Dec. 02--Evergreen International Airlines Inc., the McMinnville-based cargo carrier that was to close permanently Saturday, remains operating as managers try to save the company.
Mike Hines, chairman of parent company Evergreen International Aviation Inc., said Monday that the airline was still doing business.
"We're still looking at all of the avenues," Hines said. Asked whether managers hope to save the company, Hines said: "We want to do what's best for the company, yes."
Evergreen managers notified Oregon officials Nov. 8 that the debt-ridden air-freight carrier would lay off 131 workers and cease operation Nov. 30. But chief executive Delford Smith, founder of several Evergreen companies, issued a statement later the same day dismissing such reports as false rumors.
Creditors are seeking millions of dollars from the privately held airline, which has been a major Yamhill County employer since opening in 1974. Some expect the company to file Chapter 7 bankruptcy, which would block lawsuits and allow a trustee to liquidate any assets.
Asked Monday whether the company might make such a filing, Hines declined to comment. He also wouldn't comment on whether managers planned to shut down the company, or whether they were talking to potential financial backers.
"Everything's still status quo," Hines said.
Smith said in his statement that the airline was in discussions with "its significant constituencies" to explore available strategic alternatives. He acknowledged that the business had been hurt by decreased military spending and global economic weakness.
Managers of an Evergeen aviation museum and water park across Oregon 18 from company headquarters say the attractions will remain open. The Oregon Department of Justice is investigating alleged commingling of funds between Evergreen's commercial and nonprofit entities.
-- Richard Read
Copyright 2013 - The Oregonian, Portland, Ore.
