Canfor Corporation (TSX:CFP) announced today the permanent closure of its sawmill in Canal Flats, British Columbia, which has a two-shift production capacity of 180 million board feet. The Company anticipates the mill will cease operations on November 9, 2015. All employees impacted by the closure will be offered opportunities to transfer to other divisions of the Company.
"A lack of economically available fibre supply for our Canal Flats operation, combined with depressed market conditions in the oil and gas and lumber markets that it serves, have brought operating losses we can no longer sustain," said Canfor President and CEO Don Kayne. "We recognize this decision will be difficult for our employees and the community of Canal Flats, and we are committed to doing what we can to ease that transition."
Canfor is a leading integrated forest products company based in Vancouver, British Columbia ("BC") with interests in BC, Alberta, North and South Carolina, Alabama, Georgia and Mississippi. Canfor produces primarily softwood lumber and specialized wood products. Canfor also owns a 51.0% interest in Canfor Pulp Products Inc., which is one of the largest producers of market northern bleached softwood kraft pulp and a leading producer of high performance kraft paper and also produces bleached chemi-thermo mechanical pulp. Canfor shares are traded on the Toronto Stock Exchange under the symbol CFP.