On Tuesday, a federal Bankruptcy Court judge approved the $49 million sale of NORPAC Foods’ Salem, Brooks and Stayton processing facilities to Lineage Logistics. The deal is contingent on agreements being reached concerning previous union contracts.
According to the Statesman Journal the sale marks the end of the nearly 100-year-old Willamette Valley agricultural processor. Most of the intangible assets of NORPAC, including its intellectual property, trade names, inventory, contracts and trademarks, were sold as part of a $107 million sale of NORPAC’s Quincy processing plant to Oregon Potato Company in December. This week’s agreement brings the sale of NORPAC’s assets to $156 million.
CoBank, which financed the bankruptcy, has $382 million in liens against the three Oregon facilities, meaning some owed money by NORPAC will not be paid.
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