Canfor Temporarily Curtailing Canadian Production Capacity

Supremex Inc. announced the acquisition of the assets of Forest Envelope Group. Founded over 40 years ago, Forest Envelope is a regional leader in specialty envelope manufacturing located in Bolingbrook, Illinois in the Greater Chicago area. The transaction was concluded for a total consideration of approximately US$1.8 million, on a cash-free and debt-free basis, subject to customary adjustments, financed through the Company’s existing credit facility. “The acquisition of Forest Envelope is an excellent fit with our current operations in the U.S. Midwest region,” said Stewart Emerson, President and CEO of Supremex. “Forest Envelope has a solid reputation for providing high-quality products, top-tier customer service and on-time delivery. Given its close proximity to our existing plants in Naperville and Chicago, we intend to integrate Forest Envelope’s activities into these facilities over the next 90 days. The transition should be seamless for customers and, in fact, provide them access to additional capacity and a significantly broader product offering. We expect this tuck-in operation to rapidly yield synergies within our U.S. Envelope network.”

Rayonier Advanced Materials Inc. announced that it has sold 28,684,433 common shares of GreenFirst Forest Products Inc. to a wholly-owned subsidiary of Interfor Corporation for approximately $43.3 million. The agreement contains a Purchase Price Protection clause whereby the Company is entitled to participate in further stock price appreciation under certain circumstances and for a specified period. Consistent with prior communications, the Company expects to use cash proceeds from this transaction to opportunistically repay debt or assist with a holistic refinancing of its capital structure, including its Senior Notes due on June 1, 2024.

Canfor Corporation is announcing the curtailment of approximately 115 million board feet of production capacity at its Canadian sawmills during the third quarter of 2021 due to the significant supply chain challenges and transportation backlog in Western Canada as a result of the extreme wildfire conditions. “The wildfires burning in Western Canada are significantly impacting the supply chain and our ability to transport product to market. As a result, we are implementing short-term production curtailments at our Canadian sawmills beginning July 26. We are developing site specific plans to minimize the impacts to our employees and contractors,” said Stephen Mackie, Executive Vice President, North American Operations, Canfor.