Economic News/Trends and Analysis — April 2, 2009

Cascades to cease production at its Norampac - Quebec plant

    KINGSEY FALLS, QC, April 2 /CNW Telbec/ - Cascades (CAS at the Toronto
stock exchange) announces that Norampac, a division of Cascades Canada Inc.,
will terminate production activities at its Quebec city based corrugated
products plant, due to an important reduction of the business volume and to
unfavourable economic factors. Nearly 145 employees will be affected by this
closure that will be effective before the end of 2009.
    Sales and distribution services at the Quebec plant will remain intact,
and production will be redirected progressively towards the other Norampac
Quebec based plants, such as Vaudreuil, Le Gardeur, Victoriaville,
Drummondville and SPB (Montréal) plants, which will ensure the supply to
customers with the same quality and service.
    "This decision was taken as a result of a significant decline in demand
for corrugated products while taking into account the high number of Quebec
based plants owned by Norampac" declared Mr. Marc-André Dépin, President and
Chief Executive Officer of Norampac.
    "The economic context has forced us to proceed with nearly 1,000
temporary or permanent layoffs in our plants and mills in the past year,
either by major reorganizations or by plant closures. In these difficult
times, Norampac must take all the necessary measures to ensure its durability
and unfortunately, this sometimes requires production curtailment such as the
one we are announcing for the Quebec plant" added Mr. Dépin.
    In order to help employees affected by this closure, Norampac has
prepared a relocation program throughout its other facilities and will offer
assistance regarding employment searches.

    About Cascades

    Founded in 1964, Cascades produces, converts and markets packaging and
tissue products composed mainly of recycled fibres. Cascades employs nearly
13,000 men and women who work in some 100 modern and flexible production units
located in North America and in Europe. Cascades' management philosophy, its
more than 45 years of experience in recycling, its continuous efforts in
research and development are strengths which enable the company to create
innovative products for its customers. The Cascades shares trade on the
Toronto stock exchange under the ticker symbol CAS.

    About Norampac

    Norampac owns seven containerboard mills, four boxboard mills,
twenty-seven corrugated products plants and five folding carton plants in the
United States, Canada and France. Norampac is the largest containerboard
producer in Canada and the third largest boxboard producer in North America.
Norampac, which is also a major Canadian manufacturer of corrugated products
and folding cartons, is a division of Cascades Canada Inc. and has more than
5,000 employees.

For further information: Geneviève Boyer, Communications Coordinator,
Norampac a Division of Cascades Canada Inc., (450) 461-8611,
genevieve_boyer@norampac.com; Investor relations: Didier Filion, Director,
Investor Relations, Cascades, (514) 282-2697, didier_filion@cascades.com;
Source: Marc-André Dépin, President and Chief Executive Officer, Norampac a
Division of Cascades Canada Inc., marc-andre_depin@norampac.com

Latest Industry Press Releases

Updated 4:01 MST, February 9, 2010  

• Construction/Building
• Government of Canada/Public Works
• Economic News/Trends and Analysis
• Environmental Services
• Real Estate
• Transportation/Trucking