Poor market conditions have resulted in Setra recording a loss of SKr377m for 2008.
The company has also announced it is closing the Lövholmen and Färila sawmills at the end of the first half of 2009.
The operating loss recorded compares with profits of SKr771m in 2007. Losses in the fourth quarter alone totalled SKr203m.
Setra’s sales declined 19% to SKr4.88bn, mainly due to lower selling prices and sustained high raw material costs.
The company said the decision to close Lövholmen and Färila would enable it to be well prepared even if the recession were to last a long time.
The closures will represent the loss of 350,000m³ of sawn wood capacity, but the actual reduction in production will be 50,000m³ due to more efficient utilisation of remaining mills.
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