KINGSEY FALLS, QC, March 18 /CNW Telbec/ - Cascades (CAS on the Toronto
Stock Exchange) announces the integration of its North American boxboard
operations with its containerboard operations (Norampac). In addition to
achieving certain synergies, this integration will enhance the sharing of
technology while creating a larger packaging group that will be better able to
respond to the needs of customers in Canada and in the United States.
The activities of the Cascades Boxboard Group in North America, in
particular, include four coated boxboard mills, twelve converting plants and
employ more than 2,950 employees. Following the consolidation, Norampac, which
is currently the largest manufacturer of containerboard in Canada, will be
comprised of approximately 50 manufacturing and converting units and over
7,560 employees in the packaging sector. Management of the converting
activities for the quick-service restaurant industry (Dopaco) as well as that
of the boxboard activities in Europe will not be affected by this
With full ownership of Dopaco and on the strength of the recent Reno de
Medici transaction in Europe, this reorganization constitutes another
milestone in the restructuring plan which aims to improve the financial
performance of the boxboard sector as well as Cascades in its entirety.
In commenting on this reorganization, Alain Lemaire, President and Chief
Executive Officer of Cascades stated: "This reorganization follows Cascades'
strategic plan and aims to enhance the performance of our boxboard sector. In
providing additional tools to improve our profitability, the new structure
will create a first-rate more competitive player in the packaging industry. In
light of similar past internal reorganizations, we are convinced that this
will rapidly develop operational synergies. Furthermore, our customers will be
able to take advantage of this reorganization by benefiting from a more
comprehensive product offering and will continue to be served in a
professional and rigorous manner."
Founded in 1964, Cascades produces, converts and markets packaging and
tissue products composed mainly of recycled fibres. Cascades employs nearly
14,000 men and women who work in some 100 modern and flexible production units
located in North America and in Europe. Cascades' management philosophy, its
more than 40 years of experience in recycling, its continuous efforts in
research and development are strengths which enable the company to create
innovative products for its customers. The Cascades shares trade on the
Toronto stock exchange under the ticker symbol CAS.
Certain statements in this release, including statements regarding future
results and performance, are forward-looking statements (as such term is
defined under the Private Securities Litigation Reform Act of 1995) based on
current expectations. The accuracy of such statements is subject to a number
of risks, uncertainties and assumptions that may cause actual results to
differ materially from those projected, including, but not limited to, the
effect of general economic conditions, decreases in demand for the Company's
products, increases in raw material costs, fluctuations in selling prices and
adverse changes in general market and industry conditions and other factors
listed in the Company's Securities and Exchange Commission filings.
For further information:
For further information: Media: Mr. Hubert Bolduc, Vice-President,
Communications and Public Affairs, Cascades, (819) 363-5164; Investors: Mr.
Didier Filion, M. Sc., CFA, Assistant Director, Investor Relations, Cascades,
(514) 282-2697; Source: Christian Dubé, Vice-President and Chief Financial