Upbeat, productive and moving forward is how Port Alberni Mayor John Douglas described a meeting between civic, corporate and union leaders and B.C. Premier Christy Clark.
Douglas was part of a delegation of municipal, labour and business officials that met with Clark Tuesday afternoon in Victoria about the future of Catalyst Paper. Also in attendance were Catalyst CEO Kevin Clarke, deputy finance minister Peter Milburn and former finance minister Colin Hansen, who will deal with the three affected coastal communities and unions.
“It was a confidential meeting and I can’t comment in detail except to say that it was productive,” Douglas said.
The paper giant employs 1,700 people in Port Alberni, Powell River and Crofton. In creditor protection since January, Catalyst is being forced to sell its assets after its unsecured creditors nixed a restructuring plan last week.
Catalyst this year owes $4.2 million in industrial taxes to Port Alberni, payment of which is due on July 3.
According to Douglas, Clark signalled that her government would work on behalf of pensioners and employees through the pending crisis.
The matter of employee pensions was discussed, Douglas said. Pensioners stand to lose out if Catalyst is sold, said Gary McCaig, chair of the Catalyst Salaried Employees and Pensioners group.
Port Alberni City Council on Monday supported a request from McCaig and Peter Finch to ask Catalyst to hold a second vote on its restructuring plan. Douglas said he passed that request on to Premier Clark.
North Cowichan Mayor Jon Lefebure stressed there was no request by Catalyst for a bailout. Instead, ideas were mulled about ways to reduce hydro rates and provincial sales taxes at Catalyst’s mills.
A complex bid to help the firm meet its pension payments to retired workers was also discussed, Lefebure said.
Catalyst is now undergoing what’s called a SISP, or Sales and Investor Solicitation Procedures concerning prospective buyers.
reporter@albernivalleynews.com
— With files from Cowichan News Leader
