AgriBioTech financial report delayed; sales prospects bright

AgriBioTech Inc. of Henderson, which is in the midst of a restructuring, said it won't report audited financial results for the fiscal year ended June 30 until late September.

AgriBioTech blamed the delay on implementation of a new financial and management information system.

Separately the company said the East Coast drought has accelerated fall sales potential for its seeds.

Chief Executive Richard Budd said rain patterns will dictate the amount and timing of forage and turfgrass planted.

AgriBioTech has acquired and consolidated forage and turfgrass seed companies and is using savings from the operations to finance genetic research and development. This year the company has taken several measures to return to profitability, including replacing its top executives.

Budd said the company is now able to quickly pay seed growers with a newly acquired $100 million credit line.

"We are at a time when incoming seed inventory is being quickly converted to fall sales," Budd said. "We are receiving seed from growers and shipping to our customers as fast as we can."

In the past three weeks, the company has paid vendors and growers $10 million, he said.

The company also is about seven weeks away from announcing plans to restructure long-term debt after announcing earlier this month it is in discussions with an undisclosed number of companies interested in providing financing.

AgriBioTech stock was trading today at $4, up 9 cents per share.

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