Ted Stevens: “it is with deep regret that I announce to the Senate that the U.S. Forest Service has terminated the long-term contract…”

“it is with deep regret that I announce to the Senate that the U.S. Forest Service has terminated the long-term contract with the Alaska Pulp Co. I am told that today the contracting officer, the regional forester of the Tongass Forest, has notified the Alaska Pulp Co. [APC] that the Government is terminating the APC contract because of the 1993 shutdown of the mill in Sitka. I think that this is a very difficult decision for Alaska. We have tried to meet with the administration to discuss this. The contract to provide timber for the Sitka pulp mill was the first investment entered into by the nation of Japan following World War II. It was a 50-year contract that had 17 years left to run. The impact of the economy was such that the mill was shut down in order to consider a new system, a pressed-wood system which would be more environmentally sound and employ about two-thirds to three-fourths of the employees that are currently there in the mill. I deeply regret the impact this action will have on southeastern Alaska in general, and the community of Sitka in particular.”