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Fibrek and the Saint-Felicien Mill Employee Union Reach Agreement

Longueuil, Quebec, Canada, 25 May 2011 – Members of the Communications, Energy and Paperworkers Union of Canada (CEP, local 24-Q) have voted in favor of a new collective bargaining agreement based on the agreement in principle concluded 29 April 2011. The new labor conditions are retroactive to 01 May 2009, and will be effective until 30 April 2014.

“This agreement is the result of a long process," said Pierre Gabriel Côté, president and CEO of Fibrek. "The negotiations unfolded in a climate of respect, cooperation, and transparency that reflects our corporate values. I applaud the openness and pragmatism shown by the union representatives throughout the negotiations. Together, we concluded an agreement that meets both parties’ needs.”.

The agreement contains several measures to improve the mill’s productivity. The parties will work closely to implement the agreed-upon terms and conditions, in particular to achieve greater flexibility in the maintenance department, to reorganize the workforce, and to improve employee training and development.

“After successfully completing this process, I believe that Fibrek is now stronger and better positionned to face its challenges. I thank and congratulate both negotiating teams for their hard work and constructive discussions leading to this agreement. It takes into account the particular context of our industry and sets the foundations to continue building a successful, competitive, and sustainable organization”, Côté said.

Fibrek (TSX: FBK) is a leading producer and marketer of high-quality virgin and recycled kraft pulp. The company operates three mills  in Canada and the United States, located in Saint-Félicien, Québec; Fairmont, West Virginia; and Menominee, Michigan, with a combined annual production capacity of 760,000 metric tons. Fibrek has approximately 500 employees. The Saint-Félicien mill provides northern bleached softwood kraft pulp to various sectors of the paper industry, mainly in Canada, the United States, and Europe. The Fairmont and Menominee mills manufacture air-dried recycled bleached kraft pulp and primarily supply manufacturers of fine uncoated paper, tissue paper for commercial and industrial uses, and coated paper in the United States.


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