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Talent-based Sawyer Paddles & Oars files for bankruptcy protection Sawyer may become a worker-owned company By Greg Stiles Mail Tribune Follow @@GregMTBusiness MailTribune.com By Greg Stiles Mail Tribune Follow @@GregMTBusiness Posted Feb. 4, 2016 @ 1:17 pm Updated at 4:35 PM By Greg Stiles Mail Tribune Follow @@GregMTBusiness Posted Feb. 4, 2016 @ 1:17 pm Updated at 4:35 PM » Social News p bs:newslist StartDate="20121121" EndDate="p bs:datecalc Months="3"" DateSort="1" UseObjects="1" ObjectClass="81" Taxonomywords="2325,665" ExactTaxonomyMatch="1" Image="1" Count="4" --> Talent-based Sawyer Wood Products, better known as Sawyer Paddles & Oars, has filed for Chapter 11 bankruptcy protection. The venerable paddle and oar maker's production was shut down for three months during legal disputes with Roguewood, a Grants Pass furniture maker who entered into a strategic agreement with Sawyer Paddles & Oars in 2014. The sides settled July 1, but moving production from Talent to Gold Hill and then back to Talent took its toll. Despite its biggest revenue year ever in 2015, Sawyer lost more money than at any time since the company opened in 1967, President Pete Newport said. Court records show revenue of just under $2.124 million during the truncated production year. But the company lost just under $568,000, including nearly $395,000 attributed to the Roguewood settlement. The petition, filed Wednesday in U.S. Bankruptcy Court in Eugene, estimates assets of between $100,000 and $500,000 and liabilities between $1 million and $10 million. The largest creditor is Columbia Bank of Vancouver, Wash., whose secured and unsecured claims add up to $720,000. Former Sawyer owners Bruce and Mary Bergstrom are owed $295,000. "We knew we were headed in this direction, but we just didn't know when," Newport said. "A bunch of us put money back into the company to prevent it from going under. But it got to the point where it was unmanageable." Sawyer Wood Products, represented by Medford lawyer Keith Boyd, hopes to gain approval of its reorganization as an employee-owned enterprise during a hearing before Judge Frank R. Alley next week. Newport, who acquired the company from the Bergstroms in 2011, said he will forfeit all ownership shares, "and every penny I put into it." But he thought that was the best course of action. "The saving grace is that the employees of Sawyer banded together, put money together, so with employees and local investors, we have formed a group to buy our company." Once the company, whose products are used by Willie Boats and other manufacturers, emerges from court protection, Newport said, Sawyer will launch its 50th anniversary celebration. Canoe racing legend Ralph Sawyer founded and ran the company for two decades before passing the baton to Ralph Bergstrom, who led the firm for a quarter-century. The reorganized company will be led by Zac Kauffman, who has been vice president of sales and marketing manager for the past five years. "Zac is Sawyer to all our customers around the world," Newport said. "I've been primarily behind the scenes. He kept the whole thing going, while we were going through lawsuits and orchestrated everything with customers." Kauffman even negotiated early payment from some customers during critical junctures last year, Newport said. "Without that, we would have been shut down several months ago." Sawyer continues to operate a retail shop and showroom at 404 Second Ave., Gold Hill. The company has 22 employees, down from 35 at peak-production in June 2014, Newport said. The twice-monthly payroll, according to court documents, is $40,000 per pay period. "With the judge's approval, we're hoping to move to 30 employees," Newport said. "This will allow us to get back to work and taking care of our customers." Reach reporter Greg Stiles at 541-776-4463 or [email protected]. Follow him on Twitter at www.twitter.com/GregMTBusiness , and read his blog at www.mailtribune.com/Economic Edge. By Greg Stiles Mail Tribune Follow @@GregMTBusiness MailTribune.com By Greg Stiles Mail Tribune Follow @@GregMTBusiness Posted Feb. 4, 2016 @ 1:17 pm Updated at 4:35 PM » Comment or view comments Terms of Service /* $( document ).ready(function() { // Jquery mobile is trying to style the button and leaving a blank gry button on top of a white button $("#viafouracoms .vf-comment-controls li.vf-right").html(' Submit '); });*/ » STAY INFORMED Email NewsLetter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. calendar Connect with MailTribune.com Facebook Twitter RSS Back to top Reader Services Reader Services Home Subscriptions Subscriber controls Contact us Submissions Photos Events Letters to the editor Corrections Announcements Obituaries Story ideas Since you asked Alerts Email Alerts RSS Feeds Text Alerts Advertise Media Kit Home Products and services Ad rates Advertising contacts Propel Marketing Mail Tribune Daily Tidings The Nickel Shop Our Valley Blogs Mobile Site Stay Informed Email newsletter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. 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