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No Hearing Thursday in Beef Plant Bankruptcy Case

A planned hearing on a beef packing plant's request to obtain secured credit is off the calendar. Bankruptcy Judge Charles Nail in Sioux Falls, S.D., had denied Northern Beef Packers' plan for post-petition financing and continued the hearing to Thursday, but Northern Beef withdrew its motion last week.

SIOUX FALLS, S.D. (AP) — A planned hearing on a South Dakota beef packing plant's request to obtain secured credit is off the calendar.

Bankruptcy Judge Charles Nail in Sioux Falls had denied Northern Beef Packers' plan for post-petition financing and continued the hearing to Thursday, but Northern Beef withdrew its motion last week.

The company filed for Chapter 11 bankruptcy protection last month and needs an approved plan before it could proceed with hiring an investment banking firm to pursue a sale of the Aberdeen plant.

A new hearing date has not been set.

Meanwhile, Judge Nail has extended the time for Northern Beef to pay utility deposits to next Monday.

Since processing its first animal in 2012, Northern Beef has struggled to reach anywhere near its production target of 1,500 head per day.