G.P. Mill in Old Town Closing soon

Looks like Guilford is losing another major customer. Noon news on Ch.6 announced the closing of the Georgia Pacific Old Town(ME) paper mill.

350 out of jobs today,and remaining 50 or so,will be gone by early May,when mill is locked up.

Of course "our Spaghetti Vendor",Gov. Baldacci,is promising "help" and miracles(new owner). This guy's scorecard for industrial closings is now rivaling that of previous Governor,"Anquish" King.

Not all his fault,with the "tree huggers" a major player in Maines's politics,Maine's anti business attitude (and high taxes) and the cost of energy and transportation.

Maybe this will help those totally anti Guilford,understand why they are SMART, NOT to invest money into their infrastructure/motive power.

Once the paper mils are gone(NIMBY-enviro-Nazis major targets) there will be NO need for freight railroads in Maine!

Bud

Well don't worry Bud, there is plenty of room in those buildings to build call centers. Oh, wait, we lost THOSE jobs too. At least Guilford can collect easement payments from their ROW. Thats kind of a railroad thing, right?

Its not so much the global economy - its being taxed on all the business equipment like its personal property, which is stacked against the business - the electricity costs, and labor costs (comp/health etc.) that hurts mills up here. If they had a better cost basis to work from their products would be more competitive against foreign imports. With our present tax structure, there is little incentive to build or reinvest. This is the whole argument going in the legislature right now - over the BETR program.

Global economics does indeed play a large part, coupled with local and environmental restrictions. The hassles (cost, regulations) of upgrading a mill in Maine are so great that paper makers build new ones out west instead. That, and new mills in China can run 10x what a 1930's mill in Maine can.