Prince George, B.C.  – Canfor  Corporation  is reporting  net income of  $29.9 million for the 4^th quarter of 2014, compared to $28 million  during the same period  in 2013.

For all of 2014,  the  net income was $175.2 million,  down from the $228.6 million  recorded for all of 2013.

In releasing its results, Canfor says its lumber segment was impacted by “higher unit log costs in B.C,  seasonally higher maintenance activity and energy uses.”

The pulp and paper segment also saw lower operating  income for the quarter  compared to the previous three months  because  of the impact of higher fibre costs, and a scheduled maintenance  outage.

Canfor  is predicting  improved demand for lumber in North America  “with the gradual recovery of the US housing market through 2015.”

As for the offshore markets,  Canfor  expects offshore markets to be impacted by  high inventory  levels in  China  and  an increase in supply  from Russia.

Canfor says it expects export sales for lumber and pulp and paper to benefit from the low Canadian dollar during this first quarter of 2015.