Way to go Canfor…another huge investment in the BC economy. It’s all about having confidence in the economy and creating jobs

Another big win for British Columbians.

As the assets follow the timber supply where will that leave PG? Its a good thing they are rebuidling Lakeland.

Hows the Lakeland rebuild coming?? When is it going to be completed?? Anyone know??

Lakeland supposed to be completed by spring 2014.
CanFor is also spending 10 million $ in Houston and also 40 million $ in Mackenzie mills for upgrades. Not sure about PG ops.

I hear you Yamchargers! Canfor has the largest fibre supply in the province. They have been buying out other smaller sawmill companies, not for their sawmills, but for their timber licenses.

In a province dominated by the wood industry, Canfor dominates the industry! I miss the locally owned sawmills, at least the owners lived here which meant “their roots really were in this community”.

Canfor is dropping ‘our roots are in the community’. All their signs are being changed and having it removed.

Candor – Jimmy

Wow, they’ve done allot of work since the election! It almost makes one think that this type of investment would have gone ahead even if the NDP had won the election, LOL ;)

That is canfor-Jimmy

My first thought was that this is a good news story, especially for the workers in the Kootenay region. Then I read the comments that have already been posted and my second thought was that perhaps I must be wrong. Either that or regardless of the issue, there always seems to be someone on this site bitchin’ bout something! Just saying!

Oh well, if they are producing more in the Kootenays, then they might be shipping fewer raw logs overseas!

I don’t see who is bitching about something Hart Guy! I hope it’s not me… here let me support my above stated opinion with an earlier story about the buyout of the Tembec owned Elko facility by Canfor!

http://www.canfor.com/media-center/news-press-releases/2012/03/23/canfor-completes-purchase-of-tembec-s-bc-southern-interior-wood-products-assets

Even Canfor is celebrating their purchase of Tembec, sure they get the Canal Flats (Elko) Sawmill, but look at the 1.1 million cubic metres of wood supply they get. Got to hand it to Canfor Jimmy, his take-overs are strategic. :D

you does realize that 1.1 million cubic meters is not as big a number as it sounds right? Heck, we have one logging company in town that does that volume per year, by themselves. ;)

Oh I realize 1.1 million cubic meters is not that big, however, this is only one of two Tembec purchases by Canfor.

This company already owns the lion’s share of timber supply in this province, my concern is; at what point do we become concerned that Canfor is becoming BC’s Forest Industry?

“The top 20 Canadian companies increased their market share of total Canadian lumber production, rising from 75% in 2011 to 80% in 2012. Canfor pulled ahead of West Fraser as the top Canadian lumber producer with 3.8 billion bf of production from its purchase of two sawmills from Tembec in the first half of 2012.” ~ Woodsmarket.com press release

All the small outfits are being bought out, or squeezed out, and that’s unfortunate. But that’s one person’s opinion :)

And the question is, if Canfor DOES “become BC’s Forest Industry”, will it then be profitable ENOUGH to continue to obtain the ongoing bank credit it needs to maintain that position? A study of the history of other businesses once seen in a similar light seems to indicate it will NOT.

MacMillan Bloedel is one good example. Every time it grew, from the time H R MacMillan Export Co. merged with Bloedel, Stewart and Welsh in the early 1950’s, its profits AS A PERCENTAGE OF SALES went DOWN. It got a lot bigger later. Including being a part of the biggest of them all, once, Weyerhaeuser. Now it no longer exists.

And Weyerhaeuser itself, in the USA, is now a Real Estate Investment Trust. A financial structure that recognises there’s far more likely to be a some return in “selling the farm” than eventually losing everything continuing trying to farm it.

People, including some very prominent historians of the forest products industry, looked on old H R MacMillan, whose ‘side’ dominated over the former owners of any business ‘his outfit’ merged with as being one of BC’s greatest businessmen.

But in the initial merger the Bloedel’s were really the winners. They likely realised that ‘size’ wasn’t going to solve problems that were multiplying far faster than any business could ever ‘grow’ in a way to overcome them at a fast enough rate.

An impressively well reasoned, and researched, comment socredible. Thank you for raising the level of discussion on this comment thread :)

I had forgotten about MacBlo, being so young when they were around. History does have a habit of repeating itself, doesn’t it.

I do believe we think alike socredible. For instance in the third paragraph of your comment, I would not drop the “a” to make your words say “..there is far more likely to be some return in selling the farm” because that’s not what you wanted to say.

Rather, keep the “a” and change the word “some” to “sum” which is what I am guessing you really wanted to say :)

http://thetyee.ca/News/2012/06/09/WoodEx-Canfor/

Thanks, people#1. I should’ve dropped the ‘a’.

Thanks for the link govsux… lots of peripheral issues around the Tembec purchase by Canfor. I hope WoodEx Industries Inc. can find a sufficient fibre supply to stay open, and keep those people living in Edgewater working.

@ socredible; ha, ha, ha, win sum, lose some.. I guessed wrong :)