On May 2 the Hard Rock Group, which includes Hard Rock Paving, Hard Rock Construction, Hard Rock Highway Maintenance and Diamond Stonebridge Construction, announced it had been granted a court order to facilitate a restructuring of its operations.

The company has been under bankruptcy protection since April 28.

As part of the bankruptcy procedures, the company was ordered to be sold. Proceedings were handled by BDO Dunwoody.

Of the 14 purchase offers, Miller Paving and Waterford Sand and Gravel of Union City, Penn., were the highest.

The bids were not disclosed in the ruling, nor did it disclose which assets were purchased by the two companies.

In the report, the monitor said the sale price was "reasonable" and represents the highest achievable price. The ruling also stated "the company has run out of money and, therefore, needs to complete the proposed sale as soon as possible."

A previous filing stated the company' ability to operate beyond July 9 was questionable due to cash restrictions.

According to the documents, the Hard Rock Group owes more than $9 million to its secured creditors. That figure, however, does not include all debts.

Caterpillar Financial Services, in a sworn affidavit, stated the Hard Rock Group owed the company more than $31 million as of April 23. The company supports the sale of the Port Colborne business.

In another affidavit, GE Canada Equipment Financing stated the company was owed $10 million as of the end of Apri. Since then, GE has not received any payment. GE Canada holds the position that the GE equipment is not be sold without its consent and opposes the sale to Miller and Waterford. David Semley, president of the Hard Rock Group, said the sale has not yet been completed and offered The Leader no further comment.

Miller Paving would not comment on the matter as the process is still ongoing.

When contacted last May, Semley cited significant cost overruns on one of its major projects as the reason for its financial difficulties.

The Ministry of Transportation is in the process of settling a claim with the company for cost overruns on the Henley Bridge project, which was completed last fall.