The North Pacific Group Inc., one of America's largest distributors of building and agricultural products, has been ordered to be taken over by a court-appointed receiver, according to a recent newspaper report.
The move was ordered on January 20 by U.S. District Court Judge Anna Brown, who appointed Edward Hostmann Inc. The Lake Oswego, Ore.-based firm is a financial advisory and crisis management firm, which will collect debts owed to a consortium of lenders, including Wells Fargo Capital Finance Inc.
North Pacific Group, based in Tigard, Ore., and its subsidiaries, including Nor Pac Enterprises Inc., defaulted on $42 million in debt. The company failed to sell itself several times, including a rumored acquisition by BlueLinx, the Atlanta-based LBM distributor.
North Pacific is a privately-held, employee-owned company with more than $1 billion in annual sales. The company serves LBM retailers and manufacturers.