February 3, 2009
TEMISCAMING, Que. – Forestry firm Tembec (TSX:TMB) is temporarily closing mills in British Columbia, Manitoba and Ontario as pulp and paper market conditions remain soggy. The company says about 1,400 people will be affected by layoffs that will range from two weeks to indefinitely.
In Manitoba, the Pine Falls newsprint mill will shut down for two weeks and the Hearst sawmill in Ontario will be down for six weeks.
Tembec says it will shut the Canal Flats and Elko sawmills and the Cranbrook finger joint facility in B.C. for about eight weeks starting next week.
Also in B.C., the Skookumchuck softwood kraft will be down for six weeks and the high-yield pulp mill in Chetwynd was idled on Monday and will stay down until market conditions improve.
Tembec says the shutdowns are in response to depressed markets for lumber, pulp and newsprint amid the widespread economic slowdown.