BMO Capital Markets Reiterates Outperform Rating, $19 PT on Resolute Forest Products

In a report published Monday, BMO Capital Markets reiterated its Outperform rating and $19.00 price target on Resolute Forest Products

. BMO Capital Markets noted, “We are revising our forecasts to reflect non-recurring items in Q4/12, more specifically, the closing of one 125,000 tpy paper machine at Shawinigan, Q.C., the kraft pulp mill and one paper machine at Fort Frances, Ontario and the paper mill at Liverpool, N.S. Additional costs emanate from the Dolbeau mill start-up and the clean-up at St. Felicien. We are lowering our 2013 forecast to allow for higher wood costs owing to unfavourable Quebec Government policies.” Resolute Forest Products closed on Friday at $12.04.