PROPOSED MILL MERGER

Press, Volume XCIX, Issue 29388, 15 December 1960, Page 12

PROPOSED MILL MERGER

Effect On Borough Of Whakatane (New Zealand Press Association) AUCKLAND, December 14. The borough of Whakatane need have no fears for the future if the proposed merger of Whakatane Board Mills, Ltd., and New Zealand Forest Products, Ltd., was approved by the Whakatane shareholders, said the chairman of directors of New Zealand Forest Products (Sir David Henry). He looked on Whakatane as a very good area for further development for many years to come, he said. His comment was prompted by remarks last night at a ftieeting of the Whakatane Borough Council, when the council decided that a sub-committee should discuss with Mr P. B. Allen, M.P., the proposed merger between the two companies. Cr. V. J. McCallion said the move could have grave repercussions for the borough. She said it was rumoured that the’ third cardboard machine, which had been ordered by Whakatane Board Mills, would go to New Zealand Forest Products at Kinleith instead of to Whakatane. She said the board mills, now employing 700 men, could become store space.

Sir David Henry said that he looked on Whakatane as a much bigger manufacturing centre in the future than it was now. The Whakatane company was planting out the remainder of the land it held in reserve. "In :x> circumstances will Whakatane become a storehouse for Kinleith,” he said. It was his opinion that Whakatane would be extended and would benefit by the proposed merger.