2017 International Forest Industries Magazines June July 2017 | Page 32

LUMBER PROCESSING NEWS - ENGINEERED WOOD PRODUCTS

Raute buys Metriguard to bolster business

Raute Corporation has strengthened its offering for veneer and lumber grading technology by acquiring established industry leader , Metriguard
Kiiski and Logan at the deal agreement

Raute Corporation and the owners of Metriguard have agreed a deal that will see Raute buy Metriguard , which is based in Pullman , Washington , US .

Metriguard , established in 1972 , is a world leader in highspeed strength grading technology for lumber and veneer . Metriguard sells and provides services for its equipment globally , with installations in North and South America , Europe , Asia , Africa , Australia and New Zealand .
Metriguard ’ s products and technology are complementary to Raute ’ s current product offerings . Over the years , Metriguard ’ s products have been integrated into dozens of Raute ’ s deliveries .
Metriguard ’ s business will carry on as a newly-established Raute subsidiary , Metriguard Technologies . Its financials will be reported as part of Raute ’ s wood products technology segment .
The acquisition is deemed to have a positive effect on Raute ’ s
net sales in 2017 and on its financial results starting from 2018 .
Raute President and CEO Tapani Kiiski : “ Metriguard ’ s technology has evolved over more than four decades and has proven to provide veneer and lumber mills with significant benefits in terms of enabling capturing the highest possible value of the given raw material .
“ Raute ’ s strategy is to provide technology to our customers to help them run their business in a profitable way , but strength grading technology has been missing from our offering . With Metriguard ’ s technology , and its solid and well recognized brand , we will be able to offer even more comprehensive solutions .
“ We believe this acquisition will help Raute grow and open new opportunities for Metriguard .”
James Logan , President and founder of Metriguard the deal represented a great opportunity for the future of Metriguard , its employees and customers .
“ We are really pleased to be working with Raute , a global company with a most excellent reputation for quality of products and service ,” he said in a statement .
“ Metriguard ’ s customers can
The two companies celebrate the formation of a larger group better able to service customers
look forward to a continuing supply of outstanding production line and quality control test equipment as well new developments that will enhance performance of existing equipment and provide new functionality .
“ The company will continue to operate in Pullman , Washington where its personnel provide equipment and services to the global market . Metriguard ’ s proximity to two major universities provide an excellent environment for research and development .”

Louisiana-Pacific 1Q sales up 21 % to $ 611 million

For the 1Q 2017 , Louisiana-Pacific Corporation ( LP ) reported net sales of $ 611 million , up from $ 505 million in the same quarter of 2016 , as the company said in the press release received by Lesprom Network .
LP reported net income of $ 55 “ LP had an outstanding 1Q led million , or $ 0.38 per diluted share , by higher OSB prices and a 16 % as compared to $ 10 million , or volume increase in Siding ,” said $ 0.07 per diluted share for the 1Q Curt Stevens , CEO . “ South America 2016 . Adjusted EBITDA for the 1Q had solid results and EWP returned 2017 was $ 112 million compared to to profitability .” $ 52 million in the 1Q 2016 . Curt Stevens , CEO .

West Fraser Timber improved 1Q earnings to $ 123 million

West Fraser Timber Co . Ltd . reports 1Q 2017 earnings of $ 123 million , up from $ 42 million a year ago , on sales up 10.4 % to $ 1.19 billion .
Lumber segment generated operating earnings of $ 152 million ( 4Q 2016 - $ 107 million ) and Adjusted EBITDA of $ 191 million ( 4Q 2016 - $ 144 million ). Improved product pricing was the
primary driver of improved results . SPF shipments were lower than production due in part to weatherrelated transportation delays .
Panels segment , which includes plywood , LVL and MDF , generated operating earnings in the quarter of $ 12 million ( 4Q 2016 - $ 17 million ) and Adjusted EBITDA of $ 15 million ( 4Q 2016 - $ 20 million ). Improved
product pricing was offset by increased costs associated with its WestPine MDF plant restart . Pulp & paper segment generated operating earnings of $ 31 million ( 4Q 2016 - $ 20 million ) and Adjusted EBITDA of $ 40 million ( 4Q 2016 - $ 30 million ). Higher pulp prices , higher BCTMP shipments and lower NBSK
production costs were the primary drivers of improved results . Both Hinton Pulp and Slave Lake Pulp set quarterly production records .
26 International Forest Industries | JUNE / JULY 2017