The Trustee in General Printers’ bankruptcy action confirms its creditors have accepted the company’s proposal and, following a December 16 auction of equipment, operations have officially ceased at the Oshawa facility.
According to the proposal sent to creditors, four primarily paper suppliers listed as creditors in the bankruptcy action were collectively owed $441,179, while third-party printers were owed just over $30,000, and finishing companies more than $125,000, not including a mailing service provider owed $141,469.
Previous article from December 5:
Consolidated Graphics Canada Ltd., which operates as General Printers, plans to close its facility in Oshawa, Ontario, following its proposal to creditors, who are to vote on the action on December 12.
The estimated amount of total debt owed to creditors is $4.6 million, with approximately $2.15 million secured.
In late-October, General Printers made a Notice of Intention to Make a Proposal filing under Canada’s Bankruptcy and Insolvency Act, which held the potential for the company to restructure. General Printers had a 30-day schedule in November to meet its cash flow obligations.
“Prior to the 30-day initial stay expiring, the company made a proposal to its creditors,” explains the Harris&Partners trustee who is overseeing the filing. “The intention is an organized wind down including an auction of [General Printer’s] assets, completing work in process, collecting receivables and selling real estate. The creditors meeting is set for December 12, 2014, to vote on the Proposal made to creditors.”
David Fors, a principal owner of General Printers, was not avialable this morning for comment. Fors had led the operation as President since 1991. General Printers was established in 1951 and was one of the region’s most-visible printing operations.
The General Printers auction is scheduled to take place on December 16, 2014, at the company’s Ritson Road facility and online, beginning at 10:30 am. Equipment inspection is available the day prior.
Some of the key pieces of equipment up for auction include: an 8-colour, 40-inch Heidelberg Speedmaster 102-8-p+l (2007); 8-colour, 40-inch Heidelberg Speedmaster 102-8-p5 (1998); 2-colour, 40-inch Komori Lithrone (1998); Xerox iGen3; Lawson MPV-60 controlled guillotine; an assortment of Stahl and Heidelberg folding lines; and Muller Martini stitching lines.