1980-1989:

• 1980 brought 4 more sprayers and a Farm Crisis

• 1983 Frank Krob passed away

• 1986 Mount Auburn Grain elevator is purchased

In 1980, four additional floaters were purchased. Additionally, a fluid blend manufacturing plant was built in Walker. Ely, Rowley, and Solon all put in Liquid storage tanks and liquid blenders, and the term “weed and feed” became part of the Krob lexicon.

Norbert and Robert retired in 1982, whereupon Mike was named manager of the Walker location and David was named manager at Ely.

The early eighties were notably characterized by the Farm Crisis. Farms were over-extending by borrowing on the rising value of the land to buy even more land and machinery. As a company, FJ Krob allowed the farmers to run up large bills. When the farm economy collapsed and land values plummeted, the banks called their loans, resulting in a domino effect. The company was hit with uncollectable accounts, and although they survived, the blow was substantial. Still, the company weathered the crisis far better than others: There was a case in Hills, Iowa where a farmer killed his banker and then committed suicide. These years led to the birth of Willie Nelson’s Farm Aid concerts.

Frank Krob passed away Dec 3, 1983 at the age of 96.

In 1986, FJ Krob and Company purchased Mount Auburn Grain, and now had five locations serving five communities.

The late eighties and early nineties were sometimes referred to as the PIK years. Farmer production had increased substantially and was outpacing demand. The government stepped in, but did not want to get into the business of owning grain, as they had starting clear back to the late 1940s. Instead, they paid farmer to idle the land, and the payment came in the form of a Payment In Kind (PIK) certificate, which had an actual cash value. Farmers presented the certificates to the elevator for cash, and in turn the elevator gave the certificates to the processors. No money was made by this transaction, and FJ Krob served only as a middleman.
The fertilizer and chemical business made great gains during this time, each location had its own liquid and dry fertilizer facilities. The company now has fifteen sprayers with a combined boom swath of nearly a quarter mile.

Larry Krob left the company in 1989. After some difficulty finding a solid manager in Solon, it was decided that the Ely and Solon facilities would operate as one, with David managing both locations, and the result was increased efficiency for both.