Tuesday March 29 Ag News

PREVENT GRASS TETANY
Bruce Anderson, NE Extension Forage Specialist

               Fall-planted rye, triticale, and wheat as well as spring pastures soon should be ready to graze.  These fields can give great grazing, but be sure you take steps to avoid problems with grass tetany.

               Grass tetany is caused by low blood magnesium. Low blood magnesium can be due to low levels of magnesium in lush spring grass, but it also is caused by mineral imbalances like high potassium and nitrogen or low calcium in the diet.

               Grass tetany primarily affects older, heavy milking cows or sheep, but young stock also can be affected.  It occurs most frequently in spring during cool, cloudy, moist conditions when lush, immature grass starts growing rapidly.

                 Animals affected by tetany often graze away from the herd, are irritable, show muscle twitching, awkwardness, and staggering, and they are somewhat wide-eyed and staring.  When affected severely, the animal will collapse, thrash around, throw its head back, maybe lapse into a coma, and possibly die.

               To prevent grass tetany, first wait to graze until grass is more than 6 inches tall.  Also, feed or graze legumes like clover or alfalfa when you start on pasture since they have high magnesium levels.

               Feeding about 10 to 20 grams per day of supplemental magnesium via commercial or home-made salt-mineral mixes may be the best way to reduce tetany problems, but start supplementing as much as thirty days before grazing begins.  Magnesium oxide is one of the best and cheapest sources of magnesium.  Mix equal parts of magnesium oxide with dical, salt, and ground corn for a simple home-made supplement that provides adequate magnesium when each cow eats about one pound of the mix per week.

               As always, an ounce of prevention is worth a pound of cure.         



Price Risk Management and LRP
Kate Brooks, Asst Professor, Dept of Ag Econ, University of Nebraska

Every operation should develop and maintain a marketing plan. The plans can be very simple to very complex, depending on your situation and level of detail. These plans need to be flexible and updated as things change.   Price risk management is one piece of this marketing plan that we will discuss in further detail.

Many producers may have grown complacent with managing market risk because they may not have found it beneficial due to increasing cattle prices over the past several years.  As we move through the first part of 2016, volatility has continued and long-term price outlook has continued bearish with the increasing size of the cattle herd.  As market conditions have changed, producers need to again consider their marketing strategies and consider managing their price risk.

In managing price risk, producers first need to consider their total costs of production.  This will help to establish their price risk, and how to go about managing it.  Producers should find a level of risk and pricing method they can accept. The best pricing methods may change from year to year and what your neighbor did may not be the best choice for you.  There are several options for selling and pricing your cattle.  Some producers may only use cash markets or cash forward contracts, while other producers may feel comfortable using the futures market or options market.  Price protection through the Chicago Mercantile Exchange (CME) futures and options contracts can create new risks in the form of margin calls and may not be a good option for many smaller-scale producers. Livestock Risk Protection (LRP) Insurance is another option for these producers to consider to protect against downswings in the national cattle market price.

LRP Insurance is a single-peril insurance program offered by the USDA Risk Management Agency and is available from a licensed agent through the private crop insurance industry.  An LRP policy is available for both feeder and fed cattle and is similar to a put option, allowing a producer to establish a floor price for protection while leaving upside price potential open.  Unlike market contracts and options, LRP does not require a margin account or broker. LRP also has the advantage of not requiring a minimum number of cattle to be insured and 13% of the premium is subsidized.  More information on LRP for feeder cattle can be found at: http://extensionpublications.unl.edu/assets/pdf/g1723.pdf, and for fed cattle at: http://extensionpublications.unl.edu/assets/pdf/g2257.pdf.

Planning is essential.  Creating a marketing plan can help alleviate stress as well as emotion in implementing your marketing strategy.  Understanding your cost of production will help establish your pricing objectives and the triggers that make the marketing plan more valuable.  Make sure you continually evaluate your plan and establish contingency or backup plans you can implement if there are price or market changes that differ from your original expectations.  



Nebraska Farmers Union PAC Announces Primary Endorsements

NEBFARMPAC, the political action committee of the Nebraska Farmers Union, Nebraska’s second largest general farm organization with over 4,000 farm and ranch families announced its Primary endorsements for the Legislature, State Board of Education, and Public Power Districts. 

NEBFARMPAC Secretary John Hansen said “This year we have 5 Nebraska Farmers Union members running for Legislature, one for State Board of Education, and one for Omaha Public Power District.  We encourage our members to become educated on the issues and be constructively engaged in the public policy process.  We are always pleased when our members step up and assume the risks and responsibilities and run for public office.  We encourage them to consider serving at all levels of government.  Public service comes with good citizenship.”

Based on their position on family farm and ranch issues and input from county and district officers, the NEBFARMPAC Board of Directors announced the following endorsements for candidates for the Primary election with NeFU members in bold:

Nebraska Legislature:
Carol Blood in Legislative District 3; Mike McDonnell in Legislative District 5; Tony Vargas in Legislative District 7; Sara Howard for Legislative District 9; Jake Seeman in Legislative District 13; Joni Albrecht in Legislative District 17; Larry Scherer in Legislative District 21; Jerry Johnson in Legislative District 23; Kate Bolz in Legislative District 29; Dan Quick in Legislative District 35; Bill Armbrust in Legislative District 39; Al Davis in Legislative District 43; and Sue Crawford in Legislative District 45.

State Board of Education:
Lisa Fricke in District 2 and Rachel Wise in District 3.

Nebraska Public Power District:
Gary Thompson in Subdivision 8 and Zak Hookstra in Subdivision 10.

Omaha Public Power District:
Rick Yoder in Subdivision 4 and Craig Moody in Subdivision 5.

NEBFARMPAC will make additional endorsements after the Primary Election.



Donating to Kansas & Oklahoma Fire Relief Funds

The Anderson Creek Fire that started in Oklahoma and spread northward into Kansas has destroyed nearly 400,000 acres of land, fences, personal property and livestock.

Nebraska Cattlemen members have taken it upon themselves to gather hay and fencing supplies to ship southbound to operations in need. Other members and supporters that would like to help may give monetary donations to Kansas Livestock Foundation and the Oklahoma Cattlemen Foundation. These funds will be used for fencing supplies, animal health efforts and other needs. Both foundations have an online donation form or you may mail a check with "Fire Relief Fund" in the memo line to the address' below.  Make checks payable to: 

Kansas Livestock Foundation
6031 S.W. 37th, Topeka, KS 66614
http://www.kla.org/donationform.aspx
    
Oklahoma Cattlemen's Foundation
P.O. Box 82395, Oklahoma City, OK 73148
http://okcattlemen.org/woodscountycattlemenfirerelieffund.aspx

We appreciate the efforts put forth by NC members to help our friends during this troubled time.



ISU Farm Poll Shows Farmers Increasing Use of Nutrient Loss Reduction Practices

Practices and strategies that minimize nutrient loss and soil erosion and increase soil health can have positive impacts on water quality while maintaining and improving productivity. The 2015 Iowa Farm and Rural Life Poll found that many farmers have increased their use of key practices in recent years.

Farm Poll participants were asked about how their use of various types of tillage, nutrient management, pest management and other conservation and agronomic practices may have changed over the last 10 years. The list of practices was drawn primarily from the Iowa Nutrient Reduction Strategy. Farmers were asked to report whether they had made a major decrease, a moderate decrease, no change, a moderate increase or a major increase in their use of each of the practices.

It is important to note that the "no change" category could signify that a farmer had adopted the practice more than 10 years before the 2015 survey.

“On the whole, the results indicate that Iowa farmers are moving in the right direction on most of these key practices,” said J. Arbuckle, associate professor of sociology and extension sociologist for Iowa State University Extension and Outreach. “Many farmers report that they are increasing their use of practices that can reduce or prevent soil degradation and nutrient loss, and reducing their use of practices that can have negative impacts.”

Nearly half of farmers surveyed - 46 percent - reported increasing use of no-till over the last decade. The use of fall tillage had decreased, with 36 percent of farmers reporting a moderate or major drop in use of that practice, while 14 percent reported an increase in their use of tillage in the autumn months. There was a similar trend for spring tillage; 36 percent of farmers reported a decrease and 10 percent reported an increase in tillage during the spring.

Farmers also appear to be changing their nutrient management practices in ways that align with Nutrient Reduction Strategy recommendations. Sixty-one percent of farmers indicated they had increased their use of soil testing and other related methods to determine optimal fertilizer rates. Additionally, 47 percent had increased their use of GPS-facilitated precision practices like variable rate fertilizer application, and 46 percent reported that they had increased use of nitrogen stabilizers.

The timing of nitrogen fertilizer application can have a substantial effect on nutrient loss. The Nutrient Reduction Strategy recommends that nitrogen be applied in the spring and/or during the growing season, and discourages fall application. Results showed that almost a third of farmers had shifted away from fall application of nitrogen. Conversely, 38 percent reported an increase in the use of growing-season application of nitrogen, and 33 percent had increased their use of spring application.

“Farmers often adopt practices on a gradual basis, trying them out first on a small scale to see if they make sense for their operations,” Arbuckle noted. “For a lot of the practices, farmers reported ‘moderate increases’ that may represent such trial adoption. It’s very important to provide information and technical assistance necessary to help them transform those initial steps into long-term adoption.”

Farmers reported changes in several other major types of conservation and agronomic practices. Sixty-two percent indicated that they had increased use of practices focused on improving soil health. Nearly 60 percent reported increased installation of agricultural drainage such as tile or ditches, 54 percent had increased use of structural conservation practices such as terraces, grassed waterways, contour buffer strips, and buffer strips along streams, and 35 percent had increased use of cover crops to some extent.

“There’s still a lot of work to be done to meet Nutrient Reduction Strategy nutrient loss goals, and soil erosion and poor soil health continue to be major problems in Iowa,” Arbuckle said. “But results from the 2015 Farm Poll suggest that many Iowa farmers are taking important steps to improve water quality and reduce soil degradation.”

The Iowa Farm and Rural Life Poll has been in existence since 1982, surveying Iowa farmers on issues of importance to agricultural stakeholders. It is the longest-running survey of its kind in the nation.



Animal Ag Continues to Add Meat to National Economy

The animals that feed us are also feeding our economy, according to a new soy-checkoff-funded study. The analysis shows animal ag, U.S. soy’s top end user, increased gross national product by $123 billion in economic output, improved household earnings by over $21 billion and added 645,629 jobs from 2004-2014.

According to the Economic Analysis of Animal Agriculture, during 2014 alone, U.S. animal agriculture’s support of the national economy included:
-    $440.7 billion in economic output
-    2,363,477 jobs
-    $76.7 billion in earnings
-    $19.6 billion in income taxes
-    Those figures all increased from 2013.

“The fact that our animal ag sector is growing is very beneficial for U.S. soybean farmers,” says Mike Beard, a soy checkoff farmer-leader who grows soybeans and raises hogs on his farm in Frankfort, Indiana. “With 97 percent of soybean meal going to animal ag, the strength of poultry and livestock production are incredibly important to the U.S. soybean industry.”

During 2014, U.S. animal agriculture consumed an estimated 27.9 million tons of soybean meal, or the meal from about 1.2 billion bushels of U.S. soybeans. This soybean meal was fed primarily to:
-    Broilers: 464 million bushels
-    Hogs: 327 million bushels
-    Dairy cows: 112 million bushels

The report concluded that U.S. soybean farmers shouldn’t let their support for the animal ag industry weaken. Poultry and livestock farmers face many pressures, which also threaten the profitability of all soybean farmers.



Fewer Hogs and Higher Prices

The nation's pork producers have indicated to USDA that they are not expanding the breeding herd and, in fact, intend to reduce farrowings this spring and summer. According to Purdue University Extension economist Chris Hurt, this means pork supplies will be somewhat less than had been anticipated and that hog prices will be somewhat higher.

For the USDA's March Hogs and Pigs report, pork producers indicated that the size of the nation's breeding herd was unchanged from the same date one year earlier. The herd had been in an expansion phase from the last half of 2014 through 2015. That expansion was largely because of record-high profits due to baby pig losses from the porcine epidemic diarrhea virus (PED).

That expansion phase seemingly has now ended.

"There is some unevenness in the change in breeding herd numbers over the past year," Hurt says. "One constant is that the Southern Plains states have been the most aggressive in adding breeding herd numbers over recent years. For the 16 states that USDA surveys for the March report, the breeding herd is up 9 percent in Oklahoma and 10 percent in Texas."

Over the past two years, the Southern Plains have led the country in expansion by increasing their breeding herd by 15 percent. Some of the primary Midwestern states reported a decrease in their breeding herds over the past year.

"Generally, record corn yields in most western Corn Belt states were not a sufficient reason to increase the breeding herd," Hurt says.

Iowa reported its breeding herd as down 5 percent, Missouri was down 4 percent, and Minnesota was down 2 percent. In Indiana, where corn yields were reduced by summer flooding, the breeding herd was down 7 percent.

"The second most important information from this inventory report is that pork producers intend to reduce the number of sows farrowed by 1 percent this spring and by 3 percent this summer," Hurt says. "If they follow through on these intentions, pork supplies next fall and winter will be smaller than previously anticipated. Smaller anticipated supplies will likely boost price prospects."

According to Hurt, the inventory numbers in this latest inventory report can be used to forecast pork supplies for the remainder of 2016 and the first quarter of 2017. Market hog inventories indicate that pork supplies may be near unchanged in the second and third quarters of this year. Fourth-quarter supplies are also expected to be near unchanged, reflecting modestly smaller spring farrowings, but somewhat more pigs per litter. For the 2016 calendar year, pork production is expected to be unchanged to up 1 percent. Pork supplies in the first quarter of 2017 will come from the 3 percent smaller summer farrowings. However, with more pigs per litter and heavier weights, pork production is expected to be only about 1 percent smaller.

Live hog prices in 2015 averaged $50.23 per hundredweight for 51 percent to 52 percent lean carcasses, according to USDA.

"My current forecast is that prices will be in a range of $49 to $54 for all of 2016, about $1 higher than last year," Hurt says. "Live-weight prices averaged about $46 in the first quarter of this year. Prices are expected to rise to the $55 to $58 range for averages in the second and third quarters and finish the year in the mid-to-higher $40s.

"Hog prices stand ready to make their normal seasonal rally into the early summer," Hurt says. "Current prices in the higher $40s are expected to move to the higher $50s or low $60s by June and July. Strong prices are expected until September when the normal seasonal pattern begins a sharp decline."

Current prospects are for costs of production to be at the lowest level in nine years due to low feed costs. Those costs are estimated to be near $50 per live hundredweight for the entire year of 2016. "This means that this year's outlook is for an average profit of about $6 per head compared to an estimated $3 per head of loss for 2015," Hurt says. "Losses of $9 per head are expected in the first quarter and $6 per head in the final quarter. Profits of $21 per head are anticipated in the second quarter and $18 per head in the third quarter."

Hurt believes that the pork production industry appears to be headed for a year in which they will cover all costs and with some modest profits left over. "Producers have avoided a bigger buildup in the breeding herd that could have driven the industry back toward losses," he says. "For right now, the industry seems to have supply in alignment with pork demand such that prices cover the full cost of production. In the future, producers will need to keep expansion of the breeding herd at 1 percent or less per year.

"At this time of year, producers are reminded of the threat of higher feed prices if weather should turn harmful to the growing U.S. crops," Hurt concludes. "Some coverage of new-crop feed supplies should be considered with current price prospects at the lowest level in nine years.



Rabobank Global Beef Quarterly Q1: South American Beef Exports to Rise

South America's beef exporters are set to increase exports by an estimated 11 percent in 2016. This increase is supported by favorable currency values, improved access to importing countries and increased availability of beef.

While Brazilian consumers are seeing their purchasing power decline, local beef prices remain high. On the supply side, cattle producers have been encouraged to maintain cows in their herd rather than sending them to slaughter—a result of high calf prices driven by low calf availability. Meanwhile, the weaker currency has made Brazilian beef very competitive on international markets, and strong global demand has pushed local market prices higher. The resulting high domestic beef prices have pushed consumers towards cheaper competing proteins, such as poultry, freeing up additional beef for exports.

Other regional highlights from the Beef Quarterly Q1 2016:
•            Despite a slowing economy, official Chinese imports of beef continue to increase. China’s official beef imports surged by 60 percent YOY in 2015, reaching 473,000 tonnes.
•            Supplies are drying up, as Australian beef production is expected to remain low in 1H 2016.
•            The USDA’s outlook report released on February 25th, forecast that U.S. imports of beef and veal will drop by 24 percent to 900,000 tonnes.



China to End State Corn Stockpiling Amid Glut

China will end its state corn stockpiling program this year, replacing it with other subsidies, amid surging reserves in the world’s second-biggest grower, the official Xinhua News Agency reported.

The government will encourage state and private firms to buy corn at market prices and offer credit support to farmers, Xinhua reported late Monday, citing a press briefing by the National Development and Reform Commission. It will also promote changes in crop cultivation and move to reduce existing stockpiles, the news agency said. The changes will affect the 2016-17 season.

China said in January it was assessing changes to its corn purchasing and reserve program to make it more market based. The government began subsidizing output in 2008, acquiring grain at above-market prices to protect farm incomes. That increased domestic production by more than 35 percent and China now grows and consumes more than any nation except the U.S.

An official at the State Administration of Grain declined to comment Tuesday on the Xinhua report. A phone call to the National Development and Reform Commission wasn’t answered.

Agriculture Minister Han Changfu said this month that China will seek to reduce acreage planted with corn in less-efficient production areas. The government had already announced a 10 percent cut in the price it pays for corn in September as a way to deplete inventories.

Domestic corn stockpiles are forecast at 111.5 million tons at the end of the 2015-16 season, U.S. Department of Agriculture data show. That’s more than double the reserves held in the U.S. and more than half of world inventories.



USGC Statement on China Corn Policy Changes

A statement from U.S. Grains Council President and Chief Executive Officer Tom Sleight:

“Like others, we are closely following the market implications of the announcement from China that it will end its corn stockpiling program and reduce its surpluses of corn that have negatively impacted global markets.

“Our offices in Washington and Beijing have been monitoring signals that reforms were coming. While we are surprised they have been accelerated, we are hopeful they will be a step in the right direction toward more market-oriented decisions related to the supply and demand for corn.

“Although domestic corn prices in China have declined by about 30 percent in the past six months, and this announcement has had market impacts already, Chinese corn is still priced well above the world market. We will be seeking additional details about this announcement and monitoring its ongoing impact on feed grains markets, particularly as farmers in both our country and China begin planting.

“The Council has engaged in China for more than 30 years on a wide range of issues. We value this complex relationship and look forward to continuing to work in the market for mutual benefit.”



 NFU to Survey Family Farmers and Ranchers on 2014 Farm Bill Policies

With the 2014 Agricultural Act in full effect and a new Farm Bill debate on the horizon, the National Farmers Union (NFU) is conducting a survey of family farmers and ranchers across the country to gain a greater understanding of the effectiveness of these programs.

“As a farmer-led organization, we work closely with our diverse membership to advocate for policies that support family farmers and ranchers and the communities where they live,” explained NFU President Roger Johnson. “After the review, we will be able to better gauge the effectiveness of current farm policies and identify our advocacy priorities for the next Farm Bill process.”

The survey, announced earlier this month at the 114th Anniversary Convention in Minneapolis, Minn., is meant to complement the feedback gained through a simultaneous series of member listening sessions held across the country.

The survey will remain open through July 31, 2016, after which time responses will be collected and analyzed by NFU staff to establish policy proposals and engage partners for the upcoming Farm Bill debate.

“An educated and vocal membership is one of the things that makes NFU such a strong grassroots organization,” Johnson concluded. “We need to hear from a large number of our members to make sure the farm bill addresses the most serious challenges, including climate change and market consolidation, facing rural America today.”

Farmers and ranchers are invited to complete the NFU Farm Bill survey here... http://www.surveygizmo.com/s3/2607609/NFUSurvey. 



Smithfield Foods Profit Rises 10%

Smithfield Foods Inc. on Tuesday posted 10% profit growth in its latest quarter, bucking a trend for a year during which the sector struggled with a sharp increase in U.S. hog supplies that pressured the price of pork.

U.S. hog herds rapidly expanded this past year after a deadly virus, which killed millions of baby pigs over the past two years, receded more quickly than many in the industry had expected.

Virginia-based Smithfield, the largest hog producer and pork processor in the U.S., was acquired in 2013 by Shuanghui International Holdings Ltd. for $4.7 billion. Shuanghui later changed its name to WH Group Ltd. and went public in July 2014.

For the fiscal fourth quarter ended Jan. 3, Smithfield posted a profit of $167.8 million, up from $152.6 million a year earlier. Revenue slipped 4% to $3.93 billion.



Report Shows the Fertilizer Industry Supports More Than A Half Million U.S. Jobs

Fertilizers are well known for their contribution to the world’s food supply, but until now, the economic value and jobs provided by the fertilizer industry have not been known. The Fertilizer Institute (TFI) is proud to announce the release of a first of its kind economic impact study that quantifies the fertilizer industry’s contribution to the U.S. economy and at the state and congressional district levels.

The study, conducted for TFI by John Dunham and Associates, found that the fertilizer industry contributed over $162 billion and 515,900 jobs to the U.S. economy in 2014. The scope of the study includes the direct contribution, supplier contribution and downstream positive impact of the entire industry value chain – from manufacturers to wholesalers, retailers and goods and services suppliers.

The entire fertilizer industry directly employs nearly 85,000 people who produce over $68 billion in output. The nation’s fertilizer retailers alone support in excess of 43,000 jobs with a total annual payroll of $23 billion. Fertilizer manufacturers and wholesalers combined contribute another 41,000 jobs with a combined annual economic impact of $46 billion.

“We are proud of the economic contribution the fertilizer industry makes to the U.S. economy and the good jobs that it provides,” TFI President Chris Jahn said. “The people we employ contribute to the economies of communities across the nation.”

“We are excited to be able to share this first of its kind report as it will serve as a valuable resource not just to those in the industry, but also to lawmakers and regulators here in Washington D.C., and around the country,” concluded Jahn.

To learn more about the impact the U.S. Fertilizer has on the economy please visit: https://www.tfi.org/advocacy/fertilizerjobs. 



Deere Announces Joint Venture With U.S. Leader in High-Clearance Sprayers

Deere & Company (NYSE: DE) has entered a joint venture with Hagie Manufacturing, the U.S. market leader in high-clearance sprayers. In the agreement, Deere acquires majority ownership of Hagie Manufacturing, which will continue producing sprayers in its current Clarion, Iowa location.

Equipment made by the joint venture will continue to carry the Hagie brand while sales and service for Hagie equipment will be integrated into Deere's global distribution channel over the next 15 months.

"Hagie Manufacturing is known for innovation and its strong customer understanding in high-clearance spraying equipment," said John May, president, Agricultural Solutions and Chief Information Officer at Deere. "High-clearance spraying equipment is a new market for Deere. The expertise at Hagie allows John Deere to immediately serve customers who need precision solutions that extend their window for applying nutrients."

Alan Hagie, chief executive officer at Hagie Manufacturing, said, "We have great products at Hagie that help producers be more profitable but we need a business model that helps us reach more customers. This partnership with Deere allows our solutions to reach customers on a global scale and ensure they are supported with the world-class Deere dealer organization."

May said the joint venture investment allows John Deere to provide a broader range of sprayer options and integrate Deere's precision technology into the Hagie equipment to help customers reduce costs and improve yields.



Abengoa SA Files for Bankruptcy in US

Spanish energy company Abengoa SA has filed for bankruptcy protection in the U.S. as it continues talks with its banks and bondholders to agree on its plan to restructure billions of dollars in debt.

The renewable energy company Monday night filed for chapter 15 protection, the section of the U.S. bankruptcy code dealing with cross-border insolvencies, in U.S. Bankruptcy Court in Wilmington, Del.

The bankruptcy filing comes after Abengoa said Monday in a regulatory filing that it had won more time to continue negotiations with creditors on restructuring its debts, which total more than EUR14.6 billion, according to court papers.

Under a restructuring plan floated to creditors, the new Abengoa would cut costs and shed noncore assets and emerge as a slimmer business valued at EUR5.395 billion.

Abengoa is one of the world's top builders of power lines transporting energy across Latin America and a top engineering and construction business, making large renewable-energy power plants in places from Kansas to the U.K.

The embattled company, the flagship of Spain's renewable energy industry, has been in talks for months with creditors to avoid what would be one of the country's biggest bankruptcies.

In November, the company sought preliminary protection under Spanish insolvency law and is working with creditors on the parameters of a restructuring plan.

Under chapter 15, a company seeks a U.S. bankruptcy court's recognition of a foreign bankruptcy case--in this case the Spanish proceeding--as the main, or controlling, case. If recognized by a U.S. judge, the Seville-based energy company will receive the benefits of U.S. bankruptcy law, including the so-called automatic stay that halts lawsuits and prevents creditors from seizing assets.

Abengoa, which has last month put some of its U.S. business into chapter 11 bankruptcy protection, said it also intends to put its remaining U.S. registered affiliates into chapter 11 protection.

Abengoa's financial woes trace back to Spain's boom years, when the company began to build such projects for itself, fueled by cheaper bank loans and a desire to expand. The company took on billions of dollars of debt in anticipation of a growth rate that didn't materialize.