Seed firm misses profit target

HENDERSON -- AgriBioTech Inc., a grass seed company, said its board of directors approved a cost-cutting plan aimed at moving the company into profitability in its fiscal year 2000, which begins today.

In a bid to consolidate its industry, AgriBioTech has acquired 34 companies the past few years. Now, in a bid to cut expenses by $14 million per year, AgriBioTech is closing 33 facilities around the country and cutting 300 jobs.

But AgriBioTech said it will not break even on a pre-tax basis for the second half of fiscal year 1999 as forecast in March. The company cited high operating costs, an extraordinary loss on the early redemption of debt and the bankruptcy of a major customer, Hechinger Co.

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