CHS Inc. informed employees of the Creston processing and food ingredient facility Friday morning the plant would be closed effectively immediately.
“The entire facility will be closed and all employees at the facility will be impacted,” a letter given to employees said. “This closure is expected to be permanent.”
A statement from CHS Inc. received by the Creston News Advertiser Friday afternoon said the news was delivered in person to the 53 employees at the Creston facility by the plant manager, the CHS director of operations for the division and a human resources representative.
CHS acquired the facility in 2011 from Creston Bean Processing.
The statement reads, “In recent months, Jay Debertin, CHS CEO, shared strategic priorities for CHS with employees and our member-owners. Primary among these is restoring financial flexibility for CHS, which includes reviewing all company assets to determine which are a strategic fit for CHS now and into the future. As part of its broader FY18 CHS priorities of restoring financial flexibility and positioning the company, its owners and other stakeholders for long-term success, CHS has ceased production at, and permanently closed, soybean processing facilities at Hutchison, Kansas and Creston, Iowa, and closed its Innovation and Technology Center at Eagan, Minnesota. CHS will continue to focus on operations which are more closely aligned with other CHS commodity-based core businesses.”
Union County Development Executive Director Wayne Pantini said the UCDA will begin working right away to assist the affected employees.
“We were informed this morning. We’re in shock, but we are still trying to gather information so we can respond accordingly,” Pantini said Friday afternoon. “It’ll have a large impact, for sure. We will bring our partners together and go through the same process and figure out what we can do to help those employees that are impacted.”
CHS Inc. is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex brand refined fuels, lubricants, propane and renewable energy products.