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DOWNTIME: Kruger Adjusts to the Economy (February 06, 2002)

MONTRAL, QC — Kruger Inc. will be affected by several cutbacks in the company. Kruger announced the shutdown of i…

MONTRAL, QC — Kruger Inc. will be affected by several cutbacks in the company. Kruger announced the shutdown of its sawmill in Forestville for an indefinite period, affecting 40 employees. It is also shutting down its forest operations in the Manic V sector, until April 2002. Forest operations in this sector usually stop in February to resume in May. This year, however, it was necessary to close earlier. The shutdown of the forest operations will slow down wood transportation activities, which will also lead to the temporary layoff of some 30 truck drivers employed by Kruger and its contractor Rebec.

Kruger is also closing down its trucking division at Bromptonville. About 40 employees will be affected in that area.

“Kruger is one of the last papermakers to dispose of its private fleet. Elsewhere, close to two thirds of our trucking activities are already handled by companies specialized in this domain,” said Mr. Robert J. Kirkland, General Manager – Kruger Trucking Division. “We must remain competitive in today’s economy.”

The company states that this will not result in any delay in deliveries of products to the company’s clients.

Kruger Inc. has been affected by the significant reduction in construction start-ups, the imposition of tariffs and antidumping duties by the United States, and the current recession.