Thursday, December 1, 2011

BREAKING: Multi-Million Dollar Support Package for Bowater Mersey

It's a huge development that may help keep the Bowater Mersey paper mill in production. The government of Nova Scotia has worked out a multi million-dollar support package for the Brooklyn based mill. A spokeswoman from the premier's office confirmed the agreement late Thursday afternoon. Premier Darrell Dexter will give details about the deal Friday afternoon during an announcement in Liverpool. Mill owners Resolute Forest Products told Dexter they would close the plant without help from the government, concessions from the union and reduced electricity costs. President of CEP Union Local 141 Courtney Wentzell says he'll need to know the details of the deal before he can endorse it. The union at the mill recently voted to cut 110 full- and part-time jobs in an effort to reduce labour costs and help save the operation. On Tuesday, the province's Utility and Review Board ruled that the mill would receive a three-year discount on its electricity costs. The Region of Queens Municipality has also approved a 15 per cent property tax reduction for the mill worth about $135,000 per year. Officials for Resolute did not return messages seeking comment. CKBW/HANK FM News will have more on this story tomorrow afternoon and full reaction.