Aug 11, 2010. /Lesprom Network/. Cascades Inc. announces its financial results for the three months ended June 30, 2010. In comparison with the same period last year, sales rose by 2% to С$998 million resulting from higher selling prices and a 9% increase in shipments (excluding the impact of the acquisition of the tissue assets of Atlantic Packaging), offset by the appreciation of the Canadian dollar. Net earnings excluding specific items amounted to С$21 million in the 2Q 2010 compared to С$28 million for the same period of last year. Including specific items, net earnings amounted to С$21 million compared to С$30 million for the same quarter in 2009. The operating income excluding specific items amounted to С$56 million compared to С$66 million in Q2 2009. Improved volumes and selling prices as well as the optimization of our cost structure and higher operating rates were more than offset by the rise of raw material costs. When including specific items, operating income amounted to С$50 million in comparison to С$75 million in the same period of last year. Commenting on the 2Q results, Mr. Alain Lemaire, President and CEO stated: "As anticipated, we experienced a significant rebound in profitability compared to the previous quarter mostly as a result of the momentum in pricing and volumes in our different business units. All our segments delivered improved results as they benefited from selling price increases implemented during or prior to the 2Q. In addition, stronger demand combined with seasonal pick-up impacted positively our operational efficiency and financial results. In fact, during the quarter our overall operating rate reached 96%, the highest it's been in three years. Cascades produces, converts and markets packaging and tissue products that are composed mainly of recycled fibres.