“Glimmer of hope” for Cascades Thunder Bay
December 27, 2005 By Pulp & Paper Canada
Cascades’ recent announcement that it would delay the closure of its Thunder Bay mill if a suitable offer was put o…
Cascades’ recent announcement that it would delay the closure of its Thunder Bay mill if a suitable offer was put on the table, may have paid off. A long list of potential buyers has shown interest in the mill, including a group headed by former Domtar manager Steve Hessian, another organized by MP Joe Comuzzi, and now a group with members Ewan Downie and Scott McLeod, has added its name to the roster.
Although Cascades’ originally planned to close the mill by January 21st, throwing 400 employees out of work in the process, the group coordinated by Comuzzi tabled as one of its conditions that the mill remain open for at least another three months. Cascades’ said it is willing to meet that condition if an ‘interesting’ offer comes up.
According to the Chronicle Journal, a spokesperson for the Downie/McLeod group has confirmed that consultations with middle and senior managers at Cascades’ have taken place, but that this shouldn’t necessarily raise hopes.
“This is just a faint glimmer of hope,” the Chronicle Journal reported the spokesperson, who wanted to remain anonymous, as saying. “There’s nothing definite and no guarantees.”
The Thunder Bay-based publication further reported that the Thunder Bay city council approved $120,000 to go towards a $150,000 business plan for the mill, and that the Comuzzi group has committed to cover the outstanding $30,000.
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