Aug 01, 2011. /Lesprom Network/. Catalyst Paper posted a net loss of $47.4 million on sales of $297.8 million during the 2Q 2011. The net loss increased from $12.9 million on sales of $303.6 million during the 1Q, due to reduced production and increased maintenance spending. Production at the Powell River and Snowflake mills was affected by extended maintenance downtime and further hampered by fires at both mills during the quarter. A stronger Canadian dollar and higher fibre prices also negatively affected results, as the company said in a press release received by Lesprom Network. Before specific items Catalyst’s net loss for 2Q was $46.9 million, in comparison with $23.6 million in the prior quarter. Significant specific items in the most recent quarter included a foreign exchange gain on the translation of US dollar denominated debt, $5.7 million in losses associated with the fires at Snowflake and Powell River mills. Before restructuring costs, an earnings loss before interest, taxes, depreciation, amortization (EBITDA) of $3.9 million was recorded in the 2Q, compared with EBITDA before restructuring costs of $15.9 million in the prior quarter. Lower EBITDA increased the 2Q operating loss to $30.6 million from $10.9 million in 1Q. “We took steps to address mill productivity and to strengthen our order book in the face of very challenging currency and market conditions,” said President and CEO Kevin J. Clarke. “While our pulp business performed well in the quarter, the unforeseeable factor of fires at two mills hurt paper production and sales in what we had already indicated would be a heavy scheduled-maintenance quarter.” Catalyst Paper manufactures diverse specialty mechanical printing papers, newsprint and pulp.