Elected Officials Respond to PPA Financial Woes

GOV ON PPA DARMAN
8/17/01

LEAD: New Hampshire?s elected officials are cautiously optimistic that Pulp and Paper of America?s financial troubles can be overcome. NHPR?s David Darman talked with Governor Jeanne Shaheen and Congressman Charles Bass, about actions they can take to help the company, and its employees.
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GOV_ON_PPA ---------- SOQ -------------- 2:14
Governor Jeanne Shaheen says she is concerned that Pulp and Paper of America has not been able to pay its bills, or meet every payroll in the past several weeks. Shaheen says the company is still having problems, but a vice president at American Tissue, Pulp and Paper?s parent company, assures her that the corporation will be able to meet its obligations in the near future.
09 ?I talked with nick galante today, to get the best information I can about what?s happening. He assured me that funds would be in the bank by the end of the day and that people would be able to get paid?

Shaheen says the state is ready to move quickly to help the more than three-hundred people who have been laid off, many temporarily, at the plants in Berlin and Gorham, and will be ready to assist other employees who might lose their jobs, if there are more layoffs, or if the mills close.
07 49 we?ve worked very hard to try and do everything we can to expedite unemployment checks, so people who are being laid off won?t have to wait. They can get those checks as soon as they?re eligible for them. We?re also working on other ways that we can be helpful trying to support peer counselors who can go in and work with people who have been laid off.

Officials at every level of government say it?s important for the North Country to create new jobs in other industries, to diversify the economy. Representative Charles Bass says he?s responded to a local request in proposing that Berlin become a site for a federal prison. Bass says a federal facility could join the new state prison in the region, and take advantage of a growing area of expertise.
13 12 clearly, they have a work force now, that?s becoming trained in prison industries, which is probably helpful, in general. And it does create some diversity as well as stability for the economy. 13 25

Officials at every level of government say they?re doing all they can to help the region, but that they are unwilling to consider measures like a bailout of the company or an outright takeover. Officials have only considered these options because the company owes Berlin three million dollars in taxes, and Gorham about four-hundred thirty thousand dollars more. Despite these debts, officials say they are hopeful that the company can resolve their financial troubles. But officials also realize that new jobs will need to be created in the north country, for the region?s long-term financial health.