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NORWALK

VALLEY PRIDE GATE STILL CLOSED AS OF MONDAY 8/27/01
WORTHLESS CHECKS STILL FINANCIAL BURDEN TO MANY IN AREA:

Photo Taken 6:00pm 8/27/01
By Bill Weber
Sign On Gate Reads: "WE WILL NOT BE TAKING IN ANY CATTLE TODAY"

RUMORS RUN RAMPANT ON VALLEY PRIDE SHUT DOWN:
From 8/30/01 COUNTY LINE
by Karen Parker

As Valley Pride Pack moved into its third week of shutdown, there was no shortage of rumors circulating about the fate of the meat plant in Norwalk.

While local gossip talked about the plant starting to buy cattle again and the possibility of it opening by the end of the month, owner Rick Stewart remained unavailable for comment.

A temporary restraining order that froze the plant's assets remains in effect until August 30th. That order came after GE Capita! Credit filed a lawsuit against the company on August 17th stating that Stewart and Valley Pride were in default on loan agreements and that GŁ Capital Credit had been refused ac cess to financial records for the business. GE Capita! Credit staled the outstanding principal amount owed to them was $18.5 million dollars.

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FLURRY OF WORTHLESS VALLEY PRIDE CHECKS BLANKET LOCAL AREA:

Department of Revenue and GE Capital Credit seeking VP records

by Karen Parker
August 23rd Edition of County Line

About 150 workers gathered in [he Valley Pride parking lot on Friday to find that not only would they not be receiving paychecks for the previous week's work but that checks they carried in their pockets were also worthless. One employee had several checks worth in excess of a thousand dollars. Cattle buyers and farmers also found that there were no funds to pay them. Dick DelMedico. of the Bank of Ontario, said one customer deposited a check for cattle, only to see it come back worthless and then discover all the checks he had writ ten against his funds were also worthless. Area banks reported they had cashed numerous payroll checks that had been re turned worthless. In some cases, the checks were debited from customer accounts, but in many cases the banks will not be able to recover the funds as the customers did not have ac counts.

In Norwalk, Lehner's Market received an NSF check for food the grocery had supplied for the company picnic held JUST two weeks ago.

Most of the checks were returned from the Rushford State Bank in Minnesota, but [he bank would not return phone calls regarding the matter. Meanwhile Valley Pride owner Rick Stewart and his Chief Financial officer, Dennis Rauscher, were avoiding any contact with the press.

One long time employee in the office, who asked not to be identified, said she did not see this coming She said no one at the plant would either tell her to go home, or to stay at work. ...

On Wednesday, the LaCrosse Tribune reported that GE Capital Credit had obtained a restraining order in Chicago Federal Court freezing the company's assets after claiming the company would nut disclose the firm's financial condi- tion. In addition, Steve Nicks, of the Wisconsin Attorney General's office told the County Line, he is involved in a case in which Valley Pride has sued to stop a demand from the State Department of Revenue for business records. Nicks said the case was in Monroe County Court but on request of his office, it has been moved to Dane County Court.