SNC-Lavalin Group Inc. and Fonds de Solidarité FTQ: Offer
to Acquire Assets of Gaspésia Mill in Chandler by Fonds
de Solidarité FTQ,...
MONTREAL, QUEBEC-- JULY 19, 2000
... Clermont Levasseur and SNC-Lavalin Accepted by
Abitibi-Consolidated
The offer made last month by the consortium comprising Fonds de
Solidarite FTQ, forest products industry promoter Clermont
Levasseur and SNC-Lavalin for the acquisition of the Gaspesia
paper mill in Chandler, Quebec, was accepted today by
Abitibi-Consolidated.
The three partners are now set to define the details of the
project, and SNC-Lavalin technical personnel have been dispatched
to the site to conduct an environmental audit. Pending the
outcome of these studies, the plant may begin modernization
enabling it to produce the value-added, high-quality coated free
sheets used in high-gloss magazine production. The Chandler mill
had been a producer of newsprint until its closing last year.
Investment costs for the project would total approximately $420
million. The re-opening of the newly reconfigured plant will mean
the creation of some 250 jobs directly at the mill, and a
revitalization of the Gaspe region's economy.
"This has been a huge undertaking for the Fonds de Solidarite FTQ
team over the last few weeks and our investment of $40 million in
this $420 million project is proof-positive," said Raymond
Bachand, President and Chief Executive Officer of Fonds de
Solidarite FTQ. "This project will see the light of day thanks to
the important contributions of the Government of Quebec, as
details will make clear in the weeks to come. This project to
modernize the Chandler mill will enable us to offer a world-class
product in less than two years' time," he added, expressing his
satisfaction in the partnership with Clermont Levasseur and
SNC-Lavalin.
Henri Masse, president of the FTQ and Chairman of the Board of the
Fonds de Solidarite FTQ, also reacted to the agreement with
optimism. "This will be a new start for some 250 workers who will
have high-quality employment in the near future. In the past few
months, these workers have been affected by the mill closing and I
am confident that they are well-equipped to respond to these new
challenges. In the pulp and paper industry, Quebec craftsmanship
is highly regarded and will continue to be. We are pleased to be
able to breathe new life into this mill and that the Fonds de
Solidarite FTQ has played such an important part. I congratulate
the workers who fought for the survival of this mill over the past
few months in a region that needs stable, quality, paying
employment. It is the daily challenge we face."
The Fonds de Solidarite FTQ, with net assets of more than $3.3
billion, is an investment fund which uses Quebecers' savings,
through RRSPs in particular, to contribute to the creation and
maintenance of private-sector jobs and to play a role in the
economic development of Quebec. The Fund now has more than
420,000 shareholders and has participated, alone or with other
financial partners, in the creation, maintenance and protection of
more than 80,000 jobs.
SNC-Lavalin Group is one of the leading engineering and
construction firms in the world, and a key player in the ownership
and management of infrastructure. The group and its companies
have offices across Canada and in 30 other countries, and are
currently working in some 100 countries. The company is listed on
the Toronto Stock Exchange (symbol: SNC). |
