i= mark sawmill complex on Keith Ave. is answer- ing to a new name as of July 10. The former holding of Westar Timber, a sudsidiary of B.C. Resources Invest- ment Corporation, is now called Skeena Cellulose. As the name indicates, the new . owners are a pulp and paper concern and_.their management strategy for local forests will have a determining effect on the regional economy for years to come. by Michael Kelly Repap Enterprises Inc., a Montreal-based company, was founded by George Petty in 1970 and since then has grown into a corporate entity with annual sales of $900. million per year and assets totalling nearly $1 billion. The company specializes in the takeover and revitaliza- tion of pulp and paper mills, and Petty has con- tinued as board chair- man and Chief Executive Officer. The Terrace supply that feeds both mills. Repap paid about $100 million for their new western branch, of which $75 million came in the form of a loan from the B.C. Develop- ment Corporation, The turned-over Terrace and Prince Rupert mills and ancillary operations will. be known collectively as Skeena Cellulose and will constitute a wholly owned sudsidiary of Repap. ; The new owners visited both Terrace and. Prince Rupert in order to personally announce the completion of the sale. The appearance of near- ly a dozen of the cor- poration’s top ex- ecutives, some of them accompanied by their: spouses, conveyed to concerned locals the message that this new undertaking is a serious step for the company. The Terrace sawmill was shut down for the day and employees assembl- ed in the Tillicum Theatre to get ac- quainted with the new owners of the mill and get answers to their ques- Rim. We have a unique | possibility to build .a . Viable long-term business which will .become an economic miairistay of the Northwest. We are - willing to make the capital commitment ‘necessary for long-term development, and we can exert our purchasing power here to. ensure continuous operation ‘and stability for this area.” Repap’s history com- prises success stories with similar ventures in Ontario, Quebec, Penn- sylvania, Wisconsin and, most recently, the Miramichi Valley in New Brunswick. Petty stated _ that the company intends to put the disused ‘B’ mill in Prince Rupert in- to production by late September of this year, increasing the overall output of the total com- ‘plex by more than 30 percent, The corpora- tion’s strengths appear to be first class profes- sional management prac- tices and a marketing strategy that addresses long-term requirements in continental and global Mayor Jack Talstra welcomed visiting dignitaries recently with presentation of the tradl- tlonal Terrace Kermodel Bear transferring ownership of the Westar S -behind Mayor Talstra are (left to right): the Hon. J CEO George Petty; Repap President, Joa Kaas; Hilda Kass; pin. The group was in town to issue the official confirmation awmill to Repap Enterprises of Montreal. Standing ack Heinrich, Minister of Forests; Repap and Ellean Papushka. sawmill, the latest in a string of acquisitions for Repap, is part of a package which includes the Westar pulp mill complex in Prince Rupert and Tree Farm License 1, the timber Wind Shear Since 1964 more than two dozen aircraft accidents nationwide have been related to wind shear —a sudden shift in wind speed or direction, . AtUCLA, meteorologist Roger M. Wakimoto conducts research aimed al understanding the signals that precede microbursts, the most destructive type of wind shear characterized by violent dotvnbursts of air. ‘The early signs are critical,” hesaid. ‘If microbursts could be identified quickly, then pilots could simply delay lift-off or delay landing for several min- utes until the microburst passed." Damage caused by microbursts is not limited to aircratt crashes, Studies have convinced Waki- moto that damage to homes and forests believed to be duc to tor- ~ nadoes actually resulted fram microbursts. tions concerning the future of the operation. The executives later at- tended a reception where they met the mayor and city members, represen- tatives from the Kitimat- Stikine Regional District, -and local business people and met- ‘chants. “We're very excited, this is a tremendous op- portunity for all of us,”’ said Repap president Joseph Kass. He. em- phasized that the com- pany had based previous successes in similar operations on an in- tegrated approach to forest resource use and a long-term view. Chairman and CEO George Petty was equally enthusiastic. ‘‘This takeover is a milestone. As we were flying in here, I found myself aw- . ed by the wood resource I saw... this area is the doorway to the Pacific markets. In the context of Repap’s present operations, the Skeena Cellulose extension fits in well - for a pulp and paper enterprise. The Terrace sawmill, however, even after Repap - executive assurances, remains ‘something of a question mark. Petty said that he is impressed with both the productivity and marketing at the mill, and stated that Repap has no immediate plans for it except to continue the present operations and improve = and upgrade it as oppor- tunities come up. He said that a six-month study will be undertaken to assess the situation, and that further decisions will be made as the infor- mation is analyzed. When asked to con- firm that a ‘‘memoran- dum of agreement’’ had been signed between Terrace Review — Wediesday, Jily 16, 1986 3 Local sawmill sale completed. ‘TERRACE — The land- A flotilla of out-of-town representatives were recently In Terrace to announce the formation tenets of Skeena Cellulose, a new company that consists of Westar's former holdings In Terrace and Prince Rupert. Those present Included Forest Minister Jack Heinrich (left), George and Ginger Petty (center, and Joe and Hilda Kass. -Repap and. BCRIC, in guarantee of maintaining current employment levels at the Terrace mill for a specified period of time, Petty replied, ‘'Yes,’’ When asked about the length of time the guarantee would be in force, he said, “‘I don’t remember,”’ The Review contacted Sandy Fulton, president of Westar, in Van- couver. Fulton, however, said he had no knowledge of such an agreement. ‘‘I’m not aware of it, there might be a reference to the terms of sale. There could have been some sort of commitment made, but I really can’t speculate.’’ Don deCorsey of the B.C.” Development Corpora- tion, who had a role in drafting the loan to Repap, said that he had no. knowledge of the agreement, but he did not rule out the possibili- ty; deCorsey did state, however, ‘‘It is their full intention that the sawmill continue to operate, and they believe it will be a profitable sawmill.”” _ The Terrace sawmill and the Prince Rupert pulp operation have been tied together for several years by a woods directed at Tree Farm License 1, the largest forest tenure in B.C. Having both mills draw- ing off the single timber supply ensures that high- grade sawlogs aren’t misused in pulping, and also that pulp logs sawn off the cutblocks go to their appropriate use. Petty stated that the Ter- race sawmill will be used as a primary source .of wood chips for. the Prince Rupert pulp mill, and whatever else the future holds that aspect seems to assure con- tinued operation of the newly-rechristened Skeena Sawmill. Cellulose. ” Sear, oS Tata oe pine BOTH SIAL Cte RE Fae aras ¥, management scheme NORTHERN ORCYCLE We have what you need! ~ a great selection of used bikes. yw consignment sale of your used bike. » the best selection of accessories FEATURING in the north. SHOEI and ANSWER A-TECH HELMETS AVON SUPER VENOM SPORT TIRES AVON AM 20 & 21 TOURING TIRES (long mileage and. handling) DIRT TIRES OF ALL TYPES ROAD and DIRT BOOTS LEATHER JACKETS SOFT LUGGAGE | and MUCH MUCH MORE! YAMAHA HONDA MON. - SAT. — 10:00 AM - 5:00 PM OPEN FRIDAYS TIL 7:00 PM JUST IN! a huge shipment of. dirt and dual purpose tires at mind-blowing prices! SUZUKI