NEW YORK, July 04, 2022 (GLOBE NEWSWIRE) — Mercer International (“Mercer” or the “Company”) (Nasdaq: MERC), provides the following update to its press release of July 1, 2022 regarding a fire which occurred in the wood chip storage area at our Stendal pulp mill.
Currently, the fire has been primarily extinguished but as is customary in such cases, the site will be monitored for hot spots for several more days. The fire did not damage the mill operations and the damage appears to have been confined to the wood chip storage bunkers and associated conveying systems. The Company will, as permitted by site monitoring measures, conduct a more formal detailed assessment of damage and required repairs and develop a restart plan. Until such assessment and plan, there can be no assurance as to when the mill will recommence operations.
The Company maintains property and business interruption insurance for the Stendal pulp mill and we expect the property damage and business interruption will be covered by such insurance, subject to customary deductibles and limits.
Mercer International Inc. is a global forest products company with operations in Germany, USA and Canada with a consolidated annual production capacity of 2.3 million tonnes of pulp, 550 million board feet of lumber, and 140 thousand cubic meters of CLT. To obtain further information on the company, please visit its website at www.mercerint.com.
The preceding includes forward looking statements which involve known and unknown risks and uncertainties which may cause our actual results in future periods to differ materially from forecasted results. Words such as “expects”, “anticipates”, “are optimistic that”, “projects”, “intends”, “designed”, “will”, “believes”, “estimates”, “may”, “could” and variations of such words and similar expressions are intended to identify such forward‐looking statements. Among those factors which could cause actual results to differ materially are the following: the highly cyclical nature of our business, raw material costs, our level of indebtedness, competition, foreign exchange and interest rate fluctuations, our use of derivatives, expenditures for capital projects, environmental regulation and compliance, disruptions to our production, market conditions and other risk factors listed from time to time in our SEC reports.
Jimmy S.H. Lee
Executive Chairman of the Board
Juan Carlos Bueno
President & Chief Executive Officer