Central Plains Book Manufacturing declares bankruptcy.
From the Winfield Daily Courier:
By JEANNE RICHARDSON, Reporter
Wheatfield Investments Inc., also known as Central Plains Book Manufacturing, filed for relief under Chapter 11 of the bankruptcy code in United States Bankruptcy Court in Wichita on July 30. They are being represented by Redmond & Nazar, LLP in Wichita.Central Plains Book Manufacturing
"I wish we weren't in this position," said Günter Hansen, Central Plains general manager and CEO, this morning. "We hope that someone will step in quickly and take over the business. Our customers are very supportive, but we need to move quickly."Central Plains Book Manufacturing
Operations at the Strother Field plant have ceased.Central Plains Book Manufacturing
A hearing will be held on Sept. 13.Central Plains Book Manufacturing
Central Plains began production in July 1999, continuing the work of the former Gilliland Printing in Arkansas City. Central Plains was fully operational by the end of September 1999. It operated one shift and employed 52 people, 48 of whom came directly from Gilliland. They have been producing books as Central Plains for the last eight years.Central Plains Book Manufacturing
Central Plains employed about 70 people.Central Plains Book Manufacturing
From The Arkansas City Traveler:
Printer files for bankruptcy
By FOSS FARRAR
Traveler Staff WriterCentral Plains Book Manufacturing filed for Chapter 11 bankruptcy last week and the company's 70 workers have been laid off.Central Plains Book Manufacturing
The last day of production at Central Plains' Strother Field plant was last Wednesday, said Gunter Hansen, the company's general manager.Central Plains Book Manufacturing
Central Plains filed for Chapter 11 in the U.S. Bankruptcy Court District of Kansas, in Wichita, on July 30, a court clerk there said. A first meeting of creditors was scheduled for Aug. 24 at the district courthouse in Wichita.Central Plains Book Manufacturing
Hansen said today there are two buyers interested in purchasing the company, and he hopes the plant will be operating again soon. One of the potential buyers is from Wichita; the other is from St. Louis.Central Plains Book Manufacturing
"I would do anything I can to make sure the company and employees stay here," Hansen said.Central Plains Book Manufacturing
He said Central Plains now has three-quarters of a million dollars worth of orders to complete for its customers. So far, customers have been patient with the company's situation, he said, and Central Plains has "good rapport" with them.Central Plains Book Manufacturing
Hansen said he was "blindsided" by the company's financial troubles as were his employees. He organized the company in 1999 after Gilliland's Printing in downtown Arkansas City closed.Central Plains Book Manufacturing
From The Wichita Eagle:
Wheatfield Investments Inc., dba Central Plains Book Manufacturing, liabilities $3,905,801, assets $1,813,569, Chapter 11.
From The Arkansas City Traveler:
By FOSS FARRAR
Traveler Staff WriterA $750,000 offer is now on the table to purchase Central Plains Book Manufacturing, but it may not be enough to ensure the company's continued operation here, the company's general manager said Friday.Central Plains Book Manufacturing
Seventy local jobs are at stake, said Gunter Hansen, general manager of Central Plains.Central Plains Book Manufacturing
"I would do anything I can to make sure the company and employees stay here," he said. "The longer we are not in operation, the less attractive we are to a buyer."Central Plains Book Manufacturing
An attorney for an Arkansas City bank that is a secured creditor of Central Plains confirmed Friday that a written offer to purchase the printing company had been made, but it included contingencies that effectively reduces the $750,000 figure.Central Plains Book Manufacturing
"That is the only written offer we've seen," said Wichita lawyer Karl Swartz, who represents Union State Bank in a bankruptcy case.Central Plains Book Manufacturing
Swartz said the current sale offer "is not very doable, but maybe that would change."Central Plains Book Manufacturing
The bank as much as anyone would like to see Central Plains revived, he said. But the printing company owes a $1.2 million debt to the bank.Central Plains Book Manufacturing
The book manufacturer's plant at Strother Field ceased operations and laid off its 70 workers on Aug. 1, two days after Central Plains filed for Chapter 11. The case was filed in the U.S. Bankruptcy Court, District of Kansas, in Wichita.Central Plains Book Manufacturing
Hansen said he has been working since then to try to find a buyer that would start up the plant again as soon as possible. He said he is frustrated that the bank won't act on the offer.Central Plains Book Manufacturing
"I want to stress the bank is not in control," said Swartz, an attorney with Morris, Laing, Evans, Brock & Kennedy. "Central Plains is the debtor in possession. "Our understanding at the outset of the bankruptcy filing is that the assets of the business would be sold through the bankruptcy court."Central Plains Book Manufacturing
Hansen said he believes the $750,000 offer at this point is a good offer, because Central Plains hasn't operated the past two weeks. "At this point, it is not a going business so the offer is fair," he said.Central Plains Book Manufacturing
The written offer on the table is by a Wichita company, Hansen and Swartz said.Central Plains Book Manufacturing
A previous offer was made verbally, by a St. Louis company, Hansen said. But the offer ultimately was withdrawn.Central Plains Book Manufacturing
"We only hear from Gunter's lawyer that there was a verbal offer, but we've never seen any written offer," Swartz said.Central Plains Book Manufacturing
Wichita attorney Ed Nazar is representing Central Plains -- or Wheatfield Investments, Inc., in court records. Nazar was unavailable for comment Friday.Central Plains Book Manufacturing
The bankruptcy case is complicated by a $300,000 lien by the Internal Revenue Service on Central Plains assets for back taxes, Swartz said.Central Plains Book Manufacturing
A first meeting of creditors is scheduled for Aug. 24 at the district courthouse in Wichita.Central Plains Book Manufacturing