West Fraser Timber Co. Ltd. (TSX:WFT) plans to cut production at five B.C. sawmills and several of its U.S. sawmills beginning February 9 due to the worsening U.S. housing market depression.
West Fraser said it will shut down the mills for a week and then implement reduced workweeks until further notice.
The weeklong shutdown will cut approximately 25 million board feet of production in B.C. and 20 million board feet in the U .S. The reduced workweeks would chop approximately 446 million board feet annually for the company's B.C. mills, which would be in addition to the one billion board feet in curtailments already announced last year.
Canfor Corp. (TSX:CFP) is increasing its production cuts for another two-week period effective February 9. The move will chop another 83 million board feet of production.
That company said that, by February 23, it will remove a third shift at its Quesnel operation, reducing production by another 100 million board feet on an annualized basis. It's also reducing a shift at its New South Camden sawmill in South Carolina, cutting production by 75 million board feet.
Earlier in January, Canfor Corp. (TSX:CFP) cut production at its Houston, Radium, Vavenby, Quesnel and Rustad sawmills, which reduced the company's lumber production by approximately 29 million board feet.
Richmond's Catalyst Paper (TSX:CTL) is also shutting down one of its paper machines at its Crofton paper mill, laying off 50 employees and reducing 38,000 tonnes of pulp production in the first quarter of 2009.
West Fraser's share price range during the past week: between $28.71 and $30; 52-week high: $39.84; 52-week low: $23.52.
Canfor's share price range during the past week: between $6.72 and $7.25; 52-week high: $11.10; 52-week low: $5.52.
Catalyst Paper's share price range during the past week: between $0.34 and $0.38; 52-week high: $1.78; 52-week low: $0.24.