Catalyst Paper Corp. (TSX:CTL) is shutting down 11,000 tonnes of paper production at its Crofton mill for 30 days due to reduced paper demand in the U.S. market.
The faltering U.S. economy has resulted in reduced print advertising, which has cut demand in the Richmond company's key market.
Catalyst reported a net loss of $124.3 million for the quarter ending June 30. It recorded a net profit of $200,000 in the same period the year earlier.
The company said the loss resulted primarily from a $136.5 million asset charge against its Elk Falls pulp and white top liner-board operation. Catalyst reported second-quarter revenue of $452.9 million, up from the $441.8 million recorded in 2007's second quarter.
Catalyst Paper's share price range during the past week: between $1.14 and $1.22; 52-week high: $2.72; 52-week low: $0.80.