Prince George, B.C.- Canfor Pulp Income Fund earned $6.9 million in the 4^th quarter of 2009. That compares to a loss of $13.7 million in the same quarter a year ago.

 

The Canfor Pulp Limited Partnership, the fund's operating company (which is 50.2 per cent owned by Canfor Corp) earned a profit of $15.2 million for the quarter compared with a loss of $26 million in the same period for 2008.

Revenue in the quarter totalled $220.2 million, up from $187 million.

 

Although prices for pulp were increasing in the fourth quarter, any benefits were balanced of by the strength in the Canadian dollar.

 

Canfor Limited Partnership says it expects the market to remain strong through the first quarter of 2010 due to strong seasonal demand. “Approximately 12% of global capacity is still idled and some mill restarts will help absorb the current supply shortfall. Inventory levels held by producers and customers are low, with the supply/demand balance still in the favour of producers” said a news release from the company.