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Tembec tightens third-quarter loss to $4 million as sales decline slightly

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(GlobalPost/GlobalPost)

MONTREAL - Forestry company Tembec (TSX:TMB) tightened its losses in the third quarter, even as sales dipped and a weaker Canadian dollar affected prices.

The Montreal-based firm said Thursday that it lost $4 million, or four cents per share versus $5 million, or five cents per share in the comparable period a year earlier.

Sales for the pulp and paper company dipped to $399 million from $415 million.

The decline of the loonie pulled down Canadian dollar equivalent prices by $9 per tonne, the company said in a release.

The overall results were still in line with expectations, it added, though demand for its specialty grade pulp was softer than anticipated.

"We anticipate that it will be one or two quarters before we see an increase in demand for specialty grades," the company said.

Tembec shares rose nearly six per cent, or 14 cents, to $2.52 on the Toronto Stock Exchange.

http://www.globalpost.com/dispatch/news/the-canadian-press/130801/tembec-tightens-third-quarter-loss-4-million-sales-decline-s