Canfor to idle MacKenzie mill indefinitely

Tue Jun 10, 2008 7:49pm EDT
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VANCOUVER, British Columbia (Reuters) - Canfor Corp will indefinitely idle its MacKenzie mill and adjust production at other western Canadian lumber operations, the company said on Tuesday.

About 200 workers will be laid off at the MacKenzie mill in British Columbia. The sawmill operation will close on June 12 with the plant's planer operations idled about two weeks later when inventory is processed.

Lumber mills across North America have cut production in the face of weak housing demand, and MacKenzie also had been hit by the closure of the nearby Pope & Talbot pulp mill which had purchased fiber.

Canfor said operations at its other mills will be adjusted to make up for the lost lumber production. MacKenzie had an annual production capacity of 176 million board feet.

(Reporting Allan Dowd, Editing Carol Bishopric)