KINGSEY FALLS, QC (News release) -- Cascades announces the temporary shutdown of one of its two tissue paper machines at its St. Helens, Oregon facility. The machine has an annual production capacity of 50,000 tons of tissue made from virgin fibre, and supplies the Company's converting plants, primarily the Scappoose, Oregon facility. Production of the second machine, located in a separate building, is not impacted.

Following inspections carried out as part of its annual maintenance shutdown which began on September 11, it was determined that additional verification of the structural condition of the building is required. The length of the shutdown is currently being determined. Cascades reiterates that the safety of its employees is a priority. The Company is evaluating the financial and operational impacts of this situation on the forecasts for its tissue operations in the current year and will provide additional information once this analysis has been completed.