Norske Skog has received a well-developed recapitalization proposal from a substantial number of the secured holders of the SSN (EUR 290m, 2019) bond and the NSF (EUR 100m, 2020) loan, as detailed in the 28 July 2017 stock exchange release. Certain unsecured bondholders have further provided an alternative proposal. To further secure the financial situation of the operating business, Norske Skog is in the process of receiving a commitment letter for a EUR 16 million liquidity facility from a substantial number of the holders of the SSN and NSF. "We are very pleased that key stakeholders are willing to support the business operations of Norske Skog through liquidity facilities like the offered loans. Our paper mills are highly competitive business units with a prosperous future irrespective of the final solution to the group's capital structure. We have now secured the operating business by both relief on interest payments and this new financing, and there should be no reason to question the stability of our operating business through the refinancing" said Lars P.S. Sperre, President and CEO of Norske Skog. Click Read More below for additional detail.

Interfor Corporation announced that it has reached an agreement with an affiliate of the Kilmer Group to acquire 100% of the equity interests in the entities comprising Chaleur Forest Products. Chaleur owns two modern and well-capitalized sawmill operations located in Belledune and Bathurst, New Brunswick, with a combined annual lumber production capacity of 350 million board feet. Chaleur also operates a woodlands management division based out of Miramichi that manages approximately 30% of the total Crown forest in New Brunswick. This division provides a secure source of fibre supply for the sawmill operations as well as a stable, long-term stream of cash flow from third-party log sales, licence management fees and silviculture activities.

Domtar Corporation, a part of the Paper Excellence Group, and First Quality Enterprises, Inc. today announced that they have entered into an agreement to sell Domtar’s Dryden pulp mill to First Quality. The Dryden transaction, expected to close early in the third quarter, is subject to customary closing conditions, including receipt of required regulatory approvals and the closing of the Resolute Forest Products Inc. transaction. First Quality has made clear to Domtar its commitment to the Dryden Mill, its employees and the surrounding community and that First Quality fully intends to continue business operations consistent with past practices.