Norampac posts profit
July 25, 2006 By Pulp & Paper Canada
Norampac posted a profit of $32.7 million, or $28.3 million excluding specific items for the quarter that ended on …
Norampac posted a profit of $32.7 million, or $28.3 million excluding specific items for the quarter that ended on June 30, 2006. This compares to a net income of $6.7 million, or $12.3 million excluding specific items for the same period in 2005.
“Despite the continued strength of the Canadian dollar, we succeeded in improving our profitability due to the recent price increases for our products combined with lower fibre and freight costs,” said Marc-Andre Depin, president and CEO. Depin also noted that the shutdown of PM1 at the Red Rock facility, as well as cutbacks at its corrugated products plants and several acquisitions all helped to line the company’s coffers.
However, Depin cautioned that further measures may be taken to ensure the company stays in the red. “The current level of the Canadian dollar compels us to further review profitability levels at some of our paper mills in order to ensure our competitiveness in the North American containerboard market.”
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