Norbord’s profits declined substantially to US$10m in the second quarter of 2011 compared to US$72m a year ago.
North American operations generated a break even performance compared to US$64m a year ago, while European operations were buoyant with EBITDA profits of US$13m (2010: US$10m).
Norbord president and CEO, Barrie Shineton said he was pleased with the performance, despite declining new home construction activity in the US and fragile North American OSB prices.
He said he was cautious about North American OSB prices in the face of declining US housing numbers in the second quarter.
Norbord’s North American OSB production continued to run at 85% of capacity.
North American OSB prices were significantly lower than in the same quarter a year ago “as the exceptional pricing environment of last year did not repeat itself”.
European chipboard, MDF and OSB prices increased by 12%, 8% and 6% respectively.
