HARTLAND – Irving Tanning Co. said it has reached an agreement with its lenders that sets the stage for its emergence from Chapter 11 bankruptcy proceedings.

David Middleton, the company’s chief executive officer, said the agreement increases Irving Tanning’s access to credit and will substantially reduce its debt.

Irving Tanning, which has a work force of 300, makes leather for global footwear, accessories and upholstery markets. It filed for Chapter 11 protection in March 2001 after the price of cattle hides soared because of a supply shortage linked to mad cow and foot-and-mouth diseases.

Middleton says the hide market has since stabilized, and his company has returned to profitability.