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AbitibiBowater Mill Sale Conditions

By 250 News

Sunday, October 05, 2008 06:52 AM

Prince George, B.C.- So is the Mackenzie Paper mill, that belongs to Abitibi Bowater up for sale? Now that the folks  from Abitibi Bowater have returned our calls, it  seems the answer  to that question depends on who  you talk to.
Yes there is an agreement between the union and the Montreal headquarters of AbitibiBowater that would allow the mill to be sold. But that doesn’t mean AbitibiBowater is actively looking for a buyer.
“If someone comes forward with the right price, we would be  interested in looking at selling the asset” says AbitibiBowater’s Vice President of Communications Seth Kursman “but are we actively looking for a buyer? No.”
Kursman says there is a string attached to any possible sale even if a prospective buyer should step forward. “If the buyer wants to produce the same product that was being produced we would not allow the sale as that would be a direct competition with other Abitibi Bowater holdings, so the product would have to be changed or the use of the asset be changed before any sale would be approved.”  
CEP Local 402   spokesman Pat Crook says there have been rumours a couple of different companies have shown interest in purchasing the paper mill, but there’s been nothing confirmed. As for the workers buying the facility, that isn’t in the works, “We haven’t had any talks yet that would see the workers buying and running the mill like they did at Harmac in Nanaimo” says Crook, “It’s too early to say if those kind of talks would be considered.”

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Comments

Having worked for Abitibi at this mill their attitude about the place isn't suprising. They were always about shutting down mills rather than sell them.

As for an employee purchase plan...well I am in no position to come up with capital in order to purchase the place. Not sure if my former co-workers could either.
Well its not good news... but it's news.There hasn't been any talk with Abitibibowater since they shut the mill down in January. So if nothing else they are being honest..
something interesting: daughter and boyfriend went for a drive out that way yesterday, just out for a cruise. Said security guards wouldn't let them anywhere where near the mill site. Stoppped them just past FFI toboggan hill, if any of you know the area.

.... curious.........
as a shair holder in abitibibowater I am appaled to see such an asset sitting idle. i beleive the mill should be sold so this town can go on & the company could pay of some of their debt before they go bankrupt
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They obviously own the mill to take competition off the market. Monopoly capitalism at work. The town of Mackenzie is their collateral damage.