<B>Kruger Eyeing Abitibi Mill</B>

Kruger Inc., a privately owned paper company is negotiating with Abitibi-Consolidated to purchase A-C's Wayagamack directory and specialty paper mill in Trois-Rivieres Que, as well as rebuild two of the mill's machines. A spokesman for Kruger said only that the two companies have signed a non-disclosure agreement that prevented the company from commenting on any pending agreement.

Kruger, headquartered in Montreal, is looking for government assistance to rebuild the machines.

A decision by Kruger is expected by the end of this month. The article adds that the company would rebuild the two machines, add coaters and calendering units. The mill would be capable of producing high-grade magazine papers.

Kruger has locations throughout North America, as well as facilities in Europe and South America. The mills produce newsprint, tissue paper, coated paper, and packaging products. Kruger also operates several recycling facilities in North America.