Creditors vote in favour of NewPage Port Hawkesbury paper mill settlement | iNFOnews | Thompson-Okanagan's News Source

Would you like to subscribe to our newsletter?

Current Conditions Cloudy  -5.1°C

Creditors vote in favour of NewPage Port Hawkesbury paper mill settlement

Creditors vote in favour of NewPage Port Hawkesbury paper mill settlement

PORT HAWKESBURY, N.S. - Creditors have accepted a settlement on what their owed from a Cape Breton paper mill that shut down nearly a year ago.

The court-appointed monitor handling the sale of the NewPage Port Hawkesbury paper mill says 99 per cent of general creditors voted today in favour of the agreement, while 88 per cent of U.S. noteholders supported it.

Pacific West Commercial Corp. has offered to buy the Point Tupper plant, which has been idle since last September, for $33 million.

Under the deal, general creditors and U.S. noteholders stand to receive much less than what they're owed from NewPage.

Mathew Harris of Ernst & Young, the court-appointed monitor, has said it's estimated that about $2.5 million will be available to more than 300 general creditors, although its claim is more than $200 million.

Harris has also said that another $31 million will be given to U.S. noteholders compared to its total claim of about $3 billion.

Pacific West Commercial has said it wants to restart one of the mill's two papermaking machines by Sept. 1.

News from © The Canadian Press, 2012
The Canadian Press

  • Popular kelowna News
  • 'I’m blown away:' Kamloops Ebus driver reacts to viral TikTok video
    A Kamloops Ebus driver says he doesn’t know how to feel after thousands of people watched a TikTok and left positive messages for him on what he considered to be just another day at work.
  • Large blaze engulfs Lake Country house
    A large blaze that could be seen across Lake Country erupted from a house last night. Witnesses started reporting smoke and flames on social media at roughly 10 p.m. last night, Dec. 3 at a
  • Naughty Penticton Santa living large after mall firing
    A South Okanagan Santa doesn’t like the term “naughty” to describe a series of photos that got him fired from a mall years ago. He prefers the term “eye catching.&rdq
  • Person bear sprayed at Sahali store in Kamloops
    A person was blasted with bear spray by an alleged thief at a Sahali store last weekend. Police responded to the location on the 1200-block of Summit Drive where a woman released a can of be
  • The Stock Pot Café: a hidden Kamloops gem
    A warm, family-oriented restaurant can be found tucked away in a Kamloops industrial park. Despite its location far away from the main restaurant hubs, The Stock Pot Café draws custom
View Site in: Desktop | Mobile