(The following is the third and concludng part of a speech given by Darwin E. Smith, the Chairman of the Board and Chief Exec- utive Officer of Kimberly- Clark, at a recent public meeting held in Terrace Bay:) These are dark and ominous words. To me, they represent the greatest failure of my life--the in- ability to manage the suc- cess of one of the largest projects ever undertaken by the company, and the in- ability to justify the faith I have had in myself and in the people here. Bitter as it may sound to you, I cannot in good conscience pass along to the next generation of Kimberly-Clark man- agement the Terrace Bay problems which all of us now face. But what does this mean to you? Can you control the price of pulp? The answer is obviously, no; no more than I can. Does it mean that what you earn is out of line? Probably not, if you confine your comparison to this part of Ontario. On the other hand, you exist on your ability to produce something needed and con- sumed elsewhere, and that market place is becoming larger and larger. It is rapidly becoming as large as the world itself. Those who fail to recognize this are in for a rude awak- ening. In my opinion, it's now a question of "us." No longer is it a question of "the union versus manage- ment," or "the mill versus the woodlands,"' or "Can- ada versus the US," or "*salaried versus hourly," or "employees versus stockholders," or any of the many other mean- ingless cliches which those trying to protect their own bailiwick are prone to use in situations like this. In coming here and tell- ing you all of this, do I have a hidden agenda? Do I have a preconceived plan? Have I already decided to sell the mill or woodlands operation, or to close all or part of them? Do I have a deadline in mind? The answer to all these' ques- tions is absolutely and un- equivocally, NO! ; God endowed this part of the world with some beautiful natural resources and it is populated with some mighty fine people. All of us must now deter- mine how to solve the pro- blem (and) make this a viable, market pulp mill. To do that, all we need do is to discover how we...I said we...all of us...must change to adapt to the world as it is today...and whether we have to cour- age to do it. Returning again to the seriousness of what we are facing, just take a look at some of the things we com- pete against. Here in 100th year for P.O. The Post Office in Schreiber will celebrate its 100th anniversary with a celebration set for June 2 starting at 2 p.m. Coffee and birthday cake will be served to a number of invited guests, including Keith Penner, Cochrane- Superior MP, who said he will attend the event. (807) 826-3225. PUBLIC NOTICE April 1st, 1986 - March 31st, 1991 perating STEEL RIVER CROWN MANAGEMENT UNIT The April Ist, 1986 - March 31st, 1991 Operating Plan for the Steel River Crown Management Unit has received final ap- proval. The approved plan and key map are available for public inspection atthe Terrace Bay or Manitouwadge offices of the Ministry of Natural Resources. Detail- ed maps can be viewed at the Manitouwadge office. For further infor- mation, contact David Gordon, Ministry of Natural Resources, Manitouwadge - Plan -- "ack | nevs()] i SLATE! Heron ayy koh PAC. -- Bay(IR) Pe vs WHITE LAKE Natural Ontario Ministry of Resources Hon. Vincent G. Kerrio Minister Mary Mogford Deputy Minister Canada, for example, we compete against mills which are sourced in ma- jor part by chips produced as by-products of in- dependently owned and operated sawmills. Here in Canada and elsewhere in the world, we compete against mills which are not solely dependent on the pulp market for their success. In Brazil, Spain, and Portugal, we compete against emerging new pulp mills which are heavily financed by governments and manned by people whose labour rates are but a fraction of those pre- vailing here. Like it or not, this is the competition, and it's in this arena we either survive or fail. In the last ten years, we have been riding on the success of other Kimberly- A.C. Special Clark units. Now we are faced with the task of pull- , ing our own oar. Now we must ask whether the' pioneering spirit of self- sufficiency which opened this territory still lives. If you accept my state- ments, and those of you who know me I trust also know that I am not given to idle chatter, then there is only one course of action for us all. We must work together to resolve the problems--and we cannot delay. Therefore, I hope you will understand that I can no longer justify any sig- nificant investments here based on projections of the future. That will be the case until the corner is turned, if that is possible, and until we are well on the road to recovery. After all this time, the 74Q95 Includes freon clean debris from system adjust belt tension check for leaks recharge system (GM vehicles only) Terrace Bay-Schreiber News, Wednesday, May 28, 1986, page 9 'Dark and ominous words' from K-C Board Chairman future should be close at hand. Admittedly, we are in a cyclical business and, if there were a few "'ups,"' we could live. with the "downs."' All I ask is your help in giving us some "ups." It's all been down for too long. As quickly as possible, your operations will be evaluated as though we were starting from the beginning. The objective, with your assistance, will be to increase productivity and reduce costs. We will continue to encourage fur- ther development of the quality of management process and a more par- ticipative style in ap- proaching our work. We will look for new and novel ways to do business. Will some outside task force be parachuted in to do the job? Absolutely not. It's in the hands of your local management, and I hope you will cooperate. All the resources of the Kimberly-Clark family are behind you. You are a member of the family and you have fallen on hard times. The family wants to help. The question is, do you want to help yourself, and only you can answer that. ° My objective is to com- plete our studies as soon as possible, but in no event later than the end of this year. Should anything cer- tain develop prior to that time, you will be the first to know. In the meantime, I give you my word that no precipitous action will be taken. Until we complete our work, we will make no fur- ther comment to the newd media about the status of our work.-You may all rest assured, therefore, that anything you hear or read as to where we stand will not be from us and will, therefore, be either pure rumor or _ ill-informed speculation. I say again, you will bed the first to know. Am I optimistic about our chance for success? The answer is only slight- ly. In the early 1970s I had the unpleasant task of dis- posing of five Kimberly- Clark mills, one of which has since been closed for- ever. The people in these mills refused to recognize that their unwillingness to accept unavoidable change meant the end of their future with Kimberly- Clark. Perhaps some of them are happier now. I know many of them are not. Lifetime Shocks ee oe Installation 0% discount on shocks All GM cars and light duty trucks (excluding commerial vehicle) Guaranteed Service Guaranteed GM Parts Guaranteed Price