|Product sales||$6.1 billion||$5.1 billion||$4.5 billion|
Foundational Economic Principles
As a business, our objective is to find the best commercial value for the trees in order to generate sufficient profits over an economic cycle. We do this while incorporating several important social values associated with forestry. From the early days of our founding, West Fraser has never waivered from three foundational economic principles:
- First, we promote a low-cost culture throughout the Company in good times and bad.
- Second, we reinvest our cash flow into our business to ensure we have the lowest cost and most highly efficient mills in the industry.
- Third, we strive to maintain a prudent balance sheet throughout the business cycle.
Our objective is to be the low-cost, high margin producer in each of our product lines across geographic regions. We are working towards this by investing in growing the footprint of our operations, modernizing our mills and upgrading technology, improving safety and supporting employee development. Reinvestment in our operations is crucial to ensure we operate efficient, modern mill facilities. Within a comprehensive capital program, we invested $2 billion between 2013 and 2018 across our operations. This included the reconstruction of sawmills, planer upgrades, 7 energy and bioproducts projects and the addition of more than 30 energy-efficient continuous kilns.
Find out more about how we see the Opportunity of our business on our website.