Bergs Timber returns to normal sawmill production

Bergs Timber has previously announced the closure of Gransjö sawmill. Similarly, production as a result of the ongoing corona crisis has been reduced at other Swedish sawmills and at our Estonian sawmill. The closure of Gransjö sawmill has proceeded according to plan and the sawmill production will cease during April.

Demand for sawn timber is good for several important markets and we see some improvement in the English market. Our stocks are in balance and order intake has improved. Demand for wood products is normally seasonally high during the second quarter. At our Swedish sawmills, implemented short-term work will be terminated and production will return to normal pace from May 4. Our Estonian sawmill has produced in one shift during April and returns to two shifts from 4 May. Our Latvian sawmill Vika Wood has not been affected by production curtailments.

- After a decline in the second half of March and during April, we now see that demand is improving and that order intake is increasing until the holiday period. After the production curtailments that have been implemented, we have balanced inventories and it feels positive that we are now returning to normal production levels. The long-term effects of the ongoing corona crisis remain difficult to assess, says Peter Nilsson, President and CEO of Bergs Timber.

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Further information about this press release can be provided by Bergs Timber’s CEO and president Peter Nilsson,+46 703 15 09 27 or CFO Anders Marklund, +46 702 84 47 96.

The information is such that Bergs Timber AB (publ) is required to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, on 27 April 2020 at 11.00 (CEST).

Bergs Timber AB (publ), 556052-2798, Stora Torget 3, SE-598 37 Vimmerby, telephone +46 10 19 98 500. More information about our operations can be found on our web page under the address www.bergstimber.com

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