Stephane Malhomme - Cascades Stalled

Citing difficulties related to currency fluctuations and rising costs of raw materials, Cascades announced results for lackluster first quarter, noting a decline in earnings, but also of its debt. The company's net income fell to $ 0 per share, compared with $ 0.22 per share for the same quarter last year. Invited on the air Silver Thursday, its chairman Alain Lemaire did not seem surprised. "The cost of raw materials hit a record this year, an increase that we have not reflected on the prices of our customers. The dollar has hurt us too, so it is clear that our earnings would fall, "he said. Operating income before amortization (EBITDA) excluding special items was $ 78 million compared to $ 107 million in Q1 2009. Asked about the share price of the Cascades, which sank $ 9.50 to $ 6.75 since the beginning of Mr. Lemaire remained philosophical, saying that he understood the current trend of investors, his company could boast of solid revenue, and debt under control. "We have nothing to be ashamed, and very confident in our ability to come back," he said.