Another one bites the dust.
Quoted from http://www.wellandtribune.ca/ArticleDisplay.aspx?e=1213850:
Thunder Bay paper mill pleads for $10 million
Posted By Tribune Wire Services
Posted 8 days ago
THUNDER BAY, Ont.
Thunder Bay Fine Papers is fighting for its life, says company president and chief operating officer John Hitchman.
Unless the company gets $10 million within two weeks it will close permanently, Hitchman said in a Canadian Press story today.
“Our stumbling block, the people here in Thunder Bay and the bankers don't understand our business,” he said.
“We're considered part of forestry and forestry has a bad name. Newsprint is in bad shape. We're not in the newsprint market and unfortunately we're getting tarnished with that brush.”
The mill closure will put 320 people out of work and will impact another 280 spinoff jobs.
Its predecessor, Cascades, closed in January 2006 due to unfavourable economic conditions in the forestry sector.
That closure put almost 600 people out of work.
The mill, which produces coated paper, was resurrected early this year as Thunder Bay Fine Papers, after a group of investors and the provincial government put together a package of $45 million.
The provincial money was made up of a $1.5 million grant and loan guarantees of $14 million.
Despite the mill being on the verge of closure, Hitchman said that, except for the financial shortfall, it's in pretty good shape.
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