BOARDMAN American Paper has 35 layoffs

BOARDMAN -- American Paper Group, which is in the process of selling its company in bankruptcy court, laid off 35 people Friday after it lost two customers.
The company, a manufacturer of commercial envelopes, still has 330 workers on the job at its plants on Southern Boulevard and McClurg Road.
Thomas Pietrocini, company chairman and chief executive, said the customers were worried about the future of American Paper after it filed for protection from creditors under Chapter 11 of federal bankruptcy laws last month.
Assurance unheeded
He said company officials tried to assure the customers that they would be taken care of and a new owner is expected to maintain operations, but the customers backed out because of problems they had with other suppliers in bankruptcy court.
Pietrocini said he hopes a new owner will be found to get the customers back and rehire most of the laid-off workers.
One customer made up about 20 percent of American Paper's commercial business, which includes the printing of business envelopes. The other made up about 5 percent of its church division, which prints church offertory envelopes.
Interested bidders
American Paper has received bids from MWM Dexter of Missouri and Our Sunday Visitor of Indiana, which want to be named lead bidders in a Jan. 8 auction of the company. The lead bidder receives a break-up fee if it is unsuccessful at the auction.
Pietrocini said company officials are reviewing the offers to see which they think is best.