West Fraser says it will record a $409M charge due to economic conditions in Q4

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VANCOUVER - West Fraser Timber Co. Ltd. says it will record a goodwill impairment charge in its lumber segment in the fourth quarter, citing persistently challenging economic conditions.  

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VANCOUVER – West Fraser Timber Co. Ltd. says it will record a goodwill impairment charge in its lumber segment in the fourth quarter, citing persistently challenging economic conditions.  

The Vancouver-based wood products company says it expects the non-cash impairment charge to come in around $409 million. 

West Fraser says the charge is the result of a protracted downcycle that has caused its management to recalibrate certain assumptions. 

Logs are piled up at West Fraser Timber in Quesnel, B.C., on April 21, 2009. THE CANADIAN PRESS/Jonathan Hayward
Logs are piled up at West Fraser Timber in Quesnel, B.C., on April 21, 2009. THE CANADIAN PRESS/Jonathan Hayward

The company says some of the changes to the assumptions include lower demand and pricing for wood chip residuals, as well as the length and severity of the downturn. 

In December of last year, West Fraser announced plans to indefinitely curtail work at its northern Alberta mill in a move that was expected to impact 190 employees. 

At the time, West Fraser attributed the move to weakening demand for oriented strand board, which is used in residential construction, repair and remodelling and industrial applications.   

This report by The Canadian Press was first published Jan. 8, 2026.  

Companies in this story: (TSX:WFG)

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