McM Inc lists $49.7 million in debts, $10.3 million in assets
FARGO, N.D. — McM Inc. on March 10 made its first detailed listing of debts and assets as part of its bankruptcy case — $49.7 million in debts and $10.3 million in assets.
The farm from St. Thomas, N.D., declared Chapter 7 liquidation bankruptcy on Feb. 10. McM Inc. is one of the largest high-value farms in the region, having farmed up to 59,000 acres in 2012 before scaling back to 39,000 acres by 2016. The farm had bases of operations in the St. Thomas, Grand Forks, and Fargo areas. The documents indicate the company had nearly $21.8 million in gross income in 2015.
The company, led by Ronald McMartin, Jr., was a large producer of red potatoes, sugar beets and dry edible beans. McMartin did not immediately return requests for comment. The first meeting of creditors will be held March 16 at 1 p.m. in the federal courthouse in Grand Forks.
In the bankruptcy documents filed in U.S. Bankruptcy Court late Friday in Fargo, McM Inc. listed $664,983.50 in real property and $9,686,463.91 in personal property for a total of nearly $10.4 in assets.$48 million secured
The company has $48.2 million in claims secured debt. It also had $1.375 million in unsecured claims, for a total about $49.7 million in total debts.
The company lists its largest secured creditors as BMO Harris Bank, N.A., of Carol Stream, Ill., $43.19 million, with unknown collateral, and Crop Production Services, Grand Forks, N.D. $3.68 million, with $1.1 million in collateral. Three companies — Deere & Co., Moline, Ill., Deere Credit, Inc., Carol Stream, Ill., and Farm Credit Services of Grand Forks, each had claims and collateral unnamed.
Several creditors listed a total of $1.36 million in secured claims backed by stored crops listed with values of $1.1 million in value. Those claims included Johnson Potato Co., Walhalla, N.D., $529,000, Northdale Oil, Inc., East Grand Forks, Minn., $250,000, T.F. Thompson & Sons, Inc., unknown, and Wilbur-Ellis Company, LLC, Dallas, Texas, $578,000.$1.36 million unsecured
Another 206 creditors were listed as unsecured, most with dollar amounts listed as zero or unknown. The largest among them (rounded to the nearest thousand) are
CHS Ag Services, Warren, Minn., $674,000, Ronald McMartin Sr., St. Thomas, N.D., $155,000, CNH Capital, Phoenix, Az., $100,000, Eide Baily, Fargo, $86,000, Agri-Financial Services, Inc., Louisville, Ky., $60,000, Wells Fargo Credit Card, Carol Stream, Ill., $41,000, Hanson's Auto & Implement, Inc., Grafton, N.D., $33,000, North Valley Equipment, Grafton, N.D., $31,000, Agrisight, Inc., Ann Arbor, Mich., $27,000, Nationwide Agribusiness, Des Moines, Iowa, $26,000, Harney Management Partners LLC, Lemont, Ill., $23,000, C&M Ford Sales, Inc., Hallock, Minn., $10,000, and BlueCross BlueShield of North Dakota, $10,000.
On the asset side, McM Inc. has about $172,000 in cash and equivalents, $2.06 million in deposits and prepayments, $4.1 million in accounts receivable, $2.9 million in farming-related assets (inventories), $3,065 in office furniture, $280,000 in machinery and vehicles, $665,000 in real property and nearly $109,000 in other assets, to total the $10,351,446.41 in all property.