The quarter may not have brought the exact results it wanted, but a $3.6 million loss hasn’t left Bowater dispirite…
The quarter may not have brought the exact results it wanted, but a $3.6 million loss hasn’t left Bowater dispirited
“I’m very optimistic,” said chairman, president and CEO Arnold Nemirow, who added the company expects to return to profitability by the third quarter. “Pricing was higher in the second quarter and we expect the strong market fundamentals in our key grades to result in better financial performance in the second half of the year.”
Despite the absence of profitability in the quarter, Bowater intends to proceed with two capital-intensive projects, the previously announced conversion at its Calhoun, TN mill, and another conversion project at its Thunder Bay, ON facility. If the latter undertaking is a go, a positive third quarter depending, the company will convert 250,000 tonnes of output to ultra lightweight coated grades.
“There’s a very strong fibre basket up there,” Nemirow said of the mill’s location, “and we’ve had very strong and positive support from the provincial government. The picture is looking more and more positive as we speak.”
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