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Lyman Lumber files for Chapter 11

Lyman Lumber, a nine-unit LBM chain based in Excelsior, Minn., has signed a letter of intent to sell its operations to SP Asset Management, according to an article in the Minneapolis-St. Paul Business Journal.The 114-year-old company also plans to file for Chapter 11 bankruptcy, the article said. 

SP Asset Management is an affiliate of New York-based Steel Partners Holdings, a diversified holding company headed by activist investor Warren Lichtenstein. 

"We are very excited about the prospect of working with a strong and credible financial partner. The sale would allow Lyman to continue to provide market-leading service to our customers," Lyman CEO Jim Hurd told the newspaper. 

The sale is subject to bankruptcy court approval, the statement said. The company hopes to use bankruptcy protection to restructure debt obligations and shed non-performing assets, such as its land holdings and construction-lending portfolio.

No. 22 on HCN’s Pro Dealer Scoreboard, Lyman Lumber ended 2010 with $152.3 million in sales.