PACIFIC LUMBER BANKRUPTCY
MAXXAM IS FINALLY OUT OF HUMBOLDT!!
Judge Schmidt rules in favor of Mendocino Redwoods Company and Marathon
But the Note Holders are still fighting the decision. Download the Judge's full decision here.
Feinstein and Others Weigh in on Bankruptcy
Senator Diane Feinstein sent a letter to the Bankruptcy Court on Feb. 19th urging the Court to uphold the Headwaters Agreement and the HCP. See her full letter here.
Click here to see Congressman Mike Thompson's letter, and here for the California agencies letter.
Humbolt Proposal for Pacific Lumber!
ASJE and our partners the Humboldt Watershed Council, Institute for Sustainable Forestry, and Redwood Forest Foundation, collectively known as the Community Forestry Team, announced a proposal to finally get Pacific Lumber Company back to Humboldt County.
See the attached Jan. 31st and Jan. 16th media releases for more information. Visit our media page for related stories.
Campbell and Herman should step down, Times Standard Editorial Dec. 2, 2007
Maxxam/PL Files Bankruptcy Reorganization Plan
PL has filed their plan of reorganization, seeking to sell the Marbled Murrelet Conservation Areas for the inflated price of $400 million, convert 21,800 acres for "kingdom" development, sell the town of Scotia, and hold on to the remaining 181,000 acres. PL's plan tremendously overvalues these lands, sometimes by as much as 10 times the assumed value.
PL had claimed that Maxxam would make a 'significant contribution' to the reorganization, but all that Maxxam offers is to forgive $40 million inter-company indebtedness (a claim by Maxxam against PL!) and to offer the company's real estate expertise, as well as shouldering some tax burden from future development. For more information on the Reorganization Plan click here.
Humboldt County Supervisors Pass Ordinance Challenging PL Reorganization Plan!
The Humboldt County Board of Supervisors responded to Maxxam's Reorganization Plan with a 4/5 vote on Oct. 9th to challenge the plan to convert 21,800 acres of prime timberland into 160-acre “kingdoms” (Maxxam’s term). Referencing California Government Code Section 65858, Supervisors Bonnie Neely and Jill Geist brought forward an “urgency ordinance” which placed a temporary moratorium on any residential dwelling units on lands zoned TPZ. The ordinance exempted landowners with a building application in process, and those to which this would incur "hardship." Kudos to Supervisor Geist for doing her homework and standing up to Maxxam for the residents of Humboldt County!
Humboldt Supervisor's 10/12 Letter to Judge Schmidt
Board of Supervisor's 10/5 Staff Report
Board of Supervisor's 10/9 Ordinance
Complete Draft Ordinance Supporting Documents
County Staff Report 11/6
Greg King Letter to Supervisors, 11/6
Judge Denies Severance Motion
The bankruptcy court judge denied the Severance to the terminated workers from last December, stating "the Court does not believe that payment of severance claims to employees who are already terminated will have sufficient positive effect on current employees to justify payment prior to confirmation."
Go to the Workers page to see the motion and related documents.
More Layoffs
Another 43 PL workers lost their jobs, with more likely on the way. These employees did not receive any notice nor are they being offered severance. See our Workers page for details.
PL asks for Big Bonuses for Bosses (not so big for workers)
PL submitted a motion to the bankruptcy court in Texas to pay out mammoth bonuses to upper management including nearly half a million dollars to CEO George O'Brien. Visit the Media page to read more.
Filing Claims Workshop
On Saturday, June 23rd ASJE, the Humboldt Watershed Council, and the Central Labor Council of Humboldt and Del Norte Counties hosted a workshop on How to File a Bankruptcy Claim, at the Fortuna Veteran's Memorial Hall.
To download a blank claim form, click here: BLANK CLAIM FORM
To check if you have an existing claim or to confirm its accuracy, link to the claim summaries listed below for each Pacific Lumber subsidiary.
ASJE has cosponsored two great workshops addressing the PL bankruptcy with the Humboldt Watershed Council and the Central Labor Council of Humboldt and Del Norte Counties--Bankruptcy 101 on March 2nd and Bankruptcy 201 on June 23. Both sessions featured veteran Bay Area bankruptcy attorney and law professor Peter Clapp. For more information on these workshops, see below.
Stay tuned for information on future workshops over the coming months. Future workshop topics will likely include: Pension and Kaiser Aluminum - Life under a Maxxam bankruptcy.
Check out ASJE's other Bankruptcy web pages:
- See highlights of the Media Coverage of the bankruptcy.
- See highlights of the Legal and other Documents from and about the bankruptcy.
- Check out the Questions and Answers page to see some of the questions asked at the Bankruptcy 101 workshop and answered by Peter Clapp. Submit your questions to Peter there.
- See what's available for current and former Pacific Lumber Workers. .
Bankruptcy 101 Workshop
Friday, March 2nd, 6-8 pm, River Lodge Fortuna
Click here to see the workshop video on YouTube.
Buy a high-quality DVD of the workshop through PayPal for $12.
Your donation will help fund future workshops. (Click the button below to purchase.)
Download a copy of Humboldt Watershed Council's Bankruptcy 101 brochure from the workshop. Click on the image below for a copy of the company's organization chart related to the bankruptcy.
Organizational Chart for Maxxam, Pacific Lumber, and Subsidiaries
Times Standard Post-Workshop Article Times-Standard Pre-Workshop Article
Eureka Reporter Pre-Workshop Article
Bankruptcy 201 was held on held on Saturday, June 23rd and focused on the current situation, asset valuation and reorganization.
Click here to see the event poster for more details.
To listen to future court proceedings via telephone, contact:
Court Call (866) 582-6878 Arrangements must be made in advance. There is a charge of approximately 50¢ per minute for this service. (We're working on providing a direct link to these calls. Contact ASJE if you'd like to help support us and Humboldt Watershed Council to make this happen.)
Times-Standard hosts Palco hearing hookup
Other Interesting Links
Bay Area Coalition for Headwaters
Charlie's Golden Rule (audio)
Habitat Conservation Plan and Sustained Yield Plan (State of CA)
Headwaters Forest Stewardship Plan
Heritage in the Balance Ad
Houston Chronicle Blog
Humboldt Watershed Council Feb. 21st letter to the Noteholders and Creditors
Humboldt Watershed Council Reacts to PL Bankruptcy
Institute for Sustainable Forestry's Valuation of Scotia Pacific Timberlands
Maxxam Securities and Exchange Commission Filings
Pacific Lumber Company's Chapter 11 Site
Pacific Lumber Habitat Conservation Plan (PL Site)
Rio Dell Times on PL Bankruptcy
Securities and Exchange Commission, Corporate Bankruptcy
Scotia Pacific Securities and Exchange Commission Filings
US Bankruptcy Court, Corpus Christi Division, Contact Information
US Courts Chapter 11 Bankruptcy Basics |
