Operations at Brookhaven’s Columbus Lumber Co. have ceased,making the prestigious old sawmill the latest and most visiblelocal victim of the national recession.

Company co-owner Jeff Grierson said the mill’s prime lender,Bank of America, issued orders to halt operations Thursday at 2p.m., sending around 100 workers into the ranks of the unemployed.He said years of adjustments, new products and new markets were notenough to keep the mill from falling in the midst of anhistorically bad national housing market and cripplingly low lumberprices.

“The bank looked at the situation, and no one could tell them areal date when this market would recover,” Grierson said. “Theyjust didn’t have confidence going forward.”

Columbus Lumber Co. has operated in Brookhaven since 1943. Itwas one of the city’s oldest industries.

Grierson said the company remains in “limbo” with regards to thefuture, as negotiations with the bank over possible employeeassistance packages and the search for potential buyers continue.The mill is still operating a skeleton crew of about 15 employeesto help with consultation and to field calls from the mill’s formervendors.

Grierson said the Columbus Lumber staff has done all it could doover the last year and more to keep the company viable. Adjustmentsto the workforce were made, and new wood products and overseasmarkets were added.

Co-owner Doug Boykin said the foreign markets were stillgrowing, but the economy took its toll on the mill.

Lumber industry experts had predicted that the all-importanthousing market would begin recovering in early or mid 2009, but therecovery never took place. The co-owners also sought state andfederal assistance, but were unable to pull down any of thebillions of economic recovery money the federal government haspumped into the nation.

Likewise, several new programs and ideas proposed by each ownernever materialized. Grierson is the current president of theMississippi Lumber Manufacturers Association, while Boykin serveson the executive committees of both the national and Mid SouthBuilding Material Dealers Association.

“We just needed more time, and time is something we don’t haveright now,” he said. “Part of the problem is that nobody can tellwhen this market is going to turn around. It was supposed torecover in 2009, but that keeps getting pushed back. Now, they’retalking about the end of 2010 before we see a recovery.”

Grierson said he and Boykin are now focusing their efforts onfinding a buyer for the mill, even though that could very well meantheir participation in the company would end.

“Doug and I are not worried about ourselves, we’re worried aboutfinding a solution to keep Columbus Lumber running and putting ouremployees back to work,” he said. “This company plays an importantpart in Brookhaven, and for it to be shut down and sold off inpieces is not in the best interest of this community. We would loveto stay here, but that’s a secondary goal.”

Brookhaven-Lincoln County Chamber of Commerce Executive VicePresident Cliff Brumfield said the loss of 100 employees will havea temporary negative impact on the local economy, but the closureof the sawmill could create a tremendous negative trickle-downeffect on Southwest Mississippi’s wood workers. Many relatedindustries were tied to the mill, including loggers, truck drivers,retail businesses that sold lumber products and even propertyowners who sell timber off their land.

“This is the biggest hit we’ve had thus far in the recession ofany magnitude,” Brumfield said. “Hopefully, it will be the last.Although there are many other bright spots in our local economy andwe have a prosperous future ahead, we can’t help but stand back inappreciation of everything Columbus Lumber has done for ourcommunity.”

Brumfield said the chamber and the Industrial DevelopmentFoundation have worked with Columbus Lumber through its trials andwill continue to work to help find potential buyers for themill.

“This is one of those businesses where nothing else could havebeen done, and our concerns and prayers go out to everyoneinvolved,” he said. “In corporate America, industries come and go,but you never want to see anything like this happen.

“But throughout all the talks we’ve had with the companyleadership… every conversation always ended with their concernand dedication to their employees,” Brumfield continued. “All canrest assured that they did absolutely everything in their power tokeep operations intact as long as they could.”