Gorham Paper and Tissue and White Mountain Tissue, which make “a range of tissue and towel products” sold in stores throughout North America, have filed for bankruptcy, the New Hampshire Union Leader reports.
The mill’s parent company, Delaware-based Zohar III Corp., filed for Chapter 11 bankruptcy protection in its home state on Nov. 4.
The companies are located within the century-old Gorham Paper Mill and said they have an “asset purchase agreement” of $8.75 million with Behrens Investment Group, which may help mitigate any potential job losses – the mill currently has about 100 workers.
According to MSN Money, after a meeting with those involved in the bankruptcy process, Mike Waddell, chairman of the town of Gorham’s Board of Selectmen, said, “I have never felt more positive about the future of the mill.”
This is not the first time the paper mill has filed for bankruptcy and recovered; in 2011, the mill exited the bankruptcy process after being purchased by Zohar III.