Ainsworth Lumber Co Ltd ANSBF

RE: Interesting read on Norbord site

[compaq]

Market Conditions

US housing starts were 20% higher during the first quarter of this year compared to the same period last year and permits were 30% higher.  More importantly for the OSB industry, US single family housing starts were 17% better versus last year.  In this firmer demand environment, the North American North Central benchmark OSB price averaged $203 per thousand square feet (Msf) (7⁄16-inch basis) in the first quarter compared to $190 per Msf in the prior quarter and $198 per Msf during the same quarter last year.  In the South East region, where approximately 55% of Norbord's North American capacity is located, prices averaged $190 per Msf in the first quarter, compared to $166 per Msf in the prior quarter and $177 per Msf during the same quarter last year.  Expert forecasts for 2012 US housing starts now range from 680,000 to 770,000, which is 11%-26% higher than last year's 610,000 starts.