Western Railroad Discussion > Simpson Railroad at Shelton - Future Operation in Doubt

Due to economic conditions, Simpson Lumber Co.at Shelton, WA hasn't operated their private railroad since about February of this year (switching operation in Shelton the only exception). Now the company just announced that they hired an adviser to look into the possible sale of all their manufacturing plants except their door factory in McCleary, WA. This includes manufacturing plants at Shelton, Longview and Tacoma as well as Meldrim, Georgia and Georgetown, South Carolina. In March they sold their pulp mill in Tacoma to Georgia-based RockTenn Co.

Pete Replinger

What a bummer. When I was in the printing business in the 1980s, Simpson was a major supplier of paper from their mills in Anderson and Ripon, CA, which they sold to Fox River and (I think) International Paper in the 1990s. I used to have a cardboard cut out of Bart Simpson on my counter with the sign "We sell Simpson Paper." It's sad to see a family company like that disappear.
Bill Pyper
Salem, OR

Well just try and get a custom made door delivered on time. It should be the first on the sale list. After the mills whats left? Didnt the tree farms go to Green Diamond some years ago?
Roger Beckett

All the Simpson tree farms are now under the Green Diamond name, separate from Simpson Lumber Co.

Sad news. Thanks, Pete!

We have been hearing a lot of rumors here (OPP former Simpson Plywood). We have heard they have been in negotiations with a company to buy all 5 mills. But it is rumors. If they operate like they did when they sold the plywood plant they were already mostly done with negotiations when they announced that the mill was for sale. The railroad has been kept in the dark as to their future so no info there. Time will tell.

Simpson wants to be a real estate investment trust. That is why they split off the timberlands to Green Diamond a while ago. Green Diamond is wholly owned by Simpson. To be a REIT you cannot own mills just land.

Scott

Scott,
I wonder then, why they are going to keep the McCleary door plant, as mentioned in the Journal article??
Pete

What we are told is they are a subsidiary and not really owned by them. But that is a very good question as there have been rumors for the last 25 years about the door plant closing. But you know about rumors mostly drivel until proven and Simpson keeps everybody in the dark it is company policy to not give out any information on anything.

Scott