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  1. #1
    AnnaGiannini
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    Two farming companies managed by a controversial Illinois farmer declare Chapter 11

    For much of the past decade, Rick Rosentreter has been bad-mouthed in coffee shops and on Internet discussion boards during his race to amass a large farm operation. He became a titan farmer by accumulating some 30,000 rental acres across central Illinois just 13 years after farming only 2,000 acres. The Carlinville, Ill., farmer has been accused of driving rents to unreasonable rates and destroying the moral fabric of the surrounding rural communities.

    Now, the future for Rosentreter is in doubt as his two farming companies, Illinois Family Farms and Illinois Family Farms Leasing Company, have filed for Chapter 11 bankruptcy protection. The leasing company filed on Oct. 12, 2011, followed by Illinois Family Farms LLC on Nov. 23.

    A former Top Producer of the Year finalist, Rosentreter did not respond to our calls or e-mails regarding this article.

    Bankruptcy isnít necessarily the end of a farming career, but it is important to investigate what happened. To gain insight for this article, we interviewed long-time agribusiness consultant Allen Lash, a trusted mentor for Rosentreter.

    One of the ways Rosentreter was attempting to stay competitive was to become a founding member of FamilyFarms LLC, a group started in 2008 by Lash.

    The Brighton, Ill.-based consultant once tagged Rosentreter as one of his all-time "best students." During a 2008 Top Producer interview, Rosentreter responded to the question, Whatís next for you? with a smile and said, "I donít know, Allen hasnít told me yet."

    Continue reading [url]http://www.agweb.com/article/high-profile_crash_of_a_titan/[/url]

  2. #2
    Senior Member jb197 is on a distinguished road
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    Thanks for posting this. I was just about to do the same. Here's another article on the same guy from a few years ago when everyone thought he was the smartest guy in the room.

    [url]http://www.agweb.com/assets/import/files/515262.pdf[/url]

    If you read all the first article the guy owns two companies. One has $32 million in liabilities, $1.7 million in assets. The other $17 million in liabilities, $700,000 in assets. He either is a genius or his bankers are stupid.

  3. #3
    Senior Member PERCY is on a distinguished road
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    JB, I'm no CPA, but those #'s probably reflect the fact that everybody made a run on him, and secured a crop lien, which essentially shut him down. Else the grain could be hiding in some "undisclosed" bin.

  4. #4
    Senior Member dennis1 is on a distinguished road
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    jb197, I think this is the same, not attempting to copy, but NOtE COMMENTS:

    [url]http://www.agweb.com/topproducer/article/high-profile_crash_of_a_titan/[/url]

    r3020's comment made me do my comment...and I will stand by it.

    Someone was lying to himself, family, and company! just like politics in DC, state and local level, some of this is
    nothing more than arrogance and greed, it's time for them to remember they put their pants on the same way
    everyone else does!

    btw...is Greg V. doing two jobs this week?
    Last edited by dennis1; 01-12-2012 at 07:03 PM.

  5. #5
    Senior Member jb197 is on a distinguished road
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    PERCY,

    I find it strange that banks would loan to a guy with negative owner equity. There is some fraud involved here and I would bet it starts at the bank he used to work for and now owes nearly $15 million in UNSECURED loans. I'm in another universe than this guy as far as farm size, but I can't imagine someone loaning out $15 million unsecured.

  6. #6
    AnnaGiannini
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    Quote Originally Posted by dennis1 View Post
    jb197, I think this is the same, not attempting to copy, but NOtE COMMENTS:

    [url]http://www.agweb.com/topproducer/article/high-profile_crash_of_a_titan/[/url]

    r3020's comment made me do my comment...and I will stand by it.

    Someone was lying to himself, family, and company! just like politics in DC, state and local level, some of this is
    nothing more than arrogance and greed, it's time for them to remember they put their pants on the same way
    everyone else does!

    btw...is Greg V. doing two jobs this week?
    Not doing two jobs.... This is last story on agweb....

  7. #7
    Senior Member jb197 is on a distinguished road
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    If this guy spends $600/acre including rent on 30,000 acres that's $18 million just in operating costs before servicing loans. I suppose he could owe a great deal of money to vendors and landlords. They say he had 2 or 3 bad production years. I guess his computer didn't account for that.

  8. #8
    Senior Member dennis1 is on a distinguished road
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    Quote Originally Posted by jb197 View Post
    If this guy spends $600/acre including rent on 30,000 acres that's $18 million just in operating costs before servicing loans. I suppose he could owe a great deal of money to vendors and landlords. They say he had 2 or 3 bad production years. I guess his computer didn't account for that.
    used to be the 6 pack carton paper or cigarette package paper and a $7.00 calculator and a give me ball point pen could do the trick, too.

  9. #9
    First thing that jumped out at me was his debt to asset ratio. WTF! How would anyone loan this turkey any jack?

    The word "Titan" is used to describe this guy. I think Fraud, Thief, Liar, Begger, Scoundrel or Bankrupt MFer seems more apt. I mean he wanted to get big when seeing that fancy machinery go by, which I have no problem with. But the fact that he basically screwed all of his creditors by filing for bankruptcy while selling his go big or get out attitude seems moral corrupt.

    It is a cut throat game in the renting game out there. Learning that the hard way. Had oppurtunity to rent a farm from a landlord who came to us but we feared undercutting the current farmer, who was a neighbor. Fast forward a couple years and that current farmer tried undercutting us and got our rent jacked.

    I guess the lessons I've learned so far watching the games played in the rental game. Is pick out your enemies, make offers on their rented land, just to get their rents jacked up or take the damn thing and say F em. Not quite ready to play that game but 2013 the gloves are coming off. I'm not naturally wired that way but after reading articles like this and getting knifed in the back by neighbors changes my opinion. F em. Got a neighborhood full of *******s that need their asses checked back to reality.

  10. #10
    Senior Member iadave is on a distinguished road
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    I never have to check my crops on rented ground. Some one always calls the landlord at the first sign of a weed or crop problem . Gee neighbors sure are nice!
    On the bankruptcy. I have seen one of the locals pull this trick. He got into the local bank big time. When they figured it out they gave him a glowing review to his next bank. The first bank then got their money. The borrower by then had quite a few million borrowed and no assets. Nobody notices if 10% is missing so do the math at that point.Actually they probably let him keep 10% if the borrower would help find most of the assets!
    Last edited by iadave; 01-12-2012 at 10:22 PM.

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