Hines Contemplates Moves
According to several news reports, late last week Hines Nurseries, Irvine, Calif., was contemplating filing for Chapter 11 bankruptcy.
The company informed government officials in Oregon that it may have to lay off nearly 100 employees at its Forest Grove, Ore., facility if it could not extend its line of credit and obtain additional financing.
The company sent a Worker Adjustment and Retraining Notification (WARN) to state officials about the potential jobs elimination if the company could not secure new financing. The layoffs could take effect later this month or by the end of the year.
According to the WARN notice, the company could not inform its employees about the situation because it “would have hurt Hines’ chances of extending the line of credit and its ability to obtain other financing and business.”
Hines Horticulture filed for Chapter 11 bankruptcy back in August 2008. In December of that year, a federal bankruptcy judge awarded the assets of Hines Horticulture to asset management firm Black Diamond Capital Management, LLC.
In January 2009, the company successfully emerged from bankruptcy when Hines Nurseries LLC purchased certain assets of the former Hines entities. Earlier this year, the company announced the addition of a new management team.
As of Oct. 8, the situation at Hines was still developing, stay tuned to GPN for further developments as they occur.