Elk Falls Workers

Campbell River B.C.

Catalyst Restructure plan fails… Sale process to begin.

99.5% of Catalyst Paper‘s secured creditors voted in favour of the company’s restructuring plan. Only 51% of the unsecured creditors voted in favour. Both classes of creditors needed to pass the plan by 66 2/3% in order for it to pass. (the press has been reporting that 64% of the unsecured creditors voted in favour, but the $100 million claim made by the union is being disputed, they rolled that amount in to see if the plan would pass with the disputed votes, but it was still short by 3%)

Since the amended plan of arrangement was not approved at the meetings, Catalyst Paper is now required to commence a sales process.

So whats next for retirees…. Well right now there won’t be any change until we see who the successful bidder is. If the secured creditors “Stalking Horse” bid is successful, then there won’t be any impact, but if other players become involved that could all go out the window. keep your fingers crossed that no-one else wants to bid.

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May 24, 2012 - Posted by | General

5 Comments »

  1. its great to hear the place has been sold, and the new prospective buyer has plans for it, BUT how deep are his pockets when it comes to the clean up of the property after 50 years of use? The tearing down of any of the old buildings and the construction of the new businesses and all the associated tie ins to get his vision of the new elk falls site, up and running. Will CR taxpayers be on the hook for some or all of this? He says there will be 400 jobs for CR, I hope this to be true and hopefully sooner than later.CR is still home even though my address is in Alberta. Please keep us informed, best wishes to all. jim

    Comment by jim winnig | August 19, 2012 | Reply

    • CR residents had better not be on the hook for any of the cleanup costs!

      Comment by Douglas C. Sherlow | August 22, 2012 | Reply

  2. Just in…Elk Falls Mill Site sold to a developer….anything anyone else can add for clarification purposes??

    Comment by mike | August 17, 2012 | Reply

    • Very interesting! Lithium batteries, electric cars, algae cells….and 400 jobs over three years…..Elk is going green!
      .

      Comment by mike | August 18, 2012 | Reply

  3. And again we wait. Thanks Ian.

    Comment by Doug Hoodikoff | May 30, 2012 | Reply


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