Holly Sugar, now Imperial Sugar, of Sidney, Mont., has begun the process of bringing the company out of Chapter 11 bankruptcy and into a profitable, efficient business status, Russ Fullmer, Imperial Sugar executive, told those who attended the MonDak Value-Added Ag Conference Thursday at the Ernie French Center.

Fullmer reported that the company's problems were related to "co-op fever.'

The debt reached almost $800 million before banks stepped in. Now the bondholders (banks) have 98 percent ownership in the company and stockholders have 2 percent.

Fullmer indicated the bankers want to see Imperial succeed.

The reorganized company is selling off many of its earlier purchases, according to Fullmer. He indicated the company is reducing inventories and has long-term plans to increase acres while buying new equipment to increase the slice rate of the factory.

Fullmer said Imperial Sugar would be putting out a new sugar contracts soon and is encouraging farmers to start new irrigation acres in the MonDak region.