Our overall strategic objective is to be a world leader in the paper industry. We have developed our business strategies around three pillars: meeting and anticipating the ever-changing needs of customers, providing our shareholders with attractive returns, and fostering a dynamic and creative environment for our employees in which shared human values and personal commitment prevail.
Our business strategies are to continue to:
Our business strategies are to continue to:
- anticipate and meet the needs of our customers in order to enhance customer loyalty
- improve the productivity of our mills and the quality of our products and services
- broaden our distribution capabilities
- grow through acquisitions and alliances within our areas of expertise
- maintain strict financial discipline
- foster the personal growth and participation of employees
- act as a responsible corporate citizen
Business Context
Market conditions for the North American paper and forest products industry have been very difficult in the last few years. The three main challenges for the industry are: the weakness observed in the demand for fine papers, the soaring energy prices that put tremendous pressure not only on energy costs but on products and services tied to energy such as chemicals and transportation and, to a lesser extent, grade substitution and imports.
In addition to these challenges, the Canadian industry has to cope with:
- the strength of the Canadian dollar directly affecting the profitability of Canadian mills for which selling prices are in U.S. dollars
- the high wood costs in eastern Canada
- an average 20% reduction in allowable wood harvesting volumes in Quebec