Farmland Industries, parent body of Farmland Foods, announced Monday that the board of directors named Robert B. Terry, 45, as the President and Chief Executive Officer, replacing Bob Honse, 58.

The decision was unanimously approved by the 22-member board, according to the company.

“At this time, Farmland is working very hard to independently manage financial issues,” said Board Chair Harry Fehrenbacher. “We are confident Bob Terry is the right person to lead us through these difficult times and toward a bright future.”

According to the company, Honse told the board he would retire last week.

Honse said in a press release, “I have made a personal decision to begin my retirement. Having worked very closely with Bob Terry for many years, I expect this to be a seamless transition in leadership. I have tremendous confidence in Farmland’s future, and I am pleased to turn the reigns over to my colleague and friend Bob Terry.”

Farmland borrowed $500 million from a syndicate of banks, but has failed to comply with the loan agreement. In a report to the Securities and Exchange Commission, the company indicated that it might seek protection under Chapter 11 unless the agreement is amended, though the company later said it would not file for bankruptcy.

The future of the company’s Albert Lea plant, which burned last July, is still up in the air, pending state economic development incentives and an insurance settlement to pay for a new plant.