UNITED KINGDOM (From news reports) -- A deal to save hundreds of jobs and a closure-threatened paper mill is expected to be finalised by the end of the week.
The 250-year-old Stoneywood Mill was plunged into chaos in January when its owner Arjowiggins Fine Papers, and its parent company Sequana, went into administration.
The facility is the last of its kind in the north-east and employs around 500 people.
A working group was set up to safeguard the future of the mill and identified a preferred bidder to take over the business in March.
However these talks fell through, and the group began considering the viability of a management buyout.
It is understood that this is likely to be finalised in the coming days, and follows the appointment of six directors to a new company, AW Creative Papers Group, including the mill's general manager.
Shauna Wright, Unite the Union's regional industrial officer, had this to say: "We are still waiting to hear if the buyout has been successful.
"Unite are working with the management buyout committee and we are awaiting news. We are continuing to support members through this trying time."
North East Labour MSP Lewis Macdonald said: "If this is confirmed it is excellent news.
"I have supported a management buyout of the mill from the beginning and I think it's the right way to go.
"It is important that the terms, conditions and jobs of the workforce are fully protected but I am confident that Unite the Union will work hard to ensure and protect members' interests.
"A deal here can secure the future for hundreds of jobs in a successful mill for an important industry for years to come."
Scottish Business Minister Jamie Hepburn said: "The Scottish Government, alongside Scottish Enterprise, has been working extensively with the administrator, the management team and our partners to explore all options to secure the best possible outcome for this business and its employees.
"Throughout this process I have been in regular contact with the administrator, Unite and the local management, and I remain hopeful a positive outcome will be achieved."
