Louisiana-Pacific announces permanent closure of Malakwa, B.C., sawmill
Apr 04, 2005. Louisiana-Pacific Corporation (LP) (NYSE: LPX) announced that it will permanently close operations at its Malakwa, B.C., sawmill effective May 31, 2005, for economic reasons. The Malakwa mill is owned and operated by Louisiana-Pacific Canada, Ltd., a fully owned-subsidiary of Louisiana-Pacific Corporation. Operations at the Malakwa facility, which specializes in western red cedar products, have been curtailed since November 2004 due to depressed cedar markets. The mill's 91 affected employees will be eligible for severance benefits as provided under current collective agreement provisions and LP's salaried employee severance program.
Apr 04, 2005. /Lesprom Network/. Louisiana-Pacific Corporation (LP) (NYSE: LPX) announced that it will permanently close operations at its Malakwa, B.C., sawmill effective May 31, 2005, for economic reasons. The Malakwa mill is owned and operated by Louisiana-Pacific Canada, Ltd., a fully owned-subsidiary of Louisiana-Pacific Corporation. Operations at the Malakwa facility, which specializes in western red cedar products, have been curtailed since November 2004 due to depressed cedar markets. The mill's 91 affected employees will be eligible for severance benefits as provided under current collective agreement provisions and LP's salaried employee severance program.
LP will retain and continue to operate the forest tenures associated with the facility. It acquired the Malakwa plant and forest tenures as part of the purchase of Evans Forest Products Limited in 1999.
LP anticipates recording pre-tax charges in the first and second quarters totaling (US) $4 to $5 million for severance and other related Malakwa closure liabilities.