NEWS:
SFK Pulp has entered into short-term agreements to supply its Saint-Félicien Mill
16 minutes ago - Cnw Group
Related Companies
Symbol Last %Chg
ABWTQ 0.17 0.00%
As of 12:00 AM ET 6/16/09
TSX: SFK.UN
SFK Pulp today announced that it has entered into agreements with AbitibiBowater and other suppliers to secure a short-term supply of wood fibre for its Saint-Félicien Mill. "Negotiations are continuing to establish long-term agreements with our suppliers," declared Pierre Gabriel Côté, SFK Pulp's President and Chief Executive Officer.
As announced in recent communications, SFK Pulp was working closely with the Québec government to identify appropriate financial assistance. SFK Pulp announces that the Québec government has turned down its request for assistance. "We are disappointed with the Québec government's response to which we had filed an application for assistance backed by a solid business plan," continued Mr. Côté.
"The situation remains difficult, given the market price for wood fibre in Québec, the market price for NBSK pulp, the strength of the Canadian dollar and the decline in global demand for pulp. We continue to take every necessary steps to handle these challenges," concluded Mr. Côté.
The SFK Pulp mill in Saint-Félicien consumes over 740,000 metric tonnes of wood chips per year and plays a key role as a wood fibre integrator in Saguenay-Lac-Saint-Jean. It is a major economic pillar in this region, generating over 300 direct jobs and, with its economic activities, supporting 1,850 indirect jobs in sawmills, logging and other operations.
About SFK Pulp
SFK Pulp (TSX: SFK.UN), a leading producer and marketer of premium virgin and recycled kraft pulp, operates three mills in Saint-Félicien, Québec, Fairmont, West Virginia, and Menominee, Michigan. SFK Pulp employs approximately 550 people, and has a total annual production capacity of 745,000 metric tonnes. The Saint-Félicien Mill supplies northern bleached softwood kraft (NBSK) pulp to various sectors of the paper industry in Canada, the United States and Europe for use in specialty products. The Fairmont and Menominee Mills manufacture air-dried market recycled bleached kraft (RBK) pulp and primarily supply manufacturers of uncoated freesheet, commercial and away-from-home tissue and coated paper in the U.S.
%SEDAR: 00018041EF
SOURCE: SFK PULP FUND
SOURCE: MAISON BRISON - ENGLISH
