Asset Impairment Overshadows Catalyst Paper’s Improved Financial Results

RICHMOND, CANADA—Nov. 14, 2011—Catalyst Paper posted a net loss of $205.7 million on sales of $340.3 million during the third quarter of 2011. The net loss was largely due to a $151.0 million impairment charge on the company’s Snowflake facility.

The third-quarter net loss compared with a second-quarter net loss of $47.4 million on sales of $297.8 million. Operating results for the third quarter improved over the prior quarter, driven by higher sales volumes and paper prices, productivity gains and a lower Canadian dollar.