Creditor supports sale of Golden Guernsey Dairy

CREATED Mar 15, 2013

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  • Plant Manager Eric Van Den Heuvel watches as milk is unloaded at the Golden Guernsey plant in August. Image by Michael Sears - Journal Sentinel

WAUKESHA, Wis. (AP) -- A creditor says it would support the proposed sale of the shuttered Golden Guernsey Dairy in Waukesha.

But Accord Financial Inc. says its support depends on its secured claims totaling $7.9 million being paid from sale proceeds.

In a filing in U.S. Bankruptcy Court, Accord Financial says it's owed the money under a loan and the purchase of account receivables.

Golden Guernsey closed in early January. The Los Angeles private equity firm that bought Golden Guernsey in 2011, OpenGate Capital, sought Chapter 7 bankruptcy protection in a Delaware court.

An Ohio company, Superior Dairy, has offered $5.5 million for the plant, but the offer rejects the labor contract that was in place.

The Milwaukee Journal Sentinel reports the bankruptcy trustee is accepting bids for the company through May 10.

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Information from: Milwaukee Journal Sentinel, http://www.jsonline.com