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EACOM Timber's Timmins Sawmill Damaged by Fire

Montreal, Quebec, and Vancouver, British Columbia, Canada, 24 January 2012 -- (Marketwire) -- EACOM Timber Corporation (TSX VENTURE:ETR.V - News) today confirmed that a fire was discovered in its Timmins, Ontario, sawmill the evening of 22 January. The Timmins Fire Department responded quickly to the scene and the fire was brought under control. There were no injuries from the fire.

The extent of the downtime at the facility will be determined once a full damage assessment is completed. The planer mill and kiln facilities as well as round wood and lumber inventories were undamaged. The planer mill, kiln, and shipping operations will resume early next week to process existing rough lumber inventories. Harvesting operations are unaffected and during the assessment will be redirected as appropriate.

The Timmins operations employ approximately 500 people in the mill and associated woodlands operations. Approximately 120 mill employees will be affected by the downtime. EACOM continues to be committed to its operations in Timmins and is undertaking an assessment of the current situation and its options around rebuilding. The sawmill produces approximately 12 million board feet of lumber per month. The immediate impact on the company will be determined once the situation is fully assessed.

EACOM Timber Corporation is a TSX-V listed company. EACOM owns eight sawmills, all located in eastern Canada, and related tenures. The mills are Timmins, Nairn Centre, Gogama, Elk Lake, and Ear Falls in Ontario, and Val-d'Or, Ste-Marie, and Matagami in Quebec. The sawmills in Ear Falls, Ontario, and Ste-Marie, Quebec, are currently idled. Operations in Matagami and Val-d'or are currently on temporary shut down. EACOM also owns a remanufacturing facility and a 50% interest in an "I" joist plant.


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