The temporary shutdown at Terrace Bay Pulp in Ontario may go on longer than the original six-week period after the …
The temporary shutdown at Terrace Bay Pulp in Ontario may go on longer than the original six-week period after the mill’s company, Buchanan Forest Products, filed for court protection from its creditors under the Companies’ Creditors Arrangement Act (CCAA) on Wednesday.
With about $80 million in debt, the mill hopes the protection period will give it enough time to restructure its finances and keep operating in a market where demand has dropped significantly.
The mill was supposed to resume operations on April 6, however a Chronicle Telegraph article quoted a company spokesperson as saying the restart date is now unknown.
“The date may change because of this (court protection) process,” Hartley Multamaki said in the article. “We don’t know how long it will take to restructure.”
Currently, 325 workers are laid off from the mill.
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