Cascades reported net earnings of $16 million, compared to net earnings of $55 million for the same period in 2002. Net earnings excluding unusual losses amounted to $27 million in the first quarter of 2003 compared to $36 million for the same period in 2002.
Net sales increased by 4.9 percent during the first quarter, amounting to $840 million compared to $801 million for the same period last year.
In commenting on the report, Laurent Lemaire, president and CEO, said, "Many factors over which we have limited control impacted our first quarter operating results. Difficult winter conditions in the US Northeast and Canada and increased tension in the Middle East contributed to sharp increases in energy costs which in turn directly impacted manufacturing costs. Waste paper costs were also significantly higher compared to the same period last year. These elements added to existing uncertainty surrounding any potential short term US economic recovery and created a more difficult environment for our industry.”
The company also announced that Alain Lemaire, presently executive vice president, will take over as president and CEO on July 1.