May 9, 2012 / 10:03 PM / 6 years ago

UPDATE 1-Fibrek posts loss on lower pulp prices

May 9 (Reuters) - Specialty pulp maker Fibrek Inc, which is being acquired by Resolute Forest Products, posted a second straight quarterly loss, as pulp prices continue to decline.

For the January-March quarter, the company posted a loss of C$23.2 million ($23.10 million), or 18 Canadian cents per share, compared with a profit of C$3.4 million, or 3 Canadian cents per share a year earlier.

Sales fell 8 percent to C$122.1 million.

The market price of northern bleached softwood kraft (NBSK) for pulp delivered in North America was lower by $100 per tonne, or 10 percent on average, during the quarter, Fibrek said in a statement.

NBSK is the paper industry’s benchmark grade of pulp, and is produced mainly in Canada and the Nordic countries.

Resolute, formerly known as AbitibiBowater Inc, moved a step closer toward its goal of acquiring full control of Fibrek after Mercer International Inc withdrew its bid.

Resolute said earlier this month it had won control of 50.1 percent of shares of Fibrek. [ ID:nL1E8G303P]

Shares of Fibrek, which has a market value of $117.9 million, closed at 90 Canadian cents on Wednesday on the Toronto Stock Exchange.

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