The province and STM Quest Inc. have signed an agreement to support a new cruise ferry in Yarmouth, to begin in May 2014. The
\nprovince has received a signed copy of the agreement and amendments from
\n STM Quest Inc. The company has committed to a May start.<\/p>\n
The province and company agreed to make amendments to the letter of offer announced in early September. The parties have:
—
\n clarified language and added more detail including how the province
\nwill provide funding during the start-up phase, and the terms of senior
\nmanagement salary deferral during the start-up and if there are
\noperating losses
— revised deadlines for conditions the company must meet
— clarified how and when ST Marine will provide its $3 million contribution
— added auditing rights for the province for more accountability<\/p>\n
The
\n province’s financial commitment remains the same. It will provide $21
\nmillion to the company over seven years, including $10.5 million toward
\nstart-up costs, with $1.5 million each year for marketing. <\/p>\n
There are a number of terms and conditions for STM Quest Inc. to receive the assistance and earn forgiveness for the loan.<\/p>\n
For a ferry to start
\noperating in 2014, STM Quest, other levels of government and partners
\nmust work on: having border services in place in both ports, upgrading
\nthe Yarmouth ferry terminal, signing berthing agreements in the two
\nports, and getting all licences and permits needed to operate a ferry
\nservice.<\/p>\n
Marketing
\n the ferry and Nova Scotia to potential visitors from the mid-Atlantic
\nand north eastern United States are key parts of the service. The Nova
\nScotia Tourism Agency has been meeting with STM Quest Inc. to
\nco-ordinate the province’s tourism marketing plans with the company’s
\ndetailed plan.<\/p>\n