The loss amounted to 40 cents per share, which was deeper than a year-earlier loss of 28 cents per share or $28 million.
Among other things, Tembec said winter weather had a bigger impact than anticipated on energy costs and efficiency.
It also said the weakening of the Canadian dollar produced a $37-million loss related to debt issued in U.S. dollars.
The Montreal-based forestry company said the weaker Canadian dollar had some positive impact on sales but that was partially offset by weak demand and pricing for some of its products.
Overall sales were down nearly four per cent, dropping to $348 million in the second quarter ended March 28 from $362 million a year earlier.
Nearly one-third of Tembec's revenue was from sales of specialty pulp segment, another third was from forest products such as lumber and the remainder was from sales of paper and paper pulp.
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