Winnipeg Free Press

Winnipeg Free Press (Newspaper) - October 26, 1989, Winnipeg, Manitoba Rate 18 month Nice Winnipeg 7884mo Brandon 7286640 Kinin Rill toil free 18003921388 r Winnipeg free press october pages 1724 Philip business editor firm insists Plant staying by Paul Samyn despite withering sales and layoffs caused by the depressed farm Carter Day industries Canada remains committed to its Winnipeg the president of the company specializing in Grain ele Vator equipment its not my intention to Paul Ernst said yesterday in a Tele phone interview from the Compa nys office in the company Laid off 10 employees last Friday and its workforce at the Winnipeg Plant now stands at about he in the Winnipeg which was to undergo a million employed although Ernst insisted the com Pany has no intention of closing its Winnipeg some of the plants employees said they Arent convinced of six feet under the bloody morale Here is about six feet said one who fears the plants Days Are num Ernst admitted employees Are nervous and that excess space at the Winnipeg Plant will be leased to other he also confirmed that the Winnipeg facility Engineer ing department has been Consoli dated with the engineering depart ment at the company Plant near he maintained the Winnipeg operations role As manufacturer and marketer of products for the Canadian and Export markets is in february the formerly known As Simon Day announced Winnipeg had been Cho sen Over a sister Plant in for a major expansion and modernization the project was to be funded by Millon in Aid from the Federal and provincial the expansion was expected to create 45 new jobs and maintain the 149 existing positions Over a five year but As the agricultural econ oms fortunes took a so did the expansion Ernst sex dried up basically we did not proceed be cause the Market was not really he said inroads the company made into China with three major contracts also dried but As the expansion plan so did the government Michael a financial pro Grams consultant with the Provin Cial department of Trade and said Carter Day last year settled with the province on the four percent loan delivered through the jobs under the terms of the Settle Wiley said the company paid Back the they had received at a 12percent interest not Only did they not create jobs when they were supposed but they knew they Wiley an additional million in fed eral Grants and Loans was to be provided through the Western transportation Industrial development a spokesman for the Western diversification which now administers the a downturn in the agricultural Economy forced Carter Day to drop plans for a major expansion of its Winnipeg remaining Money from the twid said Carter Day did not receive a single cent of that they partially went Forward with one but not in a Way that they said they the spokesman said of the rationale that led to the plug being pulled on the Federal Ernst denied the loss of fund ing had any bearing on the com pants decision to consolidate some of its Winnipeg operations in Minne he had nothing but kind words for the two Aid pro and in the prov the province helped us when some of the local Banks if not for we have been Able to do the China Ernst also said the free Trade agreement had nothing to do with the company consolidation its free Trade not a major driving Force for us in Ernst remains confident there will be an upswing in the farm and that the Winnipeg Plant will be Able to capitalize on last year was difficult and things Are not very encouraging right but we have High expect we intend to stay its a Good Market for some employees feel the company is not being entirely honest with them about the plants there scrapping everything out said one i find it strange that they Are locating engineering so far from the manufacturing facility in win said who was re leased in a third employee said that recently theres Only been enough work to keep him Busy for about three hours a this company used to be Rock ing it was such a Busy All the Guys figure were american airlines undeterred by failure of United Experiment m by Mary Ann Fitzgerald United express failed Experiment on a Winnipeg Den ver air service int giving american airlines second thoughts about its proposed Winnipeg Chica go an executive not at Barry Ameri cans director of route said we think there is a sufficiently Large Market Between Winnipeg and the the population and demographics and everything else leads us to believe there is enough traffic to support the Winnipeg Chicago ser which is trying to sell Canadian authorities on a three times Day service Between Winni Peg and cant use United express lapsed licence because that route Doest appear to fit with any of his airlines Clark said from americans Dallas fort Worth that route Doest help he clearly this failure must build some support for the notion of expanding service into Canada and United express announced yester Day it is abandoning its twice daily flights Between Winnipeg and Den ver in december because it has lost million since it launched the service in its president Donald Ringsby said United express had achieved Only a 39 per cent Load Factor and needed close to 60 per cent to break in sorry United express has fallen Clark but were still convinced what we want to do is As he a nonstop service is better than a on Estop service and bigger population centres Are in the Eastern air Canada now operates the Only nonstop service Between Winnipeg and Northwest airlines has daily flights from Winnipeg to min with connections to Chi it could take several years to establish american air lines proposed service because it requires approval from Canadian and United states regulatory authorities through a bilateral Clark Calls such agreements an anachronism in an Era of deregulation and free transportation int included in the free Trade american airlines had opposed Aspen airways United express application for daily flights Between Winnipeg and but not be cause it wanted to Fly that Clark we wanted to use the Opportunity to make a policy he it was outside the bilateral agreement and we cant get any thing we want outside the agree United express picked up the route vacated by the defunct fron tier which had filed for bankruptcy three years United express got the licence in slightly More than two months from the time it applied because it filed for a variance of the old Frontier while american airlines didst want to Fly the Winnipeg Denver it opposed the United express because we wanted the two governments to get organized so a Carrier wanting to provide service Between the two countries would be Able o do it and the Public would be Able to get service anywhere in the and while he Hopes Ottawa and Washington can get together soon to talk about expanding route authorities Between their two Clark said american airlines first priority is to try to extend the experimental Airport program which allows carriers from either country to oper ate nonstop service from san to any Point in american flies to Vancouver under the which expires in Drabinsky launching new bid to reclaim Cine Lex Lullar tech 4 t Lea As Low font no Down payment Toronto up the feisty founder of Cine Lex North americas second biggest theatre plans to make a Multi Mil lion Dollar bid to reclaim his Compa Cine Lex said in a release yes Garth in concert with longtime partner Myron is putting together a Deal already accepted in principle by the firms two biggest who together own a majority of the proposal is Worth per or about million for the million shares Drabinsky and Gottlieb already control Between seven and eight per cent of the Stock and could join another shareholder to make the lowering their financing the statement said financing is still being arranged and that the bid May not under an agree the pair must make a formal offer by who turns 41 on Fri began his career As a lawyer specializing in entertainment he founded the company a decade ago in Toronto by building a Pioneer ing Multi screen Cine Lex now owns screens at 500 All but one of them in North its the biggest Chain in with 560 the company is saddled with about million in Lon term making the buyout package Worth More than we thought it was an appropriate and fair said Sandra a member of a special committee of the Board examining from the committee was formed Fol lowing an abortive attempt by dra Binsky in May to seize control by buying out the second biggest share Claridge controlled by Montreal Charles North West Trust member Canada Deposit insurance corporation Winnipeg 234 Portage Avenue phone 9470631 rate subject to change without notice for details Call a toll Frt 18006611775 c3ati soaring Dollar blamed for lost opportunities Mav m mmcha8ed from the Fonow we authorized dealers National Industrial sound 204 9444817 Alcom 18 Wheeler truck accessories specialized electronic services Brandon 204 7261766 Ottawa up companies Are losing foreign markets because of the soaring Canadian Dollar and it May take years to win Back those says the president of the Canadian exporters Jim Taylor said the High Dollar has made Canadian goods More expensive for foreign buyers Over the last year and that eroding the benefits of Freer Trade with the United you just dont jump Back in six months Taylor said in an interview Taylor says the Canadian which has been trading at More than 85 cents us for is at least five cents too High because of the Bank of Canadas Highnite restate in Canadas Trade surplus in goods from apples to Zinc slumped to just Down from million the month theres Little Hope that John the Central Banks Gover will make any dramatic moves to Cut interest rates until next he has been propping up those rates to Cool the Economy and slow Infra those High interest rates have made Canada a profitable Haven to stash Cash in Bonds and other invest economists said Crow May slightly ease the trendsetting Bank currently at per at today weekly it could fall to somewhere Between and per but that be enough to prompt a decline in the prime lending rate Banks charge their Best ;