Chicken processor files for bankruptcy
Posted December 22, 2010 2:38 p.m. EST
Siler City, N.C. — Townsends Inc., a chicken processing company that has two plants in Chatham County, has filed for Chapter 11 bankruptcy.
The company cited more than $100 million in liabilities in its filing, and officials said in a statement that the firm has been hit by a combination of high feed costs and low prices for chicken.
In conjunction with the Chapter 11 filing, Townsend's is seeking approval for $52 million in financing to continue its operations during the restructuring.