Sault-Sudbury rail line closer to salvation

NEWS RELEASE

THE CORPORATION OF THE CITY OF SAULT STE. MARIE

****************************** Agreement in Principle reached regarding long-term operation of Sault Ste. Marie to Sudbury rail line

SAULT STE. MARIE - The Corporation of the City of Sault Ste. Marie is pleased to announce that a working committee, consisting of representatives from Essar Steel Algoma Inc., Domtar and the City of Sault Ste. Marie, have developed an Agreement in Principle with Huron Central Railway Inc. that outlines a framework for addressing the long term operation of the short line railway between Sault Ste. Marie and Sudbury.

This line was scheduled for closure in 2009 but with the assistance of the Federal and Provincial governments, the stakeholders were able to arrive at an interim agreement to keep the line operating until August 14, 2010.

The parties believe that by working with the Federal and Provincial governments and Canadian Pacific, the owner of this line, they can reach a final agreement that will ensure the sustainability of this rail line, which is of utmost importance to Northern Ontario.

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