Red Shield Transition

Updated 6 years ago

He’s asking a judge to okay using $300,000 to bridge the gap between the end of July and the time a new investor will start funding the company in August.

In the meantime, the community is offering help.

Members of the Penobscot County Transition Team met on Monday to set up health care and budgeting workshops for employees.

Red Shield temporarily shut down at the beginning of June.

Three weeks later, the company filed for bankruptcy to reorganize its finances. Since then, the chairman has been working to find new investors so the mill could start up again.

That action has made it difficult to help workers uncertain about their future with the mill.

&quot:Part of the reason the transition team works is because we’re able to put these things together fairly quickly. So we’re used to that, but it does make it difficult not knowing.&quot: Said PCTT member Jen Brooks. &quot:…not knowing is probably more difficult for the workers, so we want to make sure we can be proactive in getting information out.&quot:

A meeting on healthcare options could happen in mid-August. Another on budgeting will possibly be held in September.

Meanwhile, Red Shield officials hope a judge will agree to their plan, which includes financing the mill until at least August 20th.

The lawyer for Red Shield says that’s when a new investment company, Woodside Capital in Boston, is expected to take over financing.

The mill would start up, and employees return to work, after that.


MENU