US Tobacco Cooperative Hits Ch. 11 With $100M Debt

Law360 (July 8, 2021, 5:32 PM EDT) -- U.S. Tobacco Cooperative Inc. has filed for Chapter 11 protection in a North Carolina bankruptcy court with more than $100 million in debt, citing changes in federal regulation that prompted litigation and a recent damages award to member farmers.

The cooperatively owned tobacco processor and manufacturer has $99.6 million in secured debt and $2.5 million in trade debt, according to a first-day declaration filed Wednesday by Chief Financial Officer Keith Merrick. The cooperative is seeking to fund its bankruptcy proceeding with cash collateral, the document shows.

Merrick's declaration pointed to a July notice from the cooperative's lender banks, finding U.S. Tobacco...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!


Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!