Business News

Fraser Papers Announces Restart of Edmundston Pulp Mill

Wednesday 12. August 2009 - Labour union ratifies collective agreement

Fraser Papers Inc. (“Fraser Papers” or the “Company”) announced today that Communications, Energy and Paperworkers Union Local 29 in Edmundston, New Brunswick has ratified an agreement that will see the Edmundston pulp and energy complex return to full operation over the next few weeks. Members of Local 29 voted tonight to approve the collective agreement presented by the Company. The three-year agreement provides for a more competitive labour cost structure with future wage increases tied directly to the profitability of the Company’s East Papers Operations.

“We are pleased that we could reach an agreement that better positions the mill to be competitive in these difficult market circumstances and into the future,” said Peter Gordon, Chief Executive Officer of Fraser Papers. “I would like to thank all involved for their hard work during these sometimes difficult negotiations including mill management, our hourly employees, local politicians and particularly Premier Shawn Graham for providing the leadership, focus and a path forward to the community and employees at a most critical time.”

The company will commence restart activities today and expects to restart the mill during the week of August 30, 2009. The Company is actively working with suppliers to secure fibre and other raw materials to ensure a smooth restart.