Kruger gets approval from unionized employees of Corner Brook, Newfoundland, mill to apply pension plan funding relief measures, which it says are essential to mill's competitiveness, will present sustainability plan to lenders, province in coming weeks
CORNER BROOK, Newfoundland and Labrador
August 17, 2012
– Kruger Inc. is pleased to announce that active and retired unionized employees of Corner Brook Pulp and Paper have approved the proposal to apply funding relief measures to their pension plan's deficit.
These relief measures were essential to the Mill's ability to compete in the market and will enable the Company to pursue its assessment of the Mill's long-term viability. The next step will be for the Company to present a sustainability plan to its lenders and to the NL government within the coming weeks.
According to the final report issued earlier today by independent auditor Brian N. Hillier, the number of objections was the following for each group of members:
>Active members (321): 19 objections 5.9%
>Retired members (645): 7 objections 1.1%
Founded in 1904, Kruger Inc. is a major producer of publication papers, tissue, lumber and other wood products, corrugated cartons from recycled fibres, green and renewable energy and wines and spirits. The Company is also a leader in paper and paperboard recycling in North America. Kruger operates facilities in Quebec, Ontario, British Columbia, Newfoundland and Labrador and the United States.