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Terrace Bay News, 11 Feb 1987, p. 1

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Sun and Fun Sports closes its doors By Ken Lusk Pat Marcella and Mary Lyttle gave it a try, but unfortunately, Sun and Fun Sports on Simcoe Plaza opened its doors for the last time on Jan. 31. "*It's not making ends meet,"' Marcella told the News from his home on Feb. 4. The business managed only to "'cover the bills'? and with the ""business loan and the overhead, it doesn't pay," he said. "It was eating out of my K-C in- come so this (closing) was the on- ly route."' Marcella said one of the major factors contributing to the closure is the "'skepticism" concerning the mill. Five years ago, he said, people would buy without even thinking about it. Another factor he noted was that the sporting goods business is a very competitive one. Many of the stores in Thunder Bay have lower prices because of the volume of merchandise they buy. Marcella said it was hard because people would still go to Thunder Bay to shop because of the prices. "*We charged only a few dollars more than Thunder Bay. But they have been operating for quite awhile. Places like Canadian Tire have been operating for a fairly long time and they have tremen- dous buying power," Marcella said. "We couldn't compete. We had hoped it would work. It didn't." Marcella and Lyttle were debating whether to hold out until the end of this summer. "It's best to get out now,"' said Marcella. '"We broke even. We didn't lose money but there was no gain."' Opened in May Sun and Fun Sports first open- ed its doors on May 17, 1986. It was situated beside the Credit Union office on Simcoe Plaza. Marcella told the News back in May that he had the idea to open the store for at least a year prior to opening because he found it dif- ficult to buy sports equipment in © Terrace Bay. The store offered a variety of sporting goods including fishing tackle, inflatable items, sailboards, skiing equipment, hockey gear, wet suits, water skis, squash and tennis racquets. Marcella said that when he started the project, it was an ex- periment to test the market. continued on page 3 Terrace Ba Schreiber Ne' POT 2WO Wednesday, February 11, 1987 Public Lipper TERRACE BAY, y fo C. é. TF.N. oe J Vol. 42, No. 6 Serving Terrace Bay, Schreiber and Rossport Jo* Rossport now has its first-ever fire truck. Pic- tured above are Dan McGrath, Ed Zwaresh, Kirk New fire truck Lusk). Stefurak (future fireman), Doug Stefurak and Peter Gerow. (Story next week. Photo by Ken Romanuk resigns from council By Ken Lusk Peter Romanuk has resigned from council because as he said, "I cannot continue to serve on coun- cil to the best of my ability under the system proposed." Prior to the new system, coun- cillors were on specific-type Stan- ding Committees such as Recrea- tion, Police and Public Works. Councillors would attend to mat- ters concerning those committees and report to council. Now the committees are broader in their scope. They are Personnel and Public Relations, Finance and Corporate Planning, Services, Plant and Equipment and Development. Councillor Chris Joubert, for in- stance, is now on the Finance and Corporate Planning Committee. This committee concerns itself, for example, with financial matters of the whole township. Joubert says "I feel by the new system, council will be more in- volved with the town as a whole in- stead of one small area. Every committee is now a committee of the whole." Romanuk was reluctant to com- ment but he did say he doesn't like the new system. "It's not in keeping with prac- tices of the last 10 years. "I guess I'm not acceptable to changes. In a town this size, past practices have worked."' Romanuk told the News that he has been on council for 8% years out of the last nine or 10 years. Sun and Fun Sports Above are Pat Marcella and Mary Lyttle as they appeared in the May 28, 1986, issue of the News. Their new business, Sun and Fun Sports officially opened on May 17 of last year. Sun and Fun Sports officially closed its doors on Jan. 31 of this year. (Photo by Conrad Felber). Healthy attitudes prevail at K-C Kimberly-Clark officials in Ter- race Bay are confident their two- year survival plan can turn the mill's operations around and save it from closure. ""We're optimistic," said Alan Chisholm, director of industrial relations. "We've got a positive at- titude. Our employees have got a positive attitude. We're going to make this go."' Kimberly-Clark shocked its North Shore community last spring when it singled out the Terrace Bay mill as a money-loser. At that time, it forecast bleak prospects for the pulp producer and suggested costs would be too high for the company to "sustain operations in this part of Canada". The other shoe dropped more softly in August when the company announced its survival plan. The plan included layoffs of 255 perma- nent and 100 temporary workers at the mill, layoffs of 48 woodlands workers and a two-month shut- down of woodlands operations to reduce wood inventory. In addition, the company reacted to the imposition of a 15 per cent U.S. countervailing duty by shut- ting down its Terrace Bay stud mill in December and laying off 70 workers there. And it continues to monitor its Longlac dimensional lumber mill where it employs 65 workers in the mill and more in the bush, said In- dustrial Relations Director, Al Chisholm. The fortunes of Terrace Bay itself are tightly linked with Kimberly-Clark. Before last sum- mer's workforce reductions, the company employed about 1,000 people in the mill and another 1,000 in its woodlands operations. The population of Terrace Bay, built by Kimberly-Clark in 1947 as a model company town, was about 2,500 Industry analysts cite a number of complex factors contributing to Kimberly-Clark's woes, but the problems basically come down to a combination of bad markets, bad judgement, bad timing and extraor- dinary bad luck. All agree that the company faces major wood fibre problems. Its wood supply is too expensive, too far from the mill and too un- competitive in world markets. Dr. Bob Rosehart, Lakehead University president and a partici- pant on major forest industry studies, sees it as a problem con- fronting several Northern Ontario pulp mills. These mills have made. heavy capital investments based on their projections of a certain long-term return, he said.

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