in the channel during low water. The rocks are part of a large formation that impedes the navigation channel during low water. More rock removal is planned for later dates, but the work that began Saturday will address areas that will have the most immediate impact on the navigation.

Removing the rock formations are one of many operations the Corps and U.S. Coast Guard are undertaking along the narrowing river to maintain a 9-foot deep channel for river navigation. Dredging has been ongoing since early July to preserve the channel, as well as continued surveys, channel patrols to keep commerce safely moving on the Middle Mississippi.

"The drought across much of the Midwest is making river navigation challenging," said Col. Chris Hall, St. Louis District commander. "We are taking additional measures and are confident that we will be able to maintain a safe and reliable channel for our partners in the river industry."

The Week in Fertilizer Stocks

The Week in Fertilizer Stocks

Producer Symbol Price Week Ago Year Ago
Agrium AGU 97.75 100.71 65.17
CF Industries CF 202.51 211.71 134.72
CVR Partners UAN 25.62 25.69 23.38
Intrepid Potash IPI 21.55 21.40 21.12
Mosaic MOS 55.63 53.72 49.49
PotashCorp* POT 40.60 39.37 40.34
Rentech Nitrogen RNF 37.97 38.60 18.40
Terra Nitrogen TNH 209.75 215.94 149.51
Distribution/Retail
Andersons Inc. ANDE 42.77 41.10 42.64
Deere & Co. DE 85.55 84.73 75.22
Scotts SMG 41.85 40.63 44.18
* represents three-for-one stock split

ICL unions threaten sanctions

Tel Aviv — The heads of the unions at the various Israel Chemicals Ltd. (ICL) subsidiaries have decided to impose sanctions in the coming weeks unless their demand to meet with Israeli Prime Minister Benjamin Netanyahu on the proposed sale of the company to Potash Corp. of Saskatchewan Inc. is met. The union leaders have asked for an urgent meeting with the prime minister to voice their objections to the proposed deal. One of the unions representing workers at ICL’s Dead Sea Works (DSW) subsidiary has already declared a work dispute. This gives the union two weeks before it can actually impose sanctions. Union leaders said the meeting is necessary to clarify their position that any such sale would be an economic disaster for the southern Negev region and those who work for the company. In their latest letter to the prime minister, the unions said that the sale of ICL to “foreign hands would be akin to giving up on part of the country.” They stressed in their letter that they represent the 5,000 ICL workers who are directly employed by the company as well as the up to 25,000 families who indirectly earn their livelihood from ICL. The Israeli government holds a golden share in the company since it was privatized back in the mid-1990s, making any deal subject to the approval of the state. The union leaders are also demanding clarifications from ICL management on where the deal stands. This is the second time they have demanded a meeting with Netanyahu as part of their effort to prevent the sale. The unions at other ICL subsidiaries are expected to follow the lead of DSW and declare a labor dispute. The increasing militancy of the workers comes just over a month before the Israeli elections. No decision on the possible merger is expected before the Jan. 22 elections due to the highly controversial nature of the sale. The negotiations with PotashCorp are not expected to resume until after a new government is formed, which will probably not be before mid-February at the earliest.

Fire reported at Florida fertilizer plant

Lake Alfred, Fla. — Firefighters were able to prevent a serious environmental situation from developing after a sludge fire began at the Growers Fertilizer plant Dec. 5, according to local media reports. Based on an emergency plan for the plant, firefighters prevented the fire from reaching ammonium nitrate that was stored nearby. The sludge was heated during a welding job and burst into flames. Nearby residents were not affected by the potentially dangerous smoke. The Florida Department of Environmental Protection said water used to extinguish the blaze did not run into a nearby lake because the plant had a good water retention system. The cause of the fire was ruled accidental, and there were no injuries. Coincidentally, the fire occurred at the same plant where a worker was fired a week earlier for leaving a noose hanging at the facility (GM Dec. 10, p. 13).

Synagro receives waivers from lenders

Houston — Synagro Technologies Inc. said Dec. 7 it has obtained a waiver of certain breaches of the company’s credit agreement. The waiver provides Synagro time to continue to work with its lenders to address its senior credit facility and strengthen its balance sheet. Senior lenders will waive default-related remedies, providing them and Synagro additional time to fully vet possible solutions to restructure Synagro’s debt while allowing the company to continue normal business operations. “The waiver agreement is a clear sign that our lenders are supportive of our efforts to strengthen Synagro’s balance sheet,” said Eric Zimmer, Synagro president and CEO. “While we are working diligently on the restructuring process, our focus remains on continuing to provide industry leading biosolids management for our customers nationwide.” Synagro, which touts itself as the largest recycler of organic byproducts in the U.S., serves more than 600 municipal and industrial water and wastewater facilities throughout the U.S.

Bombing suspect got “how to” from internet

Casa Grande, Ariz. — A team of federal investigators headed up by the FBI found all sorts of internet printouts – detailing materials and equipment needed to make bomb ingredients from homemade chemicals – in the home of a suspect in the bombing of the Social Security Administration (SSA) office here Dec. 7. Handwritten notes were also located referring to ammonium nitrate and how to make it from cold packs. The bomb rocked the SSA office building and was felt by individuals located close by, shook nearby buildings, and set off car alarms in the area. There was no indication of the full extent of damage at the building, which normally has 14 workers, but observers noted that the bombing had charred and blackened a back entrance. According to SSA there were no injuries,. and investigators were not disclosing the amount of damage that was caused. Abdullatif Ali Aldosary was charged in U.S. District Court in Phoenix with maliciously damaging federal property by means of explosives and being a felon in possession of a firearm. The Iraqi national was arrested less than two hours after the explosive device was detonated. Authorities were able to track down the suspect after several witnesses reported seeing the man’s license plate on a vehicle seen fleeing the bomb site.

Ship owner fined over ammonia leak

Anchorage — The OSHA office here has announced fines totaling $66,500 against the owners of the Seattle-based fish processing vessel Excellent, along with a lesser amount involving the firm handling the repair work. According to OSHA, all five violations were considered serious, and one was a repeat violation. “The citations issued were on process safety management standards,” according to Scott Ketcham, OSHA Anchorage area director. Premier Pacific Seafoods has planned a serious overhaul of their safety system, which according to Ketcham helped get their fines reduced. “Yes, there were some reductions in return for good faith,” Ketcham says. “But they gave us some really good corrections for these things happening in the future. And I feel very comfortable with the other contractor.” Failure to remove the ammonia line while replacing some older refrigeration equipment set up the events, which led to the release of several thousands of pounds of ammonia and injury to at least three persons – two of whom were hospitalized – aboard the vessel last summer, according to one of the investigators on the scene for the state. “Several years ago they removed that piece of equipment without removing the ammonia line," Steven Russell with the Alaska Department of Environmental Conservation told Green Markets. “It was left connected to the refrigeration lines and just looped back together. In hindsight, they should have completely removed that line from the vessel.” Russell explained that just before the release the line developed a small leak, and a temporary repair was made before the vessel came into port where a permanent repair would be made. The mechanical crew making the repair cut into the line thinking it was secure when it wasn’t.

LebanonTurf adds new products

Lebanon, Penn. — LebanonTurf has added new products, including Woodace 18-5-10 with Meth-Ex 40, designed to release nitrogen when plants needs it most. The company says the reformulated slow-release Woodace product is ideal for single-application top dressing for feeding trees, shrubs, groundcovers, and landscape ornamentals. Woodace 18-5-10 now contains both Expo and Meth-Ex 40 slow-release methylene urea nitrogen, which are preferred by professional growers for their long-lasting feeding properties. Expo is LebanonTurf’s patented, single-particle, extended-release potassium sulfate technology, which is designed to deliver potassium to the turf in a steady, reliable rate over an extended period. Expo also delivers controlled-release nitrogen. LebanonTurf has also announced additions to its Country Club line of premium greens-grade fertilizers, including Country Club 16-0-8 Ammoniacal 1 percent Fe and Country Club 22-0-16 4.4 WIN. The Country Club line of homogeneous methylene urea fertilizers combines traditional high-WIN products with LebanonTurf’s advanced Composite Technology granulation process for consistent delivery of controlled release methylene urea and potash. LebanonTurf says its patented Composite Technology fuses premium forms of nitrogen with phosphorus, potassium, and select micronutrients. This results in a unique homogeneous granule with improved particle dispersion and integrity, along with a higher measurable amount of nitrogen activity. LebanonTurf, a division of privately held Lebanon Seaboard, says it is the only company serving the landscape and golf markets that offers both microbiological components and advanced controlled-release fertilizers delivered as part of an integrated systems approach to turf and plant care needs.

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