GRAYS HARBOR PAPER SHUTS DOWN

Up to 230 workers are out of work today following the shutdown of Grays Harbor Paper yesterday.  While we’ve been piecing together information for the past few days, it appears that paper production stopped around 11 am yesterday, after the company was unable to secure necessary financing to allow continued operation.  Current high market prices for wood pulp, a necessary ingredient in the manufacture of paper, was likely a major factor leading to the shutdown.

Grays Harbor Paper was once a part of the ITT Rayonier operation in Hoquiam, and was re-opened about 18 years ago by a number of local investors.

First calls regarding layoffs came in late Tuesday, with reports coming in from other sources inside and outside the company much of the day yesterday.

Management declined to provide any information yesterday but indicated that a public statement should be available sometime today, which hopefully will shed some light on the future of Grays Harbor Paper and the many employees who are now without jobs.