Cascades responds to labor dispute.

CASCADES RESPONDS TO LABOR DISPUTE. Cascades Inc., Kingsey Falls, Quebec, Canada, announced a shutdown of the operations of Cascades FjordCell, its virgin pulp mill located in Jonquiere, Quebec. Labor relations significantly deteriorated since the collective bargaining agreement expired April 30, 2004, and Cascades recently locked out the unionized employees at that mill. The lockout should not affect the operations of the boxboard mill.