VeraSun petitions bankruptcy court to void $6 corn contracts; farmers oppose

In South Dakota, VeraSun filed a request with in its federal bankruptcy process to cancel its current corn purchase agreements. The agreements, it contends, that the lock in at more than $6 per bushel, or more than 40 percent above market prices for corn, have materially weakened the company and threaten its survival. 100 farmers are opposing the move by VeraSun to cancel contracts, saying that they would be forced to sell to VeraSun without a guarantee of receiving fair market value. VeraSun, by contrast, is offering $3.69 per bushel for new corn shipments.

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