Tembec Sells Idled Paper Mill in Louisiana

Feed: 294 - Date: 4/19/2009 - Views: 1,018

Tembec Inc. said that its subsidiary, Tembec USA LLC, has sold its idled coated paper mill located in St. Francisville, Louisiana to West Feliciana Acquisition, LLC.

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The mill was indefinitely idled in July, 2007.

Neither party disclosed future plans for the mill.

Sale proceeds will total US $16 million, made up of US $6 million cash received at closing and US $10 million of interest bearing notes, Tembec said.

As a result of the sale, Tembec Inc. will record a gain of approximately C $16 million in its June 2009 quarterly consolidated financial statements.

SOURCE: Tembec Inc.

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