fertech goes under 3

Mebane, who owned a 32 percent stake in Fertech, had bought Riley's cattle ranch inMoberly several years ago. Mebane is chairman of Unifi Inc., a large yarn supplier inGreensboro, N.C.

Riley also owned 32 percent of Fertech. And Kennett, who was one of Riley's doctors,owned 17 percent of the company.

Kennett recently sought to save Fertech and had hired a workout specialist in NewYork to try to salvage the company. Neither Kennett nor Riley could convince Mebaneto put in more money.

"Dr. Kennett feels that Mebane should have done something to save the company,"Gerdelman said. "He doesn't understand how Mebane made the decision to walkaway."

As for Riley, Gerdelman said the entrepreneur has been distressed by the partners'fallout. "He views Kennett as having saved his life, and he views Mebane as a goodfriend who has done much for him professionally."

Meanwhile, Fertech employees have scattered in the wake of the company's collapse.Five employees from the company's emergency-response division have gone out ontheir own and formed a new division for rival Environmental Management Corp.

One Fertech executive, former chief operating officer James N. Welsh, is backworking as an industry consultant. Welsh said the company owes him money.

Questia, a part of Gale, Cengage Learning. www.questia.com

Publication information: Article title: Fertech Environmental Goes under after a Loan Default Riley and Partners Fail to Raise More Money.

Contributors: Adam Goodman Of the Post-Dispatch - Author. Newspaper title: St Louis Post-Dispatch (MO). Publication date: April 3, 1995.

Page number: 2. © 2008 St. Louis Post-Dispatch. Provided by ProQuest LLC. All Rights Reserved.

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