The improvement over the same quarter in 2010 is primarily attributable to better operating results, a gain of $4.3 million on the sale of the Big River mill and a $2.9 million recovery of income taxes as a result of the acquisition of the remaining one-third interest in the Elk Lake sawmill.
Additional Financing Required for 2012
For the 9 months ending on September 30, 2011, EACOM Timber recorded a net loss loss attributable to shareholders of $20.36 million. At September 30, 2011, the company had cash and cash equivalents of $5,694,000, and $7,907,000 available under its credit facility. Based on cash flow forecasts prepared by management, these funds are not sufficient to meet the company’s peak seasonal requirements in the first half of 2012 unless the company is successful in securing financing.
The information in this article was current at 06 Dec 2011