February 18, 2008—Today Tolko Industries announced that due to poor markets, it will extend the previously-announced two-week curtailment at the Armstrong and White Valley plywood and veneer plants.
Both operations, located near Vernon, BC, were due to resume operations on February 25 following scheduled equipment maintenance. However, the plants will now remain down until market fundamentals improve. This extended curtailment will affect approximately 300 employees.
Regional Manager Jim Baskerville says that very poor plywood demand has caused a continuing decline in prices. Market conditions will be reviewed weekly to determine when operations can restart.
“With warmer weather approaching and the related seasonal increase in Canadian building starts,” said Baskerville, “we’re hopeful that market conditions will soon return to levels that will support these operations.
“Tolko regrets the impact that this extended downtime will have on its valued employees and customers.”
The sawmill operations at Tolko’s Armstrong Division are not affected by this action. Tolko Industries Ltd. is a private, Canadian-owned forest products company based in Vernon, BC.
Jim Baskerville, Tolko Industries Ltd. Regional Manager, Okanagan Operations