MONTREAL, March 24, 2020 /PRNewswire/ - Resolute
Forest Products Inc. (NYSE: RFP) (TSX: RFP) today provided an
update on the impact of the COVID-19 situation to its business.
Resolute remains as committed as ever to the health and safety of
its employees, business partners and communities by adhering
strictly to the guidelines and measures put in place by government
authorities.
While certain government authorities in Canada and the
United States have ordered the closure of all non-essential
business operations in regions where Resolute operates, they have
also recognized the importance of the forest products sector in the
fight against the coronavirus pandemic: tissue products to fill
empty shelves; pulp to produce tissue, air filters, paper gowns,
and other medical and personal care supplies; paper to keep people
informed of developments and advisories; and wood products to
support the demand for building and essential
infrastructure.
Accordingly, Resolute expects to continue to operate in all of
its business segments – pulp, tissue, wood products and paper – in
Canada and the United States. But the company expects to
take certain temporary steps to reduce its operational footprint to
demand levels consistent with essential needs for the duration of
the crisis. The company will adjust capacity dynamically based on
the conditions and rapid evolution of the situation, but most of
the capacity reduction is expected to come from the wood products
and paper segments. The temporary capacity reductions will be
implemented over the coming days and will be announced
locally.
The company will continue to monitor the situation and to work
closely with its valued customers to provide the high-quality
products and strong support that they expect, particularly in these
challenging times. The company will also continue to closely
monitor the supply of incoming raw materials and work in
collaboration with its numerous suppliers to secure the stability
of the supply chain.
"These are certainly unprecedented times," said
Yves Laflamme, president and chief
executive officer. "The COVID-19 situation is evolving very
quickly, and there is a sense of stress and concern weighing on
everyone. I want to especially thank our employees for their
support: Your hard work and dedication are particularly appreciated
given the uncertainty the economy is currently facing."
Resolute has introduced special measures to minimize the spread
of the virus at its locations, including: putting in place a
company-wide risk management committee to monitor the situation and
the implementation of preventive measures across all sites;
developing a special support website for employees with guidelines,
forms, FAQs and other relevant documents and links; making the
necessary accommodations to support the health and well-being of
employees and business partners; introducing restrictions on
travel; canceling non-essential visits by external suppliers and
other outside support services; and increasing safety measures for
visits by service technicians, truck drivers and delivery
personnel.
Cautionary Statements Regarding Forward-Looking
Information
Statements in this press release that are not reported financial
results or other historical information are "forward-looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995. They include, for example, statements regarding
the expectation of the company to continue to operate in all of its
business segments and the expected temporary capacity
reductions. Forward-looking statements may be identified by the use
of forward-looking terminology such as the words "will," "could,"
"may," "should," "believe," "expect," and other terms with similar
meaning indicating possible future events or potential impact on
our business or our shareholders.
The reader is cautioned not to place undue reliance on these
forward-looking statements, which are not guarantees of future
performance. These statements are based on Resolute's management's
current assumptions, beliefs, and expectations, all of which
involve a number of business risks and uncertainties that could
cause actual performance or outcomes to differ materially from
those expressed or implied in this press release. The potential
risks and uncertainties that could cause Resolute's actual future
financial condition, results of operations and performance to
differ materially from those expressed or implied in this press
release include, but are not limited to, the rapid evolution of the
COVID-19 pandemic, its impact on Resolute's operations, the
evolution of orders from different governmental authorities which
may impact the company's operations, and the potential risks and
uncertainties described under the heading "Risk Factors" in Part I,
Item 1A of Resolute's annual report on Form 10-K for the year ended
December 31, 2019.
All forward-looking statements in this press release are
expressly qualified by the cautionary statements set out or
referred to above and in Resolute's filings with the U.S.
Securities and Exchange Commission and the Canadian securities
regulatory authorities. Resolute disclaims any obligation to
publicly update or revise any forward-looking information, whether
as a result of new information, future events or otherwise, except
as required by law.
About Resolute Forest Products
Resolute Forest Products is a global leader in the forest
products industry with a diverse range of products, including
market pulp, tissue, wood products, newsprint and specialty papers,
which are marketed in close to 70 countries. The company owns or
operates some 40 facilities, as well as power generation assets, in
the United States and Canada. Resolute has third-party certified
100% of its managed woodlands to internationally recognized
sustainable forest management standards. The shares of Resolute
Forest Products trade under the stock symbol RFP on both the New
York Stock Exchange and the Toronto Stock Exchange.
Resolute has received regional, North American and global
recognition for its leadership in corporate social responsibility
and sustainable development, as well as for its business practices.
Visit www.resolutefp.com for more information.
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SOURCE Resolute Forest Products Inc.