Canfor has announced a C$256m pre-tax asset impairment charge in light of “ongoing operating losses and expected market conditions” including exhange rates.
The charge is due to appear in the company’s fourth quarter results, with C$90m accounted for in its lumber division, C$141m in the panels segment and C$25m in corporate and other areas.
“Where the carrying value of assets is not expected to be recoverable from future cash flows, they are written down to fair value,” the company said.
Canfor’s fourth quarter results are due to be published on February 22.
