HALSEY, Ore. - The clouds are looking a little bit gloomier in Halsey these days. On the eve of a recession comes the announcement that the town's major employer, Pope & Talbot Inc., is shutting its doors for good.

It's the talk of the town. Everybody seems to know someone affected by the layoffs. But that doesn't mean they're comfortable with it or that they know what to do.

"It's just a day by day thing," said Halsey resident Lisha Chose.

One thing they do know is that big changes are on the horizon.

"That's going to hurt our town big time," said resident David Miller. "It's probably going to hurt the store too and everybody in town. It's going to make a big difference."

"They're building a lot here," said Chose. "So, it's going to affect the schools and people might move out."

For now the kids will continue to play and residents will continue to go on. But these days, with a little more hesitation.

"You just never know," said Chose.

The Halsey mill opened forty years ago. In November the company filed for Chapter 11 Bankruptcy. Friday's news is just another step in that reorganization.