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Fraser Papers Shutting Down Off-Line Coater in Maine

June 1, 2007 - Fraser Papers Inc. yesterday said that it will indefinitely shutdown an off-machine coating production line at its 490,000 ton per year East Papers mill located in Madawaska, Maine.

Total paper capacity will be unaffected, the company said, and 29 full-time workers will be affected by the move.

According to Fraser, the shutdown is the result of the company's growing focus towards specialty packaging and lightweight printing grades and away from coated groundwood markets.

"This decision is consistent with our business strategy that involves a focus on niche market segments where we can establish sustainable competitive advantage and meaningful market share," said Peter Gordon, president and CEO of Fraser Papers.

The closure takes effect on June 2, 2007 and coincides with the maintenance outage at the Fraser's pulp and paper mill.

SOURCE: Fraser Papers Inc.




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