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Tembec shutdowns hit Quebec

October 10, 2006  By Pulp & Paper Canada


Quebec is suffering yet another blow to its forestry industry, this time from closures taken by Tembec.

Quebec is suffering yet another blow to its forestry industry, this time from closures taken by Tembec.

The company is temporarily closing its Barn, La Sarre and Taschereau sawmills, all located in the eastern province. All three shutdowns will come into effect the week of October 9, and none have a targeted date for resumed production.

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“This is a very challenging time for lumber producers generally and for those in Quebec, in particular,” said Dennis Rounsville, executive vice president and president of Tembec’s Forest Products Group. “Demand has slowed in both U.S. and Canadian markets and prices have fallen significantly. At the same time, the cost for the most critical input sawlogs- has risen dramatically in Quebec over the past several years and remains un-addressed. The status quo is simply not an option and we are prepared to work with all relevant department agencies and stakeholders to address the cost issue.”

More than 435 employees will be affected by the closures.

Combined, the three facilities churn out 295 million board feet of SPF lumber every year.


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