Idaho farmers harvest record income in 2011

The Associated Press reports this morning that farmers and ranchers in Idaho cleaned up in 2011.

The basis for the story is a report released Thursday by the University of Idaho projecting farm cash receipts for 2011 at $7.4 billion, a 29 percent increase compared with 2010 (which wasn't too shabby itself -- farm cash receipts increased that year by 12 percent.)

UI economist Garth Taylor says nearly every crop and livestock sector posted strong gains in 2011. The report shows farm net income, or the money farmers and ranchers kept, fared even better and rose 88 percent last year to $2.6 billion.

The familiar calls for ending farmers' subsidies are bound to start erupting right about now. But in our focus on high tech, retail and home construction, it would be unwise to underestimate multiplier effect of agriculture in a state like Idaho. Farmers and their spouses buy trucks and cars, groceries and clothing, ATVs and DVDs, etc. Imagine what the local economy would be like without agriculture.

The other thing to bear in mind is that while commodity prices have been high, they are cyclical. A strong dollar can dampen exports, and the Euro's problems are driving people to the dollar. Let's hope the rest of Idaho's economy has recovered by the time farm prices crater, as they inevitably do.

Here is a link to the report, called The Financial Condition of Idaho Agriculture: http://www.cals.uidaho.edu/aers/PDF/outlooks/financialcond2011.pdf

Covering the media bases: BizMojo on the air soon

I recently got an email from Tim Lewis, Riverbend Communications' news program director, asking if I'd like to go on the air with him to talk about local business.

Naturally my answer was yes, for promotional reasons and for the fun of it. Expanding to radio adds another medium to the BizMojo Idaho profile, which already has Web (blog, Facebook and Twitter) and print (Idaho Falls Magazine) in tow. I'm to report for duty Tuesday morning at 8:05. We will be on Newstalk 690 and 1260, on the a.m. dial.

What I'd like in advance is some questions you'd like me to answer or address. Like Shoptalk before it, my approach to this blog is to tell people what they want to know, give it to them short and sweet and make them feel like they're part of the conversation.

Also, please show some understanding if I say "uh" or "y'know" too much as I try to get my thoughts together on the air. I'm glad my mother won't be listening, y'know, because she's been on my case about it for more than 40 years. And for my dear wife's sake, I must remember to irrigate my sinuses.

We're looking at 15 minutes, people. I wonder how long it's going to seem as it happens.

Buddy's gone; Captain's Cove coming

Although we knew in December that Buddy's on Channing Way would be replaced by a seafood restaurant (information courtesy of Linda Jensen Hill of Voigt Davis Realtors), today was the first day we got a look at the new name and logo:

We will keep you posted as more information comes out.

A real professional's guide to goofing off

I recently read an article about humor in the workplace and my thoughts turned to Rick Davis, my former camp counselor and author of the book "Totally Useless Office Skills."

After several years as a clown with Ringling Bros. Barnum & Bailey Circus, Rick became a speaker and presenter on the subject he knows best, goofing off. He and his wife, Jackie, also run the Silver Lining Circus Camp in Temple, N.H. http://www.schoolshows.com/silverlining/index.html

Googling his name didn't give me much, but Googling "Rick Davis useless" took me right to him and his videos on YouTube. Check out his channel when you've got nothing better to do. Rick would be the first to tell you that you undoubtedly have something better to do.

Pocatello Hoku plant gets temporary reprieve

Hoku Corp.'s $390 million plant in Pocatello has received a temporary reprieve.

Idaho Power Co. threatened to shut off electricity after the Honolulu-based polysilicon maker missed a $1.9 million payment in November because of cash problems. But on Tuesday the Idaho Public Utilities Commission announced it will hear the dispute, with arguments set for next week. As long as the case is pending, regulators say Idaho Power can't shut off electricity.

Hoku has warned that losing power in the middle of a freezing winter could jeopardize just-completed facilities. Idaho Power says allowing Hoku to continue to receive electricity without paying its bills puts the utility at risk of losing millions in the deal.

Can this marriage be saved? We'll see. In the meantime, here is some background, found at www.greentechmedia.com

Hoku is a subsidiary of Tianwei New Energy Holdings, an affiliate of China South Industries Group Corp., a mammoth firm with 191,000 employees. Tianwei manufactures polysilicon, wafers, cells and modules. Hoku started out as a fuel cell company, went public in 2005, and in 2011 pivoted into being a solar manufacturer with $2 million in "service and license revenue."

According to its most recent 10-K filing, as of Sept. 30, 2011, Hoku had cash and cash equivalents on hand of $3.2 million and current liabilities of $241.8 million.

Hoku has received $280 million in prepayments from PV panel manufacturers such as Hanwa SolarOne, Tianwei New Energy, Jinko Solar, and a small prepayment from Suntech for polysilicon to be delivered between 2012 and 2016. The SEC 10-K form shows amendments made to the prepayment purchase agreements as the price of polysilicon dropped.

On the last day of 2011, Hoku's stock was trading at $0.57 with a market cap of $31.3 million.

Hoku Corp.'s CFO, Darryl Nakamoto, resigned last week.