West Fraser Provides Operational Update
West Fraser Timber Co. Ltd. (“West Fraser” or the “Company”) announced that in response to the flooding situation in British Columbia it is providing the following update on operating conditions and does not anticipate providing another update ahead of its annual and fourth-quarter earnings release scheduled for February 15, 2022.
In recent weeks, severe weather and flooding in B.C. has caused transportation disruptions to rail and truck routes, including limiting access to ports for overseas shipments. In the second half of November, following the weather event that led to road and rail closures, the Company’s western Canadian lumber weekly shipments have declined by approximately 25%-30%. In addition, our pulp shipments to the port of Vancouver, from where the majority of our export pulp ships, have averaged less than 20% of normal volumes. While West Fraser is utilizing alternative transportation routes and methods to the extent they are available to continue servicing customers, the magnitude and duration of the impact from current weather events remains uncertain. Therefore, West Fraser has reduced operating schedules at multiple western Canadian locations and will continue to make such adjustments as necessary in order to manage inventory levels, raw material supplies and our integrated fibre supply chain. At the current time, it is not possible to estimate when full transportation services will resume or when the backlogs resulting from the interruptions will be cleared.
About West Fraser
West Fraser is a diversified wood products company with more than 60 facilities in Canada, the United States, the United Kingdom, and Europe. From responsibly sourced and sustainably managed forest resources, the Company produces lumber, engineered wood products (OSB, LVL, MDF, plywood, and particleboard), pulp, newsprint, wood chips, other residuals and renewable energy. West Fraser’s products are used in home construction, repair and remodeling, industrial applications, papers, tissue, and box materials.
Robert B. Winslow – Director, Investor Relations & Corporate Development – email@example.com – (416) 777-4426
Source: West Fraser Timber Co. Ltd.