Village Farms settles U.S. hailstorm claim
By Village Farms
By Village Farms
Sept. 6, 2013, Vancouver — Village Farms International, Inc. has settled
its insurance claim for losses resulting from the major hailstorm that
occurred in Marfa, Texas, on May 31, 2012.
Sept. 6, 2013, Vancouver — Village Farms International, Inc. has settled its insurance claim for losses resulting from the major hailstorm that occurred in Marfa, Texas, on May 31, 2012.
After meeting with Travelers Insurance Company, the parties agreed to a final payment of $11.25 million (US) settling all outstanding claims pertaining to the hailstorm.
The parties have agreed to release each other from any further claims resulting from the hailstorm, and the company will drop its lawsuit currently pending in Federal Court.
“We are pleased to have reached this fair and equitable settlement,” said Village Farms CEO Michael DeGiglio. “In our 25 year history, we have never experienced such a catastrophic weather event, nor handled a claim of this magnitude, so we are thankful to have this completed and hope that it never occurs again.
“The catastrophic hailstorm event took tremendous fortitude and perseverance from many employees across multiple disciplines over the last 15 months and we are extremely proud of all they have accomplished.
“While later than we had planned, this settlement will allow us to commence and complete repairs on 20 acres of the Marfa greenhouse, as well as provide sufficient proceeds to fund its start up.
The facility is expected to be operational in the spring/summer of 2014. When these acres are completed, some 75 per cent of the damaged acres (60 of the 80 damaged acres) will be repaired and producing, resulting in the company having 130 producing acres in Texas and 110 acres in British Columbia.
ABOUT VILLAGE FARMS
Village Farms is one of the largest producers, marketers and distributors of premium-quality, greenhouse-grown tomatoes, bell peppers and cucumbers in North America.
Product is marketed and distributed under the Village Farms® brand primarily to retail grocers and dedicated fresh food distributors throughout the United States and Canada.
Since its inception, Village Farms has been guided by sustainable agricultural principles that integrate three main goals: environmental health, economic profitability, and social and economic equality.