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Bidder seeks to re-open Halsey mill

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For the Gazette-Times

HALSEY - Out of work mill workers learned Friday that Ableco Finance LLC of New York is negotiating with the union to get the Halsey pulp mill up and running as soon as possible.

Ableco, a subsidiary of Cerberus Capital Management, is a major lien holder against Pope & Talbot, has submitted a bid for the mill.

"It's really a matter of working out an agreement," said Ernie Lamoureux, of United Steels Workers which represents the Halsey workers. "We could be running within the next two weeks."

Pope & Talbot shut down most operations at the Halsey Mill on May 9 after converting from Chapter 11 bankruptcy to Chapter 7 liquidation. The move put nearly 180 employees out of work.

A small crew is still on hand keeping the boiler room operating to supply service to neighboring Georgia Pacific.

Lamoureux and union reps from the mill have been in contact with the bidder and said they are in the negotiation process.

"It's very encouraging," said union president Leon Harlson. "I believe we will be back at work soon."

According to Lamoureux the Ableco group has been the only bidder to contact the union or the court appointed trustee, George Miller.

"There have been rumors that as many as 10 bidders are interested but no one has come forth," he noted.

Prospective buyers have until May 30 to submit bids. If any other bidders come forward an auction will be held June 3.

"Ableco has shown an interest in working with the union," emphasized Harlson.

"We may have to take some tough lumps," admitted Lamoureux. "It won't be business as usual but the main thing is getting everybody back to work."

Harlson said that negotiations were expected to be on-going until an agreement is reached.

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