YOUNGSTOWN, Ohio – Portraits of the founders of Schwebel Baking Co. are among the items that will be donated to the Mahoning Valley Historical Society if a federal judge gives the OK.

Lee Schwebel, a former shareholder of the company, and KCP Advisory Group, the receiver appointed to oversee the shutdown of the 120-year-old baking company, filed a joint motion last week in the case of Spectrum Commercial Finance. That company argues Schwebel owes it nearly $3.8 million plus interest, cost and fees. Spectrum asked the court to appoint a receiver.

“The requested relief is limited,” the motion said. “It does not authorize removal of any business records, corporate records, title documents, contracts, intellectual property, electronic media, vehicles, equipment, inventory, operational assets or other estate property not specifically identified” and approved by the receiver in writing.

The agreement is based on the representation that the memorabilia “has nominal or inconsequential economic value” to the receivership estate, the motion said. It said Spectrum Commercial Finance has no objection.

The five items that would be removed and donated to the historical society after the receiver approves a written and photographic inventory if the judge approves the motion include:

  • Framed portraits of Dora and Joseph Schwebel displayed in the lobby area.
  • Paintings of the second generation of the Schwebel family displayed along the stairway leading from the lobby and/or office area to the upper office area.
  • Framed historical news stories and framed historical photographs displayed along a hallway.
  • Historical objects and display materials inside a lobby display case, limited to nonoperational historical display items. It doesn’t include cash, certificates of title, stock certificates, corporate records, contracts, recipes, formulas, trademarks, licensing files, electronic media or any business or legal records.
  • Large black and white photographs displayed in connection with the 100th anniversary of the company.

The motion also said it doesn’t include antique vehicles, delivery vehicles, trucks, cars, trailers, equipment, machinery, inventory, trademarks, trade names, signage or other items “currently used in operations, contracts, licensing materials or other property not specifically identified” and approved in writing by the receiver.

Schwebel announced in June that it would be winding down operations this summer and that it expected to initiate liquidation of its assets. In the announcement, the company cited significant operational and financial constraints for many years. Among its challenges, it pointed to aging manufacturing facilities and equipment, costly labor contracts and pension obligations and consumer trends depressing demand for traditional bakery and bread products. 

Schwebel produced branded and private-label fresh bakery products.