TERRACE — Shames Mountain
Ski Corporation has failed to
make the first in a series of an-
mal loan repayments. to the
Kitimat-Stikine regional district,
The $35,000 payment — due
Jan. 1 — is interest on $345, 000
the corporation owes for buying
regional district-owned ski cquip-
ment at, the now-closed Kitsum-
kalum operation in 1986. | .
Shames met with regional, dis-
trict representatives last Friday in
an attempt to renegotiate terms of

the deal.

“They made two proposals to
the regional district thal were not
accepted,’’ regional —_ district
chairman Ray Brady said Satur-
day. ‘‘We are requiring more in-
formation: from the corporation
and.also some further information
from our administration.”*

‘‘Shames Corporation is not in

"a position to pay the regional dis-

trict at this time,”? he added.
“ Shames has made payments on
both ‘its Crown land lease and a

$502,000 low-interest federal-
provincial tourism development
loan.

“IVs important that they do
stay current with thal,’? Brady
nated,

That’s because the regional dis-
trict surrendered first place in the
line of Shames creditors to the
province and federal. government
in order for the corporalion to get
the federal-provincial loan.

If Shames defaulted on that

Joan and the federal-provincial

governments foreclosed, the dis-
trict would likely get nothing.

Thombill regional district direc-
tor Les Watmough said the com-
pany’s first proposal in the meet-
ing last week was that the entire
debt be forgiven;

Alter that was rejected, he said,
the. corporation proposed ‘the
amount of the debt bé reduced be-
cause the old Kitsumkalum. ski
hill equipment isn’t worth’ whal
Shames agreed-to pay for it.

The company also wants the

regional district to lake shares in
the ski bili in licu of continuing
payments, It was unsuccesful in a
similar attempt in 1990 when the
current payment schedule was ne-
goliated.

Regional district administrators
are checking with the municipal
affairs ministry ta determine

whether. such a .debt-for-shares .

swap would be allowed,

This will be the fifth time the
deal has been renegotiated.

In 1990, the regional district

bt relief

cancelled nearly $100,000 ‘in ac-
cumulated interest after the com- ”
pany asked to renegotiate’ the
repayment schedule. aa
The present arrangement calls
for interest payments once a year
until 1996 when Shames is to be-

_ gin making payments on the prin-

cipal, Those payments wanld last
until the year 2005. ;
Brady said he came away from
the meeting with hope -that the
company will be able to get its
balance sheet in the black,

TERRACE STANDAR’

Ara AS

~Smooth mover

NEVER JHE BRIDE, always the groom. Richard Roy, aut-

_ doors” operations Manager, at Shames, has ‘been on the _
mountain from: day. ane. And ‘it's the. expert work. of Roy- and .
his crew:that ensures skiers taking to the slopes during this,
National Ski Week, will fi ind well-groomed runs waiting for.

them. Although. Known as a Cat, ihe machine he's seen, with

‘above seems to be more: mountain goat as it effortlessly
‘climbs --and descends -- seemingly, Impossible gradients. To
find’ out what's happening. on the mountain during ‘the rest of
dhis special week, call the > Shames office at 635-3775,

4

MLA worried that! moose
kill will hurt land claims |

TERRACE — The killing of
moose ‘by natives: has Skeena
NDP MLA Helmut Giesbrecht
worried about general support fo for
land claims.’
“Tt’s providing for an awful I lot
of falf out and it'll. cause some
problems for: the’ settlement of
land claims in the long: mun,’
Giesbrecht. Da.

‘The MLA. said: he’s ‘received

phone ‘calls and: visits fom

people opposed to the killing. : ;

The shooting of moose by na-'

tives for food has. ‘long. been: a
controversial issue. 2.2.

Natives do not need: ‘permits io :
legally shoot moose for’ use as

food and can do so outside: of the
regular hunting season.

Conservalion:: offi cer:
Slater said the number. of moose
kills reported in’. the last two

” said ,

“Glen:

months since hunting season
ended has been very high.

“We're talking 50 sightings
plus,’ Slater said, adding the

number of actual kills is probably ;

lower because some kills are
reported several times. -
Slater said he’s had complaints:

from. private citizens, trappers, —
- sportsmen,” truck drivers and na-

tives.
The native bands are e worried
because. they're getting. blamed

‘for what's going : ‘on out there,”’

he added.”

The problem - -has grown worse

‘with: the decper snows, | Slater
“noted.

“Tt was going ona bit i in De

cember and it escalated’ in- the

first two. Weeks of January,’’ he.
_ said. ‘We had a-full moon, clear
skies —. it was pretty nice out

there.”
Logging companies have now

cheiped out by blocking the West
‘Kalum logging road to keep

hunters out, he said. The West
Kalum:has been the hardest hit

“area, with some reports coming

from the Nisga’a Highway and
Hwy16 West.

“There have been reports of
moose being. sold in town,”
Slater added,

So far there isn’t enough evi-
dence to lay charges, but he said

- more tips from the public could

help conservation officers start

‘making. arrests,

Giesbrecht said he’s worried
about a possible backlash against
natives. ,
. “Tye been hearing an awful lot
of racist rhetoric,” said Gies-
brecht of the calls and visits.

“One woman was telling me .

she was with a couple of kids and 7

they were watching a cow and a
calf at the side of the road, A car
came up, stopped and boom, just
like that, a moose was shot,” he
added,

“We're walking a fine line on
the settlement of Jand claims.
People havea tenuous hold on the
commitment to them,’’ he said.

Giesbrecht said he has talked to
government officials. about: the

killing but says they are reluctant

to do anything because of the im-

plications for land claims talks

taking place,

“Hf also think it is not just a na-
tive issuc, There are non-natives
shooting moose and native people
ave coming here from outside the
area,”’ he said.

Slater said native bands and en-
vironment ministry officials hope
to meet to address the problem.

- e Province ddmits

Its, hands are: tied |

-Orenda wants"

gov’tloan
guarantees —

TERRACE — Orenda Forest
Products is looking for provincial
loan guarantees to help finance its
proposed pulp and paper mill
south of Lakelse Lake.

Orenda vice president Frank
Foster said last weck it wants
guarantees amounting to less than
50 per cent of the $410 million
project.

“We have approached
government and are talking about
government assistance on the pro-
ject. We are looking for, hoping
to get some form of loan guaran-
tee,”’ said Foster,

“Tt’s all under discussion at this
time.” oo,

The guarantees would help

the |

secure primary financing* from

large commercial lenders, ‘said
Foster,

He acknowledged that the
search for capital financing was
more difficult than the company
first anticipated.

Yet-Foster said the company is
now optimistic about the success
of finding investment money be-
cause of the recent improvements
in the economy,

“The signs are oul there that
things are starting to turn around
a little bit, We went through tight
times and we see things chang-
ing,’’ he said. —

Orenda has hired a New York-

based company called: Peabody
Kidder to assist it.

Foster said it has been making
progress.

Provincial economic develop-
ment minister Dave Zirnhelt con-
firmed that loan guarantees have
been discussed but said an offi-
cial request has not been made.

“We are looking closely at the
project. We want to learn more in
case it becomes a reality,” said
Zimheit.

He said he has assigned “the
Orenda proposal a high priority
and has given it to his ministry’s
new B.C, Tnvestment Offics | for
study,

But he said his ministry does
not “have -a“'specific:-program ‘ta
which Orenda can apply.

“There is no project that’s a
real project unless there is private
sector money,’ said Zirnhelt.

He said any government in-
volvement would be as.a com-
mercial participant and that bene-
fits from public investment would
be expected.

“Whether they need a guaran-
tee is a moot point until the pro-
ject looks real,’ added Zimbhelt.

The kind of investigation
needed for a loan guarantee is
more detailed than the one the
trade office is now undertaking,
he said.

TERRACE — Lawyers for
four major stores here failed
last. week to have shopping
_ Charges dismissed.

KMart, FW. Woolworth,
Overwaitea . and Canada
Safeway were charged last
year under the provincial
Holiday Shopping Regulation
Act for opening Canada Day,
July 1. .

Their lawyers argued the
stores weren't guilty because
the legislation calls the holiday
Dominion Day instead of Can-
ada Day,

Provincial court Judge Ed de
Walle didn’t buy it.

He rejected the | motion,
ruling the intention of law-
makers must be interpreted.

of the legislature was to pro-
vide for a holiday on July 1,”
de Walle said.

Shopping charge
_ | dismissal bid fails

*4t is clear that the intention ~

- extends

‘in court again on Feb, 5, when

guilty.

The Holiday Shopping
Regulation Act bans stores
from opening on ‘‘Dominion
Day’', But since Dominion
Day isn’t defined under any
B.C. statute, the lawyers
argued, it docsn’t exist and no
law has been broken,

De Walle, however, also
found that Dominion Day was’
defined under the 1970 federal
Holidays Act,

That act was ametided in
1982 renaming the holiday.
“Canada Day” and de Walle.
ruled that the revised wording ”
to provincial laws *
passed prior to the revision,

“Tt is an offence known to
law to carry on. business on
July ist,’* he concluded.

Store lawyers are to appear

they ate expected to plead not