Consumables

Canadian Fair Rail Freight Service Act is a Step in the Right Direction – Resolute Forest Products

Tuesday 18. December 2012 - Resolute Forest Products (NYSE: RFP) (TSX: RFP) welcomes the Government of Canada's introduction of Bill C-52, the Fair Rail Freight Service Act, which will provide a framework to make railways more accountable to their customers for providing acceptable levels of service. The bill is expected to be voted into law in spring 2013.

Bill C-52 is an important first step in the process of rebalancing the commercial relationship between the railways and their customers, the companies that depend on rail services to bring their products to market. The legislation gives shippers the right to negotiate Service Level Agreements (SLAs) with railways, and sets up a dispute resolution process if negotiations fail, as well as penalties for non-performance by the rail service providers.
“We congratulate Ministers Lebel and Oliver and their Cabinet colleagues for all of their hard work in bringing Bill C-52 to Parliament,” said Richard Garneau, President and Chief Executive Officer. “We look forward to working with the government as the bill moves forward through the parliamentary process in order to ensure the Act achieves its intended goals.”