| Parsons
can keep running Ashland millBY DAVID PRESZLER
ASHLAND -- Parsons Pine Products has the go-ahead to continue operating its longtime mill here.After a two-week trial period, a U.S. Bankruptcy Court judge ruled Thursday to allow the company to continue using its assets in an effort to pay off approximately $2.9 million in debt. "The first two weeks were basically successful," said Barry Caplan, Parsons' attorney in the Chapter 11 case. "They were able to fill several orders." The mill reopened May 21 after being closed for nearly three months. The company's equipment was seized in February as collateral after it defaulted on a $658,000 loan. The mill closed at the end of February, laying off 40 employees. For the past two weeks, six employees -- the management staff -- have been running the mill. Officials plan to expand to around 20 employees in the coming weeks. Caplan said demand for the company's products -- secondary wood products like mousetrap bases, louvers and knife holders -- appears strong. Mill officials told the court that $85,000 in orders have been received and that more were expected, pending the court's blessed to continue operations. Parsons Pine will have until Aug. 25 to file its Chapter 11 reorganization plan with the court. |
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