IAM Local Lodge 2740 --------- Somerset, Maine

Local Lodge 2740 --------- Somerset, Maine

Governor Baldacci Announces New Management Team for Great Northern Paper Company's Mills

AUGUSTA, MAINE -- Governor John E. Baldacci announced on Friday that the owners, creditors, management and labor unions have reached agreement in principle on a management team to review the current operations of Great Northern Paper Company's mills in Millinocket and East Millinocket with the objective of identifying a buyer for the facilities in the near future. The parties are currently working out specific terms of the team's appointment. In meetings over the weekend and into this week, Governor Baldacci and his staff worked with interested parties to move the process forward. Subject to submission of a request for approval, and approval by the Bankruptcy Court next week, the management team will be led by Jim Giffune of New Gloucester, Maine. Mr. Giffune is a former Senior Vice President of Fraser Paper Company and Vice President of Operations of Great Northern Paper Company. "The mills are great Maine resources and we are confident that a buyer will be found. I am pleased to have worked with everyone to facilitate this arrangement and to get this process moving. I would also like to thank Lambert Bedard and his team for their commitment in the last four years to the community, the State of Maine and to the mill's employees and for a smooth transition," Governor Baldacci commented. Governor Baldacci is pleased to have worked on this issue this week with Senators Susan Collins and Olympia Snowe, and Congressman Mike Michaud. Jim Giffune cautioned to keep expectations low for the short-term. "Our team needs to get into the mills to assess their condition before we can proceed with a sale. We will work as quickly as possible to turn this situation around." Lucien Deschaine, a PACE International Representative, said he "is looking forward to working with Mr. Giffune and his team. The labor community in Millinocket is committed to do whatever it can to assist this interim management team and new management get the mills operating again."

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Last modified: 2/20/2010