East Millinocket Mill on the Auction Block

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East Millinocket Mill on the Auction Block

Postby KSmitty » Thu Sep 18, 2014 11:54 am

Northern Construction Services, of Glenburn, ME, has filed a mechanics lien against GNP for $242,000 worth of services at the East Mill that remain unpaid after over 6 months. They received permission from the courts, and now have 90 days to auction the mill off to recoup their debt.

What amazes me is that its some construction company with a relatively small lien, and not the town or IRS filing to auction. Either way, once the mill is auctioned Cate Street/GNP 2.0 will have no operable assets in the Katahdin valley. I would imagine this will lead to a prompt closing of the Cate Street (though some would argue, not prompt enough) chapter of Millinocket/East Millinocket's history.

Link: http://bangordailynews.com/2014/09/17/b ... 2000-debt/

Fair Use Quote:
Bangor Daily News wrote:EAST MILLINOCKET, Maine — A Glenburn construction company owed more than $242,000 by Great Northern Paper Co. has received a court judgment against the struggling mill owner and has scheduled an auction of the mill to recoup the debt.

The auction enforces a mechanic’s lien placed on real estate and buildings at 50 Main St., the paper mill’s address, which was recorded on Jan. 28, said attorney Edmond Bearor, who is also handling the case. Maine Superior Court Ju stice Ann Murray ruled on May 20 that Northern Construction Services could sell the land and buildings encumbered by the lien in 90 days, according to documents filed with the court and the Penobscot County Registry of Deeds.
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Re: East Millinocket Mill on the Auction Block

Postby riffian » Tue Sep 23, 2014 2:40 pm

And now Great Northern Paper has filed for Chapter 7 bankruptcy......usually means liquidation and not restructuring.

http://bangordailynews.com/2014/09/23/b ... creditors/
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Re: East Millinocket Mill on the Auction Block

Postby gpp111 » Sun Sep 28, 2014 7:13 am

Looks like this is the end of paper making in the Millinockets.
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Re: East Millinocket Mill on the Auction Block

Postby CN9634 » Fri Nov 07, 2014 6:01 pm

Could the mill come back? In all honesty, I hope not or at least that if it does, the area finds a different way to grow its economy. We really need to get past these paper mills that keep dying and restarting...

http://www.mainebiz.biz/article/2014110 ... /141109968
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Re: East Millinocket Mill on the Auction Block

Postby BandA » Fri Nov 07, 2014 8:32 pm

We still use a lot of paper. Might as well come from Maine. Takes lot of energy to take logs from southeast asia rainforest, ship them to China, process them, then ship them to the east coast of the US.
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Re: East Millinocket Mill on the Auction Block

Postby JB283 » Thu Nov 20, 2014 7:21 pm

Have they ever made toilet paper? If not, maybe they could. Everybody needs TP!
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Re: East Millinocket Mill on the Auction Block

Postby KSmitty » Tue Dec 02, 2014 5:18 pm

Auction was today. Sold for 5.4M to Hackman Capital.

Short version: Mill is done, Hackman will liquidate.

Fair Use:
"Hackman Capital Partners, a California firm, successfully bid $5.4 million for the shuttered Great Northern Paper mill in East Millinocket on Tuesday.

Founded in 1986 and headquartered in Los Angeles, Hackman Capital is a privately held, asset-based investment firm that focuses on the acquisition of industrial real estate and the purchase and sale of industrial equipment, according to information on its website.

U.S. Bankruptcy Judge Louis Kornreich is scheduled to accept or reject the bid at 1 p.m. Tuesday.

Sharon Kopman, who bid on behalf of Hackman, said after being declared the winner that the company’s plans for the mill property have not been decided. She said that finding an operator to reopen the paper mill is an option. She also said that Hackman owns 25 million square feet of industrial property throughout the country but does not operate any paper mills."

http://bangordailynews.com/2014/12/02/n ... 4-million/
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