Richmond, British Columbia, Canada, 26 September 2008 – Catalyst Paper announced today that production at its recycled newsprint mill in Snowflake, Arizona, USA, will be curtailed for eight days, beginning 20 October. This will remove approximately 8000 metric tons of recycled newsprint from the market and will reduce old newsprint (ONP) fiber requirements by some 10,000 metric tons.

As the U.S. economic slowdown adversely affects print advertising in key urban markets, newsprint consumption has continued to decline. The Snowflake curtailment reflects Catalyst’s strategy to match production with customer orders.

“We are watching demand and inventory levels very closely,” said Richard Garneau, president and chief executive officer. “Existing orders and shipments will be managed accordingly to address delivery commitments and maintain efficient operations during the mill downtime.”

Catalyst is a leading producer of specialty printing papers and newsprint, headquartered in Richmond, British Columbia, Canada. The company also produces market kraft pulp and owns western Canada’s largest paper recycling facility. With six mills strategically located within western North America, Catalyst has a combined annual capacity of 2.8 million metric tons of production. Catalyst’s common shares trade on the Toronto Stock Exchange under the symbol CTL.