Huntway Partners Defaults on Interest Payment

Huntway Partners, a Valencia-based producer of liquid asphalt and other oil-related products, said it defaulted on a $2.14-million debt payment.

The payment was due June 1 and a grace period for the payment expired last week, Huntway said. The payment was one of the semiannual interest payments Huntway owes on $35 million in mortgage notes.

Huntway, which also is in default on certain of its bank loans, said it is negotiating with holders of the mortgage notes and its bank “to address the defaults.”

The partnership is “enjoying very strong cash flow” from its operations, chief financial officer Douglas C. Hansen said in a statement. If the trend continues, “management believes the monetary defaults will be cured within the next several months.”