Major Tree Supplier Blames Bankruptcy on California Drought

A major supplier of trees and plants sold at home improvement stores has filed bankruptcy, blaming its financial trouble on drought conditions in Southern California followed by more recent wet weather.

TreeSap Farms LLC and its corporate affiliates filed Chapter 11 late Monday, saying the company can’t reduce more than $205 million in debt or get an additional extension on looming maturities. The Houston-based company has 15 farms in California, Texas, Florida and Oregon and is the second big nursery to file bankruptcy in the last week.

TreeSap Chief Executive Officer Jonathan Saperstein said in a court filingthat ...