MONTREAL, Sept. 2, 2014 /CNW Telbec/ - Resolute Forest Products Inc.
(NYSE: RFP) (TSX: RFP) today announced the permanent closure of its
Laurentide paper mill in Shawinigan, Quebec. The restart of a
competitor's mill at the end of 2012, the high cost of fiber, as well
as higher transportation and fuel costs, have affected the mill's
"We made every effort to find a way to improve the Laurentide mill's
performance. Unfortunately, due to its cost structure and challenging
market conditions, there is no economically viable option for the
mill," stated Richard Garneau, President and Chief Executive Officer.
In operation for over 126 years, the Laurentide mill employs 275, with
an annual production capacity of 191,000 metric tons of commercial
printing papers. The permanent closure will take effect on or about
October 15, 2014.
The Company understands the impact this decision will have on employees,
their families and the local community. Resolute will work with union
representatives and government officials to respond to the needs of
affected employees and encourage a smooth transition. Management will
also ensure that each employee receives support, that the relevant
conditions in the collective agreements are respected, and that as many
employees as possible are transferred to other Company facilities.
"We will do our utmost to ensure employee safety during the transition.
We will also work closely with our customers to continue to meet their
needs," added Garneau.
About Resolute Forest Products
Resolute Forest Products is a global leader in the forest products
industry with a diverse range of products, including newsprint,
specialty papers, market pulp and wood products. The Company owns or
operates nearly 40 pulp and paper mills and wood products facilities in
the United States, Canada and South Korea, and power generation assets
in Canada. Marketing its products in close to 90 countries, Resolute
has third-party certified 100% of its managed woodlands to at least one
of three internationally recognized sustainable forest management
standards. The shares of Resolute Forest Products trade under the stock
symbol RFP on both the New York Stock Exchange and the Toronto Stock
Resolute and other member companies of the Forest Products Association
of Canada, as well as a number of environmental organizations, are
partners in the Canadian Boreal Forest Agreement. The group works to
identify solutions to conservation issues that meet the goal of
balancing equally the three pillars of sustainability linked to human
activities: environmental, social and economic.
Resolute is proud to be ranked by Corporate Knights as one
of Canada's Best 50 Corporate Citizens for 2014. Corporate Knights is
an organization recognized globally for its transparent and objective
approach to measuring corporate sustainability performance.
SOURCE: Resolute Forest Products Inc.
For further information:
Rémi G. Lalonde
Vice-President, Investor Relations
Media and Others
Vice President, Corporate Communications,
Sustainability and Government Affairs