Catalyst Paper Cuts Loss Despite Weak Markets

The current outlook for global growth has improved, reflecting modest recovery in China and the United States during the first quarter. The Canadian dollar is expected to weaken slightly going forward.

Further demand decline is foreseen for coated mechanical grades, while demand for uncoated grades will likely increase slightly, although with the potential for downward pressure on operating rates resulting from the restart of uncoated capacity in the fourth quarter of 2012. Specialty paper prices are expected to remain under pressure in the second quarter before rebounding in the second half of 2013.