The company recorded a net profit of C$6m over the same period in 2006 and C$7m in the previous quarter, but has stated that, despite the reported losses, lumber production has increased over the last three months to 994 million board feet and has driven a strong operating performance.
However, it is anticipating lumber prices will remain depressed due to excess supply, along with expected production curtailments in the second quarter of 2007.
West Fraser recently completed the purchase of 13 lumber mills from International Paper, which saw its production capacity increase by 1.8 billion board feet to 6.2 billion board feet.
