Werthan Packaging Plans to Sell Assets in Chapter 11 Bankruptcy

by San Antonio Attorney

Werthan Packaging Inc., a supplier of paper packaging, has filed for a Chapter 11 bankruptcy and intends to sell its assets for $7.2 million to a competitior in Illinois.

Court documents show that executives of Werthan have requested the U.S.  Bankruptcy Court in to approve on a sale agreement with Gateway Packaging Co.  to take place within 10 days after the bankruptcy filing on Dec.  4.

The business was started by the Werthans in Middle Tennesse in the1860’s.  The family sold rags in downtown Nashville.  For many years, they sold many kids of products,l like cotton bags, sandbags, and burlap used during WWI and WWII.  During the1960s, the business diversified into various areas, like printed checks, auto parts and plastic bags.

The present embodiment of the Werthan Bag & Burlap — now called Werthan Packaging — can be found in White House and makers of paper bags for pet foods.  The chairman of the company is Tony Werthan, while the CEO is Don Belmont.

In 2010, the company moved from Germantown on Fifth Avenue, its place of origin, to a large facility in White House.  In 2016, the company executives made efforts to boost operations, although it was unsuccesfful.

Court documents show that Wethan setup a 10-color flexographic press, and received recognition for its Safe Quality Food (SQF).  The company hopes that with those accomplishments, almost 100 associates of the improved company will improve its paper packaging sales, in addition to introduction of plastic packaging and making packaging for people’s food into its offerings.  However, the company failed to reach its goals.

Certain types of bankruptcy require debtors to pay their creditors either partially or completely. To find out if you would have to pay back your creditors, talk o a San Antonio Chapter 13 Attorney.

Leave a Comment

Previous post:

Next post: