RusForest expects to receive a total net amount of $0.6 million in cash from the transaction. The Company has already received $0.2 million of this amount from the buyer. Payment of the remaining amount is contingent upon the buyer being able to renew key contracts with local port authorities and is expected in the next few weeks.
The sale of Ystad Pellets AB is expected to result in an impairment of approximately $0.9 million in the Q2 2014 financials to be released on August 29, 2014.
RusForest is a Swedish forestry company operating in Eastern Siberia and the Arkhangelsk region of Russia. The Company controls long-term timber leases and utilizes these resources to produce a wide range of sawnwood products and wood pellets.
