Myers Forest Products in bankruptcy
CLEVELAND ó Myers Forest Products has entered bankruptcy, according to documents filed in U.S. Bankruptcy Court.
The saw mill, pallet recycling and timber business at 355 Barber Junction Road filed Chapter 11, which allows a debtor to reorganize or liquidate under a court-approved plan.
It wasnít clear Friday what Myers Forest Products plans to do, though it continues to operate and has court approval to pay its 31 employees, according to court filings.
Craig Myers, the companyís president, could not be reached by telephone Friday afternoon. No one answered the phone at the business or his home and a message was not returned.
According to court filings, Myers Forest Products owes more than $1 million federal, state and county taxes. The Internal Revenue Service has a $1.3 million lien on the companyís property.
The company also owes more than $615,000 in secured claims ó those for which it has put up real estate or equipment as collateral ó and more than $600,000 in unsecured claims.
The company said in court filing it doesnít expect to be able to pay those unsecured claims.
According to court filings, Myers Forest Products grossed just over $3 million last year but has less than $50,000 in assets.
Its land and buildings are valued at more than $500,000 and its equipment and other personal property at $1.17 million. But the property has been used to secure loans and one account with $200,000 owed the company has been designated ěuncollectable.î
The company has hired the Greensboro law firm Ivey, McClellan, Gatton & Talcott.