MONTREAL and VANCOUVER, Feb. 26, 2013 /CNW Telbec/ - EACOM Timber
Corporation (TSXV: ETR) ("EACOM", or the "Company") announced that it
has concluded with its insurer the negotiation of a global settlement
in the amount of $48,250,000 in respect of the fire that occurred at
its Timmins mill in January 2012. As at September 30, 2012, the Company
had received $23,700,000 of insurance proceeds, of which $13,700,000
related to business interruption and $10,000,000 for damage or
destruction of assets. During the fourth quarter, the Company collected
a further $6,900,000 in respect of business interruption. The Company
received today the remaining proceeds of $17,400,000.
The Timmins mill is currently under reconstruction which is expected to
be completed in the summer of 2013.
EACOM Timber Corporation is a TSX-V listed company. The business
activities of EACOM consist of the manufacturing, marketing and
distribution of lumber, wood chips and wood-based value-added products,
and the management of forest resources. EACOM owns eight sawmills, all
located in Eastern Canada, and related tenures. The mills are Timmins,
Nairn Centre, Gogama, Elk Lake and Ear Falls in Ontario, and Val-d'Or,
Ste-Marie and Matagami in Quebec. The mills in Ear Falls, Ontario and
Ste-Marie, Quebec are currently idled. The mill in Timmins was
seriously damaged by fire in January 2012 and remains shut down. EACOM
also owns a lumber remanufacturing facility in Val-d'Or, Quebec, and a
50% interest in an "I" joist plant in Sault Ste-Marie, Ontario.
The TSX Venture Exchange has neither approved nor disapproved the
content of this press release. All director and officer appointments
are subject to TSX Venture Exchange approval.
All statements in this news release that are not based on historical
facts are "forward-looking statements". While management has based any
forward-looking statements contained herein on its current
expectations, the information on which such expectations were based may
change. These forward-looking statements rely on a number of
assumptions concerning future events and are subject to a number of
risks, uncertainties and other factors, many of which are beyond our
control and could cause actual results to materially differ from such
statements. Such risks, uncertainties and other factors include, but
are not necessarily limited to, those set forth under "RISKS AND
UNCERTAINTIES" in the Company's current MD&A, and under "RISK FACTORS"
in the Company's Filing Statement dated January 8, 2010.
Additional information relating to EACOM is available at www.eacom.ca and on SEDAR at www.sedar.com.
For further information:
Executive Vice-President and Chief Financial Officer
(514) 395-0375 ext. 259