Cascades Inc. reported a new loss of $4 million in its first quarter of 2008.

To regain profitability, Cascades is planning to cut 155 jobs. Just a year ago, Cascades reported a net profit of $22 million in its first quarter.

This year's net quarterly loss is being blamed on high fibre costs, a strong Canadian dollar and challenging business conditions in the company's boxboard and tissue paper sectors.

The job cuts will be spread across Cascades' operations in Quebec, as well as its operations in the United States. Layoffs began in the fall and will continue until the end of the summer.

There will also be several temporary plant shutdowns of varying durations.

Founded in 1964, Cascades produces, transforms and markets packaging and tissue mainly from recycled fibres. The company employs close to 14,000 employees at operations in Canada, the United States and Europe. Its Norampac unit is Canada's largest cardboard maker.

Source:
Cascades announces job cuts to stem first-quarter net loss of $4 million (Brandon Sun Online)