Winter flounder were sampled near a sulfite-bleaching pulp and paper mill (Birchy Cove) located in a marine inlet (Humber Arm) that also receives urban and industrial discharges. Samples were also obtained from other sites (Summerside and Meadows) in the Humber Arm and from Norris Point situated in another inlet located northward. A comparison was made of blood values, body and organ indices, macroscopic and microscopic lesions and parasitic levels. Macroscopic lesions including epidermal ulcers and liver discoloration occurred more often in samples taken at Birchy Cove than at the three other sites. Although condition factor and infestation with metacercariae of the trematode Cryptocotyle lingua were similar among two samples from the Humber Arm, liver and ovarian somatic indices were significantly greater in fish from Birchy Cove than Summerside. These differences are probably related to delayed spawning in fish from Birchy Cove. Lower hemoglobin and lymphocyte levels, higher prevalence of liver and gill lesions and elevated levels of hemosiderin in the spleen and kidney in samples from Birchy Cove relative to the other sites suggest that fish health near the mill was impaired. It is likely that the observed lesions might be associated with sulfite-laden sediment in which the affected flounder were submerged.