Mayor already talking to Essar Steel Algoma

Mayor Christian Provenzano isn't in the Sault today.

He's at a Northern Leaders Forum in Thunder Bay, meeting with provincial politicians and mayors of other Northern Ontario cities.

Ward 6 Councillor Joe Krmpotich will fill in for him as acting mayor at tonight's City Council meeting.

But Provenzano has already been talking to Essar Steel Algoma about today's announcement that the company is seeking protection from its creditors under the Companies’ Creditors Arrangement Act.

"He's aware of the situation," Mike Ward, the mayor's communications and policy advisor, tells SooToday.

"He's already been reaching out to the company for further information and to set up meetings," Ward said.

Essar Steel Algoma said this morning that it will continue operations with US$200 million debtor-in-possession financing from a syndicate of lenders arranged by Deutsche Bank AG.

Mike DaPrat, president of USW Local 2251, tells us that he has been assured by the company that wages and benefits will continue.

Retirees will be contacted individually, DaPrat said.