California poultry company files for Chapter 11 bankruptcy

Business credits financial stress to high corn and soybean meal prices

California-based poultry company Zacky Farms LLC filed for Chapter 11 bankruptcy October 8 with the United States Bankruptcy Court, but said normal operations and customer service will continue without disruption.

Due to historically high corn and soybean meal prices, Zacky incurred significant operating losses that depleted its liquidity and working capital position.

Zacky has not set a target date for emergence from Chapter 11, but the company has employed financial advisors to explore strategic alternatives.