West Fraser Timber Co. Ltd. posted a profit of $166 million in 2010, significantly improved over the previous year despite the continuing poor housing market in the U.S.
The company, which has extensive operations in north and central B.C., was helped by an emerging lumber market in China and robust pulp prices.
"Overall, we had pretty good year compared to the previous few years," West Fraser president and CEO Hank Ketcham told analysts on a conference call today.
He noted the company shipped 32 per cent of its lumber -- 270 million board feet -- in the last three months of the year overseas to Asia. Of that, 189 million board feet was shipped to China. "As we look forward, we see the export lumber market, particularly in China, growing. And we will fully participate in that growth," said Ketcham.
West Fraser has sales of $2.9 billion in 2010, an increase of sales of $2.4 billion in 2009. West Fraser's $166 million profit in 2010 was well above losses of $347 million in 2009 and $134 million in 2008.
As a result of the U.S. housing collapse, a global recession and cost pressures, West Fraser has closed a small sawmill in Quesnel and its Eurocan linerboard mill in Kitimat.
