Loan Insurance Expected to Help Retain 145 Jobs in Masardis
At its May 17, 2018 board meeting, the members of the Finance Authority of Maine (FAME) approved 90% loan insurance on a loan totaling $944,000 by TD Bank to Maibec USA LLC, for the purchase of a feed conveyor deck and de-barker machine for its mill operations in the Aroostook County town of Masardis.
FAME’s actions, in partnership with TD Bank, are expected to help retain 145 Maine jobs. The purchase of the de-barker system is intended to bring operational efficiencies to the mill.
Maibec USA is a wholly-owned subsidiary of Groupe Maibec, Inc., which in turn is a subsidiary of Franchaleine Inc., a family owned Canadian company headquartered in Quebec, Canada. In 2015, Maibec purchased Fraser Timber’s facility in Masardis.
“FAME is pleased to support Maibec’s plans for efficiencies and continued operations in Aroostook County,” stated FAME Chief Executive Officer Bruce Wagner. “We are happy to help facilitate this transaction to help the company better optimize the lumber mill for long-term success.”
FAME’s Commercial Loan Insurance Program insures a portion of a loan to a business made by a participating financial institution. For a business, it may mean the difference between obtaining a loan or never getting the opportunity to start a business.
“We are grateful for FAME’s assistance with our plans,” stated Jacques Vachon, Vice President of Finance and Administration at Maibec, Inc. “This financing should result in additional work at the mill with a better value-added yield for our operations.”