Curtis Tate Published

Workers At 2 Allegheny Wood Products Mills Could Get A Reprieve

One truck. Dozens of cut logs. Greenery from trees in the background.
A log truck transports a stack of freshly cut logs.
Jesse Wright/West Virginia Public Broadcasting

Workers at two Allegheny Wood Products sawmills could get a reprieve after a federal judge approved the sale of those operations.

The U.S. District Court for the Northern District of West Virginia last week approved the sale of sawmills in Randolph and Greenbrier counties to a Pennsylvania flooring company.

AHF will purchase the two sites from a court-appointed receiver for $7.5 million.

Allegheny Wood Products shuttered its operations in late February. In early March, United Bank, of Fairfax, Virginia, filed a lawsuit against the company, seeking $40.5 million in damages for unpaid principal and interest.

The sale could benefit only a fraction of the 900 Allegheny Wood Products workers who lost their jobs in February.

A worker in Mercer County filed a lawsuit in federal court last month, seeking class action status, alleging the company failed to provide 60 days notice before laying off workers.

Such warnings are required by the federal Worker Adjustment and Retraining Notification Act, or WARN.