Fraser Papers Secures $40 Million Government Loan
June 26, 2008 - Fraser Papers yesterday said that the Government of New Brunswick will provide a $40 million secured loan to the company to support the upgrade of its facilities in the province.
According to Fraser, the $40 million, fixed rate term-loan is for a period of up to six and a half years and will be secured by a first charge on its fixed assets in New Brunswick. Proceeds will be used to complete projects that improve energy efficiency, increase throughput, upgrade technology and enhance environmental performance at the company's New Brunswick operations.
"Our government is pleased to support Fraser Papers as it undertakes upgrades to its operations," said New Brunswick Premier Shawn Graham. "We recognize how important it is for the long-term viability of companies to invest in their operations. We are pleased to support them as they upgrade technology and implement efficiencies that help them to be more competitive in an increasingly competitive world market. Strategic partnerships such as this one will help New Brunswick achieve self-sufficiency by 2026."
Fraser Papers employs 820 people in New Brunswick. Operations include a 740 ton-per-day sulphite pulp mill, a 350 ton-per-day groundwood mill and a 38 megawatt biomass cogeneration facility in Edmundston; and two sawmills located in Plaster Rock and Juniper.
Fraser Papers is an integrated specialty paper company which produces a broad range of specialty packaging and printing papers. The company has operations in New Brunswick, Maine, New Hampshire and Quebec.
SOURCE: Fraser Papers Inc.