(Reuters) - Softwood lumber producer West Fraser Timber Co Ltd
Since December of 2008 Eurocan, in Kitimat, has experienced a drop of about 40 per cent in the net selling price of its products, West Fraser said in a statement.
West Fraser -- which has lumber mills in Western Canada and the southern United States, as well as pulp and paper operations in Canada -- said it will record an asset impairment charge of C$138 million ($129.7 million) in the third quarter related to the property plant and equipment and certain other assets at the Kitimat facility.
In addition, West Fraser will incur costs totaling over C$70 million over the next several quarters related to the shutdown of the facility.
West Fraser shares, which have gained more than 10 percent in the past month, closed Wednesday at C$27.51 on the Toronto Stock Exchange.
(Reporting by Krishna Chaithanya in Bangalore; Editing by Unnikrishnan Nair)
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