TORONTO, Feb. 15 /CNW/ - Norbord Inc. (TSX:NBD) announced today it will
begin consultations with the on-site Works Council and local unions relating
to the possible closure of its particleboard line in Genk, Belgium. Production
on the OSB line at Genk will not be impacted by this legally required
The Company does not expect a write-down of particleboard asset values
will be required in the event that the consultations result in the closure of
the particleboard line.
"The Genk facility was acquired to expand our OSB presence in Europe,"
said Barrie Shineton, President and CEO. "The particleboard line comprises
older technology and has always been considered non-core. We continued to
operate the particleboard line because of its positive financial contribution
during recent strong market conditions. The return to more normal product
prices makes this an appropriate time to consider ways to further streamline
Annual capacity of the particleboard line is 170 MMsf - 3/8" basis.
Annual capacity of the OSB line is 260MMsf - 3/8" basis.
Norbord Inc. is an international producer of wood-based panels and is a
publicly traded company listed on the TSX under the symbol NBD.
This news release contains forward-looking statements, as defined in
applicable legislation. The words "will," "possible," "will not be," "does not
expect," and other expressions which are predictions of or indicate future
events, trends or prospects and which do not relate to historical matters
identify forward-looking statements. Forward-looking statements involve known
and unknown risks, uncertainties and other factors which may cause the actual
results, performance or achievements of Norbord to be materially different
from any future results, performance or achievements expressed or implied by
the forward-looking statements.
Although Norbord believes it has a reasonable basis for making these
forward-looking statements, readers are cautioned not to place undue reliance
on such forward-looking information. By its nature, forward-looking
information involves numerous assumptions, inherent risks and uncertainties,
both general and specific, which contribute to the possibility that the
predictions, forecasts and other forward-looking statements will not occur.
Factors that could cause actual results to differ materially from those
contemplated or implied by forward-looking statements include: general
economic conditions; risks inherent with product concentration; effects of
competition and product pricing pressures; risks inherent with customer
dependence; effects of variations in the price and availability of
manufacturing inputs; risks inherent with a capital intensive industry; and
other risks and factors described from time to time in filings with Canadian
securities regulatory authorities.
Norbord does not undertake to update any forward-looking statements,
whether as a result of new information, future events or otherwise, or to
publicly update or revise the above list of factors affecting this
information. See the "Caution Regarding Forward-Looking Information" statement
in the March 1, 2007 Annual Information Form and the cautionary statement
contained in the "Forward-Looking Statements" section of the 2006 Management's
Discussion and Analysis dated January 31, 2007. Norbord Inc.
For further information:
For further information: Anita Veel, Director, Corporate Affairs, (416)