Mayor Bob Simpson addressed the elephant in the room at city council Tuesday night when he briefly raised the issue of C&C Wood Products.
Rumours have been swirling for weeks that the specialty mill has shut down indefinitely, impacting an estimated 100-120 direct jobs with the longtime Quesnel company.
“Just on a community note, I talked to Pricewaterhouse Coopers today, I’m trying to get a formal clarification to the public about what’s happening with C&C Wood Products,” Simpson said.
“They have indicated that they may try and get something out tomorrow but C&C Wood Products is now in the hands of Pricewaterhouse Coopers, OK.”
Emails and calls from the Quesnel Observer to representatives from C&C Wood Products have gone unanswered.
C&C Wood Products was a family owned and operated local company for the last three decades until it sold in 2017 to Callidus Capital Corporation.
Callidus is a finance company which announced in January 2019 that it closed the previously announced sale of the commodity division of C&C Resources Inc. (“C&C”) for all-cash consideration of approximately $100 million.
According to the company’s website, the transaction resulted in Callidus realizing the vast majority of the current carrying value for all of the assets of C&C, which it acquired in 2017, while retaining ownership of C&C’s remaining assets.
“Those remaining assets include C&C’s growth-oriented, value-added operations, including the Quesnel, B.C. sawmill, processing facilities and associated logging operations, as well as a manufacturing operation in Cranbrook, B.C.”
At that time Callidus stated it would use approximately $55 million of the cash received from the sale to repay indebtedness and the balance will be used for general corporate purposes.
C&C Wood Products manufactures products such as tongue and groove siding for the home renovation market. The company’s products can be found on the shelves at Lowe’s and Home Depot.
Wood siding from C&C Wood Products was also utilized inside the West Fraser Centre in Quesnel.