Analyst defends assessment of Corner Brook mill
Fisher International says operation is competitive; deadline looms for deal between company and union
An American paper industry analyst is standing by his company's financial assessment of the mill in Corner Brook.
Fisher International prepared the review of Corner Brook Pulp and Paper for Liberal MP Gerry Byrne, who used it during a meeting with mill workers last weekend.
Since then, some people have questioned the accuracy of the report, since Kruger is a private company and doesn't release financial information publicly.
However, Fisher International president Rod Fisher insists the Corner Brook mill is competitive.
"It's got certain costs that are a little higher than the average across the whole industry, but, all in, the mill should be a reasonably good performer," Fisher said.
"Once we understand the cost of the major raw materials and the efficiencies of the equipment and the design of the lines that are making them, we can get pretty close to what costs are."
Fisher's analysis indicates that the Corner Brook mill stacks up well against competing operations.
The provincial government says the mill is on the verge of bankruptcy.
The company has set a deadline of Friday to hammer out a new contract with unions at the mill.