Norbord Inc. has announced that effective March 30th it will begin reducing production across its entire North American OSB portfolio in response to the drop in demand for product being caused by the COVID-19 pandemic. Norbord has indicated that it will adjust its operating configuration by reducing shifts and running a number of its North American mills on alternating schedules to match production with an anticipated reduction in OSB demand and to comply with government-imposed restrictions. The reduction configuration will initially result in a 25% reduction to Norbord’s currently operating North American. In addition, the Company is deferring non-critical capital projects and further reducing its 2020 capital expenditures budget by 25%, from US $100 million to US $75 million, to preserve cash and balance sheet flexibility.
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