Displaying items by tag: Resolute Forest Products

Resolute Forest Products Inc. (NYSE: RFP) (TSX: RFP) have just announced the indefinite idling of its paper mill located in Thorold, Ontario. The facility, which employed over 100 workers, has an annual production capacity of approximately 197,000 metric tons of newsprint on one machine using 100 percent recycled furnish.

The difficult decision to proceed with the indefinite idling is driven by the ongoing significant decline in North American newsprint consumption, coupled with the increasing cost of recovered paper. The company had already been taking downtime at the operation since mid-December 2016.

Resolute is collaborating with Stone House Investments Holdings Inc., an independent third party interested in converting Thorold to production of an alternative product. Resolute recognizes the impact of today's announcement and believes conversion of the mill would provide a more sustainable future for the operation, its workforce and the surrounding community.

The company remains committed to customer service and delivery of high-quality products, and is working closely with customers to ensure a smooth transition. 

The indefinite idling of the paper mill is effective immediately.

About Resolute Forest Products
Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including market pulp, tissue, wood products, newsprint and specialty papers, which are marketed in over 70 countries. The company owns or operates some 40 manufacturing facilities, as well as power generation assets, in the United States and Canada. Resolute has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

Resolute has received regional, North American and global recognition for its leadership in corporate social responsibility and sustainable development, as well as for its business practices. Visit www.resolutefp.com for more information.

SOURCE Resolute Forest Products Inc.

Resolute Forest Products Inc. President and Chief Executive Officer Richard Garneau has reaffirmed the company's support of free, unencumbered access for softwood lumber exports from Central Canada (Quebec and Ontario) to the United States. Mr. Garneau has been a leading figure in the ongoing softwood lumber dispute between the U.S. and Canada, and draws on over 40 years of experience and leadership in the forest products industry across Canada. 

Resolute is Canada's largest forest products company and the largest producer of softwood lumber east of the Rockies. Richard Garneau has consistently challenged the claims by some that the 2006 Softwood Lumber Agreement between the U.S. and Canada produced predictability and stability. "Managed trade increases volatility, creating an unpredictable and unstable trade environment between two of the world's largest trading partners," stated Mr. Garneau. 

While Western Canadian softwood lumber producers benefit from China's extraordinary economic development, logistical limitations mean that Asian markets remain out of reach for Central Canadian producers. Additionally, Western Canadian softwood lumber producers' purchase of 39 sawmills in the U.S., with a production capacity of some five billion board feet, afford them an important measure of insulation from future restrictive measures.

"To put this capacity into context, it is over 150 percent of the total existing capacity of Ontario's sawmills. Canadian demand is simply not enough to absorb all the production of Central Canadian sawmills," added Mr. Garneau. "We need to be able to sell freely to the U.S. Indeed, that was the whole point of the Canada – U.S. Free Trade Agreement and NAFTA. Just about every industry enjoys free trade, except for softwood lumber."

"The last softwood lumber trade arrangement between Canada and the United States was incredibly destructive, particularly for Central Canada. The previous Government of Canada not only agreed to limiting access, through quotas and taxes, it also paid over $1 billion "in ransom" to the U.S. softwood lumber producers, financed by Canadian workers. The purpose of a deal must not be simply an alternative to litigation. It must be to assure fair and equitable trade," further stressed Mr. Garneau. 

Canadians have won every legal fight with the U.S. over softwood lumber. Canada has played by the rules and proven that its industry is not subsidized, and does not cause injury to any U.S. industry. Softwood lumber producers in Quebec and Ontario need and deserve nothing less than free trade.

Canadians have an important and influential ally in the United States consumer; however, they are reticent to fully engage their powerful movement in support of Canada considering Canada's stated intention to once again agree to a managed trade deal. 

"If there is to be a deal, it must recall a principled purpose: that the Canadian softwood lumber industry does compete fairly in North America and pays a fair market price for timber, and that our forestry regimes are market-based. The Government of Canada must not negotiate a deal that does not fully recognize Central Canada's right to free trade," said Mr. Garneau. "However, if we are to go down the litigation route, the Canadian industry will need the full backing of the federal government to avoid being forced into a deal brought about by undue financial pressure by the U.S. government's actions at the border."

About Resolute Forest Products

Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including market pulp, wood products, tissue, newsprint and specialty papers. The company owns or operates over 40 pulp, paper, tissue and wood products facilities in the United States, Canada and South Korea, as well as power generation assets in Canada and the United States. Marketing its products in close to 80 countries, Resolute has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

Resolute has received regional, North American and global recognition for its leadership in corporate social responsibility and sustainable development, as well as for its business practices. Visit resolutefp.com for more information.

Resolute Forest Products Inc. (NYSE: RFP) (TSX: RFP) today announced that it has entered into a new senior secured credit agreement with an aggregate lender commitment of up to $185 million. The agreement is comprised of a $46.25 million nine-year term loan and a $138.75 million six-year revolving credit facility.

"We took advantage of favorable market conditions to increase our already solid liquidity levels by 50 percent to about $535 million. These new facilities provide us flexible terms and conditions, long maturities, and no repayment penalties," said Jo-Ann Longworth, senior vice president and chief financial officer. "They also represent an excellent opportunity to secure additional liquidity at very competitive rates and will further enhance our flexibility in the execution of our growth and diversification strategy." 

The company's immediate intentions are to use proceeds of the new credit facilities to repay most of the current balance on its existing ABL revolving credit facility. Both the existing and the new revolving credit facilities will then be used, as required, for general corporate purposes, notably to complete the funding requirements related to the company's tissue project at its Calhoun (Tennessee) mill.

The new credit agreement contains customary covenants, representations, and warranties and events of default for credit agreements of this type. Resolute's obligations under the facilities are guaranteed by certain material U.S. subsidiaries and are secured by first priority liens on assets located at the Calhoun mill. The credit agreement also provides for an uncommitted ability to increase the facilities by up to $175 million, subject to certain terms and conditions.

The new financing was arranged and syndicated by American AgCredit. Troutman Sanders LLP represented Resolute, assisted by Bass Berry & Sims.

About Resolute Forest Products
Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including market pulp, tissue, wood products, newsprint and specialty papers. The company owns or operates over 40 pulp, paper, tissue and wood products facilities in the United States, Canada and South Korea, as well as power generation assets in Canada and the United States. Marketing its products in close to 80 countries, Resolute has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

Resolute has received regional, North American and global recognition for its leadership in corporate social responsibility and sustainable development, as well as for its business practices. Visit resolutefp.com for more information.

Resolute Forest Products Inc. have just announced completion of commissioning of the first tissue converting line at its state-of-the-art tissue facility currently under construction in Calhoun, Tennessee. The remaining two lines will be commissioned by year-end.

"We are on schedule with the $270 million project, our largest investment since 2010," stated Richard Garneau, president and chief executive officer. "The first production of bath tissue and towel came off the converting line on August 17, representing an important milestone. We are confident that the new tissue machine will be operational as planned, in the first quarter of next year."

Resolute's new tissue machine and converting operations are being built at its Calhoun pulp and paper mill, which will be one of the most competitive and efficient tissue operations in North America. At full capacity, the facility will produce approximately 66,000 short tons per year of at-home, premium bath tissue and paper towel, focused on the growing private-label market.

Construction of the Advantage-NTT machine, the latest innovation in tissue manufacturing, is underway. "We are proud to have one of the most modern and flexible NTT machines, specifically designed for the retail market in North America," added Garneau. "It is important to position ourselves as a preferred supplier to major private-label retailers by delivering the highest quality product for their store brands."

About Resolute Forest Products
Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including market pulp, wood products, tissue, newsprint and specialty papers. The company owns or operates over 40 pulp, paper, tissue and wood products facilities in the United States, Canada and South Korea, as well as power generation assets in Canada and the United States. Marketing its products in close to 80 countries, Resolute has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

Resolute has received regional, North American and global recognition for its leadership in corporate social responsibility and sustainable development, as well as for its business practices. Visit resolutefp.com for more information.

Resolute Forest Products Inc. (NYSE: RFP) (TSX: RFP) has just announced a partnership from 2016 through 2019 with Marianne St-Gelais, world champion and winner of three Olympic medals in short track speed skating.

"This partnership reflects Resolute's values and our involvement in local communities," stated Resolute President and Chief Executive Officer Richard Garneau during a press conference in Saint-Félicien (Quebec) that was attended by dignitaries, St-Gelais' family and Resolute employees.

"Resolute Forest Products to sponsor from 2016 to 2019 Marianne St-Gelais, world champion and winner of three Olympic medals in short track speed skating. (CNW Group/Resolute Forest Products Inc.)".

A native of Saint-Félicien, located in the Lac-Saint-Jean region, Marianne St-Gelais grew up in a family of foresters. With the support of her family and her community, she quickly excelled at her sport. 

"The way Marianne plans her races and considers safety, her team spirit and her determination to achieve her goals make her an inspiration for the children growing up in forest communities as well as for all those who wish to pursue their passion," added Richard Garneau.

Marianne St-Gelais has won many medals, including two silver medals at the Vancouver 2010 Olympic Winter Games and another silver in Sochi in 2014. Although she performed well at the World Championships over the past years, capturing silver and bronze medals, it was in March 2016 that she became world champion.

"I'm very touched to have a partner like Resolute. The company is active and important in my community and will certainly help me achieve my objectives as an athlete. The trees are the lungs of the Earth and the forest is a family affair for me. And I already feel part of the Resolute family," stated Marianne St-Gelais.

About Resolute Forest Products
Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including market pulp, wood products, tissue, newsprint and specialty papers. The company owns or operates over 40 pulp, paper, tissue and wood products facilities in the United States, Canada and South Korea, as well as power generation assets in Canada and the United States. Marketing its products in close to 80 countries, Resolute has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

Resolute has received regional, North American and global recognition for its leadership in corporate social responsibility and sustainable development, as well as for its business practices. Visit resolutefp.com for more information.

Saint-Félicien Initiative Consistent with Resolute's Leadership in Sustainable Development

Resolute Forest Products Inc. (NYSE: RFP) (TSX: RFP) has just announced that it, along with Serres Toundra Inc, has entered into a definitive agreement with CO₂ Solutions Inc. (TSX-V: CST) to deploy leading enzyme-enabled carbon capture technology at Resolute's Saint-Félicien pulp mill.

The C$7.4 million project involves the capture of up to 30 metric tons of CO₂/day (tpd) from Resolute's softwood kraft pulp mill, the majority of the CO₂ being transported to Serres Toundra's neighboring world-class vegetable greenhouse. By improving the performance of the greenhouse, while at the same time reducing the carbon emissions of the pulp mill, the reuse of the captured CO₂ will provide tangible benefits to both Resolute and Serres Toundra.

"We are pleased to host this innovative, first-of-its-kind project in the pulp and paper industry," stated Richard Garneau, president and chief executive officer of Resolute Forest Products. "Through our participation, we will reduce the carbon emissions from our Saint-Félicien mill, as well as support the scale-up of a low-cost carbon capture technology with the potential for broader deployment."

"This initiative is consistent with our values and our commitment to balancing the three pillars of our sustainability strategy – environmental, social and economic – which is helping us to become not only a more efficient company, but a better employer, a stronger partner for our customers, and more deeply engaged in the communities in which we live and work," added Mr. Garneau.

Formed in 2014 as a partnership between Resolute, the city of Saint-Félicien and local investors, Serres Toundra is a 34-hectare greenhouse complex located adjacent to Resolute's mill. This C$100 million project will, when fully operational in 2019, be the largest greenhouse in Quebec, produce vegetables 12 months a year and contribute 400 jobs to the Lac-Saint-Jean region.

About Resolute Forest Products
Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including market pulp, wood products, tissue, newsprint and specialty papers. The company owns or operates over 40 pulp, paper, tissue and wood products facilities in the United States, Canada and South Korea, as well as power generation assets in Canada and the United States. Marketing its products in close to 80 countries, Resolute has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

Resolute Announces Downtime at Kénogami (Quebec) Paper Mill Due to Ongoing Government Support of Port Hawkesbury (Nova Scotia) Mill

Resolute Forest Products Inc. (NYSE: RFP) (TSX: RFP) has just announced the temporary closure of its Kénogami (Quebec) supercalendered paper mill from June 23 to July 4, 2016. The 11 days of downtime, impacting 184 employees at the operation, is in large part attributable to the ongoing market disruption caused by measures taken by the former provincial NDP Government in Nova Scotia and the former Conservative Government of Canada in support of the Port Hawkesbury (Nova Scotia) paper mill.

Resolute has consistently raised concerns with government officials, including at the Canadian federal level, that special measures of support discriminated in favor of Port Hawkesbury and resulted, among other damages, in the permanent closure of Resolute's Laurentide (Quebec) paper mill in the fall of 2014. As a result, late last year, Resolute filed a Notice of Arbitration with the Canadian Federal Government under the North American Free Trade Agreement (NAFTA). 

"In light of today's announcement, I reach out again to Canadian International Trade Minister Freeland urging her to address the competitive disadvantage in which supercalendered manufacturers, such as Resolute, find themselves today. We are in the untenable position of dealing with a dual set of consequences: unfair government support of Port Hawkesbury here in Canada, and retaliatory, protectionist actions by U.S. authorities," stated Richard Garneau, President and Chief Executive Officer. "At least as far as the U.S. part of the problem is concerned, it is essential that Canada ensure the formation of a fair and equitable Chapter 19 Panel under NAFTA to rectify the injustice visited upon Resolute by the U.S. Department of Commerce."   

About Resolute Forest Products
Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including market pulp, wood products, tissue, newsprint and specialty papers. The company owns or operates over 40 pulp, paper, tissue and wood products facilities in the United States, Canada and South Korea, as well as power generation assets in Canada and the United States. Marketing its products in close to 80 countries, Resolute has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

Resolute has received regional, North American and global recognition for its leadership in corporate social responsibility and sustainable development, as well as for its business practices. Visit resolutefp.com for more information.

Resolute Responds to Misleading Statements Regarding the U.S. Department of Commerce's Final Order for Countervailing Duties on Supercalendered Paper from Canada

Resolute Forest Products Inc. (NYSE: RFP) (TSX: RFP) responds to misleading media statements by third parties regarding the U.S. Department of Commerce's final order for countervailing duties on supercalendered paper from Canada.

Contrary to those misleading media statements, the Department of Commerce found countervailable subsidies during its investigation only at the Port Hawkesbury mill in Nova Scotia. The Department did not find countervailable subsidies to the manufacture, production or export of supercalendered paper by Resolute Forest Products.

As Resolute has previously disclosed, the Department imposed cash deposit requirements for estimated countervailing duties on Resolute based on a new interpretive rule applied to Resolute retroactively and imposed a punitive 17.87% rate not derived from any subsidy amount found to have been received by Resolute. Resolute believes that, through proceedings before NAFTA and WTO tribunals, the punitive actions will be found unlawful, confirming that the Department of Commerce did not find Resolute's exports to the United States to be subsidized.

About Resolute Forest Products

Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including newsprint, specialty papers, tissue, market pulp and wood products. The company owns or operates over 40 pulp, paper, tissue and wood products facilities in the United States, Canada and South Korea, as well as power generation assets in Canada. Marketing its products in close to 80 countries, Resolute has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

Resolute has received multiple national and international awards for its leadership in corporate social responsibility and sustainable development, as well as for its business practices. Visit www.resolutefp.com for more information.

Resolute Forest Products Inc. (NYSE: RFP) (TSX: RFP) has announced the reinstatement of its Forest Stewardship Council^® (FSC^®) certificate for the Black Spruce/Dog River-Matawin forest in Northwestern Ontario. This reinstatement further confirms Resolute's status as one of the largest holders of FSC forest management certification in Canada and all of North America.

The certificate had been temporarily suspended in January 2014 following an audit by Rainforest Alliance. In keeping with the FSC process, Resolute has since successfully undergone two rigorous audits, which confirmed that the company is in compliance with the FSC standard. A Corrective Action Verification Audit was carried out in June 2015 and a new Annual Surveillance Audit was completed in September 2015. The results of this successful Annual Surveillance Audit were released today by Rainforest Alliance.

"Receiving confirmation that our certificate has been reinstated is welcomed news," said Richard Garneau, Resolute's president and chief executive officer. "This outcome is due in no small part to the diligence of our forestry team in Northwestern Ontario, and to the support of First Nations and a diversity of forest stakeholders, including local communities, unions, and anglers' and hunters' associations, to name a few."

"Our forestry management practices were already in compliance with the legal and regulatory frameworks of Ontario, which are among the most stringent in the world. We now have the confirmation that they also meet the requirements of the FSC standard," added Garneau.

"As we look forward as a company, however, we are concerned with the number of challenging issues currently facing FSC and its membership. These include the adoption of Motion 65, which aims to protect intact forest landscapes and its adaptation to the Canadian specific circumstances; the interpretation of Environment Canada's woodland caribou conservation strategy; the merging of all four Canadian FSC standards into a single one while simultaneously introducing a long list of new indicators; and several other issues. We recognize the considerable efforts of FSC and its membership to address these complex issues and Resolute will continue to actively take part in these efforts. We hope that in doing so, the impact on those whose livelihoods depend on the forest will be taken into consideration in a meaningful way."

Considering the seriousness of the issues, the company is concerned about the viability of FSC certification in the Canadian boreal forest, as are other companies. Until significant progress is made in addressing these matters, Resolute will work to maintain its existing FSC forest management certificates where possible, but will not pursue new certification. 

Resolute is committed to sustainable forest management, and 100% of woodlands managed by the company are independently certified to one or more of the three internationally-recognized responsible forest management standards in use in Canada – Sustainable Forestry Initiative^® (SFI^®), Canadian Standards Association (CSA) and FSC.

About Resolute Forest Products

Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including newsprint, specialty papers, tissue, market pulp and wood products. The company owns or operates over 40 pulp, paper, tissue and wood products facilities in the United States, Canada and South Korea, as well as power generation assets in Canada. Marketing its products in close to 80 countries, Resolute has third-party certified 100% of its managed woodlands to internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

Resolute has received multiple national and international awards for its leadership in corporate social responsibility and sustainable development, as well as for its business practices. Visit www.resolutefp.com for more information.

SOURCE Resolute Forest Products Inc.

For further information: Investors, Rémi G. Lalonde, Vice President and Treasurer, 514 394-2345, This email address is being protected from spambots. You need JavaScript enabled to view it.

Resolute Forest Products Inc. has announced the acquisition of Atlas Paper Holdings, Inc., a leading manufacturer of at-home and away-from-home tissue products, including recycled and virgin paper grades. 

"This is a step-change acquisition that provides us with an immediate position in the multi-billion-dollar North American consumer tissue market," said Richard Garneau, president and chief executive officer of Resolute Forest Products. "We're following through on our strategy toward the Resolute of the future with an acquisition that capitalizes on our unique ability to capture synergies by integrating forward our U.S. market pulp assets. This acquisition also gives us immediate tissue industry experience as we work toward bringing our Calhoun tissue project online by early 2017."

Based in Florida, Atlas Paper manufactures branded and private label tissue products for the at-home and away-from-home markets. It offers both virgin and recycled products, covering economy, value and premium grades. Atlas Paper operates three tissue machines, with an annual production capacity of approximately 65,000 short tons; 14 converting lines in Hialeah (Miami) and Sanford (Orlando); and a paper recycling facility in Tampa. Atlas Paper employs about 360 people. It will be "business as usual" at Atlas Paper in terms of relationships and commitments to suppliers and customers. 

Resolute is uniquely positioned to generate synergies and related benefits with this acquisition, by:

• optimizing Atlas Paper's pulp supply using Resolute's strong U.S. market pulp network;
• capitalizing on excess tissue converting capacity;
• immediately integrating Atlas Paper's tissue expertise for the start-up of the Calhoun tissue project in Tennessee; and
• offering a greater range of products – economy, value and premium grades – to existing and future customers.

Richard Garneau added: "This transaction fits nicely with our June announcement to build state-of-the-art tissue and converting facilities in Calhoun that will produce approximately 66,000 short tons (60,000 metric tons) per year of at-home, premium bath tissue and towel focused on the private label market. By integrating our U.S. pulp assets to produce high-quality products, we will compete in that market as one of only a few integrated producers, using the latest technology. With today's announcement, we enter the tissue market right away, and we do so by way of an acquisition that is synergistic and also integrative. We will benefit from the know-how and the expertise of Atlas Paper's experienced tissue manufacturing, sales and management teams, and we will have access to its customer base." 

"We are excited about becoming part of a larger, diversified company that views the tissue market as a cornerstone of its future," stated Jim Brown, president and chief executive officer of Atlas Paper Holdings, Inc. "This is a win-win: For Atlas Paper, we will benefit from pulp supply efficiencies and we will offer a wider range of products to our customers once the Calhoun tissue project is up and running. For Resolute, my team can bring the market knowledge and expertise that will help us all meet our common business objectives."

The purchase price in the transaction, which closed today, was $156 million, including working capital. The company estimates approximately $23 million of annualized earnings before interest expense, income taxes, and depreciation and amortization, or "EBITDA," including synergies, starting in the first quarter of 2016. Resolute expects to maintain Atlas Paper's current structure, and that most employees, including management, will remain with the organization. The financial results attributable to these assets will be reported in a stand-alone "tissue" segment. The company paid for Atlas Paper with available cash, but expects to explore financing opportunities in the coming months, considering its previously-reported significant capital expenditure expectations in connection with the Calhoun tissue project.

BMO Capital Markets acted as the financial advisor and Akerman LLP acted as the legal advisor to Resolute on the transaction.

About Resolute Forest Products

Resolute Forest Products is a global leader in the forest products industry with a diverse range of products, including newsprint, specialty papers, market pulp and wood products. The company owns or operates some 40 pulp and paper mills and wood products facilities in the United States, Canada and South Korea, and power generation assets in Canada. Marketing its products in close to 80 countries, Resolute has third-party certified 100% of its managed woodlands to at least one of three internationally recognized sustainable forest management standards. The shares of Resolute Forest Products trade under the stock symbol RFP on both the New York Stock Exchange and the Toronto Stock Exchange.

SOURCE Resolute Forest Products Inc.